Correction?

Is the market going to have a correction or is it going to take a pause and climb to new highs? No one really knows the answer to this question, but we do know that September may be where this gets answered.

Of course, the most likely outcome in my opinion is that September will be inconclusive as better news is not good enough to convince everyone that the economy is about to really roar back. This uncertainty and the fact that so many have been burned recently by market drops, will mean that investors are looking for certainty.

The seeds turned into green shoots and are now spreading their roots. Now root growth takes place underground until there is a sudden burst of topside growth once the roots have gotten firmly established. This is not true for every green shoot, so the trick here is to determine the winners in the next growth phase.

If you think about it logically, the secular trends are leading to more mobile technology and more on-line transactions meaning that companies that are investing and fertilizing that area will do the best in the long term. Of course the transition is going to take place slowly but it will take place and this will lead to less oil/gasoline usage, less need for brick and mortar and the need for better networks, Internets, and browsers.

Security will be a growth industry for quite a while as well.