Bob Herbert- NYT

Jobs, Jobs Jobs

Agree with NYT’s Bob Herbert, “Obama’s Source of Trouble” is Jobs. The Obama administration from the start has underestimated the depth of this recession and its underlying causes. The end result – JOB LOSS in the USA.

Unfortunately, research on YOUR stock picks takes time, and I’ve run out.

KISS & Stocks (Keep It Simple Stupid)

If you don’t understand a term look in up at Investopedia.com dictionary

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

Index Percentage Volume
Dow -0.13% down
NASDQ +0.25% down
S&P 500 -0.02% down
Russell 2000- +0.16% -

Investors411 record – 5 years of beating benchmark S&P 500 and almost all major US indexes

Technicals, Fundamentals & Analysis

See PositionsStrategy , and Overview for changes made over weekend. (No changes this weekend)

Lightest trading day of the year.  Markets went no where.  Basically, this is a slight positive for bulls, because it means Friday’s rally held.

CSCO has some big announcement today – 11:00AM EST – Usually stocks run up before major announcements and investors sell the news.

NASDQ reached a new yearly high in weak volume. Think the benchmark S &P 500 has at least one more push to a new high this week or next. Then it should pull back. Longer term Outlook Cautiously Bullish.

Significant Indexes

  • McClellan Oscillator dropped a bit to +68.29 yesterday. We are still well above +60 or Overbought territory. StockCharts has a better version of the McClellan chart ($NYMO) LINK.
  • BDI – The Baltic Dry Index, which measures the cost of world trade (also a good indicator of how China is doing since they are huge exporters/importers) has exploded higher in the last few weeks = Bulls rule Yesterday the BDI, like stocks leveled off in front of a strong resistance level.
  • USDThe US Dollar has been range bound for about a month after moving significantly higher. Early Dec the dollar bottomed at $74+ and is now at $80+. There are some pluses and minuses to the strengthening dollar. For US stocks the fact that they and the dollar are near highs together is Bullish

Positions

The  Positions Section = latest buys and sells – (Revised positions last weekend) - These are positions I actually own

Since the McClellan Oscillator over +60, or overbought – buying right now is far more dangerous than when markets are oversold. I’m waiting till we get around +20 just to  nibble some more on some of  these stocks. Most stocks move with the overall markets. YOUR decision on when to trade is also based on how long you are going to hold the stock and YOUR level of risk.

If you are considering individual stocks I strongly urge you look at the charts and learn something about technical analysis.

NB -Last Week’s comments in black. This week’s violet. Charts underlined in Blue

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

  • CAAS volume confirming rally – A buy the dip stock. Ever since this stock was put on list it has gone up big time. A buy the dip stock
  • PCLN Breakout 5.22% move yesterday in good volume – A buy the dip stock Dipped last week and now in rally mode A buy the dip stock
  • F Breakout 5.71% yesterday in good volume – A buy the dip stock. Too over extended or above 50 day Moving Average.
  • IMAX Investors411 owns this stock – Broke out to new high. Up +8.16 yesterday. A buy the dip stock
  • CSCO, Slower steadier more for longer term investor. Like AAPL at new high this year. For longer term investor. A buy the dip stock
  • SHOO, A 4.02% breakout in good volume yesterday – A buy the dip stock – traded flat after breakoutin consolidation A buy the dip stock
  • ICON, Has formed a series of higher lows & higher highs – A buy the dip stock Broke out and is on run higher. Too over extended now.
  • VPRT Up +2.49% yesterday in what could be a breakout – A buy the dip stock – Did break out. A little overextended. A buy the dip stock
  • DGIT Thinly traded A buy the dip Consolidating A buy the dip stock
  • CTCT Building on higher highs and higher lows – Buy the dip Thinly traded but Good volume and another breakout A buy the dip stock
  • VCI Dipped and has made up most of that loss, but in weak volume Tempting, but risky Another breakout, over extended Tempting, but risky
  • CREE -  Too overextended to buy now - A buy the Dip stock Starting to Dip A buy the dip stock
  • SNDK. Overextended now but Buy the Dip stock Dipped then moved higher. Too over extended
  • VSH. On another breakout,but in weak volume and overextended -  Too risky. Consolidating and now looking better, a little over extended Tempting
  • HMINUp 4.02% yesterday in breakout, but weak volume. Too Risky Falling Too much downside volume

I like PCLN, VPRT, & SHOO because I understand what they do (buy their products), not because they are technically superior to the other stocks on this list. F (Ford) has just gone up too much. Personally, even though many of these are tempting, I’m waiting till conditions are more favorable to buy.

I would buy dips in IMAX. Thanks to two of you for reminding me they have their earnings report on the 11th. Alice in Wonderland has confirmed people will pay a premium for 3D movies.  With 3D TV’s already being sold and a 3D channel coming I think it clearly going to grow.

Bottom Line - Right now thinking more about selling (taking profits) than opening new positions because of short term over bought conditions.

Long Term Outlook = CAUTIOUSLY BULLISH

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

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