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Apple $99, Google $399

While I definitely believe that markets have bottomed out, I suspect that tech stars of past 3-4 years Apple and Google are in for a rough ride for next few months. Both are excellent companies and I love what they are doing in their fields. However as it happens to any momentum stocks, once growth slows down, these momentum stocks get punished on the down-side - same way they get benefited on upside when growth is good.

With no major catalyst of new products from Apple and paid-search clicks slowing down (along with overall economy slowing down), Apr would be interesting month for both companies. Stocks of both companies are already down by close to 40% and there are quite a few headwinds facing these companies.

My prediction is that investors would get an opportunity to buy Apple at $99 and Google at $399 sometime this year and when that happens, keep your "dry-powder (aka cash)" ready since it would be an excellent buying opportunity for long-term.

/Shyam

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