Stocks 'Dangerous, Very Bearish' Unless Oil Crashes, Says Money Manager

Posted Jun 24, 2008 03:50pm EDT by Aaron Task in Investing, Commodities
Related: CSTR, AGU, POT, NTDOY.PK, C, MAS, OIL

WallStrip founder and money manager Howard Lindzon has an investing philosophy: "Find trends, ride 'em, and get off!"

So what's a trend-follower to do in a market that's trending down?

Until very recently (as in this morning), Lindzon has been short the market via index funds and long individual stocks with upward momentum like Coinstar and Nintendo.

Sensing the market is due for a short-term rebound, Lindzon covered his short positions Tuesday morning, but fears the market won't be able to make any serious headway unless oil prices tumble back into the $60-$80 range.

Barring that, he's still hoping oil surges to $200 and forces America to change its habits.