Tue, 06.14.11 10:22pm EST
LANGE FINANCIAL SERVICES BRIEF UPDATE– JUNE 14, 2011 9:45PM
At the end of April, we anticipated a correction that could reach 5%. The correction that may well have ended this past Monday  reached about 7% before a late rally. This was followed by a sharp advance of some 123 Dow points on Tuesday. Bearishness reached a higher level than we expected as factors  that concurrently caused the soft patch were grossly exaggerated.
In our opinion we remain of the VIEW that a reversal of the factors that caused the soft patch will essentially be the rationale that will be credited for renewed economic strength in the second half of 2011 and carrying into 2012.
Further near term buoyancy is likely to be followed by a testing process of the recent low in the vicinity of DOW 11,850- 12,000 and a trading range overall. Thereafter, we anticipate significantly higher equity valuations. Some patience probably will be needed as this process unfolds However, within the testing process/trading range that we anticipate, there will be excellent trading/investment opportunities. The cornerstone of our trading/investment policy is to accumulate positions during periods of weakness establishing a good average price.
1] After six weeks of decline
2] Japan earthquake, weather, Libya, $4.00 gas, component shortages, Greece, CHINA slowdown