Sunday, November 4, 2012

Will getting past the election help?



I did sell IWM and SLV this week and picked up EWW (Mexico) and a little more AAPL. The EWW was a good idea, the APPL …not so much. 

The doghouse stocks are getting worse and a little crowded. This looks like a bad idea that has gotten worse. The idea was to hold on to stocks that have turned south until they recover ...as long as they are profitable companies. Fortunately these are small positions. 

We still have the S&P 500 clear of a drop to 1396. This had been cited by a technician as one of the Fibonacci numbers that if breached, will signal a greater drop going forward. 


What will happens on Wednesday after the election outcome is firmed up? …at least it should be decided by then.  We know the market does not like unknowns. Regardless of the election outcome the market will have this unknown out of the way and hopefully it will be looking forward with a less cloudy future.

I don’t often talk about the dividend payer portfolio but it has been doing well. As the year end approaches I have been considering replacements for a couple of past stellar holdings KO and MCD. One has to wonder how well Coke and McDonalds will do going into the future. With both of companies products being out of favor by a growing group focusing on healthier lifestyles I would like to find replacement for them. I suspect that both will do just fine but I will be looking for a good dividend payer to replacement them with…if possible.

What did I see in my weekend review?
The 10-yr Treasury yield is at 1.73

IBD (Investor Business Daily) is at: Market In Correction

Copernicus Systems: is short but mixed

Moneys Flows is down in 2 out of 3 portfolios

Currently my "Stocks for a Trade" now consists of:
(All gains or losses shown are the total since purchase)

ETF’s for a trade are:
GLD -1.35%
EWG -1.65%
EWW  +1.29%

Doghouse:
ALXN -21.28%  
FRAN -17.88% will stick with the earlier plan and sell it on or before Dec 1
ALGN  -30.71%
AAPL  -9.55%

What will I do?

Wait.

I hope you have a great week.

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