You have to have a portfolio approach. Once you've done that, take a certain amount of money off that and do what you want to do. Take your shots at Nortel, if you want. There's no problem with that at all. As always, do some homework, Caldwell advises.
Technical analysis is limited to some degree.
But it does give you an idea of where the stock has been, and some idea of entry points. You want to take a look at what the outlook is for earnings. Usually when a market bounces back, it's the big stuff that moves first. One of the big lies we have experienced in the past couple of years is that anybody can be a day trader. It's clear you can't.