Saturday, March 28, 2015

Williams Companies: Playing The Gas Infrastructure Super-Cycle - Williams Companies Inc (NYSE:WMB) | Seeking Alpha

Williams Companies: Playing The Gas Infrastructure Super-Cycle - Williams Companies Inc (NYSE:WMB) | Seeking Alpha



This is an outstanding article on WMB and the prospects of future growth in natural gas.  Williams has a $30B backlog, and the company should certainly increase in its stock price whenever we start shipping LNG abroad.  In addition, WMB will be laying a lot of pipelines, and they will have steady income from other companies using the pipelines.  There will probably be a summer slump in natural gas prices, but the usage of natural gas will continue to increase.  So, WMB is a buy, and it will probably outperform the S&P 500.

Semiconductor ETFs Could See Further Pain | ETF Trends

Semiconductor ETFs Could See Further Pain | ETF Trends



Tom Lydon has written a great article about semiconductor ETFs and the volatility in the sector.  If you are nimble, you could probably make money on playing SOXL, the 3x semiconductor long ETF.  The problem is that you don't know when the semiconductors will have a bear raid like one day this past week when durable goods orders were down, and the Dow declined almost -300 points.  A better way to play this sector might be SOXS, the 3x semiconductor short ETF, because summer will soon be here, and I believe stocks could go down hard this summer and into the fall when the Federal Reserve will be raising rates for certain.

 

Friday, March 27, 2015

Avago: Likely To Be A Multi-Year Strong Momentum Stock - Avago Technologies Limited (NASDAQ:AVGO) | Seeking Alpha

Avago: Likely To Be A Multi-Year Strong Momentum Stock - Avago Technologies Limited (NASDAQ:AVGO) | Seeking Alpha



This is an excellent article about Avago.  I own shares of the company, and I plan to buy more.  The author pointed out that AVGO was more of a bargain than other momentum stocks.  Avago also did well in acquiring companies like LSI and Emulex which have been around a long time.  Finally, the expected 30% annual growth of Avago will easily beat the S&P 500.

Wednesday, March 25, 2015

S&P 500, Nasdaq Take a Licking as Economic Doubts Grow

S&P 500, Nasdaq Take a Licking as Economic Doubts Grow



Here is an outstanding article about why the Dow fell almost -300 points on Wednesday, March 25.  Durable goods were down, and this is one of the leading indicators for the health of the economy.  Another report came from the Atlanta Federal Reserve where the GDPNow chart is almost at zero, meaning that the economy may be stalling out instead of getting better.



In addition, the author brought up a chart of $NYA, the NYSE Composite Index.  This chart shows a great amount of resistance preventing the NYSE from going higher.  In other words, you are better off being a trader rather than investor in today's market.  Stocks will most likely continue to move lower although we will probably have relief rallies.  When the market falls 7% or more, you will probably be able to pick up UDOW or TQQQ for a money making trade until the Dow goes back over 18,000.  Then, you should book your profit before the market falls again.




Biotech's Rally Fuels Bubble Fears

Biotech's Rally Fuels Bubble Fears



This is an interesting article about the high-risk, high reward biotech stocks.  These stocks and their index ETFs such as BIB and XBI sold off heavily today.  The party may be over in biotech for a while, and it would probably be best to sell your biotech stocks now before they drop further.  You will probably be able to buy the stocks back in a few months at a much lower price.



MSN also had another article concerning transportation stocks which also sold off.  The transportation index never matched the new high of the Dow a few weeks ago, and many believe this is a sign that stocks in general will go lower rather than higher.  So, it would be prudent to reduce any transportation stock holdings and buy them back later when the current storm is over.

  

Monday, March 23, 2015

Oil Will Bottom In 3 Weeks: A Comprehensive Analysis Of Domestic Oil Production - The United States Oil ETF, LP (NYSEARCA:USO) | Seeking Alpha

Oil Will Bottom In 3 Weeks: A Comprehensive Analysis Of Domestic Oil Production - The United States Oil ETF, LP (NYSEARCA:USO) | Seeking Alpha



This is a very good article about how to figure oil production rises and declines.  As you know, production has been rising while drilling rigs have dramatically fallen.  This situation will not last much longer, and the author gave great illustrations to show why oil and natural gas prices will soon turn around.  I am long UGAZ and plan to buy more.  I also plan to buy GST and EGY.  In fact, insiders have already loaded up on EGY near the current $3 price.  In addition, I own SD and MDR, too.  It is only a matter of months before my investments pay off.

Saturday, March 21, 2015

Market Outlook - The Simple Prophecy | Seeking Alpha

Market Outlook - The Simple Prophecy | Seeking Alpha



Peter Way has written an outstanding article about how the stock market has probably more upside than downside in spite of many believing that stocks are overbought.  Believe it or not, stocks can go higher even while being overvalued.  I respect Peter's research very much, and I have made money in the past by trading UDOW after reading his articles.



In addition to the market makers thinking that stocks have more upside, the economy is still doing well.  It is unlikely that stocks will fall very far with today's economic conditions.  Buying oversold quality stocks and buying momentum stocks with good prospects is working for me.  For example, Apple related stocks like AVGO, SWKS, and NXPI are doing great even while they are expensive.  I own all three, and I plan to hold them until I see signs of a bad economy.  I watch the Philly Fed and the Chicago Fed information mostly for our economic direction, and I don't see any current problems.