Archie Bunker

Welcome To The Resistance

Our weapons are words and Investors411 not only stands for free, transparent rules based capitalism, it has a proven record of outperforming the benchmark S&P 500

So many of you, after an elections that the shadow forces of casino capitalism won, may feel like Archie Bunker in this video from All in the Family TV series. Younglings, may not remember this show but Grey beards do. Carroll O’Conner is a gifted comedian and even you will laugh over take on suicide. (Thanks to HG for heads up on video)

Back when The Iraq war started Investors411 warned (then Market Updates) that it would lead to endless war, cost trillions of dollars, sink the US into massive debt, cost 10′s of thousands of lives, create terrorism, embolden enemies, and do nothing about catching Osama Been Forgotten or finding WMD’s.

That was then and this is now so let’s feature perhaps the resistance’s best hope for change – Elizabeth Warren.

The following outline of warnings about the shadow financials and what they were doing to the USA comes primarily from a 2008 an interview of her & Arianna Huffington on CNBC’s Squawk Box

For 50 years after the Great Depression America had financial security and prosperity because FDR & congress put in regulators and laws to protect us from financial meltdowns. 50 years of prosperity. Then came the warnings as those financial reulations were eliminated.

  • Savings and Loans Crisis – 750 banks collapse because of poor management
  • Long Term Capital Management Crisis – Problems are worldwide
  • Enron – The financial books are Dirty. How much louder and public can you get?
  • Then came the the 2008 financial meltdown – $20 trillion in wealth lost worldwide.

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 -0.33% down
NASDQ +0.04% down
S&P -0.21% down
Russell 2000 +0.02% -

Technicals, Fundamentals & Analysis

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

US Stock Markets -

Flat day in light volume for US stocks.

This is quite remarkable since the dollar had another significant rise and stock by many measures (except our MO) are overbought.

Shadow banks even stopped moving higher and the markets held up Obviously after the election the major shadow banks have the gift of opaque accounting, ability to borrow from the Fed for nothing, the support of the Obama administration and greater support from Republicans = No significant reforms and everything possible to crush any cops they may send out there to enforce transparency. See BAC or GS

Flat market in overbought conditions plus two day dollar rally = Bullish

The High Frequency Trader want to push this market higher.

Remember the back door stimulus the Fed uses POMO Shhhhh, Well another $6 billion quietly went into the economy yesterday.

Significant Indexes

  • The Dollar (USD) [Anything daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] The dollar rose a significant +0.57% yesterday. Dollar broke its support level last week, but yesterday it broke back up through that resistance level. So just lie that the trend for stocks = Neutral
  • The Baltic Dry Index (BDI) [measures cost of world trade. Also proxy for China, emerging markets,&  exporting countries]Fell  -0.52% yesterday. BDI now consolidating after bull run that began in June. The BDI has been overshadowed by the dollar moves. Sitting directly above major support. Longer term Pattern starting to look bearish but the bears are not charging.= Bearish/NEUTRAL
  • McClellan Index – (MO) [The rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks.] Fell to +21.611% yesterday. Slightly elevated but back to = NEUTRAL

Reading Tea Leaves.

Mea Culpa - I looked for more of a correction yesterday, but the sideways movement despite the many negatives (see above) indicates that the bulls are still in control

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)

  • EWS (Singapore)
  • SSO (2x what S&P does) Sold  last 1/2 (originally purchased 9/20 at @ 39) at 45.29 +16% gain
  • EEM (emerging Markets) Have stop on 1/2 of position at what it was bought for.
  • TYH (3X tech stocks) Sold last 1/2 (recently purchased last week at @ 41.3) at 44.62 +8 gain
  • DGP (2x gold) Have 3% trailing stop on 1/2 this position.

Plan to use TYH and SSO, plus other leveraged ETF’s on dips in future. It looks like a mistake to let them go to soon since bulls are in control of this market. But, no one went broke taking profits.

Yes as Paul announced in comments section Investors will be revising YOUR Stock List.

The first two have clobbered the benchmark S&P 500. So for now we are looking for YOUR ideas. Choose a few stocks that you like and send them into me. If two of you send in the same stock it will get special consideration. Paul & I will go over the list and meld it to some of the stocks from the old list. Here are two rules.

  • The 50 day moving average must be moving up. That’s the blue line if you are using Stockcharts
  • No thinly traded stocks. Absolute minimum $2.5 million dollars worth of this stocks traded each day.  (example over 5000,000 shares traded and worth $5) Over $5 million is preferable. Smaller stocks are too easy manipulated by major players.

YOU MAKE THE DIFFERENCE, SO SEND IN A COUPLE STOCKS AND TOGETHER WE WILL ALL MAKE MONEY.

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.”

Longer Term Outlook - CAUTIOUSLY BULLISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

  • Share/Save/Bookmark