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YOUR Stock List

Stock list #4 is here.

Paul and I have finally finished. The first three “YOUR Stock Lists” clobbered the benchmark S&P 500. See POSITIONS section of blog for the new list and past results. (scroll down)

Although results will be tabulated from today to some point 1 to 3+ months in the future, the worst thing you could do is enter all positions at once. Investors411 has a “buy the dip” strategy for trending stocks. All chosen stocks are in a positive bullish trend. Here’s  a list (some of these points are repeated in the POSITION Section) of some relevant points.

  • A preferable time to enter  these stocks is when the MO is at or below -30 (see McClellan Index below) MO currently near zero, which is neutral.
  • Don’t chase stocks that are too far above their 17 & 50 DMA. How to judge this is to look at how high the stock got above its 50DMA (blue line on chart) in the past six months and if its near or above those levels don’t buy. The same for 17DMA (green line on chart) Some stocks are over extended now some are not.
  • The list of stocks is broad, but a bit heavy in technology.
  • This list should out perform in a bull market but could underperform in a bear market relative to S&P 500.
  • Its NOT a list of the top momentum growth stocks, but solid liquid growth stocks that have a diversity of proven bullish chart patterns and sectors. Its aggressive but, not too aggressive.
  • It seems the major factor behind stock manipulation (Fed’s quantitative easing) is coming to an abrupt end on June 30th. Investors will be front running the removal of liquidity. In other words the will get out of Dodge ( the stock market) before the event occurs. So the risk is far greater in this stock list than others.

Most of these 14 stocks were chosen/submitted by YOU or are from the past YSL #3. Paul & I added a couple. Paul R often makes comments on YSL in the comments section of the blog. You can look there for more in depth analysis and filters on YSL #4.

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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 -0.72% up
NASDQ -0.50% down
S&P 500 -0.74% up
Russell 2000 -0.47% -

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Technicals, Fundamentals & Analysis

Investors411 record - 6 years of beating benchmark S&P 500

BUBBLE-ICIOUS - Investors411 term for the stock market – We are all riding on the outside of an ever expanding &  Central Bank manipulated stock bubble. See Investors411 STRATEGY section for more

  • Some entity manipulated a save at the close as stocks managed to cut 1/2 the losses.
  • Even with oil crude oil rising another 2.50%, markets, thanks to the Fed tsunami of liquidity, fell only @0.50%
  • Risks Abound, But S&P 500 Up Trend Still in PlaceExcellent piece of analysis of our manipulated stock and other world markets by Richard Shaw
  • The dollar is one of Investors411′s Forecasting tools . Traders ‘Short’ Dollar as Currency Loses Attraction Therefore, this editorial from the Financial Times is especially relevant.

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Shorter Term Forecasting Indexes

  • The Dollar (USD) [Any daily price move over +/- 0.50 is significant. Dollar usually moves inversely to stocks] Dollar fell again. Its fallen 10 of last 14 days. This time -0.10% Friday . Oil prices now are by far the #1 forecasting index (see below) For stocks dollar short term trading pattern = Bullish
  • McClellan Index - (MO) [The very rough guideline is over +60 = overbought market = sell positions or short stocks, & -60 = oversold market = buy stocks .] MO fell to  +2.35Over the last three months the new parameters seems to be +/- 30 as an overbought/oversold level. MO Stocks outlook = Neutral

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Reading The Tea Leaves

From Friday – The McClellan Index has worked almost flawlessly over the past few months. Check out the chart above. Therefore, with the MO at+25, in the short term we are probably very near a top. Longer term trend is still with the bulls. – It was a short term top.

All eyes on oil prices. However manipulated US equities holding up pretty well despite higher oil prices.

I realize that many experts (who are far more experienced than me) see the markets moving lower. But, I still view the tsunami of liquidity provided by our Fed/Central Bank as being able to sustain the rally for now.  That’s been the case for months and I’m sticking with CAUTIOUSLY BULLISH till we have some technical evidence of stocks toasting.

Obviously as stated above its a bubble, but so far no clear sign that its about to burst. Declines can be swift and dramatic so be vigilant.

What to watch today

  • USO - ETF for oil - Oil up = stocks down
  • UUP(Tracking ETF for dollar) Clear 2 month pattern of bears ruling Remember - The dollar is a contrarian indicator. Bad dollar = good stocks
  • AAPLBounced off its 50 DMA support level. Back approaching new high

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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)(see comments section where all trades are first announced)

  • REMX (1/2 position, took 5+% profits already) Inched out to new two month high yesterday
  • RJA 1/2 position, took 5+% profits already)
  • UCO – 1/2 position, took 6+% profit already)
  • UWM Currently about a 2% gain

A 5% trailing stop today on both REMXRJA today.

5% trailing stop on UCO & UWM today.

Two active considerations today DGP & DBC.

One strategy of Investors411 is to take 5+% profits on 1/2 the position and let the rest ride.

Will post when I buy/sell in comments section of blog.

UCO -(2x oil prices) Why not, its also a hedge against higher gas prices.

REMX (Rare Earth ETF) - Really believe this a good long term holding.

DGP – (ETF is 2X gold) . Set to follow silver and approaching breakout. Broke out to new all time high and has started to pull back. Buy the dip to 17 DMA

DBC - (Commodities ETF) For a more complete list of commodity ETF’s see POSITIONS listed at top of blog  DBC is tilted to energy.  A good alternative would be DJP that is more agriculture and metals - Both DBC & DJP are on breakout runs. Buy the dip to 17 DMA

RJA (Agriculture commodities Index)An ETN, not an ETF. Hopefully longer term holding. .

UWM (2x small cap stocks) TNA (3X small cap stocks)

Mea CulpaBoth DGP & DBC are on breakout runs and should have been bought earlier. Investors was all talk and never pulled the trigger on the trade. An obvious mistake.

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

Longer Term Outlook - CAUTIOUSLY BULLISH

AS ALWAYS, DO YOUR OWN RESEARCH BEFORE INVESTING!

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