Category Archives: etf

Downtime

In my last post, no, the one before that. I stated I’m getting out of playing with stocks. So far I have been able to stay clean for the past month. Trading is akin to gambling addiction.

In other news I saw a blurb of an article online stating that the old convention of having traders on the floor of one of the exchanges will be going away. I am surprised it didn’t go away sooner. The internet and technology has killed another set of jobs and we financed it. Soon enough with the development of what will be the next best thing to artificial intelligence we will all be out of a job. I stopped using automatic checkouts 2 years ago. If you replace low skill, low wage jobs with machines, what will the HS drop-outs have to do except lean on the system. Is that what we want? To replace people with machines, put them on public assistance and leave the burden of generating the money to a few? Smart people are stupid.

Reading an FT article today it appears the economy is not growing as much as it should be. People are not consuming as much as expected. Its in my opinion that the country is collectively emotionally depressed. In my opinion somewhat depressed people go out and buy food, drink, drugs or electronics to feel better. The severely depressed don’t leave their homes, they don’t go on dates, wash their cars, have dinner out, buy electronic gadgets,condoms, penicillin…. they don’t spend(if they have an income). The doom of the economic crisis, war, revolution, job security, government spying, erosion of civil liberties, celebrity deaths, everyday life and just plain bad news has sucked the mojo out of the people. We need some goos news, we need to get the peoples mojo going. YEAH BABY!! Unless this happens were going to see more angry depressed losers doing acts of violence to themselves and others. Get the low wage jobs back. Smash some of these computers. Give ore positive economic forecasts, and if you have nothing good to say shut up. Stop grabbing nuts at the airport so people can take trips and come here for vacation. Lets have some fun music like BeachBoys or bring back Disco. Get rid of sucky movies like Twilight, more movies like Airplane and Spaceballs. Cut out online dating and bring the hermits out of their houses and back into the economy. No more hermits, no more hermits, no more hermits……..

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The house wins when good men fail to act

It’s an understatement but I am timid to enter the market considering the last few months have been a race to the bottom.
Recent events an knowledge prompt me to sink myself deeper in. TECUA is Tecumseh who makes air conditioner compressors. This week there is a heat wave expected and speculators appear to have known this since last week Friday June 15th. I neglected to mention that I have lost about 15% of my holdings of TECUA in the previous 3 weeks, but a heat wave suggests to me I will recover. If it lasts I may more than break even. I am definitely a gambling addict.
In other news a conservative government has been elected in Greece today. Greece should get its own reality show. Anyways NBG the National Bank of Greece had about a 90% jump between 6/14/2012 and 6/15/2012 in anticipation of election outcomes. On 6/13 it was about $1.19 at end of day 6/15 it was $1.89. I wanted to get out of my chair and kick myself, but thats how the cookie crumbles. It’s like you have a rare encounter with a lady where you meet as strangers have a great exciting conversation and then leave without getting her phone number. While were talking, I actually got that amazing woman’s number but I still blew it, now shes married with kids and I’m still kicking myself. Now I’m confuse…..oh yes! NBG and TECUH should be scooped up on Monday, if anything is left. Dump NBG on Wednesday and TECUH you can follow the following chart to determine the peak:http://www.hpc.ncep.noaa.gov/heat_index_MAX.shtml.

Somebody is going to make a load of money, but you have to be in it to win it. Get in the game. Alas, it is better to have loved and lost that have lost money.

Very superstitious Part 2

Didn’t I tell you? If you read my post entitled “Very Superstitious” you would understand what happened in the markets today. I knew that if I spoke of oil rebounding, it would then fall. I should have kept my mouth shut, but I risked it for your entertainment.

Not 24 hours after I stated that the tensions with Iran would raise oil prices, a Iranian Navy ship helps an American commercial vessel to escape pirates. Now that public sentiment might turn(highly unlikely with the warmongering media) oil has fallen, after about 2 straight days of gain. When I say oil, I mean oil related etfs that I trade.

Watching BBC world news yesterday it appears Hugo Chaves is back in good health so the potential of him being ousted by the other guy is somewhat diminished. So there is still some fear out there, and enough to keep prices up there. Like I said previously Venezuela provides 11% of our oil. If the western leaning new guy in Venezuela even looks like he has a chance, oil companies will be licking their chops while investors loose their shirts with the new gained access to the reserves bringing prices down.

Looking at history we see that there is always war, because its profitable. In a world where the market has expanded to the point where there is nowhere to go, and all the money is less valuable, and EU nations shirk their agreements(Greece I’m talking about you), you have to start over. One way to start over is to just have a big war. Start from scratch, and that is how you make money. By building. so you spend money to destroy so you can make money on the rebuilding. The stock market is essentially a microcosm of the world, the universe even. Nothing goes to waste, things only change concentration.

Very superstitious

I saw Stevie Wonder on television the other day. He has a catchy a tune called “Superstitious.” That title sums up why I have been hesitant to post a new entry. It is understandable that I would be superstitious as any gambling addict would be.

I come from a environment where if you say things are getting better, you effectively just reversed whatever gains have been made by stating such. Better to keep it to yourself and don’t speak so soon. This would make it difficult to write a blog about investing. So ladies and gentlemen for tonights entertainment I will risk lucre and limb to tell you that oil will be going up again.

There is essentially one reason, that reason is Iran. The west will begin its sanctions in July of this year. Also, according to a Bloomberg article an Iranian official expected oil prices to double this summer. Just in time for the vacation season. Another observation I have made came from loosing 20% of my oil portfolio in the last month and seeing that loss reduced to around 15% in two days. Current trends persisting I will be even by this time next week. So if you are a fellow gambler and have something to wager, put it on domestic oil and hold until the first week of the embargo.

Frankly the embargo is a money making opportunity as the west will attack Iran, no matter what they do. The only events that could prevent oil from rising in July is if the debt ridden Euro-zone stops buying, or OPEC members decide to increase production. Oh! Also, Hugo Chaves is ill and the internet is buzzing about an opposition candidate. Venezuela provides something to the effect of 11% of our oil. So there you have it. Turmoil in Iran and Venezuela make it prime time to grab some cheap oil stocks.

Hey, if my superstition works the way it should, there will be no embargo, no war and no overthrow. A lot of lives will be saved.

Geeeet Ouuut

Did you ever see the episode of the Simpsons where the house dislikes the family so much it starts to say “geeet ouuut”. This is a spin off of the movie Amityville Horror. Correction, thats a spin off of the current market.
I am going to eat my own words, and advise you to get out. I lost a good hunk of change but is better than loosing it all. The fear-mongers were off on the timing but not on the concept. If you still want to stay in the game I suggest investing in Asia. Some growth can still be had there as the majority of the population lives in poverty but the government has a good amount of capital. Also Africa has a growing demand for goods and room to expand. All of a sudden we are interested in the human rights of the people of Africa because we realize if they are starving we can make private profit on farm goods through governmental food relief but we can also bring up the standard of living and sell luxuries. The money is made in the growth segment. Japan which is experiencing stagnation in almost every facet is not profitable. Focus on the BRIC nations but I would add Africa to that and take out Russia, and India. Basically stay as far away from Europe as possible.
There are a large number of Chinese stocks under $2 dollars that can make a good return. The small rebound in the market today depicted that some money can be made, but not in Europe or America. Unfortunately I did not have any Chinese stock in my possession, but after selling at a loss I expect to rebound by acquiring some Chinese stocks. I have yet to find an African stock, but I will find it, and there I will also find profit.
Its the basic premise that what goes up must come down. We have reached a pinnacle of sorts on the level of Japan. All the roads are done, all the sewers, all the water, how many municipal busy-work jobs can the nation afford. Also how can businesses afford to pay/keep people at living wages, when buying a $30k every few years is considered just getting by. In developing nations, there is greater profit margin and thats the bottom line.
I’m a patriot. When I make a profit investing in China, I will spend it locally. Its a little more complicated but I wanted to end on a positive note.

Drinking the Kool-Aid

You may be surprised but I would like you to know that I actually have a conscience, morals even.
If you have been alive the past few days(no offence to the life impaired) you have been hearing about a shooting of a young man in Florida by another man. This occurrence has been bigger in my opinion than the Oscars, the Emmys, and the Superbowl. Don’t hold me to that proclamation until I produce some screenshots from Google Trends.
Since the republican political campaigns have began a lot of extra fear mongering has been swirling around the collective American conscience. Expectedly gun sales have multiplied their shares exponentially. If I was a gambling man, and I am I would have taken…maybe 80% of my life savings and bought gun related shares. I would have made pay-dirt. Unfortunately for me, I have this little ringing in my ear, I hears its called conscience. I don’t think dead people are sexy no matter what Ozzie or Marylyn say. Can’t seen to stop the ringing in my ear.
Anyways let me get back to my portfolio of advertising, financials and home builders(Chinese). Last week the whole thing fell apart. I lost approximately 7% of my portfolio’s value during the course of last week. Thanks to my Chinese home builder stocks, this week that was cut down to approximately 5%. It is said freedom requires constant vigilance but I say profit requires constant portfolio surveillance. There was a 4 hour window today where one of my stock IOT rose by about 20 cents, then fell about 30. Fortunately, I cashed out within that window on both Chinese homebuilder stocks. My domestic advertising company stocks didn’t do so well so I will hold until the Spring shopping season begins, so probably within the next 2 weeks. Advertising is a constant in business, matter of fact it is the driving force behind the internet aside from pornography. I am down 5% but I have confidence advertising will follow its sinosodial/seasonal behavior.
Now for some dangerous indulgence, I still want to acquire Fuel Cell Energy and Truvia stocks. I’m into technology but most conventional tech stocks. I explained the two companies in my last post. Trust me its tre-cool.
Before I go. I saw an article on Bloomberg today stating that construction shrunk. This is a perfect opportunity to buy construction/home improvement stock. The summer will be here and the government has just allowed the banks to rent all those foreclosed properties. Before you can rent a property it must satisfy certain safety conditions….. you see where I’m going here.
Still make sure to do your research. All the stocks I acquired last week were at the lowest of what I hope to be a seasonal inflection point. All less than $2, with the best performing being closes to $1.
That’s it for now.

Doom and gloom

What does the word gloom mean anyways. Sounds like fun to me. Gloom sounds like glow or glee. Anyways The stock market went bunji jumping this week. I didn’t buy on Monday as the’re was no good news. I didn’t buy on Tuesday because that wasn’t any better. I bought on Wednesday and by evening I was doing well. On Thursday I was kicking myself. Now today, Friday I am still kicking myself. I decided to buy on Wednesday while the two financial heads of the whole country were in a rare occasion together testifying before congress, causing everyone to run for them there hills. I failed to keep up to date on current events. If I knew those two were going to be speaking I would have waited until Thursday or even next week.

Other than Heckle and Jekyl speaking before Congress, the writers at Bloomberg used their influence to cloud men’s minds. One hour they said the housing market is down. Then the housing market eh, not so bad. Then its terrible. Then is great. I couldn’t make heads or tails of it. Bloomberg has to do better as one of the favored sources for financial news.

At the end of the day, I have no one to blame. I should have known Geitner and Bernanke would be speaking. I stepped out of my energy comfort zone this week and played with: CHLN, IOT, PEIX, ROIAK, VVTV. A mix of advertising, energy and housing(in China). Next week if things turn around I have a strong interest in GLGL and FCEL. The former is a producer of a natural sweetener that diabetics can use, the latter a Connecticut maker of fuel cells that run on gas(tre cool).

There is still some lucrative news. Israel has determined they can strike Iran without much blowback. I paid $4.05 for gas yesterday so I will probably revisit my domestic oil drilling companies WRES, GBR and PSTR. With sanctions getting tighter and the dogs of war rabidly foaming at the mouth, domestic fuel producers will get a lot of interest. See you at the crap table.

It’s Alive!

My Frankenstien masterpiece of a strategy actually went as planned. The universe has aligned and all is well. Made a bit on BPOP, and just broke even on PEIX. Oil is rallying and with that ethanol, the petroleum additive. Didn’t expect a rebound it this soon, but I;m not complaining. All the hubub about Iran is forgotten. NetanYoohoo went back to making chocolate milk, or whatever he does and were now distracted by the other war, the “good war” that recently ended.
Now I must analyze the headlines and determine a pick for Monday/Tuesday. Tuesday seems a better day to get an idea of how things will be going for the rest of the week. The relative inactivity of the stock market during the weekend gives investors a Monday morning hangover of sorts. They need a extra day just to get their bearings together. Sunday/Monday make some picks. Tuesday make some acquisitions. If this go well out by Thursday/Friday. Thats relatively a long time compared to day traders but I an still learning. The Izombies got their fix this Friday so I expect sellers of I-related apps. services and products to make some revenue this week. Now to determine who those entities are.

And the band played on

I think it was a song reference or some kind of reference from the Titanic. Either way you get the drift. Though the DOW and the value of gold fell yesterday(Feb 29th 2012) today things bounced back. Just like the band I stuck it in there and went down with the ship. That was yesterday. Today things rebounded somewhat. This just proves my thoery of riding the wave in the bad time. Fortunately people ignored Ben Bernanke’s rantings and acknowledged him as the groundhog he is. soon enough he will go back to whatever he does during the day, like play golf or meticulously trim his Freud-style beard, who knows.

If tends continue PSTR, WRES and LOAN will regain the glory of last week. I originally intended to hold them for 4 days but I wasnt paying enough attention to the news. I didn’t see Ben coming, didn’t hear any announcements that a hearing was scheduled. He doesn’t deserve all the blame, PSTR and WRES were wobbling a little before he spoke. Too many celebrities and public figures passed away this week, overshadowing the cost of gas. So the panic diminished and  there is a collective mourning going on now, which is understandable. It makes you consider your own mortality and that of your loved ones. Soon spending will resume, and record companies will be profiting form the royalties and licensing of artists they had severed ties with years ago. I went off on a tangent.

The Fed chairman in my opinion had good news. Though he did not announce another QE, I didn’t hear of an expected raise in interest rates. So now money is still cheap. Considering the idiom that money makes money its still prime time to make money using cheap money. What more do you want? Low interest rates should be good enough for everyone.

The only thing that may cause some short term disturbance are  the depressed Wall Street peoples whose bonuses were diminished this year. They might not be so risky now that they don’t have that bonus to rely on for that planned  trip or home improvement. I don’t want sad investors out there. The happier they are the more risks they take and the more responsive they are to the butterfly effect of the consumer flapping its wings.  I want to tell them “dont worry about a thing…every little things gonna be alright,” just ride the wave.

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Stock Picks for February 27 2012

Everyone is ranting and raving about a pending increase in the price of gasoline. Even those of us that do not own vehicles. This frenzy has caused the hawks to swarm in. Before the bubble pops, and while the fear is fresh its time to invest. Wisely. Recent foreign policy decisions have come back to bite us in the nether regions. But just because politicians appear foolish doesn’t mean they are. The more enemies we create the more chance there is to make money. Now let me cut straight to it. For the week of Monday February 27th the following stock are smart to hold until Friday. GBR, WRES, PSTR. All are related to domestic crude oil exploration. Now that we are not friends with certain nations it will be the responsibility of domestic oil companies to provide the black gold. Al the aformentioned stocks are below $5 and since the news of gas price increases have increased as much as 64%!!! This may or may not last but another week of panic should be a safe bet. So if you can afford it get a lot of these, hold until Thursday or Friday and dump them. There both hovering around $4. Dont expect to get to $5 in a week. Make 10 to 20 cents and get out. If your a person that likes to skydive and bunji jump maybe you hold out for 35 or 40 cents.

See the performance of the aformentoned stocks on Google Finance.

See the state of mind of the consumers(investors also) on Google Trends.


For a summary of how I make my stock picks see the about page
HERE.