Weebit - 2022 and beyond, page-394

So after the last week, I thought I'd follow up my previous contrarian comments that we'll see a bounce in tech and growth reasonably soon.

To me, the most significant bear case is mainly fear - and there is plenty of that around. So that is still in play.

The other leading bear issue is inflation, and there does seem to be some valid concerns regarding future energy costs. But I'm still unconvinced there is enough demand driving prices higher - supply chain issues seem to be the leading cause, and these will fix themselves in time because market forces will ensure they get fixed.

I highlighted Zoom previously as being on sale, but other tech/growth stocks (none of which I own) seem to be good value. And the three charts/companies below are cheaper still since I saw these (courtesy Frazis capital).

Twillio



Twitter



Mercadolibre Inc



The above are examples of what has happened to many Nasdaq stocks - they've been correcting for six months or more. The FANGS (plus Tesla & Nvidia) have held up the Nasdaq as much of the exchange has corrected to lows. How much cheaper are they going to get?Have any other sectors come off as much, are other sectors also due to correct? (I don't know).

Some other charts that make me a little optimistic - the QQQ's bounced hard a few days ago - it had its most significant day by dollar amount since 2008 - almost $60 billion US changed hands - biggest day EVER? Does anyone think that is retail buying the dip?



After all, the instos are out of growth and tech and are in the cyclicals. IMO it's pretty nuts that they are betting so strongly against tech - we're going to bet against the future! It's a crazy long term view IMO. Probably the same guys that were short Tesla a few years back.



What to make of it all - well, it's a pretty mixed bag - to me, tech looks like a bargain - but who am I to call anything. It will swing back at some stage - when it's hard to know. And although the Aus market is affected by the US - it's not the same - we don't seem to have as many wild fluctuations.Beware the fin media ecosystem, they are always behind the 8 ball IMO.

The only prediction I'll make is that WBT will be just fine.

Good luck all.