Tuesday, September 30, 2008

Bail-Out Proof Your Stock Portfolio Starts Now

Take control of your stock investments and trades, and not worry about whether its a bail-out or a buy-out. Level the trading "playing field" for your stock portfolio in 20 minutes a day and 'recession-proof' yourself from this liquidity credit crunch market right now.

Here's what's up

In the past 2 weeks, nearl 100,000 traders have bombarded a special, "insiders" stock trading website.

You might even call it an "underground" website because everything it exposes challenges what 95% of all traders have held to be true for years.

It basically DEMOLISHES the post-WWII model of "investing" and gives you a step-by-step path toward making your trading "recession-proof".

If that sounds interesting, then keep reading to discover how TODAY.

These Traders "Got It" - Will You?

So in just the past 24 hours, hundreds of traders already got their hands on what HISTORY will likely call a turning point in stock trading.

I'm talking about a truly groundbreaking, 4-pronged approach to trading the stock market that takes less than 20 minutes a night (hint: it's NOT day trading).

I was lucky enough to get my hands on a preview copy of this technique a few weeks ago and I'm absolutely floored by what's being revealed in this limited-edition trading course.

CAUTION: This is NOT for "systems junkies", or individuals who like to let others make their trading decisions.

But it IS for traders who like to have FULL CONTROL of their destiny in the markets.

A Handful More "Get It" - But it may be too late.

The 30+ year trading veteran who's "spilling the beans" on his totally unique twist on the stock market is only releasing 950 copies of his course that has the power to
help you spot profit potential like never before.

So if you want to:

Vanquish the pressure, strain, and stress normally associated with stock trading...

Maximize your "profit potential" by using 4 different methods SYNERGISTICALLY to spot as many market moves as possible (again & again).

Dramatically reduce your "time in the trenches" by spending less than 20 minutes a night trading only the highest probability stocks.

Practically "rub out" account-crippling losses with simple yet profound risk management strategies only a few select traders are using. It's like having a stock trading "risk shield" so you're protected at all times . . . then check out the open letter the developer of this breakthrough trading approach put together for you:

Good safe trading investing these days!

P.S. I've seen this developer's trading courses disappear in a matter of days in the past, and it's a near certainty it will happen again, so IF YOU VALUE YOUR TIME, I really urge you to, check out his letter here, and then ask yourself how what he has to say stacks up against how YOU currently trade:

Monday, September 29, 2008

Weekly Stock Pick

Scanning the stock charts after the last two weeks bloody nightmare with the liquidity crisis, I’m amazed the US Market hasn’t taken a big crash already. Maybe it’s, buy on the rumor and sell on the news environment setting up. Any which way, stay focused, and have a plan before you take new positions.

This week my stock scans have highlighted a diversified electronics industry giant as a buy candidate. In the long term, this buy position has a very good reward risk ratio to it. Short term, it could take a little more selling before it finds longer term support.

Buy Long Tyco International. Ticker TYC

Entry: Buy 36.84 to 35.29

Stop-Loss: 33.50

Take Profit Areas

39.68 to 41.10.

47.30 to 53.28

50.44 to 53.28

63.74 to 67.32

78.07 to 82.45

With General Electric, Honeywell, and United Technologies all being two to four times larger than TYCO, with GE being larger at 15 times capitalization, TYCO may have a growth advantage right now, and shares could rise on increased operating margins, stock buy backs, and capturing more global market share. Tyco Electronics has recently sold off its low profit margin businesses, did a $1 billion stock buy-back, and is concentrated on the profitable automotive and industrial markets in Asia, Europe and the United States, of which each amount for about one-third of their sales. Tyco’s automotive business is receiving a boost from increasing demand for automobiles outside the United States, most notably in China India, and the rest of Asia.

Some other analysts are looking for 50% price rise in TYCO in the next 18 months. Fitch Ratings is saying that Tyco Electronics may generate $500 million to $1 billion of annual free Cashflow this year. Tyco Electronics shares are currently trading at about 9 times’s anticipated 2009 profit of $2.91 per share. Also, Tyco is increasing its quarterly dividend to 33% or $0.20 per share with a 1.98% yield.

TYCO Company Profile

Tyco International Limited (Tyco) is a diversified, global company that provides products and services to customers. The segments are ADT Worldwide, Fire Protection Services, Flow Control, Safety Products, and Electrical and Metal Products. ADT Worldwide designs, sells, installs, services and monitors electronic security systems to residential, commercial, industrial and governmental customers. Fire Protection Services designs, sells, installs and services fire detection and fire suppression systems to commercial, industrial and governmental customers. Flow Control designs, manufactures, sells and services valves, pipes, fittings, valve automation and heat tracing products. Safety Products designs, manufactures and sells fire protection, security and life safety products. Electrical and Metal Products designs, manufactures and sells steel tubing and pipe products, as well as cable products. In March 2008, the Company sold its subsidiary, Nippon Dry-Chemical Co. Ltd.

Click here to review and Trial the Trading Software I used in determining my buy long position on TYC.

Stock Chart TYC

Thursday, September 25, 2008

Market Mastery Free Copy

As you probably know by now, next week is going to be a turning point in the stock trading community when a brand new course hits the market that will show you how to claim back your life as you discover how to prosper in the stock market in less than
20 minutes a day, REGARDLESS of what the economy is doing. And YOU can get the very FIRST copy from the printers before anyone else even has a chance to.

How?

The developer of the course is going to GIVE AWAY one copy this Saturday evening, September 27th. That's 3 days before it even hits the market. He's even covering shipping & handling to anywhere in the world.

Want in on the action? Just go here:

Good luck & good trading,

P.S. The deadline for entering the giveaway is September 27th at 4pm Eastern time, Saturday. So don't dawdle if you want your complimentary course ;-) Here's how to get it:

Wednesday, September 24, 2008

Be One of the Few The Government Hasn't Fooled

Prechter’s FREE 10-Page Market Letter: Be One of the Few the Government Hasn’t Fooled

Elliott Wave International, the world’s largest market forecasting firm, has just released Bob Prechter’s 10-page market letter, FREE!

Wall Street Legend and best-selling author Bob Prechter reveals 28 answers to questions you may not know to ask and the government definitely doesn’t want you to know.

You’ll read blunt commentary and sharp analysis that reveals the truth about what’s really going on in the U.S. financial markets, in Congress, and at your very own bank.

As the U.S. government pulls a sleight-of-hand trick on the unsuspecting public, you can break the cycle of misinformation by reading this 10-page report.

Click Here to Get Your Free Report

Warning: Prechter’s answers to these questions may shock you.

Who does the government consider to be homeowners: you and your neighbors, or the banks that hold the deeds?

Who really benefits when the government props up Fannie Mae and Freddie Mac, and what's the fraud behind the idea of “too important” to fail?

Who really endorsed the emergency Housing Act – and who will be hurt by it?

What impact did the so-called “stimulus package” have on the U.S. economy?

Can the Fed keep making loans to banks forever?

Is it actually against the law in some states to warn people of potentially dangerous banks?

In an economic depression, will pension funds keep most retired Americans afloat?

And many more!

Don’t wait! Get this free report that readers are calling “a wake up call to lots of Americans.”

Click Here to Get Your Free Report

Tuesday, September 23, 2008

Free Market Mastery Protege Program

Click here for a sweet 'insiders' trading surprise for you.

Next week, on Tuesday, September 30th, there's going to be a bit of a 'shake up' in the trading community.

Why do I say that?

Because I was privileged to hold in my hands a preview copy of what will probably be considered one of the best stock trading courses ever released to the public.

Everything about it is first class, and easy to understand.

I'll have more information to send you on September 30th, but for now I've been granted special permission to give you private access to a Members Website Preview so you can get "up close & personal" with this trading course before the rest of the
community gets a chance to.

You see, the author of the course is only releasing 950 copies from September 30th to October 7th... but here's the problem: He already has 25,000+ traders interested in it. So he just doesn't have enough inventory to go around.

That's why he's letting me give you complimentary access to his Members Website Preview, but only until September 30th.

Worried About The Economy? You Should Be! Click Here and Use This.

He wants to weed out the "tire kickers" so that only the traders who are truly serious about discovering how to PROSPER in today's economy by trading the stock market in LESS THAN 20 MINUTE A NIGHT can get a copy of the course.

(You'll see how it's possible by using his 4, synergistic, step-by-step methods... complete with 'trading blueprints' to make it ultra-easy.)

Here are just a few of the goodies you'll get on the preview site, beginning TODAY:

Total access to his PROFIT FEEDER service where you can get daily lists of the stocks that have met his rigorous trade alert criteria. In fact, these are stocks that have a high probability of entering into potentially profitable positions
any day now. He'll eventually be charging $197/mo for this service, but it's complimentary on the Members Website Preview.

The "Profit Vault", which contains actual stock trade example "screen capture" videos, so you can see exactly how his students can trade in less then 20 minutes a night.

An entire 'mini-course' that reveals the top 5 'profit plans' anyone can use to get a much-needed edge in the markets (ESPECIALLY the way the markets have been moving lately).

Previews of the actual CD-ROMs that ship with the course so you can see exactly the type of material that's on them, and a TON more.

But don't take my word for it. Go ahead and check it out now by visiting the web page here now:

Good day and good trading,

P.S. Remember, this complimentary preview access WILL expire on Tuesday, September 30th, so I urge you to get in now while you can if you have any interest learning how to dramatically up your "profit potential" while saving hours a day at the
same time.

Click here now to get in on it before it's gone.

Monday, September 22, 2008

Weekly Stock Pick

Scanning the charts this early Monday morning after the insane market action last week with the market tanking all week, then the big dead cat bounce rally on Friday, I was wondering what would pop on the radar screen for a buy or sell this week. Actually not much of anything looked very interesting. Couple of crappy short sells, and no decent long candidates of my liking to speak of. No more naked shorting rule as been implemented by the SEC now, so there’s no more straight out short-selling for the time being. Nonetheless, the best thing I can come up this week is a sell on a big medical management company that has a decent 3:1 plus reward risk ratio to it. My sell candidate is Express Scripts.

Express Scripts Company Profile from their website.

Founded in 1986 and never owned by a drug manufacturer, Express Scripts aligns its interests with those of plan sponsors and their members. This legacy of independence means that the company’s programs and original research on the pharmacy benefit serve its clients.

Express Scripts drives to lowest net cost by enabling better health and value at the consumer level. As evidence, Express Scripts’ generic dispensing rate leads the industry.

We call St. Louis home, but there are administrative, pharmacy, and customer service operations throughout the United States and Canada. Express Scripts continues to expand its services and today there are more than 11,500 employees focused on our mission to make the use of prescription drugs safer and more affordable. Our Code of Conduct (PDF file) provides the framework for our actions as we advance this mission in every aspect of our business.

Express Scripts handles millions of prescriptions each year through Home Delivery and at retail pharmacies. We share a common cause with each of our clients — to help offer a healthy prescription-drug benefit today and into the future. In support of this effort, we’ve launched The Center for Cost-Effective Consumerism. The Center and its Advisory Board provide forward thinking and key insights to drive better health and value in the pharmacy benefit. The Advisory Board includes nationally recognized experts in the science of human behavior and decision making.

By combining insights from the Center with Express Scripts' proven ability to develop, test, and implement industry-leading programs, we provide the greatest opportunity to encourage smarter prescription-drug choices and achieve the lowest total plan cost. Find out more about how our services help clients realize significant savings, while enabling better health and value in the pharmacy benefit.

Sell Express Scripts. Ticker ESRX

Sell at 76.20 to 73.22

Stop-Loss 80.00

Take Profit Areas

64.94 to 60.80

57.81 to 55.47

53.30 to 51.15

42.54 to 40.54

My Analysis of the Medical Sector

Ok, we all need health care from time to time. No wealth without health right? I agree, but with the rising costs of health care, and with the problems of the economy, and rising unemployment right now to pay for that healthcare, there’s comes a point where the cost of health care is just to much for most people and now comes the decision of foregoing the healthcare until the funds are available to pay for it. Along with the election, and possible hoopla that may arise from the presidential candidates McCain and Obama to get elected, they’re liable to say anything about high healthcare costs, and the whole medical sector could tank big time because the next president to be will talk about reigning in on high medical costs being charged currently.

I remember back in the 90’s one month before Bill Clinton’s first election to the Presidency. He stood at Merck Pharmaceuticals on a Friday at 10:30am Eastern time, with the Merck board of director’s behind him, and made a statement to the effect that he and Hillary were going to put a stop to the high health costs, fraud, and whatever, the drug, health insurance companies, and HMO’s were charging the American people. I did a double take! I looked at the Merck board of directors behind him, and they looked shocked, numb, and plain pissed off, wondering if they had heard Bill correctly. Then after that, the CNBC broadcaster said they would cut for a commercial break, and go straight to the New York floor on the return. After the 30 second commercial, they went to the New York floor, and the whole medical sector was selling off huge. Big share blocks of 100k plus selling like there was no tomorrow. They sold every medical stock no matter what it was, profitable or not. I’ve never heard a roar that loud on the floor before in my trading investing life. On Wednesday of the following week, I bought into the medical sector carnage caused by Clinton’s radical statement, and made 75% on the rebound in three months with one stock. One of the sweetest trades of my life. I’ll never forget it.

The election is a short time away now. The candidates could talk trash about the medical companies, and tank city again. Actually I believe Americans simply won’t be able to afford current medical costs right now, and the medical companies will have to reduce prices a little or a lot depending. Doing this would squeeze their profit margins, and provide a ripe environment for lower stock prices. If these two situations come together, which would be anytime now, well then it’s a perfect storm, to sell the “health” out the healthcare stocks, and a big quick crash, with a great opportunity to buy in for a rebound. The market loves doing stuff like this, and when you are prepared, fast, and nimble, booking profits can be as easy as taking a lollipop from the doctor’s office desk.

Click here to review and Trial the Trading Software I used in determining my sell position on ESRX.

Thursday, September 18, 2008

Stock Market Mastery 6-Pack Free

Worried about surviving the markets in today's economy? New 6-part video training shows you how to PROSPER. Keep reading for IMMEDIATE ACCESS.

If you trade stocks, stop everything you're doing for 60 seconds and get ready to download a brand new, 6-part stock trading 'mastery' video training course.

It's NOT for sale - but I have the direct access link for you.

Here's the deal:

One of the premiere online trading veterans has just released a 6-part video training series that's going to make some people a little angry, because it challenges everything that 90% of the stock trading public has held to be true since World War II.

But if you have an open mind and are willing to look at some new ways to not only survive, but to PROSPER in the stock market in today's economy, you're in for a special TREAT.

Recession Proof Attack Plans

You're about to discover the 5 'recession proof' trading 'attack plans' that you can use TODAY to enhance ANY trading method at ANY time in ANY market.

It's true. You'll also learn:

The 4 "cornerstone components" Wall Street insiders have used for decades to dramatically put the odds of success in their favor, and how you can do it, too (part 1, page 25)...

The "core essentials" of stock trading that will let you "leapfrog" over other traders, giving you a "fast track" that would otherwise take months, or years to achieve (part 2)...

The 4 "emotion stabilizers", inspired by Einstein, that finally help keep "fear & greed" out of the picture once & for all (part 1, page 55)...

Step-by-step tactics for applying his "Optimal Profit Exit Strategy". This is one of his favorite ways to enjoy profit-taking as quickly as possible (part 6)...

The 5 "profit poison" market conditions that you should avoid at all costs that practically eradicate risk (bonus video)...

How to use the "doom & gloom" news reports in the media to discover untapped profit potential, again & again (part 3)...

How to drastically reduce your "time in the trenches" trading stocks by spending only 20 minutes a day. This discovery makes it all possible (part 1, page 64)...

And a whole lot more, as he reveals the critical & crucial strategies you need to maximize your profit potential in his brand new 'Market Mastery 6-Pack'
multimedia training materials.

Complimentary, for a short time.

Why He's Giving It All Away

When I snuck a look at a preview copy of this training, I thought for sure I'd see it for sale online in a few days. In fact, I'd personally pay at least 200 bucks for this, and probably more.

But here's the kicker - it's not for sale (at least not right now).

You can't purchase a copy.

But the author really has a deep-seated drive to "wake up" the trading community, and that's why he decided to GIVE IT AWAY.

In his own words he says, "Frankly, I'm sick & tired of the media's doom & gloom scenarios, and want to show people the step-by-step tactics successful traders use to profit no matter what the economy is doing. So I sat down to record this training as if I was under oath, being grilled by an attorney. That's how direct and forthcoming it is."

How To Get Your Copy

To get your free copy, just visit this web page right now:

I hope you enjoy it as much as I have.

Good day and good trading!

P.S. This is a HUGE amount of training. Take your time to read & watch it all, but hurry and download it. Why? Because it's so large, it could be taken offline at any moment if the author's web server "bandwidth" gets eaten up with all the requests for the materials. You can get the training here:

Monday, September 15, 2008

Weekly Stock Pick

After scanning the stock charts this early Monday morning. I’ve come up with two stock picks. One is a short-sell, and the other is a buy candidate. The short-sell I won’t write about here this week because the long candidate is much more exciting and a longer term position than short-selling. I’ll just say the short-sell is Abbott Labs, Ticker ABT.

The buy candidate is a China internet company. With over 1 billion people in China, investing in companies in any country with this size of population is a simple no-brainer of supply and demand, and especially when it comes to new age, new school, new economy business of the internet. Remember when World War II ended? How many people were in the USA? About 200 million? With China sitting at 1.2 billion people currently, this is a 6 times increase of that! Quantum and exponential all the way the likes the western world has never seen in the past, and may never want to see or imagine in the future. One day about a year ago, I was listening to Lou Dobbs on Bloomberg talk about how the rest of the world would be nothing without the USA consumer, while I’m reading a report from the CEO of the Bank of China saying that domestic consumer demand there is growing at double digit rates. Who to believe? I’ll leave that up to you. My first question for Dobbs would be, when was the last time he was in China?

Buy Long Sohu.com. Ticker SOHU

Buy Entry: 55.13 to 62.73

Stop Loss: 2% to 8% or more depending upon how much you can handle losing.

Take Profit Areas:

74.05 to 79.71

88.69 to 103.69

104.00 to 121.59

135.76 to 158.72

177.33 to 207.33

China Internet Usage

China now has the biggest number of internet users in the world with the USA a close second currently. China has now recorded about 220 million internet users. Watch China and USA internet users and usage going forward. I expect China to leave the rest of the world in the dust in time. As India continues to develop, then they should be taking second someday soon with their 800 million or so population.

Now I’m thinking already, that I’m going to see comments on my post here that says something like I’m crazy to buy into a China stock right now because the Beijing Olympics have ended, and everyone outside of China is expecting a slow-down there for a variety of reasons right or wrong, good or bad. If you call a slow-down from 12% to 8% growth a slow down, that’s your choice. I call it growth, and big to say the least. Or any other number of comments that don’t agree with me. No problem, I’ll just wish you a Kung Hei Fat Choi right now.

I’ll put it to you this way. I don’t listen much to analysts or anyone else for that matter, when they talk about another countries future prospects, and they don’t have any or much at all Visa’s stamped into their passports. Speculate all you want from your armchair, but not with my money. For those of us who visit China frequently, we know all to well what’s going on there with their own domestic driven consumer demand, and high quality demand I should also add.

Sohu Company Profile

Sohu.com Inc. (Sohu) is an Internet media company providing Chinese consumers with their daily source of information, entertainment and communication. It has built matrices of Chinese languages Web properties and search engines, consisting of www.sohu.com, a mass portal and online media destination; www.sogou.com, an interactive search engine with a database capacity of more than 10 billion retrieved Web pages; www.chinaren.com, an online alumni club; www.17173.com, a games information portal; www.focus.cn, a real estate Website; www.goodfeel.com.cn, a wireless service provider, and www.go2map.com, an online mapping service provider. The company operates two massively multi-player online role-playing games (MMORPG games), namely Tian Long Ba Bu (TLBB) and Blade Online (BO), and a casual game platform. Sohu also offers wireless value-added services, such as news, information, music, ringtone and picture content sent over mobile phones.

Click here to review and Trial the Trading Software I used in determining my buy long position on SOHU.

Friday, September 12, 2008

Online Options Trading Classes Start Now

This is it! It's the official kickoff of the "second chance" to get your hands on some of the finest options trading information on the planet. For whatever reason before, you decided not to become Options University's newest student to enroll in their highly-popular Options Mastery Live Classes. And I can understand that.

After all, the Live Classes take up a LOT of focused time and effort on your part. They are reserved for those who have the BURNING DESIRE to become a world-class options trader.

And, quite frankly, they are a tad expensive for most folks. Now, don't get me wrong, the value is there. That's because it's the very same information taught to some of the "rookie" traders at the top Wall Street trading firms.

You'll get more details of how that happened below. And those firms had to pony up over $10,000 for EACH of their rookie traders to attend! The Live Classes were a fraction of that cost. And the investment in the Options Mastery Home Study Course
is a fraction of the Live Classes enrollment fee.

But hold on, it gets even better. For the next 72 hours, OU will knock $300 off the regular investment in the Home Study Course. Why would they do that? It's because they feel you truly sense the power of adding options to your trading scenario, and deeply desire the many benefits that options provide.

So you want to get savvy on how to use options to your maximum benefit as soon as possible. But you just couldn't make the sizable commitment in time and
money to the Live Classes. If that describes your situation, then I want to help you out.

With your Home Study Course, you'll be able to master options trading at your own pace, in your own time. And at a much lower cost than the Live Classes. Anyway, a GOOD deal just became a GREAT deal! But it won't last forever. In fact, the clock is now ticking on the 72-hour sale.

So why not at least check out this deal, and get a better understanding of the value you're getting here?

To do that, click here for all the exciting details.

Good day and good options trading!

P.S. Couldn't "swing" the Options Mastery Live Classes this time? No problem. Here's the "Next Best Thing." But you only have 72 hours to exploit this special deal.

Check it out by clicking here.

Thursday, September 11, 2008

Is Worst Over for Financials?

Some are calling to buy the financials now. I'm not so quick to think so. With the Lehman situation still unfolding, and possible more problems coming for the financials, the short sale is still not over yet in my opinion.

I'm currently selling short on JP Morgan. See my "JP Morgan: Why I'm Selling Short" article on Seeking Alpha. I see a bottoming coming for the financials with excellent buying opportunities for the long-term, but not just yet. I don't think its the time yet for a variety of reasons. I do think its time to start looking closely to buying a little of the financials on further weakness.

I've posted the following article from CNBC to provide some contrast to my short sell position on the financials. Maybe I should be covering my short, and going long? I intend to do just that in time. The question now is when?

The Financials from CNBC.com

The way some money managers are talking it looks like the worst of the storm may have passed for the financials. Legendary short seller Jim Chanos has shifted some of his focus away from the battered group and is now looking at commodities. Metropolitan West Asset Management’s Tad Rivelle told “Street Signs” that his firm is looking to fixed-income securities from JPMorgan Chase, Bank of America and Citigroup Cramer, too, has recommended a few stocks from the sector.

Jim Cramer agreed with Rivelle that Bank of America and JPMorgan Chase were good companies, and the Mad Money host has been telling viewers to buy these stocks – not the preferreds – on any weakness. Cramer’s bullish on Wachovia and BB&T as well.

Investors who want to buy preferreds should consider the PGF exchange-traded fund, Cramer said. Buying an individual preferred is a bad idea as most have gone down in value since those of Fannie Mae and Freddie Mac were crushed as part of the government bailout. Cramer watches the PGF as an overall sing of financial help, he said, because preferred stock usually goes down before any sizable negative event.

Cramer recognized the volatility of this market, saying, “It’s very hard to have any conviction.” But held firm in his belief that some investing strategies are working right now.

Click here to review Cramer's "Actions Alerts Plus" and receive his book free.

Wednesday, September 10, 2008

Euro Vs. Dollar Forex

Euro Vs. Dollar Forex: What Goes Up Must Come Down

Since mid-July, the U.S. dollar has gained almost 20 cents against the euro. Back then, the euro-dollar exchange rate stood near $1.60; it's now near $1.40.

This 13 percent gain by the USD may not sound like much – unless you're an American tourist traveling to Europe. But if you look at it from a currency trader's perspective, that's about 2000 points (or pips) in one direction – down – in less than two months. The best way to describe this action in the EURUSD is – "falling like a rock."

The USD's comeback has been staggering in its persistence. And let's not even bring up the dollar's "fundamentals" trying to explain it: they simply make no sense. Let economists wreck their brains (and financial models) trying to figure out why, while the U.S. government is grasping at straws trying to save the mortgage industry and economy from collapsing, the dollar is gaining like there is no tomorrow. Clearly, the laws of physics don't apply to the currency markets.

And you know what? For a forex trader, it doesn't really matter why the dollar has been gaining. For a trader, a much more important question is – what now? What goes up must come down, and it's true in forex trading as well. So how long can the buck continue its bull run?

Click here to get the latest forex forecasts inside EWI's Currency Specialty Service now.

The very basic Elliott wave analysis boils down to looking for three- and five-wave patterns in market charts. Five waves are impulses; three-wave moves are corrections. When an impulse ends, a correction always begins. No exceptions.

And here's the chart of the EURUSD, copied from the latest, September 09 daily forecast of EWI's Currency Specialty Service (some labels have been erased for this publication):

Click the EURUSD image for a larger view.



Look closely at the chart pattern circled in red, above. Can you count 5 waves within it? You're not alone.

"…the decline underway since mid-July is stretched and possibly in five waves," writes Currency Specialty Service editor Jim Martens in the September 09 daily EURUSD forecast. "Given the visible structure and the momentum profile, I'm not about to chase the market lower."

From an Elliott wave perspective, the EURUSD is likely near a bottom; you can get the exact forecast for the days ahead inside the Currency Specialty Service. So don't be surprised if the euro takes the upper hand in the days ahead. I only wonder how the economists will explain it?

NOTE: Mark your calendars! On Wednesday, September 17, at 4 PM Eastern (New York) time, EWI's Senior Currency Strategist Jim Martens is hosting a free, live 40-minute webinar titled "Anatomy of the Trade." Jim will focus on how you can turn the Currency Specialty Service forecasts into actionable forex trading strategies.

Subscribe to Currency Specialty Service now and receive webinar registration details on Monday, September 15.

Tuesday, September 09, 2008

2008 The Year Everything Changes

In January 2007, our friends at Elliott Wave International issued a special report called "2007: The Year of Financial Flameout." The forecast in that report has largely come to pass. At the beginning of this year, EWI delivered a NEW, up-to-date special report entitled "2008: The Year Everything Changes."

2008 Financial Forecast

Even as 2009 draws near, this could well be The Most Important Investment Report You'll Read RIGHT NOW. Obviously, some of these forecasts have already occurred, but many of the forecasts in this report will unfold in the future – and in the present, it's yours free.

2008 Market Insight

Even as you read this, the financial markets and economy are confirming the scenario spelled out in "The Year Everything Changes." Please don't wait. Your portfolio cannot afford to be without these valuable market insights.

2008 Positioning

It's not too late for you to position yourself for the short and long-term opportunities just around the corner.

Click here for the most important investment report you'll read in 2008, and its yours free.

Monday, September 08, 2008

Weekly Stock Pick

I like living green just as much as anyone, so we can all work together to save the earth to be livable longer for us and our children children’s.

My stock scan this week is a green publicly traded company. This week’s scan has come up with an excellent low risk high reward potential, trade setup on a solar energy equipment manufacturer.

Diversified energy investments these days are a must in this current market environment. I see continued good growth intermediate and long term on the alternative energy industry, and this solar energy stock.

Buy Long: First Solar. Ticker FSLR

Buy Entry: 237 to 213.12

Stop-Loss: 8% more or less depending upon on your risk appetite.

Take Profit Areas:

272.96 to 290.94

361.79 to 408.47

458.23 to 517.35

585.83 to 661.42

Solar Energy Demand Analysis

Worldwide photovoltaic installations increased by 2,826 mega-watts in 2007, up from 1,744 MW installed during 2006. In 1985, annual solar installation demand was only 21 Megawatts.

Cumulative solar energy production accounts for less than 0.01% of total Global Primary Energy demand.

Solar Energy demand has grown at about 30% per annum over the past 15 years compared to hydrocarbon energy demand that typically grows between 0-2% per annum.

The "Feed-in Law" has led to Germany to become the largest solar energy market in the world currently.

On the supply side, the amount of product manufactured by PV cell manufacturers worldwide reached a consolidated 3,436 megawatts in 2007.

Solar Energy (photovoltaic) prices have declined on average 4% per annum over the past 15 years. Progressive increase in conversion efficiencies and manufacturing economies of scale are the underlying drivers.

A residential solar energy system typically costs about $8-10 per Watt. Where government incentive programs exist, together with lower prices secured through volume purchases, installed costs as low as $3-4 watt - or some 10-12 cents per kilowatt hour can be achieved. Without incentive programs, solar energy costs (in an average sunny climate) range between 22 to 40 cents a kWh for very large PV systems.

First Solar Company Profile from their website.

By enabling clean, renewable electricity at lower costs, First Solar is providing a sustainable alternative to conventional energy sources.

This goal has driven First Solar to become one of the fastest growing manufacturers of solar modules in the world. First Solar FS Series 2 PV Modules represent the latest advancements in solar module technology, and are rapidly driving the cost of solar electricity to rates comparable with traditional fossil fuel-based energy sources.

First Solar was formed in 1999 and launched production of commercial products in 2002

First Solar has achieved the lowest manufacturing cost per watt in the industry, $1.14/watt for the first quarter of 2008

First Solar is the largest manufacturer of thin film solar modules, having expanded manufacturing capacity to an expected 495 MW in 2008; and with additional plants under construction, First Solar will bring total expected capacity to more than 1 GW by the end of 2009.

First Solar has long term module supply contracts in place with leading solar project developers for more than 3.4 gigawatts of PV modules (2008 - 2012)

First Solar developed the first pre-funded module collection and recycling program in the PV industry

First Solar’s IPO took place on November 17, 2006; Common stock is traded on the NASDAQ Stock Market under the symbol FSLR

Click here to review and Trial the Trading Software I used in determining my buy long position on FSLR.

Thursday, September 04, 2008

Oil And Stocks: The "Correlation" Breaks Down?

September 2 was the first day of trading after the long Labor Day weekend, and the DJIA opened with a sharp gap up.

That same morning, crude oil started the day with a sharp drop.

So what, you ask? Isn't that how it's supposed to be – when oil goes down, stocks go up? Market analysts repeat this "rule of thumb" every day, in print and on TV – so it must be true.

They do, indeed. But does saying it make it so? Consider this:

"Most pundits were talking mainly about oil this morning [Sept. 2], which was extremely volatile. They tried to explain the strongly higher stock market open by the fact that oil prices were down big. By the end of today’s session very few market observers talked about oil and stocks together.

"The reason: both ended today’s market session DOWN, once again showing that the supposed negative correlation between the two asset classes is ephemeral (see Stocks and Oil chart on p.6 of the September Elliott Wave Financial Forecast). If these trends continue, pretty soon pundits will be trying to make the case that lower oil is BEARISH for stock prices. Just wait."

Elliott Wave International, Short Term Update, Tuesday, September 2, 2008, 4:30 PM Eastern.

"Just wait," indeed. If oil drops below $100 (a scenario EWI's Energy Specialty Service considers highly probable), can you imagine news headline like these, for example?

"Stocks Fall As Continued Declines In Crude Indicate Slowing Consumer Demand"

Or,

"Shares of Energy Companies Drag Stocks Down"

If you want a market indicator that doesn't change with the wind, try Elliott wave analysis. For starters, see that "Stocks and Oil" chart on page 6 of the new, September issue of The Elliott Wave Financial Forecast. You can see it risk-free, online, right now – click here on how.

Monday, September 01, 2008

Weekly Stock Pick

After scanning the charts this early Monday morning, I’ve zeroed in on an investment bank behemoth in the financial industry that sometimes buys up other competitors when they get into liquidity trouble as they just recently did during this time of liquidity credit crisis. Longer term we would be a share buyer of this excellent company. Near to intermediate term, I’m putting a sell on it.

Short Sale: JP Morgan Chase Ticker JPM

Closing Price Friday Aug 29. 38.49

Sell Entry: 38.09 to 39.18

Stop-Loss: 40.69 to 41.07

Take Profit Areas

Short Term: 34.63 to 35.18. Risk/reward of about 3:1

Intermediate Term: 33.70 to 34.23. Risk/reward of about 4:1

Long Term: 30.76 to 31.24. Risk/reward of about 8:1

JP Morgan Chase Technical Analysis

The intermediate term setup is showing a possible bottoming chart formation down to 33.70 to 34.23, which could provide an intermediate term low risk high reward reversal to the upside. Longer term is another story, and with the current financial situations going on, we could see further downside short-term, intermediate-term, and very possible longer term. So, right now, I’m a seller of JP Morgan Chase.

JP Morgan Chase Company Profile from Google Finance

JPMorgan Chase & Co. is a financial holding company. JPMorgan Chase's principal bank subsidiaries are JPMorgan Chase Bank, National Association, a national banking association with branches in 17 states, and Chase Bank USA, National Association, a national bank that is the Company's credit card issuing bank. JPMorgan Chase's principal non-banking subsidiary is J.P. Morgan Securities Inc., its United States investment banking firm. The bank and non-bank subsidiaries of JPMorgan Chase operate nationally, as well as through overseas branches and subsidiaries, representative offices and subsidiary foreign banks. In May 2007, the Company acquired Xign Corporation. The business will be known as JPMorgan Xign Corporation. In January 2008, JPMorgan Chase acquired an additional equity interest in Highbridge Capital Management, LLC. As a result, the Company owns 77.5% of Highbridge as of January 31, 2008. On May 30, 2008, the Company acquired The Bear Stearns Companies Inc.

Click here to review and Trial the Trading Software I used in determining my buy short position on JPM.