If this is the early days of a recovery then tech stocks would be expected to do well. AAPL has not been affected at all by the financial crisis, it seems. Or has it. Look at its lifetime chart. If one cuts off the takeoff in May 2007, a classic chaos flow upwards, fractally modeling the equity market itself, its trendline puts its share value projection where is it now. This to me suggests computational change.
The equity market looks more like something which is not apparently a chaotic system - the forex market. As I have suggested there is an interrelationship between equity and forex presently. Because it seems the financial crisis made them computationally similar.
This is probably because the market is being pushed around by money flows (like forex), a reasonably linear event. But forex exacts a cost for this, huge volatility, which is the bane of any trader, not to mention central governments. However is this not what we are seeing in equities (the range) ?
Another company I like is G. Now G is interesting because its share value has been restored almost exactly. However it began its listing as the crisis began...markets are fascinating they really are, this is what I mean by having an interest in them other than to make cash. If it is a fractal component of the market then one can expect maybe it embodies fully the new computation of the markets. What this means only the future will tell, but it is worth watching...
By the way when I look at a company I look at a number of things. I am interested in perturbations, in data like cash. Divergences from the company itself over time, but as well with other companies. These tend to give hints of a change in share valuation.
Right now though the market is solidly valuing on the bottom line, G has restored its bottom line. However normally a company not growing its income would be hit, another interesting development. It is like what I said, its present state is being valued, not its future state...
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