The
Bull Sector - Because there is always a Hot
Sector Frustrated over never knowing exactly what stocks, industries and sectors are doing well and which are not on a relative basis? We were too when we started the Bull Sector. Sometimes it's more important to be invested in almost any stock in the right stock group rather than the leaders of a stock group that is not performing well. This year we have learned that strength in industries and sectors is generally played out over many months, if not years, before rotation takes place into sectors that have been left behind. So what stocks, industries and sectors are actually doing well and can we expect those trends to continue? It's now easier than ever for investors to find out what groups have been doing well at the Bull Sector and which ones are not. Making those kinds of determinations quickly is exactly what we set out to do at the Bull Sector over a year ago. It is exactly what we are all about and we are very proud of the lists we have provided for our readers to use for their own research. It's been a lot of hard work but today we are closer than ever to really succeeding at attaining the basic goal of sharing meaningful information in a way that shows not just what stock groups are doing well but also how well individual stocks in each group are faring in relation to their peers. Trying to predict whether current trends will continue or new ones will start is a much more difficult thing to do but when new trends emerge they will not end overnight. During the last year we have watched the NASDAQ and technology stocks in general suffer the worst year ever since the NASDAQ began. What began as an attempt on our part to ascertain and share what technology momentum stock groups were hottest has broadened out to include lists in both new and old economy sectors all using Yahoo Detailed Quotes. As the Dot Com companies turned into Dot Bombs and interest rate increases slowed our economy to such an extent that many people (including us) are now worried that we may enter a possible recession we found some very interesting trends were taking place. Even the strongest technology stock sectors were unable to withstand the economic slowdown while old economy sectors and value investing returned with a vengeance. The kind of strength we saw on the Yahoo Detailed Quote Charts in numerous technology sectors last February and March eroded at the same time that rises in industries and sectors like Airlines, Aluminum, Bank, Regional Banks, Biotech , Chemicals, Food Products, Food Retailers and Wholesalers, Footwear, Forest and Paper Products, Healthcare, Home Construction, Insurance, Major Drugs, Medical Equipment, Natural Gas, Oil, Pipelines, Pharmaceuticals, Railroads, Real Estate and REITs, Soft Drinks, Tobacco and Utilities were rising. What has been so interesting to us is just how many of these industries and sectors have shown incredible strength at the same time as the NASDAQ was involved in such an absolute swoon. As the year 2001 begins we know that Mr. Greenspan and the FED will be lowering interest rates albeit too late for many of our tastes. We know we have a new President about to assume the reins of office and he will be pursuing an across the board tax cut that may be retroactive in nature. What does this all mean to us as investors? It means that eventually the economy will receive enough stimuli to bring favor back to technology investing even as many of the old economy sectors begin to lose favor. This will not happen over night because an economic slowdown and consumer confidence can no longer be expected to turn overnight, but it will most likely happen by midyear. This past weekend we probably added some of the most important lists that we ever have shared with Bull Sector readers including a new US Indexes and Fidelity Select Portfolio List. We are really pleased to share this list with our readers because after taking a few minutes to familiarize yourselves with the list we think you will begin to be able to tell exactly what sectors of the market are currently hot and what ones are not! In addition we have updated our Genomics List with a breakdown of the tool makers in this sector. We have also updated the currently hot Real Estate List to include all the REITs that we could find. We have also added a new Pipelines List, an industry that has been squeezing out some big time profits for investors lately. We also added a new Furniture List along with a Furniture and Construction List. These stocks too have been no Lazy Boy's lately! Finally we added a 3G Wireless Stock List because although you might not be able to tell it from the performance of Wireless Stocks lately the next big revolution that will rocket technology stocks higher will probably come from the emergence of wireless data on handheld devices. We believe we are probably still a year away from the start of the real excitement but it will come because Future high-speed wireless connections like 3G (third-generation wireless technologies) are expected to enable high-speed, always-on Internet connections for mobile phones, handheld computers, laptops and other devices within the next few years. Estimates vary as to when 3G systems will be initially available but perhaps earliest stirrings will be around the first quarter of 2001 in Japan and Europe. Most analysts and industry experts currently expect the technology to be well received once it becomes available because 3G is supposed to deliver streaming video and audio along with all manner of data-related goodies to mobile wireless devices. It appears that many service providers are betting their futures on this technology. Nortel Networks (NT) is a leader in the development of this technology as is Lucent (LU). Two PC Card makers who have already been contracted to provide 3G connectivity solutions are Xircom (XIRC) and Sierra Wireless (SWIR). We hope that you will find the Bull Sector will make it a little be easier to ascertain the latest trends. Exactly what sector is a hot sector? Check out our US Indexes and Fidelity Select Portfolios List. Want to see three month performances on major industries then take a look at Big Charts and CBS MarketWatch's Industry Sectors and check out CBS's daily Technology Indexes performance. Want more? Check the sector charts from InvesterTech or use the Sector Tracker from Smart Money to get a feel for what is happening in some general market sectors. If you are interested in looking at traditional sector information then check out Market Guide's Hot Sectors or their Hot Industry Reports. Want to get more focused? That's what the Bull Sector lists are all about. It seems like everyday new companies announce strategic initiatives in market sectors where rapid growth is expected. Some of these companies will emerge as market leaders, others are merely taking advantage of the newest catch phrase. Here in the Bull Sector we also use some basic technical analysis to help determine when it is safer to buy a stock on a short-term basis. We hope that you will study much more in depth technical analysis and add this skill to your investing arsenal. In addition we urge you to always call the investor contact listed on any stock that you decide to invest your hard earned dollars. And don't forget on each list we have programmed Yahoo's search engine to search for key phrases in recent press releases. In this way we can help you find companies that have recently announced news in that specific area. So check out the Bull Sector lists and please contact us with any suggestions. We are definitely interested in catching the next hot sector early in any move. Have you got a stock pick that is not on our list or another whole sector we should be tracking then Contact Us. Disclaimer: Investing in stock market can be extremely risky. The authors of this site are not connected with the financial industry and nothing here should be construed as giving financial advice. While the authors of this site have not be compensated in any form for the due diligence provided here we do own shares in many of the stocks we feature here. Any or all of these shares may be sold at any time without warning. Prospective investors should contact a suitably qualified financial advisor. No warranty or guarantee is given regarding the accuracy, reliability, veracity, or completeness of the information provided here or by following links from this page, and under no circumstances will the author or service provider be liable for any loss including but not limited to direct, indirect, incidental, special or consequential damages caused by using the information, or as a result of the risks inherent in the stock market. |