Circus promoter credited with phrase “There’s A Sucker Born Every Minute”

P.T. Barnum

2010 Trends

Lies

Investors411 exposed through the web site Politifacts.com just how many may outright “Pants on Fire” lies were told in 2010 politicians from all sides. This included the Whopper for the year – “That Government was going to take over health care.”

Pants on Fire!


The outstanding factor here is that the is almost NO accountability for those who tell the lies.

Of course, lying and politics has gone on for decades, but in the last few years it has been overwhelming. So for 2011 look for Lies, Deception, Smokescreens, fear mongeing to grow not only in politics, but economics, investing, and throughout the world.

The bastards know they can get away with it and this will grow in 2011.

Globalization

The impact of Globalization is felt from the lack of decent jobs in the USA to the exploding Jobs growth in emerging markets. A super rich plutocracy runs the show worldwide and governments (especially here in the USA) are becoming mere chess pieces on their boards.

This has long been the #1 economic trend that Investors411 follows. See link above.

Peak Oil

In reality this should NOT be just energy related be diminishing natural resources. This category includes everything from water to copper.  As, especially emerging markets, working classes become more wealthy the demand for raw materials will grow.

The shortage of material supplies will cause the planets ruling plutocracy to spread lies, fear, & deception so that they can gain these resources.

Hopefully, Investors411 has helped sift through distortion created by the crony capitalism of the ruling class. Remember -“There’s a sucker born every minute.

Since this blog is titled  Investors411 – tomorrow will focus on how to make $ from these mega trends.

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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!

DOUBLE CHECK ALL DATA, I MAKE MORE THAN GRAMMAR MISTAKES

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Index Percentage Volume
Dow -0.16% down
NASDQ +0.06% down
S&P 500 +0.06% down
Russell 2000 +0.43% -

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Technicals, Fundamentals & Analysis

Investors411 record – 5 years of beating benchmark S&P 500

  • Markets were flat except for small gains in small caps that continue to outperform other indexes. Volume abysmal
  • Yesterday’s bad China interest rate news barely dented stocks for an hour+ then they flatlined. = Bullish sign
  • Weak trading means two entities dominate High Frequency Traders and the Fed.
  • The Fed’s quantitative easing (OE1 & now QE2) is creating buyers and for over a year its juicing stocks.
  • East cost’s Snowmagedon will hurt post holiday sales, but retails seem quite happy with results
  • Nobel Prize winer Paul Krugman on the surge  higher in commodity prices

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Significant Shorter Term Forecasting Indexes

  • The Dollar (USD) [Anything daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] The dollar was down slightly  -0.14% yesterday. In consolidation pattern= Neutral
  • The Baltic Dry Index (BDI) [measures cost of world trade. Also proxy for China, emerging markets,&  exporting countries]BDI fell (but the rate of decline is decreasing) again -1.23% yesterday. BDI is at 1,773 and rapidly approaching its major support at 1700= Bearish
  • McClellan Index – (MO) [The very rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks.] rose a bit to +16.51Neutral

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Reading The Tea Leaves

Stocks yesterday absorbed the China news as if it were non existent. = Bullish

If the volume was abysmal yesterday,  history, predicts it will be even worse for the rest of the week This means the Fed juicing of the markets will dominate.

This money flows into the very liquid equities (those that trade the most shares) Major ETF’s & Stocks. Perhaps the major reason UWM has done so very well over the past month+ is because it a a great trading vehicle for for major institutions that benefit from the Fed’s “gifts.”

Mea Culpa – I thought the Chinese news would take a bigger bite out o stocks, So it sure looks ike for the rest of the week we’ll see a flat to up market with the same leaders – Small caps and commodities.

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Positions

The  Positions Section link to latest & former buys and sells  - These are positions I actually own

(I do manage 6 accounts that have other positions).

Current ETF Positions. (oldest held positions listed first)

  • #1 UWM - (2x small cap stocks ETF) – Sold 1/2  for +9% profit
  • #2 UWM
  • EUO – (double short the EURO currency) Bought Friday at 20.76

UCO (2X oil) had a breakout last week and a pull back yesterday – Will buy any slight dip, This could end up only being a 3/4 day trade if prices rocket higher, but hopefully longer term.

May also buy back into UWM or TYH for a very short term trade.

YSL (Your Stock List) has been hit by a sector rotation away from high growth stocks over the last few trading sessions. Hopefully this is a short term phenomena.

Look for Paul R’s always enlightening remarks on stocks and sectors in the comments section of the blog. See POSITION section of blog for lists of potential stocks & ETF’s including “YOUR Stock List.” (YSL)-

Longer Term Outlook - CAUTIOUSLY BULLISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

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