HERE WE GO. Dow up 190, down 176 the next day. 1 1/2% daily changes are emotion charged and are unhealthy for the market.
The Dow continues to lag the other benchmarks', although forward compensation on that front looks good. I'm looking for just a nice 20 or 30 point bump per day for a few weeks. We need to settle this upset Mr. Market in a hurry as we only have a few months left until "SELL IN MAY".
Not ready to 2X short gold yet. Stay away from any (benchmark) stock index ETF's right now. Opportunity to double down (see SDS) is coming. Patient, may be a few years yet. Double up (see SSO) is way gone. What can you make, a lousy 40% maximum? (That would be in a 20% DJIA increase to an all time high.)
WEBSITE HERE
Tuesday, March 8, 2011
Tuesday, February 1, 2011
Ad Infinitum We Hope-The 3 Ring Circus Comes to Town
Three's a charm.
1) As January goes so goes the year. Well we just had our best January in 14 years!
Dow +2.7%, Nasdaq +1.8%, S&P +2.3%.
2) The year after mid-term elections is a winner.
3) The 3rd. year of a President's term is a winner.
#2 or #3 is 70% of the time and the other is 90% of the time. Who cares which is which? So all of the stars are aligned.
Still, I have worries: The S&P is outpacing the Dow consistently. One day last week the S&P was actually the bigger points gainer. Weird! The norm is if the Dow is up 60 the S&P should be up like 6. So buy the Dow as undervalued? I just dunno.
Let's see, Pfizer outperformed expectations but was still down at the open today.
Nobody likes Big-Pharm I guess. I see now they are finally up today.
BP reinstates their dividend. Oh boy, 7 cents in the fourth quarter. And Bank of America never did away with theirs. A penny per quarter! Good news all around.
Jump back on those high yield bank stocks.
Let's wait and see.
Visit my website here
1) As January goes so goes the year. Well we just had our best January in 14 years!
Dow +2.7%, Nasdaq +1.8%, S&P +2.3%.
2) The year after mid-term elections is a winner.
3) The 3rd. year of a President's term is a winner.
#2 or #3 is 70% of the time and the other is 90% of the time. Who cares which is which? So all of the stars are aligned.
Still, I have worries: The S&P is outpacing the Dow consistently. One day last week the S&P was actually the bigger points gainer. Weird! The norm is if the Dow is up 60 the S&P should be up like 6. So buy the Dow as undervalued? I just dunno.
Let's see, Pfizer outperformed expectations but was still down at the open today.
Nobody likes Big-Pharm I guess. I see now they are finally up today.
BP reinstates their dividend. Oh boy, 7 cents in the fourth quarter. And Bank of America never did away with theirs. A penny per quarter! Good news all around.
Jump back on those high yield bank stocks.
Let's wait and see.
Visit my website here
Tuesday, January 25, 2011
Monday, January 24, 2011
Dow 12000, Eli's coming, and waiting for Godot
MIDDLE CLASS, if you are still there, since you have recently hinted at investing here are some thoughts.
Although I love American Funds management style they are cumbersome to manage in downturns. I would lean toward mutual fund companies which are no load and have only a few funds to choose from. Some that come to mind: Appleseed (1 fund), CGM (3 available), Amana (3), Fairholme (1 avail. under 25K). Obviously less funds are easier for management to concentrate on. Again, big companies like Fidelity and Vanguard, although no load, are cumbersome to manage. Mutual funds should only be looked at for their 10+ year performance for those under 40 years of age. You are buy and holders. Regarding mutual funds, you might consider a free 14 day trial with Morningstar Premium to see if you like it. I USE NO SUCH SERVICES.
I love big tobacco stocks (like Altria, practically a fund unto itself). Big dividends due to stigma. Investing is not ethics. Therefor I find large oil tanker stocks to be interesting, e.g. FRO, SFL. They are a necessary evil with big dividends (but extremely volatile obviously). I like the ever evil HAL to get into and out of occasionally. I rue selling MA at $65/share. The poisonous DD I sold too early. For safety I like prices of $15-$30/share with P/Es of 9-15 and dividends of 3%+. Analysts will throw all kinds of other criteria at you, but my formula is simple. All formulas get burned sometime. Unfortunately, this strategy will leave out mid-cap and small-cap (entrepreneurial) stocks which can have gigantic gains more often. They also go to zero value more often. I currently love Russian and Latin American ETFs. I prefer their smaller expenses over relative mutual funds.
Be aware that this rally can not hit full throttle minus reemployment. On the other hand, it's good to see the Dow gaining traction after being spanked by the S&P and Nasdaq so far in the recovery. Don't forget that the Nasdaq is already higher than at the height of the buying frenzy pre-recession (2007).
One final word: YOUARETOOLATE (Investing was timely at Dow 8500).
Visit my website here
Although I love American Funds management style they are cumbersome to manage in downturns. I would lean toward mutual fund companies which are no load and have only a few funds to choose from. Some that come to mind: Appleseed (1 fund), CGM (3 available), Amana (3), Fairholme (1 avail. under 25K). Obviously less funds are easier for management to concentrate on. Again, big companies like Fidelity and Vanguard, although no load, are cumbersome to manage. Mutual funds should only be looked at for their 10+ year performance for those under 40 years of age. You are buy and holders. Regarding mutual funds, you might consider a free 14 day trial with Morningstar Premium to see if you like it. I USE NO SUCH SERVICES.
I love big tobacco stocks (like Altria, practically a fund unto itself). Big dividends due to stigma. Investing is not ethics. Therefor I find large oil tanker stocks to be interesting, e.g. FRO, SFL. They are a necessary evil with big dividends (but extremely volatile obviously). I like the ever evil HAL to get into and out of occasionally. I rue selling MA at $65/share. The poisonous DD I sold too early. For safety I like prices of $15-$30/share with P/Es of 9-15 and dividends of 3%+. Analysts will throw all kinds of other criteria at you, but my formula is simple. All formulas get burned sometime. Unfortunately, this strategy will leave out mid-cap and small-cap (entrepreneurial) stocks which can have gigantic gains more often. They also go to zero value more often. I currently love Russian and Latin American ETFs. I prefer their smaller expenses over relative mutual funds.
Be aware that this rally can not hit full throttle minus reemployment. On the other hand, it's good to see the Dow gaining traction after being spanked by the S&P and Nasdaq so far in the recovery. Don't forget that the Nasdaq is already higher than at the height of the buying frenzy pre-recession (2007).
One final word: YOUARETOOLATE (Investing was timely at Dow 8500).
Visit my website here
Thursday, November 18, 2010
A Few Anti-Establishment Rants
1) I can't stop laughing. Did some of you folks who held the worthless "old" GM stock actually buy the "new" GM stock for the going price? Youz deserve what youz get. I know you are kidding and I can't stop laughing. I would have taken a shot at under $20 a share. Come on guys, I'd rather eat "Mickey D's" three times a day seven days a week. Who cares what form suicide comes in? Put all of the rest of your money in .05% money markets! Hey der ya go, safety net for the next Detroit bankruptcy party. Diversification complete. "Big D" won't even pay a dividend! A thousand year old growth company, hah. Go with Altria please. If you must take a bath, even Ford is a better choice. Same excellent 0% dividend!
2) This time circus rhymes with stalemate. That's o.k., Mr. Market loves stalemates.
Congress has no clue. I would just as soon see them in powdered wigs, sitting around saying harrumph and zzzz. At least it would be genuine, overt circus.
A middle class revolution should discourage over taxation and transaction fees. I don't like taxation without representation, which is what exists currently.
"...tax man's taken all I've got...all I've got's this sunny afternoon...", Kinks
visit my website here.
2) This time circus rhymes with stalemate. That's o.k., Mr. Market loves stalemates.
Congress has no clue. I would just as soon see them in powdered wigs, sitting around saying harrumph and zzzz. At least it would be genuine, overt circus.
A middle class revolution should discourage over taxation and transaction fees. I don't like taxation without representation, which is what exists currently.
"...tax man's taken all I've got...all I've got's this sunny afternoon...", Kinks
visit my website here.
Monday, May 10, 2010
"The I'm Apolitical But... Blues"
Warren Buffett ain't a Dem just 'cause he's a bleeding liberal. GW Bush made super sure that history shows better market returns during Democratic presidencies since 1901. Look it up per presidential term average return, per year average, I DON'T CARE WHAT CRITERIA.
His negative return did kick HHH's butt though. Look it all up 'rons! In all fairness,in the same family GHB has one of the best ever S&P returns. Yeah I know Reagan blah blah. (Obama ?stands? to have the best ever return.) Look at the historical (overall) invested middle-class America. Who America? We The People however, have no clue. Go "Teabaggers". It's even worse yet, since Republicans have 60 years of poopy returns since 1901 to 48 years of Dem presidency. So we have been overbalanced negative. Warren has a clue I fear.
WEBSITE
His negative return did kick HHH's butt though. Look it all up 'rons! In all fairness,in the same family GHB has one of the best ever S&P returns. Yeah I know Reagan blah blah. (Obama ?stands? to have the best ever return.) Look at the historical (overall) invested middle-class America. Who America? We The People however, have no clue. Go "Teabaggers". It's even worse yet, since Republicans have 60 years of poopy returns since 1901 to 48 years of Dem presidency. So we have been overbalanced negative. Warren has a clue I fear.
WEBSITE
Friday, May 7, 2010
After The "Fat Finger Trade" Debacle
A day after Procter & Gamble lost 40% and Accenture 100% in minutes (human error, ha ha) let me remind you: Day Trading Is Now Our Major Investment Platform. There are a couple of things going on, all precision aimed to keep the middle class out of the investment process. Oh well, you are too late already, by about 2000 Dow points. At least get out of the money market!
WEBSITE!
WEBSITE!
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