I know a lot of people don’t want to believe that the market is that bad out there but just because you see me get winners does not mean it is extremely hard out there. I have lost 30% of my gains!!! Also don’t forget most traders are losing money. Take a look at the bottom 95% of mutual funds (only the top 5% are even NEAR me) and you will see they are not making money. Also have you taken a look at the breadth of the market? Do you think it is easy to make money when there are only 52 52-week highs compared to 276 new 52-week lows, I think you should clearly see that despite the market moving sideways the real tone of the market is extremely weak.

Remember, GOOG and MSFT account for 10% of the Nassy alone. So if the rest of the market was up, yet MSFT and GOOG crashed, the Nasdaq would be down. Now, does that reflect an overall weak market or does it just reflect that MSFT and GOOG are weak but the market is strong? If you don’t know the answer to that, you are quite a ways away from making a lot of consistent money in the market–which is obviously, as you can now see post-November top, is not an easy thing to do.

Luckily for me, I know this will pass and what is funny is that the “perfect” and “near-perfect” charts that are all over the place on my ‘Past Big Winners-Long’ sections will come back in favor again and will produce the 100%, 200%, 500%, 1000%, and even the rare 2,500% gem in under 12 months once again. However, first all the “wanna-be” market players need to be washed out and sadly that means that we are probably going to see more AEHR’s before we see a TASR. Does that mean I stop buying AEHR now until the market gets stronger? Well, probably not, but if another AEHR sets up with that kind of beautiful pattern and you pass on it, I can almost guarantee that will be the time when the stock rips 500% in three months. Study my past big winners from 2003. 1999 was a bit nutty as most stocks were speculative but in 2003 you can see CLEARLY that in a NORMAL bull market you can get A TON OF HUGE MONSTER STOCK MARKET WINNERS. Sadly, you will always have years like this. But thank GOD, I understand, that this too shall pass and one day SOONER than later AEHR will setup, breakout, and then run 100-1000%. So these near-perfect patterns, when they do show up, should not be passed. But until the market rallies on huge volume, it is probably time to keep them EXTREMELY tiny and JUST for fun only.

Only when the market rallies on stronger volume with all the near-perfect to perfect charts being able to hold the gains, build a base above the rally area, and then breakout again will we be able to get super long on heavy margin again. Right now, it is best to keep the powder dry and unless the charts is built to a near-perfect condition while being matched with excellent fundamentals.