Sunday, November 2, 2008

Election,worldwide slowdown will dominate news....

Markets are trying to show a brave face....despite worldwide slowdown in economic activity.....

India reduced lending rates again over the weekend after coordinated cut by most central bank......

Currently we are @ the epicentre of economic slowdown & job loss......

I am expecting November to mark the end of severe contraction in economic activity around the world.....

November....is going to be TROUGH......in industrial activity & then GRADUAL ramp UP....

So..brace yourself for negative economic news from everywhere......

I expect China to slowdown to 7% GDP growth far cry from 11%++ and 9.1% recently reported...

India is expected to slowdown to 5% GDP growth.....which is also much lower than 9% peak growth......

US will have 2 Q of negative growth...current Q & last Q......

So ...all the economic Gloom & Doom is hitting its low point NOW..........

BUT......

Market looks ahead to Jan Q GDP which will be positive.......

Stocks will look ahead to Jan growth and many stocks are already making an move UP in anticipation......

It will be profitable to have "reasonable exposure" in few strong stocks as evident from tape....

Oct 10TH LOW will hold.......

Markets will "resume normal trading pattern" vs crazy tape which we have witnessed recently..

What is a normal trading pattern......trending UP with pullbacks......

I am expecting US election to be a CALMING factor for markets.....as we will have a decisive winner....NO HANGING CHADS for bears to FEAST ON.....

Strongly suggest to pay close attention to tape and do due diligence by checking fundamentals CLOSELY.....

BLOG does NOT give buy or sell.

Saleem

9 comments:

Claude said...

Saleem,

As usual, great comments and insight from you...

I think that the main goal will be to lock profits on a regular basis for a while and not be afraid to sell at loss. It is very difficult to go long term in this market but I am confident that if we do our DD, we can spot great opportunities in great stocks (RIMM and AAPL for example).

Maybe I am wrong about this, but playing the IBD top 100 right now is quite dangerous. These stock light up easily but they can crash down brutally. The more I study them, the more they scare me. In January, I opened 4 fictitious portfolios on Yahoo (using 3 different strategies + one portfolio with random picks). One of my portfolios was only made up with IBD top 100 stocks… it is down 58%... It’s my worst portfolio of the group.

It is easy to get caught in the exuberance, I know, I got burned. Therefore, you are absolutely right when you say to pay close attention to tape and check fundamentals CLOSELY…

Cheers…

Stocks100 said...

Hi Frogvest,

Appreciated your note.

IBD 100 is played by many & they know the result of that effort.

IBD 100 is a great daytraders ideas...

I like to do my own FA & do pay attention to tape.....this way I take full responsibility for my trades.

Making money in markets is never easy....so locking of profit IS a great strategy.....nobody got poor taking profit....

Good luck with your strategy of wisdom as learned by you...lately!!!

We are all learning something new with every twist & turn in markets.

Saleem

madmax said...

Good Morning to all

DRYS is blasting off as I predicted
Look at FRO, DSX SSW, TNP VLCCG as movers

DRYS had recored profits
these stocks can be good for a day trade!

SALEEM, LVS is looking strong today
OILS may be a play today SWN, HAL, PWE

Good luck
M

Stocks100 said...

Hi Madmax,

Thanks for your report on DRYS...it is looking good..it should help all dry shipping stocks.

LVS was trashed to a ridiculous level.....it is moving fast towards its real value which is around $40....

Saleem

madmax said...

SALEEM

LVS:
NEWS FOR Las Vegas Sands Corp (LVS) more news >
10/31/2008 3:27:06 PM S&P cuts Las Vegas Sands to 'B'; further downgrade possible
10/31/2008 9:33:19 AM Las Vegas Sands up 8% in early trading
10/30/2008 9:39:04 AM Las Vegas Sands soars by 29% in early moves
10/28/2008 11:12:54 AM Two Las Vegas hotels install Nortel solutions for guests and staff
10/28/2008 10:27:09 AM Two Las Vegas hotels install Nortel solutions for guests and staff
10/24/2008 9:37:14 AM Las Vegas Sands down 27% in opening action
10/24/2008 8:34:57 AM Las Vegas Sands Developing Capital Raising Program, Sheldon G. Adelson Family to Participate
10/22/2008 8:09:16 AM Macao Completes Legal Separation of Four Seasons Apartment Hotel Tower on Las Vegas Sands' Cotai Strip(R)
10/20/2008 5:26:01 PM Monday's biggest gaining and declining stocks
10/16/2008 2:10:00 PM InventBay.com Launches New Website at International Inventor's Expo
more news >

IBD SmartSelect® Corporate Ratings
Las Vegas Sands Corp (LVS) Ratings as of 11/3/2008

Earnings Per Share (EPS) Rating Relative Price Strength (RS) Rating Industry Group Relative Strength (Grp RS) Rating Sales + Profit Margins + ROE (SMR) Rating Accumulation/ Distribution (Acc/Dis) Rating
30 3 D B D+
Las Vegas Sands Corp has outperformed 30% of all publicly-traded companies based on its short and long term earnings growth rates. Las Vegas Sands Corp has outperformed 3% of all publicly-traded companies in terms of its stock price performance over the last 12 months. Las Vegas Sands Corp belongs to an industry group that has performed in the bottom 40% of the 197 industry groups tracked by Investor's Business Daily, measured over the last six months. Las Vegas Sands Corp rates in the top 40% of all publicly-traded companies based on four fundamental factors used by many analysts today: a company's sales growth rate over the last three quarters, before- and after-tax profit margins, and return on equity (ROE). Las Vegas Sands Corp stock has been experiencing moderate selling, based on its daily price and volume changes over the last 13 weeks.

standardshigh said...

Hi Madmax,

Shippers are getting upgraded for 2009. As economy gets jump started the shippers will respond in kind. Think I'll keep mine into 2009. Dividends right now are fantastic.

Best Regards

madmax said...

LVS shows a lot of talk to $20-40 share pop
Looking good

Is this a good entry point??? or am I late

Stocks100 said...

Hi Madmax,

Even if you believe that $20 is a good target for LVS.....it means if you buy below $16...you have a chance of $4 per share gain....

Saleem

madmax said...

SALEEM
Got orders in for QLD and LVS

Swing trade time

TV saying buyer holding back buying till election is over-PHEW!!!! excuses