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.

 

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.

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.

  

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.

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.

Railcar Makers: Deep Value In An Overbought Market - The Greenbrier Companies, Inc. (NYSE:GBX) | Seeking Alpha

Railcar Makers: Deep Value In An Overbought Market - The Greenbrier Companies, Inc. (NYSE:GBX) | Seeking Alpha



Bret Jensen has written an excellent article about the railway car manufacturing industry.  Many of the comments following the article were also outstanding.  Buying GBX and TRN now is a great idea because the rest of the stock market is mostly overbought while the rail car companies are oversold.  I plan to start buying both of these companies beginning with TRN.  As one person commented, this could be a "long" growth story.

Is USO About To Turn Things Around? - The United States Oil ETF, LP (NYSEARCA:USO) | Seeking Alpha

Is USO About To Turn Things Around? - The United States Oil ETF, LP (NYSEARCA:USO) | Seeking Alpha



This is a great article on the state of the oil supply and the probable outcome on oil stocks.  Basically, the price of oil will oscillate between $43 and $50 per barrel until the third or fourth quarter when the drilling rig cuts will finally have an effect on the supply.  In the meantime, I have found that the natural gas ETF, UGAZ, has a predictable trading range from around $2.60 to $3.07.  You can probably make a lot of money in UGAZ over the next several months through buying and selling in this trading range.

  

Don't let volatility scare you away from the market

Don't let volatility scare you away from the market



Here is a very good article about not worrying over recent stock market volatility.  The actual up and down limits are not really that bad.  It is also normal for the market to have some gyrations.  The long term trend is still up also.  As the author mentioned, you could buy good stocks on pullbacks. 



Secondly, the economy is currently doing okay.  It is unlikely that we will have a bear market without a recession.  So, you can buy stocks that will continue to do well in spite of the market oscillating.  I bought Facebook (FB) and Starbucks (SBUX) this week because I believe both stocks can go much higher.

The Best Water ETF (PHO, PIO, CGW, FIW) - Guggenheim S&P Global Water Index ETF (ETF:CGW), First Trust ISE Water Index Fund ETF (ETF:FIW) | Benzinga

The Best Water ETF (PHO, PIO, CGW, FIW) - Guggenheim S&P Global Water Index ETF (ETF:CGW), First Trust ISE Water Index Fund ETF (ETF:FIW) | Benzinga



Here is a great article at Benzinga about water ETF stocks.  The author mentioned four water ETFs which have not done too well lately although 2013 was a good year for them.  Certainly, though, water stocks could be winners in the future.  I just saw a post on Facebook today that California is running out of water.  So, it will probably be worthwhile to put these stocks on your watchlist:  PHO, PIO, CGW, and FIW.

Biotech Stock Boom

It has been frustrating recently to know what direction the stock market will really take.  We have had a number of 200 point plus and minus days on the Dow.  So, it is difficult to invest in a market where you don't have any confidence in its direction for the next day, next week, or next month.

Zacks wrote a very good article at Seeking Alpha about profitable investing in biotech stocks which have been going up in spite of stock market gyrations.  I already own BIB which was one of the stocks that Zacks mentioned.  A second ETF that they suggested was XBI, and I plan to buy it Monday morning.  The third stock that they recommended was BBC, and it is on my watchlist.  I believe that biotech stocks will continue to outperform the market because everyone will need healing drugs at some point in his or her lifetime.

It’s Time to Trade Shale Stocks

It’s Time to Trade Shale Stocks



Here is an excellent article which explains how we will eventually move higher on the price of oil instead of lower.  Hundreds of drilling rigs have been shut down.  Oil has stabilized around the $50 price range.  We are still getting surges in inventory from wells that are already completed, but this will slow down at some point.  I like REXX, SD, LNG, and UGAZ for double digit gains sometime this year.

IBB Doesn't Fit The Mantra Of High-Risk High-Reward - iShares Nasdaq Biotechnology ETF (NASDAQ:IBB) | Seeking Alpha

IBB Doesn't Fit The Mantra Of High-Risk High-Reward - iShares Nasdaq Biotechnology ETF (NASDAQ:IBB) | Seeking Alpha



This is a great article about IBB, a biotech ETF which has beaten the market in bull and bear times.  The author showed a great chart about how IBB performed better than the market in 2008.  In fact, IBB should have been considered the canary in the coal mine during the last bear market.  It was actually positive for a while when the major indexes were negative.  Then, when IBB finally went negative, that should have been a major bear market sign and a sure time to rush to the sidelines.

Is This The End Of Nuclear? - Southern Company (NYSE:SO) | Seeking Alpha

Is This The End Of Nuclear? - Southern Company (NYSE:SO) | Seeking Alpha



Here is an interesting article which brings up some of the problems with nuclear energy.  The same would apply to investing in uranium stocks.  There is no telling how long you will need to wait for a profit.



In contrast to that, solar stocks are on fire.  Costs continue to drop, and solar is a good long term investment.  Take a look at the Yahoo chart below concerning TAN, the solar ETF.  It is up 28% in just three months.  Click on the chart to expand it.

Friday's Sell-Off: Assessing The Damage And Opportunities | Seeking Alpha

Friday's Sell-Off: Assessing The Damage And Opportunities | Seeking Alpha



Eric Parnell has written another outstanding article on the state of the stock market.  The Dow's decline of -278 on Friday was very scary, and a drop of this size has not happened in a long time.  Long term government bonds and gold fell even further than stocks.  So, as Eric said, there is no safe place to hide except in cash or BIL, short term government bonds.



Of course, volatility was up but it is very difficult to catch gains on a volatility index like VXX or TVIX.  In spite of the bad news, Eric said the stock market is still in an unbroken uptrend.  However, we need to steer clear of some stocks that he mentioned because the downside is more on utilities and REITs like XLU and VNQ.  The author said the long term uptrend is still intact for these sectors, though.  Their gains were just overextended.




  

Dow tumbles below 18,000 as jobs report stokes rate worries

Dow tumbles below 18,000 as jobs report stokes rate worries



This is a good article about the Dow falling more than one percent.  Investors are worried about rising interest rates.  Eventually, stocks will probably pull back 5-10%, and then it will be safe to buy again for a while.  Everything should be held lightly in our topped out market, and profits should be taken when you have them.  We will probably be able limp along in this fashion for two or more years until the economy turns south.  Then, cash and government bonds will be the best place to be whenever the next bear market starts.

A Brewing Problem

A Brewing Problem



This is a great article filled with good and bad points about Keurig Green Mountain coffee.  The inventor of the K-cup sold the company for a measly $50,000.  He later made 46 times his money by investing in Green Mountain at $3.20 and selling his stock at $140.  The article does not say he put the whole $50,000 into GMCR, but if the inventor did, he made over $2.3 million dollars from his investment.  This is a stock investor's dream which usually does not happen to most people.



One problem with long term investing is that you cannot know for sure which company will be the next GMCR or Apple.  The second problem is that people will often sell out before the company has reached its full potential.  I have owned both GMCR and Apple, but I sold out too soon in both cases.  Currently, my best long term stocks are Apple suppliers:  AVGO, NXPI, and SWKS.  I hope I will do a better job in holding on to these current picks.  I also intend to make money by trading stocks like UGAZ, UGA, and FAZ.  Then, a third way I plan to make money is by holding dividend stocks like PFF, DHY, and PFN.  So, I expect to make money while being fairly safe and well diversified.