Market Guru Marc Faber feels Nasdaq100 has upside potential

Marc Faber the author of Tomorrow's Gold: Asia's Age of Discovery is one analyst I track regularly. He has a good grip on the long term trends in market. He is also ahead of many analyst in terms of making market calls on key sectors or country economies.He had a free monthly analysis of market on his site, which has now become paid. I do not subscribe to that newsletter, but you can get most of what he has to say for free as he is a frequent commentator in Asian media. The easiest way, I have found to keep track of some of these non US analyst is by using the wonderful service from Google Alert. Here is his latest take on the markets.

We had the dot.com boom 10-15 years ago and now we have seen a sort of resurgence in interest in technology, people are actually making money with the net business proposition, do you think it is here to stay?

Yes, I think so but I have to point out that I am not positive about technology from a fundamental or long-term point of view. I think what we have in the market is a strong group rotation at present and we have a lot of momentum playing.

The most attractive sector of the market right now, technically speaking, is the Nasdaq 100, which looks like it will break out on the upside and it is also the Index that has performed the poorest so far this year. So I would look at that as a trading opportunity. But as I said, I wouldn't now have a very high level of confidence in anything and that's why I am kind of standing on the sidelines for now.

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