Investing is never a one-size-fits-all, but here are some areas of focus that investors may want to explore as 2011 comes to a close:
Fertilzers
PotashCorp (POT: TSX; POT: NYSE)
Utilities
Capital Power (CPX: TSX)
Golds
Goldcorp (G: TSX; GG: NYSE)
Consumer
Products Maple Leaf Foods (MFI: TSX)
Telecom
Telus (T: TSX)
Oil
Canadian Natural Resources (CNQ: TSX)
Wednesday, November 30, 2011
Wednesday, August 3, 2011
Wait to Buy After a Rally
I wanted to share this article from InvestorPlace:
Reflex rally will most likely be followed by a final low accompanying outstanding bargains
Aug 3, 2011, 1:43 am EDT
By Sam Collins, Chief Technical Analyst, InvestorPlace
For days investors have absorbed the uncertainty surrounding the debt limit as stocks tenaciously held within a trading range that has been in place for over eight months. Yesterday, after weeks of wrangling, the bill was finally passed and the uncertainty removed, but the Dow Jones Industrial Average had its worst day of the year, plunging 286 points on 1.25 billion shares on the NYSE.
Traders and investors alike wondered what had happened. The question is even more relevant in light of a decision by both Moody’s and S&P not to cut the AAA rating of U.S.government bonds, after warning earlier that they were seriously considering doing so.
From a technical perspective, the S&P 500 broke the support at 1,260 that has marked three previous lows as well its 200-day moving average. This is a serious development. But contrary to some services’ headlines, the S&P 500 did not complete a head-and-shoulders topping pattern yesterday.
Our readers will remember that several technicians were even warning of an ominous developing head-and-shoulders as early as two weeks ago. This is akin to shouting “fire” in a crowded theater. I don’t have the time today to discuss the topic further, but readers who would like to research it may do so by going back to the Daily Market Outlook of Jan. 14, 2011, and July 1, 2010, for a more complete discussion.
Briefly, the following points are lacking in the current formation: Left shoulder volume is not higher than right shoulder; left shoulder is also not higher than right shoulder; and finally the neckline has not yet been penetrated by more than 3%.
Note that the CBOE Volatility Index (VIX) failed to follow through with a new high although climbing 4.7%. This is an interesting development, which tells us that despite yesterday’s high volume sell-off, the public has probably not yet panicked enough to have made a stable bottom. As stated last week, it is likely that readings in the 30s and possibly even over 50 may happen before a bottom is reached.
The focus has shifted from the legislative and political arena to theUnited States, and world economic situations. Investors are advised to continue with the investment approach outlined several times over the last two weeks: Traders should enthusiastically trade the short side of the market, but investors should have completed their list of high-quality stocks that they would buy at certain “bargain” prices.
Our internal indicators are now grossly oversold, so a reflex rally is likely to occur this week. But the rally will most likely be followed by a final low accompanying outstanding bargains in the best of technology, retail and industrial stocks.
Reflex rally will most likely be followed by a final low accompanying outstanding bargains
Aug 3, 2011, 1:43 am EDT
By Sam Collins, Chief Technical Analyst, InvestorPlace
For days investors have absorbed the uncertainty surrounding the debt limit as stocks tenaciously held within a trading range that has been in place for over eight months. Yesterday, after weeks of wrangling, the bill was finally passed and the uncertainty removed, but the Dow Jones Industrial Average had its worst day of the year, plunging 286 points on 1.25 billion shares on the NYSE.
Traders and investors alike wondered what had happened. The question is even more relevant in light of a decision by both Moody’s and S&P not to cut the AAA rating of U.S.government bonds, after warning earlier that they were seriously considering doing so.
From a technical perspective, the S&P 500 broke the support at 1,260 that has marked three previous lows as well its 200-day moving average. This is a serious development. But contrary to some services’ headlines, the S&P 500 did not complete a head-and-shoulders topping pattern yesterday.
Our readers will remember that several technicians were even warning of an ominous developing head-and-shoulders as early as two weeks ago. This is akin to shouting “fire” in a crowded theater. I don’t have the time today to discuss the topic further, but readers who would like to research it may do so by going back to the Daily Market Outlook of Jan. 14, 2011, and July 1, 2010, for a more complete discussion.
Briefly, the following points are lacking in the current formation: Left shoulder volume is not higher than right shoulder; left shoulder is also not higher than right shoulder; and finally the neckline has not yet been penetrated by more than 3%.
Note that the CBOE Volatility Index (VIX) failed to follow through with a new high although climbing 4.7%. This is an interesting development, which tells us that despite yesterday’s high volume sell-off, the public has probably not yet panicked enough to have made a stable bottom. As stated last week, it is likely that readings in the 30s and possibly even over 50 may happen before a bottom is reached.
The focus has shifted from the legislative and political arena to theUnited States, and world economic situations. Investors are advised to continue with the investment approach outlined several times over the last two weeks: Traders should enthusiastically trade the short side of the market, but investors should have completed their list of high-quality stocks that they would buy at certain “bargain” prices.
Our internal indicators are now grossly oversold, so a reflex rally is likely to occur this week. But the rally will most likely be followed by a final low accompanying outstanding bargains in the best of technology, retail and industrial stocks.
Wednesday, July 27, 2011
MES Trade Notes
I purchased this stock at $21.73.
July 27, 2011. I added to my position. The stock is only down marginally at $21.14.
July 27, 2011. I added to my position. The stock is only down marginally at $21.14.
CDE Trade Notes
July 26, 2011. Added CDE to my portfolio at a price of $27.79. It recently broke through resistance, and it's 20 day moving average moved above the 50 day moving average. Looking to take profit at $34.
Friday, July 22, 2011
TEVA Trade Notes
Purchased TEVA at $48.97 early 2011. A long term buy (2+ years), looking to take profit at $100 per share perhaps by early 2013.
LNKD Trade Notes
Purchased LNKD at $102.65 per share. It's has since been underperforming. Watching closely to possibly close the position.
BIP Trade Notes
July 13, 2011. Purchased shares of BIP at $25.88, mainly for the generous 5% dividend.
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