Posted on Monday, 16th November 2009 by admin

After hitting our first upside target of $1,110 two days ago, gold prices backed off but still managed to close at their best levels today for a new record high close in New York basis the spot gold.

There are several people who think hedging against (potential) upcoming inflation is the best investment to do. Investors fears another inflationary period as we lived during the 80’s.  If it’s the case, buying gold (through gold ETF?) maybe a great solution.

The question now is, what’s going to happen to gold after it hit our first target level?

The main trend continues to be positive and I believe that any pullback in this market should be met with good support. It is possible that we could see a pullback of $20-$25 which would not change the overall positive trend of the market which we see continuing until the end of the year.

As readers of this blog know, we have an upside target zone of $1,250-$1,300 an ounce for gold (I bet the president of Barrick Gold thought the same way when Barrick issued for billions of debts in order to buy back previous gold contract at $900 an ounce). While that target zone is still in place, we believe that the huge “energy field” that we’ve discussed in our earlier gold videos is capable of pushing this market higher.

In this new video I explain some of the areas that I’m looking at and also some of the places where you can place tight stops to lock in profits.

As always the videos are free to watch and there is no need to register. I would love to hear your views on gold in our Trader’s Blog comment section.

If you are looking to trade Gold, I suggest you look at the list of the Best ETF Gold.

Posted in Best Stocks in 2009, How to buy stocks, Investment Talking | Comments (0)

Posted on Wednesday, 11th November 2009 by admin

For the past 3 or 4 months, the world has stopped turning and only talks about the H1N1 (aka the Swine Flu). I’m not here to discuss whether we should get concerned or not about the H1N1. I’m here to size an opportunity. If everybody talks about H1N1, there must be a few stocks that will show some significant gains if the virus keeps hitting the globe.

H1N1 Stocks list (1yr return is as of November 11^th 2009 according to Bloomberg):

Roche (NYMEX: RHHBY) (1yr return: 18.30%)

Roche is the maker of the Tamiflu. This is the first drug combating the H1N1. Since is well known in the pharmaceutical environment (ADR soared a few years ago when we had the SARS coming our way), the stock already surged. However, it doesn’t mean it won’t go up again if the H1N1 death keeps rising!

GlaxcoSmithKline (NYMEX: GSK) (1yr return: 14.10%)

This is another vaccine maker (Relenza). GSK is a major H1N1 vaccine supplier for Mexico and Canada. This should be a great years for this company too.

CSL Limited (ASX: CSL)

CLS limited is an Australian company which was one of the first to create a vaccine against the H1N1.

Johnson and Johnson (NYMEX: JNJ) (1yr return: 5.18%)

I would personally put my $5 on JNJ. What is the link between H1N1 and this stock? They are the marketer of the famous Purell! Regardless if the H1N1 flu is revealed to be dreadful, the usage of Purell will only grow during the upcoming years. This may become one of the best products among JNJ. Since I already like the stocks for its diversification (products and markets) and its consistent dividend, I think JNJ is a stock to be held in your portfolio.

Other H1N1 Stocks to consider (linked to the H1N1 vaccine):

BioCryst Pharmaceuticals Inc. (BCRX)
Novavax, Inc. (NVAX)
Hemispherx Biopharma, Inc. (HEB)
Sinovac Biotech Ltd. (SVA)
Vical Inc. (VICL)
Inovio Biomedical Corporation (INO)
CEL-SCI Corp. (CVM)
Generex Biotechnology Corp. (GNBT)

image source: chrisstreeter

Posted in Best Stocks in 2009 | Comments (3)

Posted on Wednesday, 28th October 2009 by admin

During its last quarter update, RIM has shown disappointing results. It shares drop like a heavy rock in water. However, there are several reasons why RIM is still a buy.

The creator of the BlackBerry, this magical little piece of plastic, should not be left for dead as it still has strong points in its favour.

5 Reasons why RIM is a BUY

#1 RIM’s Competitive Advantages Intact:

Several people (aka CrackBerries) are used to the BlackBerry ways of working and wouldn’t trade it.

Battery life is a major advantage for RIM since no other phone lasts longer.

Competitive gaps in term of browsing and cell phone applications should keep RIM ahead of the competition and keep the stock as a buy.

#2 Don’t fear moderating ASPs. Recent ASPs drops don’t come from competitive pressure but more from RIM new positioning to penetrate the mainstream smartphone market.

#3 Strong market growth for smartphones. With new RIM positioning to penetrate this market combined to growth forecast of 40% in the smartphone market, RIM will see its profit bursting in a few years.

#4 Healthy margins for RIM. Supply chain efficiency provides RIM with high profit margin that will keep RIM as a buy for the upcoming year.

#5 New products ahead. RIM is actually working on several new products that should consolidate its position as the leader of all smartphone.

Still not convinced that RIM is a buy?

You should take a look at this graph and notice how the iPhone is getting market shares from Palm and RIM’s remain untouched.

Definitely, RIM is a BUY!

image source: businessinsider.com

Posted in Best Stocks in 2009 | Comments (2)

Posted on Wednesday, 21st October 2009 by admin

Of the three major indexes we track: DOW, NASDAQ and the S&P 500, only the NASDAQ is in thin air.

What do I mean by thin air? So far the NASDAQ is the only index to make it past the 50% Fibonacci retracement levels as measured from the highs seen in 2007 and the lows that were made in March of this year.

Both the Dow and the S&P 500 have rallied strongly from their March lows but have not made it over the 50% retracement level.

Many professional traders – myself included – are looking at the NASDAQ’s Fibonacci retracement as it represents a potentially key turning point for this year’s market.

While not all the pieces are in place to go short or get out of long positions, one of the first clues is being put in place today by the Japanese candlestick charts.

In my new video, I share with you the NASDAQ retracement levels, as well as one of the key components that could lead to a potential reversal to the downside.

As always, our videos are free to watch and there is no need to register. If you have any comments on this video we encourage you to make them on our Trader’s Blog.

Enjoy the video, all the best.

Posted in Market Commentary | Comments (0)

Posted on Tuesday, 13th October 2009 by admin

I am actually a very big fan of ETFs (Exchange Traded Funds). If you like managing your own portfolio and doing research on the internet, you should consider building an ETF portfolio. Why? Here are some reasons why an ETFs portfolio would perform well throughout the years:

#1 ETFs have low MERs

For those who have mutual funds, you should look at something very important on your investment statement: management fees! Most equity funds (unless they are from Vanguard) show fees over 1%. This means that if your fund returns 8% at the end of year, you will only get 7% in your pocket. ETF fees are usually below 0.50%. Therefore, in my previous example, you would increase your yield to 7.5% by doing nothing. While 0.5% doesn’t mean much over a year, it makes a difference of $6,709 on $10,000 invested for 25 years.

#2 70% of portfolio managers don’t beat the market

The ultimate goal of a mutual fund is to beat its index of reference. However, statistics show that 70% of portfolio managers don’t beat the market year after year. Considering this fact and adding higher MERs, you are almost 100% sure to make more money with ETFs!

#3 ETFs offer a better diversification than stocks

If you have an investment account value below $100,000, you will have a really hard time getting diversified among fixed income, US equity and international equity. Chances are that you will be holding 10 to 12 stocks. Buying ETF does allow you to hold the Dow Jones 30 or the S&P 500 in a single transaction. You then decrease your investment fluctuation with a smaller price.

#4 You can benefit from leveraging as well!

A few years ago, some ETF companies created leveraged ETFs (click on the link to see a full definition). While they can be very risky to trade, they allow you to make twice and three times the index return. This would be quite interesting if you can mix it with the Trade Triangle technique over at MarketClub!

#5 ETFs allow you to be specific

If you believe in a specific sector or industry (such as financial during 2009!), you can buy an ETFs replicating exactly how this industry reacts on the market. This allows you to become very specific in your trading strategy.

So where can I find these ETFs?

At the bottom of this post, you will find a quick list of diversified ETFs that could be part of your new investing portfolio. I managed to put the ticker, the name, the yield to date and the last price as of September 23^rd. If you go on my blog, you can also find the best ETFs related to gold.

Posted in How to buy stocks | Comments (0)

Posted on Wednesday, 7th October 2009 by admin

Looking for the best money market fund yield? The best CD rate in Texas? Or are you looking for the best savings bank account yield in history? I have found a great site for you: Select CD Rates.

What is Select CD Rates?

This is the perfect place to put your money when you want to sleep in peace. The best CD rate in Texas can be found on this site along with the best CD rates for 19 other States! You will also be able to shop comfortably for a bank savings account or money market funds. This is definitely a must when looking for safe investments.

What makes you want to visit this site?

As I said before, Select CD Rates offers a lot of financial information. Besides the “CD shopping info center” you can also find the latest economic statistics along with the Fed rate history. If you enjoy predicting trends, you can surely figure out if rates are on the rise or should stay sable for a few more months.

Are the resources really helpful?

The most interesting point of this site is that the CD RATES INFORMATION IS FREE! In plain English, you don’t have to register, give up your email address or pay to get the scoop. In the comfort of your own home, you are able to find what you need.

It is not only free but it also provides relevant and accurate information. I wish there were more sites like this one!

Can improvements be made?

I really like the design as it is pretty clean and you can get the information you are seeking fast enough. I would maybe suggest some negotiating tactics since the featured CD rate can vary from what you can readily obtain at your local bank. If you are serious about maximizng your investments, chances are you can get a few more points!

Disclaimer: This was an honest but paid review. We did it because we think it is a great financial resource on the Web and our opinion has not been biased. We are now offering to review your website for a highly competitive price. If you wish Buy My Stock Picks to review your website, please feel free to contact us at thefinancialblogger (at) gmail (dot) com or visit our advertising section.

Posted in Investment Talking | Comments (0)

Posted on Thursday, 24th September 2009 by admin

etf gold

Last week, I have written about the best ETF Gold on the stock market. I actually think that gold could be part of the best stock to purchase in 2009. However, even though the US dollar is plunging, and investors fear inflation, gold is not skyrocketing…yet! Hence, many people are questioning why gold prices haven’t gone higher – much higher.

I found a new video, explaining some of the subtle market cycles that are at play right now in this market. These short-term cycles have been the dominant force in gold all year and appear to be still in control of price action. This is why we look at gold ETF not moving up as we were in a roller coaster.

According to the price of gold technical analysis, I believe the longer-term upward trend in gold is very much intact; short-term we could see more of a trading range that has a downward bias. I think when you watch this video you will get a much better understanding about the rhythm of this market.

If I am correct, you will see some amazing opportunities that I believe will be presented to traders in Q4. In fact, if everything goes according to plan are we could all be looking at some very nice Christmas/holiday profits. The short term cycles will end sooner or later and then, the real  price of gold will show up… at more than $1000 per ounce

Along with the technical analysis, all fundamentals push the price of gold to higher peaks:

- The fear for inflation

- The (bottomless) drop of the US dollar

- The fact that China is heavily purchasing gold as a substitute to the US dollar

- The fact that there is more and more demand for gold while gold mining industry is not able to find new and promising gold mines.

The video is easy to follow and I think you’ll learn a whole lot about cyclic price action in the gold market.

We do not require you to register to view this video. It is totally free and could really help you out understanding what is going on with gold and why you should consider investing in Gold ETF.

Posted in Investment Talking | Comments (0)

Posted on Wednesday, 16th September 2009 by admin

Gold just hit $1,000 per ounce last week upon recent precious metal’s rally. Where is it heading? Gold is probably heading higher in the upcoming months!

Why is it the time to buy gold?

There are many factors leading us to think that buying best ETF Gold could lead you to your best investment in 2009. Here are the major reasons why buying gold ETF stock is a great idea:

- China is buying gold like there is no tomorrow:

Looking for alternatives to the US dollar, China is buying gold (and probably gold ETF stocks) as well as other commodities such as oil. China feels they have an increasing risk holding such huge amount in US currency. Hence they are looking to protect their economic growth through purchasing gold and ETF gold stocks.

- US Dollar is in a slump and ETF gold always react the opposite way

The US government is in the middle of a turmoil trying to get out of the current economic crisis. They are printing money to finance their economic stimulus program which decreases the dollar value on the market. As gold always been the best hedge against US dollar drop, ETF gold are now skyrocketing!

- Gold is being the most technically traded financial instrument in the world

There are several traders trying to play ETF gold with technical analysis. We currently have a video showing how the price of gold will be heading to higher summit later on.

There is no need to register for this video and of course you can watch it with my compliments. I highly recommend watching this video on Gold today otherwise you risk missing out on what could be the move of the year. It is definitely time to buy gold.

Now that you think it is the time to buy gold: Where can I find the Best ETF Gold?

Buying ETF gold stocks (exchange traded fund) is probably the most efficient and cheap way to benefit from the gold price surge. You can buy the best ETF gold on the market and make a lot of money if you are trading right.

I manage to pull out the best ETF gold stocks in the following chart. The first ETF gold stock chart is aiming the resources (the unique price of gold) and the second ETF gold stock chart is following the best gold producers.

I am not the only one thinking buying ETF gold could be a great investment for 2009. Here’s another great article from the Telegraph : Why gold at $1,000 an ounce could just be the beginning

***disclaimer: we do not recommend the buy or sell of any investment. This is not a financial advice, nor a recommendation. Please due your due diligence before trading.***

Posted in How to buy stocks | Comments (3)

Posted on Wednesday, 8th July 2009 by admin

The US market is going through one of its worst recession ever and some people are even talking about a market depression. So which stocks to buy in recession? Instead of giving you a list of stocks to buy (which I provide once in a while anyway ), I will outline so important key point to look at when you are doing your stock hunt

Cash is king

Nothing is more important than cash during though time. Why? Because sales will usually go down, banks are less likely to lend money to companies and competition is stronger than ever since everybody is battling for the only slice of the pie left by the economic crunch. When looking at financial statements, you must look at the short term assets (cash, money market funds, receivables, etc.). While having a lot of liquidity is a good thing, you also need to look at the financial obligation of the company you are about to buy. If their liquidity ratios are good, then you have a solid company that will be able to not only survive in this hostile environment but probably grow even stronger out of it.

#1 Cash will enable the company to meet their financial obligations and maintain a good credit. Therefore, it will be easier for this company to get more financing if they need to do any projects.

#2 Speaking of which, cash will enable the company to buy more performing equipment and invest in R&D. This will obviously enable the company of remaining competitive and probably increase its profitability once the economy start going up again.

#3 If they have a lot of cash, they will also be able to maintain their best element in place and probably recruit the best employees in the industry. Most workers want to work for a well establish company that will last. They seek stability, same for the shareholders

There are many other factors to consider when buying stocks in a recession. Cash was the first of them. During the next months, I will add more key factor to buy great stocks in 2009. Stay tuned!

Posted in Best Stocks in 2009 | Comments (2)

Posted on Tuesday, 30th June 2009 by admin

A little over six weeks ago I produced a video on the relationship between Apple and RIMM.

I called it the “Battle Of The Tech Titans,” and in this short video I explained that we felt the relationship was changing between Apple, Inc. (NASDAQ_AAPL) and Research In Motion, Ldt (NASDAQ_RIMM). I detailed a strategy of approaching this market using a trading strategy that I call “pair trading” or “trading pairs.”

What trading pairs means is that you buy one market while going short the other market in the same sector. Now Apple and RIMM are battling it out right now in the smart phone sector. It remains to be seen who is going to be triumphant in this battle but it would appear as though Apple may have the upper hand based on its very successful “APP” store.

I strongly suggest you watch my earlier video on this subject; here’s the link. http://broadcast.ino.com/education/apple_vs_rimm/ And then watch our latest video which I just produced.

Trading pairs is what many professionals do when they are unsure as to the direction of the general market but feel pretty comfortable in their analysis of the relationship between two stocks. I hope you find the video both informative and educational.

The video is free to watch and there is no need to register. Please click here to watch the video.

Posted in Uncategorized | Comments (1)