Oxford University

Science and Greatness

Quite simply the rise of western civilization came about through the rise of the  scientific method.

As Western civilization grew that knowledge and scientific methodology became institutionalized in the great European Universities and over the last century in the USA in such institutions as Harvard, Princeton, Stanford etc. As we nurtured both the institutions and the methodology the US leadership role expanded. Now  its in decline. Why?

  • Greed based Science - Major corporations to inure higher profits formed think tanks, lavished money on scientists, bought media networks an dominate those networks revenue streams. Example – At an earl age kids have repeated hypnotically that Captain Sugar must be consumed to become happy like all your favorite heroes.
  • Return to Religiosity - The scientific method  no longer takes a role but blind faith in a religious leader or concept becomes all consuming. Perhaps the best example is the science of evolution being challenged by creationism.
  • Direct assault on Science – Those who win Nobel Prizes and have attended institutions like Harvard or the Sorbonne are look down at an ridiculed as not like us or their ideas are dismissed because the come from “liberal” or “foreign” universities

It is no accident that these are the  three major groups in the Republican party.

  • The business wing that screams for no regulations of what they call the “free market” ( a term that should make you cringe every time you hear it). Everything should be run in the shadows without regulators to maximize the profits. Like 2008 – capitalize the gains for them  and socializes the risk for you.
  • The charismatic religious leader who through the use of fear predicts the end of the world or hell if his/her interpretation of events thousands of years ago is not followed.
  • The Mamma Grizzly’s, Tough Talking Trumps, and all the heroes of the Tea Partiers. They constantly remind us – Those who back science are elites and not like us common folks. Above all never compromise with your fellow Americans because they and the rest of the world are not like us.

Obviously many/most Democrats are held in rapture (a pun) of the Corporate oligarchy and cater to some of the other elements that denounce a scientific method. But its the far right that has changed what made us great. As we sink in the USA, not to worry, China, Japan, and so many other countries are valuing education and even our universities. They are the leaders of tomorrow.

_____________

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

_____________

Index Percentage Volume
Dow +1.03% Up
NASDQ +1.37% Up
S&P 500 +1.06% Up
Russell 2000 +1.44% -

_____________

.

Technicals, Fundamentals & Analysis

  • Absolutely horrible economic news (Consumer Confidence numbers, Case Shiller Housing Price Data & Chicago PMI) So, of course we had our typical big low volume rally. Bad news means the greater likelihood for more Fed liquidity after QE #2 closes on 6/30.  (NASDQ did have BIG above average volume – but I hesitate to put any significance behind it because it could mean that it had more Black Box/High Frequency Traders playing with some volatility))
  • The possibility of a second of a second Greek bailout helped to rally the Euro/sink the dollar = good for stocks.
  • UUP (the dollar ETF) still the index to watch.
  • How bad is our economy? – According to the huge bond market its in the toilet. On the right hand side of the blog is a link to “Treasury Bonds”  All of these bonds are packing low low low yields. =  These investors don’t see a hint of inflation or growth.
  • Reading The Tea LeavesFrom Last week – “Holding with short term prediction of oversold bounce and bears asserting themselves as we get closer to and beyond June 30th.” Last weeks prediction seems spot on.
  • More Tea Leaves-  Last month was the first negative one for the major US indexes. Also, the money supply into mutual funds sunk for the first time this year. There should be continued anxiety over the economy until the Fed demonstrates (as I believe it will) that it once again has our back with some form of managed/manipulated liquidity combined with extended low interest rates.
  • Investors411 has a NEUTRAL Longer Term Outlook through this period.
  • Short term - MO shows any rally will probably be at least a short term peak for most US stocks. Perhaps we’re already at a high for the week+

______________

Shorter Term Forecasting Indexes

There are hundreds of forecasting tools, – These two tools have worked

When they stop working Investors411 will use other Indexes

  • The Dollar (USD) [Any daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] Dollar fell yesterday -0.37%. A five day decline has placed the dollar below its 50 day moving average and that, of course, is bearish for the dollar. But for stocks  = Bullish
  • McClellan Index(MO) [The very rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks .] MO rose dramatically to  +38.36 Check out this link to the MO chart and you will see  since last September each time the MO has been unable to rise over +50. Very reasonable to assume rally will soon become overbought. We’re almost there.= Bearish/neutral

____________

Paul’s Corner

[Editor's Note - This was written Monday night]

The Second Day of Summer 2011

Friday finished nicely higher for many stocks, has the bull market resumed? In electronic trading Monday oil closed down, under the assumption of a slowing USD economy and debt in Europe. Many of the oil related stocks have done well these past few weeks, we’ll see what happens at 9:30 this morning.

So what moved Friday? Looking at my favorite search for stocks in high demand we see the following top groups. Stocks with decent charts in bold.

Health-Drugs (8.00%, 8 securities)

  • Amarin Corporation PLC (AMRN)
  • Forest Laboratories  Inc. (FRX)
  • Johnson & Johnson (JNJ)
  • Novartis AG (NVS)
  • Questcor Pharmaceuticals  In (QCOR)
  • Teva Pharmaceutical Industri (TEVA)
  • Valeant Pharmaceuticals Inte (VRX)
  • Watson Pharmaceuticals Inc. (WPI)

Chem-Fertilizer (6.00%, 6 securities)

  • Agrium Inc (AGU)
  • CF Industries Holdings  Inc. (CF)
  • LSB Industries  Inc. (LXU)
  • Mosaic Co (MOS)
  • Potash Corporation of Saskat (POT)
  • Sociedad Quimica Y Minera De (SQM)

Enrg-O&G Explor&Prod (6.00%, 6 securities)

  • Anadarko Petroleum Corp. (APC)
  • Brigham Exploration Company (BEXP)
  • Continental Resources  Inc. (CLR)
  • Occidental Petroleum Corpora (OXY)
  • Petrohawk Energy Corporation (HK)
  • Whiting Petroleum Corporatio (WLL)

Semiconductor-Mfg (4.00%, 4 securities)

  • Atmel Corporation (ATML)
  • Avago Technologies Limited (AVGO)
  • Broadcom Corporation (BRCM)
  • Cypress Semiconductor Corpor (CY)

For those of you who enjoy searching for your own stocks, here is a list of HGSI selected stocks with a “lower left to upper right” trending chart pattern. They all are growth stocks with good fundamentals.

AIMC,CEVA,CF,CMG,CDXS,CPX,CY,EMC,FFIV,GLNG,HWD,INFA,KMT,KEG,PTEN,SRI,TSLA,VMW

Stocks listed are for education and NOT a stock recommendation.  Remember, you are responsible for your investment decisions, and I am not.  Please do your diligence, and please take ownership for your actions because I’m sure not going to.

____________

Positions

SLV/AGQ (very roughly 2x silver) SLV is up over 5% since it was placed in hypothetical Investors411 portfolio. Often I take 1/2 the profits between 5 & 10% and let the rest ride. I’ve put a stop in at what the SLV was bought for.  Have reasonable confidence the speculative move behind silver is going to continue along with GLD (ETF for gold)

REMX – (Rare Earth metals) This hopefully long term holding had a almost a 10% move last week in light volume. Don’t know what this exactly means, but the light volume rally in both REMX & SLV is very similar to what has become norm for major indexes in the Fed managed/manipulated US stock market.

Anyone who used Investors411 #1 “buy the dip” of a bullish trending sector strategy on REMX has enjoyed the ride. (wish I had bought more) REMX had fallen below its 50 day moving average (see chart)

YOUR Stock List - Many of the stocks in YSL #4 have had a stellar run over the last 5/6 trading days. You can view the list by clicking on POSITIONS at the top of the blog and scrolling down.

Disclosure – I own both SLV & REMX

____________

Check out the advice, recommendations, analysis by bloggers on stocks,politics and trends in the comments section of the blog Many of the best concepts regarding YOUR Financial Future are discussed their. Watch for Paul’s Corner every Tuesday and Thursday

_________________

Longer Term Outlook

NEUTRAL

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

  • Share/Save/Bookmark