Jeff Saut calls a bottom

    Posted by rikkwan on 9th of Aug 2011 at 01:51 pm

    He is a guy with guts (always had them).  Listen to this when you get a chance.

    http://www.raymondjames.com/multimedia2.htm?url=Saut_Daily.wma&player=wmp&target=int&width=300&height=0

     

    I'm told he was cheerleading

    Posted by PA on 9th of Aug 2011 at 03:18 pm

    I'm told he was cheerleading all year, including something like an SPX 1450 prediction for 2011 at the Top. True or false?

    Also, I missed where he said to sell, did he? If not, how can he be trusted to call a bottom when he missed the Top?

    Last, let's all remember that he works for a retail broker. He's paid to always be bullish, but  though I think he's a smart guy, he risks his job by telling the the truth. What do you call an adviser who can't tell the truth?

    How many Chief Investment Strategist of American brokerage firms were saying buy Canadian resources and get your money out of the US since 2001?  He has been bullish on commodities and all over Canadian stocks. RJ US bought a Canadian Boutique in 2001. 

    Good calls for sure re

    Posted by PA on 9th of Aug 2011 at 04:25 pm

    Good calls for sure re the resource stocks. If you could clarify  Jeff's posture as we entered this huge plunge, that would be appreciated.

    I also listened to the audio file, and to be fair, I think that he did not call the "bottom" - what he said was it was too late to sell and that we should expect a rebound. I agree fully, and here we have the S&P approaching the 1175 pivot I am using, which makes it a low risk sell point. Note Jeff also said that after a rebound we could look for an undercut of today's lows - again I fully agree, we should all be looking for a test of the low after this rally is done. As we all know, the sharpest rallies are bear market rallies...... 

    listen to the file again- he does say the low was made

    Posted by rikkwan on 9th of Aug 2011 at 05:58 pm

    In the file, Jeff Saut calls for a bottom very specifically when he said:

    "when you made your low, which I think you made yesterday, you had a sharp throwback rally and a retest"

    also he refers to an intermediate low in these 2 areas too:

    1) I don't think there will be any more compression of PE ratios

    2) last time NYSE McClellan Oscillator was this oversold was during February 2009 and we all know what happened "out of there"

    He talks about undercutting the lows "marginally" when he talked about the 1978-1979 decline.

    But I think we are losing the big picture.  The big picture is that he is saying an intermediate bottom is in place.  Whether you undercut it or not marginally is kind of meaningless to someone who has already lost 10-15% in the S&P.

     

    Saut called for a re-test

    Posted by parkridge77 on 9th of Aug 2011 at 03:00 pm

    Saut called for a re-test after yesterday's historical sell off ( last happened 1940s)

    but so soon?   Said classcially there is an overshoot- well we gettin' that- see Rikkwan's great Jeff Suat post-- excellent listen I found especially for commod investors

    I did not listen to

    Posted by tom on 9th of Aug 2011 at 03:13 pm

    I did not listen to the recording yet but I did bookmark the post to come back to later tonight.  I use to get Saut's weekly market letter and found it very insightful.  Is he infallible, no, but I always found him of sound reason and level headed.

    Saut is more intermediate-term and better for swing trading

    Posted by rikkwan on 9th of Aug 2011 at 03:10 pm

    Thanks- I've followed Jeff Saut for 13 years now and he has helped me navigate the dot com bubble, told me to buy commodity stocks (what he calls "stuff stocks") in 2002, helped me navigate the 2008 bear, etc.  His calls are pretty good, I can validate that. 

    His timeframe, however, is more intermediate-term and suited more for swing traders or long-term investors.  In his commentary today, he calls for a multi-day rally followed by a re-test, but overall, what he is saying is that this is a crash and not a bear market (this type of selling we've had comes at the end of a bear market, not at the beginning of one).

    Jeff Saut

    Posted by jaycrockett on 9th of Aug 2011 at 02:21 pm

    rikkwan - Thanks!!

    Thanks...

    Posted by burkmere on 9th of Aug 2011 at 01:56 pm

    Good video. He's got some good points.

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