Day Trading Pro

If you’re like me, you’ve been waiting for a winner in the war
between the two competing, incompatible standards for high
definition DVD players.  I’ve had my HD LCD panel for a while,
and would love to watch hi-def DVDs on it.  But I didn’t want to
blow bucks on a format that might disappear soon (remember the
Sony Betamax VCR?).

The high definition DVD war is over.  The Blu-Ray format (from
Sony) won, after Toshiba gave up on their HD-DVD format.  So now
I can buy a hi-def DVD player with some confidence the format
will be supported for a while.  And the prices should start
dropping, right?

Wrong.  The reason that the standard DVD players became so
insanely inexpensive (like $25 at Best Buy) is that the
technology was licensed to manufacturers in China.  They churned
out millions of cheap players that soon glutted the market.

Don’t expect that to happen again very soon.  I read an interview
with a guy from Sony in the New York Times who said that they
aren’t licensing the technology to any factories in China now or
for the foreseeable future.  He said you can expect a slow
decline in prices (currently about $400 for a Sony player).
Maybe by Christmas 2009 you can snag a Blu-Ray DVD player for
$200.  As for me, I don’t think I can wait that long.  In fact,
I’ll probably have a Blu-Ray player in my laptop or PC before I
have one in my entertainment system. 

Finally, how has the end of the war affected Sony and Toshiba
stock prices?  Both peaked just after the war ended in late
February, and have been on a slow decline ever since. 

Happy trading,

Manny Backus

P.S. Find out the difference between the 3% of traders who make
munny consistently in the stock market and the rest at:

http://www.firsthourtrading.com/details.html