Jeff Immelt/CEO of GE

Prius of Power

The giant American conglomerate GE plans to open a hybrid -solar, wind, and natural gas - energy plant that can supply energy for 600,000 homes by 2115. “Imagination at work!”

Jobs, cleaner energy, no nukes – Bravo GE -Just where is this American company putting this energy plant?

Wait for it. Wait for it. Wait for it - ……………………………………………………… Turkey. Remember the head of GE, Jeff Immelt,  is also the head of Obama’s commission on fixing unemployment in the USA. Thanks Jeff. Great choice Barack

YOUR Comments

Yesterday, in the comments section of the blog you (JS, EW Paul & Popeye) had a lively debate (scroll down) on Germany and Unions. Also lots more on stocks.

Media Matters

The HUGE preponderance of scientific evidence supports human causation as a major factor in climate change.

Yet in the period from Dec. 201o to April 2011 76% of the appearances of guest were against human’s as a cause for climate change. This of course was led by the FOX news outlets.  In a contest of Scientific vs. Media saturation who wins?

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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	-0.18%	Flat
NASDQ	-0.97%	Up
S&P 500	-0.42%	Flat
Russell 2000	-1.19%	-

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.

Technicals, Fundamentals & Analysis

• The McClellan Oscillator (MO) chart fell to -63.83.  US Stocks are oversold. A “snapback” oversold rally is possible.

• MO did reach -90 in March and - 130 last May after the end of QE #1.

• Reading The Tea Leaves -There is a high probability that we will reach -90 to -130 on the MO this summer. Still holding to May 20th forecast for this summer.

_________________

Paul’s Corner

Oh The Pain and Agony!

This market keeps ticking off, and it’s extremely over sold, we should have a decent bounce any day now. Yup any day now! Any day now fer sure! Although volume was up yesterday we still haven’t had a high volume blow off of a day. OPEC didn’t help at all today and Bernanke’s comments Tuesday seem to have put a few nails in the coffin.

Market internals aren’t getting any better, the only  groups up bedside the VIX were the oils.  60% of the S&P 1500 stocks  are below their 200 DMA, that isn’t good. The MO summation index has turned decidedly down and the MO has more room to fall. SOXS the 3X bear Semi ETF was up 6.1% Wednesday.

The Finance Equity Reits were top  in the high demand search.

Fin-Equity Reit (12.00%, 12 securities)

• American Campus Communities (ACC)
• American Capital Agency Corp (AGNC
• Annaly Capital Management  I (NLY)
• AvalonBay Communities  Inc. (AVB)
• Camden Property Trust (CPT)
• Digital Realty Trust  Inc. (DLR)
• Dupont Fabros Technology  In (DFT)
• Equity Lifestyle Properties (ELS)
• Equity Residential (EQR)
• Public Storage (PSA)
• Simon Property Group  Inc. (SPG)
• Tanger Factory Outlet Center (SKT)

A lousy day and why not, a search for the best stocks under $10 as selected by HGSI:

• BDE
• BNA
• CERP
• IMOS
• CDTI
• CLFD
• FTLK
• GENE
• KKD
• MHLD
• MDF
• NR
• QPSA
• SQNM
• HCKT
• TWER
• WSTL

I have no idea if any of these woofers are worth buying, some have decent charts. You are on your own looking at these stocks.

So what’s the market going to do today, futures are up this morning, is this a new morning in America? Let’s load up Quote Tracker and find out………here we go folks another day of fun!

Remember, you are responsible for your investment decisions, and I am not.  Please do your diligence, and please take ownership for your actions.

___________________

Positions

Below – Investors411  hypothetical portfolio that should outperform the S&P 500.

SLV/AGQ (very roughly 2x silver) Sold 1/2 for +3% profit. Have a sell order in on balance for 3% loss. Considering selling into rally.

REMX - (Rare Earth metals) Investors has a 1/2 position in this ETF. Sold at/near open for 25.31 = -2% loss. Total for REMX trade = -1%

NLY - Annaly Capital Mgt. Ultra high dividend stock. Caution - NLY and similar stocks are going elliptical  in heavy volume – usually a sign of a climax run – simply put – so many buyers jump in that the stock runs out of buyers in the short term and takes a hit. We saw the same in silver a month or two ago. Another day of heavy buying would be a bearish short term sign. For NLY the 1.04% gain yesterday is HUGE.

IMAX – Imax Corp. (3D)  Sold at/near open for 35.65. -2% loss

TZA – (3 tomes short small cap stocks)

Bought 1/2 position in TZA (3x short small cap stocks) at 38.65 on Tuesday   Added another 1/2 position to TZA at 39.75 at/near open yesterday

Will consider adding another full TZA positions on a moderate market rally. Otherwise will add a 1/2 position in TZA on minor rally.

The US stock markets have stapled a message in the head of Fed Chair Ben Bernanke. - We are not going to buy until you give us more liquidity/stimulus.

The question becomes how low can you go?

Repeat - Therefore Strategy is clear -

• Short any rally - Investors411 will use TZA (3X short small cap stocks) and SDS (2x short S&P 500 more conservative) .
• Sell long positions into any rally -

Disclosure - I own SLV, NLY, & TZA -

_________________

The Fed has moved from an expanding money supply to a neutral – No QE #3. Congress is threatening to contract the money supply. “We [the USA]need to grow at this point more than anything else.” Investors411 outlook will remain negative on the USA unless the Fed and/or congress return to more pro growth policies.

_________________

Longer Term Outlook

Neutral/CAUTIOUSLY BEARISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING

ALL TRADING INVOLVES RISK AND POTENTIAL LOSS OF PRINCIPLE

Bada Bing

YOUR New Stock list gains almost +3% on the first day vs. a -0.16% loss for the S&P 500

Sorry abbreviated Investors411 today

Investors411 is gong on a Turkey time break to visit grandchildren and should be back next Tuesday. Meanwhile check out the POSITIONS section of the blog (scroll down) that has 3 recommended portfolios.

The YOUR Stock List is the most aggressive portfolio in the POSITIONS section and today’s results are NOT typical.

However the results of the last two YOUR Stock Lists are somewhat more realistic. Remember we could end up loosing especially if the S&P 500 turns to toast.

• Our first stock list went up @ +24% from 2/11 to 4/20 vs @ 11% for the S&P.
• Below is our second list that has gone up @ +26% from 8/4 to 11/5  vs.  @9% for S&P

US Stocks/Positions

Sorry limited time this AM – There’s a lot of “Lions Tigers & Bears Oh MY” (Wizard of Oz) In this case its bad news and scandals. Shadow banks like BAC & GS lost 3+% yesterday. North & South Korea exchanged fire, Ireland who adopted US style casino or “free market” capitalism are all for sale & START treaty in trouble.

Tightening stops on ETF’s. - The same advise given over the last week still holds true for the rest of this week.

Look for Paul R’s always enlightening comments on the market in the comment section of the blog.

Barr

PS – Yes Popeye I chuckled – See comments section of blog

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

-

Financial Reform

From high Frequency trading to opaque credit derivatives our financial system is broken. If we go forward with this over leveraged opaque system it would be like never fixing BP’s gusher in the Gulf. We have the Tea Party members who want virtually no government oversight to the Obama administration who keeps saying, “go softly, go softly.”

Dallas Fed Chair Richard Fisher is another whose is standing for reform.

Turkey/Israel/Gaza = Crisis

Turkey, has called for Israel to join all kinds of international inquiries into what happened. Ranging from a joint US/Israel/Turkey group to one set up by the UN. The Turkish foreign minister said, unless they accept “it shows, they have something to hide.”

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	-3.15%	up
NASDQ	-3.64%	up
S&P 500	-3.44%	up
Russell 2000	-5.00%	-

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

Technicals, Fundamentals & Analysis

The Bears Growled Friday. Major meltdown Friday in above average increased volume. (NASDQ volume less of an increase) = Bearish

Fundamentals behind meltdown-

• Less than expected in over hyped (by Obama administration) jobs report
• Hungary announces economic troubles
• The Big News is France“

Troubles in Europe again causing major currency shift – Euro falls and dollar to rises. = Bearish

Market Leader -AAPL - still haing in at 258 = Bullish

Technically – The area around 1040 on SPX (S&P 500) is the line in the sand. SPX now at 1065 – Beyond 1040 the Limbo Line breaks down.

Fearless Forecast Last Week – “Down Week“ Unhappily right

Fearless Forecast This Week - Down Week – See Tea Leaves section below – Basically investors fearful of more problems in Europe will have traders selling into rallies.  Partial success with Gulf spill, Central Banks propping up Euro, Government officials saying things aren’t so bad in Europe could give us an up week. But, traders will probably sell into rallies. Eventually, the Euro, China’s problems & casino capitalism will take its toll.

Significant Indexes

• McClellan Oscillator fell dramatically Friday to -30.48 [+60 or above = Overbought = sell. -60 or below = Oversold = buy]. StockCharts has a better version of the McClellan chart ($NYMO) LINK. –  & Investopedia on –  How the MO works. Momentum down/Bearish, but in not yet oversold = NEUTRAL
• US Dollar –  The dollar rose a massive +1.20% [Anything over +/- @0.50 is significant.] Mantra - right now The Dollar Rules is very important. Massive breakout to new high is bullish for dollar and for stocks = Bearish

Reading the Tea Leaves All those former communist countries of Eastern Europe who bought into the American capitalist “free market” over leveraged, shadow system starting with Hungary are in economic trouble. France has problems and together the Western and Eastern countries of Europe have a bigger GDP than the USA. More shoes will drop before this gets better.

Its no longer a question of if but when will these shoes drop. This week, next week, next month.

Positions

The  Positions Section = latest buys and sells  - These are positions I actually own – Updated over weekend.

Bought SDS (2x Short S&P 500) at 34.52 Friday. Will sell 1/2 for hopefully 5% profit. Have stop/loss at 34.52. Its contradictory, but willing to buy more in any large stock rally. (S&P rallies, this stock goes down)

Small remaining 1% positions in VCI & ESRX – Also considering selling into rally

Invetors411 main strategy remains wait for the McClellen Oscillator to fall below – 60 before going long.

Long Term Outlook = CAUTIOUSLY BEARISH

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

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Global Economic Monsters

• Over Leveraged Shadow Banks – Financial reform has fizzled in congress. (see a zillion past Investors411 for more) Short term – a shot in the arm for shadow institutions and their stocks. Long term - FDIC guarantees deposits of YOUR $ and they can still take any risk they want.  Bubble building casino capitalism, where gains are privatized and YOU socialize the risk.
• Debt Crisis – Europe Debt on the hot seat right now. Aussie’s Clarke and Dawe do a great job explaining this and their drop dead funny. Now add to this all the derivatives (over leveraging) placed on debt. First a bailout. Now central banks around the world are pouring $ into the Euro to stabilize it and keep dollar low.
• China Slowing Growth – A country can’t keep its GDP growing at 10% forever. Google [China, Slowing, Growth] and you’ll find story after story worried about a Chinese housing bubble or manufacturing decline. China’s #1 ETF – FXI This ETF used to outperform the S&P 500 by a wide margin. Now it underperforms. Investors $ are speaking and there is some cause for concern.
• BP/RIG/HAL Oil Spill – Major damage to these stocks and more importantly the environment. We all know its only just begun and yesterday was the start of hurricane season. 27% of America’s oil & 15% of our natural gas comes from the Gulf.
• “Supreme Leader,” “Great Leader,” ” Dear Leader” AKA Kim Jong-il –  You’ll never see a flotilla of Palestinian or any other peace activist off the shore of North Korea. (A double standard) Most repressive country on the planet, always confrontational and has nukes. Just committed an act of war by sinking South Korean naval ship.
• Mid East - Where to start? Iran, Afghanistan, Iraq etc. Current Crisis between Israel/Turkey does far more than put the $3 billion in “free” trade between these two democracies at risk. Terrorist through out the region are now in a stronger position and embolden because of this confrontation. Everything in the MidEast is oil/energy related.

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	+2.25%	down
NASDQ	-2.64%	flat
S&P 500	+2.58%	down
Russell 2000	+3.05%	-

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

Technicals, Fundamentals & Analysis

Significant Melt UP in light volume = Moderately Bullish

Obama and his administration seem to be dropping hints that Friday’s job numbers are going to be good. This was fundamental behind melt up. Buy the rumor & sell the news.

Volume did NOT confirm the price move. So what else is new. Volume, which is historically the #1 confirmation factor of a price move has NOT worked for many many moons. = Neutral

Massive amount of bad news – N. Korea, BP failed to plug oil, Israel/Turkey/Gaza, Euro debt crisis – yet we have a melt up. How markets react to news is our #2 (now #1) confirmation factor. Yesterday was a good price reaction despite bad news. The potential bad news is built into price right now = Bullish

MO has some positive momentum but in Neutral territory = NEUTRAL (NEUTRAL is all in CAPS because this right now is most important indicator.)

AAPL is the unofficial leader in this rally and the chart formed a T (see chart) yesterday in weak volume. Could be a top. Moderately Bearish

Expect Fed and other central banks to keep  propping up Euro.European markets at 6 week high.  = Bullish

Reading the tea Leaves – Historically, it difficult to see a follow through day after yesterday’s melt up in light volume. Baring an unforeseen incident – like Israeli’s killing more peace activists on ship heading to same area – it wouldn’t be a surprise to see a rally into the jobs number.

Significant Indexes

• McClellan Oscillator took a huge jump higher to -5.78 [+60 or above = Overbought = sell. -60 or below = Oversold = buy]. StockCharts has a better version of the McClellan chart ($NYMO)LINK. - This is NEUTRAL territory.  How the MO works.
• US Dollar –  The dollar fell -0.02% [Anything over +/- @0.50 is significant.] Mantra - right now The Dollar Rules is very important. Currency markets are now being directly manipulated by out Fed and other central banks. This manipulation to keep the Euro from falling. Chart shows at least 6 attempted breakouts above @87.5 have failed in last 2  1/2 weeks. = Bullish.

Positions

The  Positions Section = latest buys and sells  - These are positions I actually own

Have NOT had a chance to update this/last weeks trade.

EVVV was eliminated from YOUR stock list because company was bought – (Thanks to Paul R for info)

IMAX remaining shares sold near open at 17.02

Windows of opportunity to BUY and Sell -

The McClellen Oscillator (MO) is working well right now and +60 or above = Overbought = sell. -60 or below = Oversold = buy

This works best with the broad based ETF’s that mirror the major indexes or for those who can handle more risk ETF’s that do 2x or 3x what major indexes do like TYH that does 3X major tech stocks. Approaching or below -60 buy. The further the better.

Above +60 sell or go short with ETF’s that short major US indexes. Example SDS (2X short S&P 500)

One major reason I stated that there was a “decent trading” opportunity yesterday was the MO was at -50 or almost oversold. We had a low volume melt up.  One major reason the MO was not an investing opportunity was we were not below -60.

Mea Culpa = Hindsight is great = should have invested MORE when MO was between -60 & -130. If I had, I’d start to take a little profit right now

(Will continue analysis of MO later)

Long Term Outlook = CAUTIOUSLY BEARISH

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

What’s happened to the Change We Can Believe In?

Obama – “I was Wrong”

Obama has admitted he was wrong to trust BP in his mea culpa on the gulf oil disaster. He’s obviously also wrong to trust that shadow banks will act in the interest of the USA. Even Apple or Google (for all their good PR) bottom line is their profits. What we need is a regulator of regulations that prevent greed from running wild. (See Popeye’s comments)

So Obama – Do something and stop dithering. There is a myriad of choices besides correctly blaming BP/Transocean for the disaster.  Solutions from take them into temporary  receivership to adding a tax on gasoline to pay for the clean up. You could create hundreds of thousands of jobs hiring more people to clean up the mess.

Fed Manipulation of Currency

The admission that our Fed is manipulating the currency market is really no surprise. Investors411 has suggested this for weeks. What is a surprise is that the German Finance Minister Rainer Bruederle has openly admitted it.

Bottom Line is Bernanke manipulates currencies. This may be totally unconstitutional. Stabilization of the dollar/Euro relationship is in short term = Bullish

Turkey+Israel+Gaza = Crisis

Israel has boarded Turkish ships 80 miles from the coast in international waters. This was much publicized relief effort for Gaza. 9 protesters died including Turkish citizens. Some ships were taken to Israeli post. Turkey is a member of NATO who has very specific treaty obligations about “acts” committed against its members.  This includes treaty relationships with the USA. Reports “Total Rupture” of Turkey/Israeli relationship possible. Other ships on the way to same area. = Bearish

This situation is developing minute by minute Google “Turkey Israel” for more

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	-1.19%	down
NASDQ	-0.91%	down
S&P 500	-1.21%	down
Russell 2000	-1.33%	-

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

Technicals, Fundamentals & Analysis

Markets down in light pre holiday trading and news of lowered Spanish bond rating = Bearish

The admission that our Fed is manipulating the currency market is really no surprise. What is a surprise is that the German Finance Minister has openly admitted it. Stabilization of the dollar/Euro relationship is in short term =  Bullish

Fearless Forecast Last Week = “Down Week” Dow was down, NASDQ was up.

Fearless Forecast This Week – Fed manipulation of currency make a forecast almost impossible. North Korea, BP oil disaster, and now Israel/Turkey/Gaza makes for a lot of negatives = Down Week.

Significant Indexes

• McClellan Oscillator fell to -26.55 [+60 or above = Overbought = sell. -60 or below = Oversold = buy]. StockCharts has a better version of the McClellan chart ($NYMO)LINK. - This is in NEUTRAL territory, but we are now out of WAY oversold territory. How the MO works.
• US Dollar –  The dollar rose  a significant +0.54% [Anything over +/- @0.50 is significant.] Mantra - right now The Dollar Rules is very important. Currency markets are now being directly manipulated by out Fed and other central banks. This manipulation to keep the Euro from falling = Bullish.

Positions

The  Positions Section = latest buys and sells  - These are positions I actually own

Have NOT had a chance to update last weeks trade.

So far for YOUR stock List OSTK (Overstock.com) BIDU(China’s Google) & SAM (Sam Adams Beer) have all received at least three votes to be new stocks in YOUR stock list.  Last chance to submit  entries. Room for a couple more.

See Paul R’s insightful comments on SNDK and other stocks in comments section of blog.

.

Long Term Outlook = CAUTIOUSLY BEARISH

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING

More than Just Wall Street Horrors

Photo from SeekingAlpha.com

Wall Street

Let’s call it the Halloween Horrors (See analysis below under stocks)

Mideast

Afghanistan – The run off election process in Afghanistan has broken. The challenger Abdulla Abdulla has withdrawn from the process.  The UN, as well as most of the world, determined that the first election was corrupt. The current president refused to even change the head of the Afghan Election Commission who was in charge of the corrupted election so the Abdullah Abdullah resignation is understandable.  This leaves the obviously corrupt Karzi as the only candidate and the future partner of the USA.  Story from BBC LINK

Latest news on tube is that there will be no runoff election .

Pakistan The UN (development agencies) is pulling out of Tribal areas. Story from Pakistan’s Dawn newspaper LINK Hillary Clinton’s recent trip to Afghanistan reviewed by Pakistani newspapers – Reviews basically NOT favorable – “White Goddess Should Leave Pakistan ” LINK Deterioration in Pakistan continues and another massive terrorist bombing LINK

Turkey/Iran – This may come as a shocker, but Turkey, who is seeking NATO membership, seems to be taking a pro Iran stand when it comes to nuclear development. Al Jazeera story (Remember AJ has no reason to have a pro Iran bias – AJ is Arab & pro Sunni and Iran is Persians & pro Shia) LINK

Bottom Line – Nuclear weapons in the hands of terrorist is something no one wants.  But the more we try to nation build the worse it gets. Let’s accept noble prize winner Joe Stiglets estimate that so far our nation building has/will end up costing us almost $3 trillion.

• How much is it going to cost to turn tribal Afghanistan from an opium (heroin #1 economic product) to a viable state?
  
• How much is it going to cost us to maintain Iraq? Remember the Iraq government along with Hezbollah and Hamas was the first to recognize Ahmadinejad. The two main Shia religious leaders – Sistani, refuses to even speak with Americans and Sadr lives in Iran.
• How much is Pakistan – almost 3 times larger than Iraq & Afghanistan combined going to cost?
  

Crossroads moment for Obama – Adding more troops and nation building in the middle of the worst recession since the Great Depression. Can we afford the trillions it will cost? Wouldn’t it be better to economically help Pakistan more right now than have to nation build their later.

Jobs, Jobs, Jobs

The mantra for Investors411 is that job creation is going to be even slower this time than after any other recession. This recession is bigger and badder.  The new jobs from American companies are going to first be in countries with growing middle classes like India, China Brazil and smaller countries – Cheaper labor and you are closer to a growing market.

Nobel Prize winning economist Paul Krugman in today’s NYT offers a short term solution LINK

STOCKS

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

Index	Percentage %	Volume
Dow	-2.51%	up
NASDQ	-2.50%	up
S&P500	-2.81%	up
Russell2000	-3.01%	-

Investors411 record – 4 1/2 years of beating benchmark S&P 500

(see results for last 1/2 year – click  6/25 & scroll down)

• Brown = repeat statements
• Green = usually bullish statements
• Red = Usually bearish statements

Technicals, Fundamentals & Analysis

Volume the #1 historical confirmation factor is telling everyone - GET THE HELL OUT. However, the dollar still rules .

The Long Term Long Term Outlook is back to NEUTRAL As mentioned last Wednesday – When the Long Term Outlook is changed we often go back and forth for a while as stocks move above or below key support levels

A falling dollar helped stocks move higher under Bush and its doing the same under Obama . (Check out weekly stock charts of S&P 500 & The Dollar for last 5 years) This inverse relationship between stocks and the dollar was quite different before Bush. (more on this later)

Lots of major economic events this week – The Fed meets and October’s unemployment # comes out Thursday are the big events.

FEARLESS FORECAST -  I’ve never seen volume be so huge on the downside days and the markets not continue to fall.  However, right now the dollar rules. It looks like its resistance level for the dollar (see below) will hold. Still downside risk is growing.

Investors411 has taken profits on its (20% of portfolio) position in the SPX and short term TRADERS might want to take a little of some other positions off the table (FIX & EWZ) in a rally. – There is NOTHING wrong fundamentally with these ETF’s.  In fact, the BDI is bullish,

Fundamentally, long term I see the dollar falling and technically it looks as if the resistance level will hold. This is good for stocks in the short term – next  month or two.

I’d rather have some more cash to buy any possible major sell off.

Long term – Bearish on the US economically. The mess in the Mideast could deteriorate rapidly and the long term cost are astronomical, especially considering the deficit & the recession. We still have NOT changed the same unregulated “free market” system that caused the financial meltdown. Agree with Krugman on stimulus/unemployment. Think things will hold up till the dollar reaches the low it had under Bush or the Mideast erupts.

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Significant forecasting tools/Indexes for stock markets

(Besides #1 Volume & #2 Reaction to News)

BDI - The Baltic Dry Index measures the flow of goods by price (world trade) .

The BDI is @ 29% off its high (early June) Before that it gained almost over + 630% from its all time low of 663 in Dec. of 2008 (April 2009 high of 4291 )

The BDI rose a significant +90 points Friday and closed at 3103. . A higher high price on its chart pattern has been confirmed The BDI has rallied almost 900 points since late September. =  Bullish for stocks & world trade right now

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The Dollar is currently the #1 forecasting tool . It would be a wild guess to predict the daily moves of the dollar, but longer term fundamentals are clearly negative – the trend of a falling dollar should continue.

$USD - Check out the 6 month chart (to the left) or a multi year chart of the US dollar of the US dollar.

Mantra – Dollar up = US stocks down & Dollar down = US stocks up

US dollar rose a SIGNIFICANT +0.52% yesterday. The dollar closed at $76.36 .  

From yesterday – The next important resistance level for the dollar is the falling 50 day moving average (blue line on chart). This is at $76.74 this AM . So dollar is 0.40% away from major resistance. It’s the line in the sand – Best read of the tea leaves is that it will hold. In fact, Investors411 will add to some positions  as we get close to this resistance level.

Positions

The  Positions Section (top of blog) to see all the latest buys and sells

Friday – Going to sell some SPX-reasons – Free cash for other investments & take profits

Long term investors should realize that positions like EWZ & FXI are going to have more dramatic moves than American stocks.

AS ALWAYS DO YOUR OWN RESEARCH BEFORE INVESTING!