This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Kass: The Price Is Right?

This column originally appeared on Real Money Pro at 7:59 a.m. EST on Nov. 13.

NEW YORK ( Real Money) --

"Price is what you pay, value is what you get."

-- Warren Buffett

As I wrote yesterday, from my perch the fears of the economic, political, geopolitical, fiscal and tax (capital gains and dividends) cliffs are overblown.

I recognize my analysis yields a contrary view of buying when many are selling today, when the influential media and other talking heads are fearful and, at times, even hyperbolic. But remember the general optimism as the S&P 500 breached 1480 on the upside a few months ago and the confidence on the part of strategists that a performance chase would yield 1500-plus on the index by year-end that would carry through to continued strength in 2013? Or the optimism when Apple (AAPL - Get Report) rose above $700 a share and the pushback I received when I wrote a negative assessment of the company's shares?

It is funny how we don't hear (and receive mea culpas) from those observers that were so glib and confident in their optimism back then only to be so wrong now. (By contrast, I have promised and always admit my own mistakes.)

They will still have their platforms and still haven't admitted that they were wrong and will not reimburse you for your losses if you have followed them.

These examples above are why you should do your own homework, ignore the confident musings of talking heads -- and that includes me! -- and recognize that only you are accountable for your investment performance.

From my perch, analysis trumps emotion and provides opportunity (as long as that analysis proves to be solid).

With better clarity of the above, as discussed in my lengthy series on Monday, I have begun to add to my net long exposure, within reason -- it now stands at about 40% before my outsized bond short position.

I am far more certain that an investing opportunity is being afforded long-term investors in the recent meltdown: While I believe we also face a near-term trading opportunity ahead, I am less certain of its immediacy.

The charts certainly speak brokedown palace, but, as you all know, I view charts as a history lesson of what happened in the past not as providing a course of prices in the future.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,740.63 +79.92 0.45%
S&P 500 2,057.14 +6.51 0.32%
NASDAQ 4,736.1550 +19.0610 0.40%

Our Tweets

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs