9 Reasons Apple Shares Will Make New Highs, Again [View article]
worldclass777, due to Apple's low short interest ratio, it is not unusual for it to experience short dated large drops. However, it has also shown a history of recovering from such drops...
This morning's drop was expected in the article, as sellers follow on selling through the breach of the 50-day moving average; I believe it is an opportunity to buy on such sell signal, as I do not believe such sell signal will last...
9 Reasons Apple Shares Will Make New Highs, Again [View article]
Thank you for your comment ramzi15. Indeed that is a good level to get in, as it seems we are trading around $646 at this time prior to the market's open.
These 3 Top Stocks Could Be Poised For A Correction As Oil Continues To Drop [View article]
Many of the companies you list have substantial downstream operations. A drop in oil prices can also lead to higher margins on refined products. With refinery capacity still somewhat limited, refined products have not dropped in price to the same degree as crude has, hence limiting the drop in the share price of above companies.
In addition, QE3 is expected to lead to an expansion in P/E multiples. Hence, in case they witness a drop in earnings, and as long as such drop from a percentage basis is less than the percent increase in P/E multiples, then any potential drop in their share price will be somewhat mitigated....
RF Micro Devices Receiving A Stronger Signal [View article]
The greatest challenge to RFMD could also be competitive forces. You have included a line about such risk, but given RFMD poor performance during the past two years, it may warrant further examination due to RFMD negative return on equity (ttm), minimal operating margin, negative profit margin, and a forward P/E ratio above 15 which is somewhat fair, but not cheap....
6 Favorite October Tech Stocks To Buy And Hedge [View article]
I haven't analyzed Apple's monthly performance during the past decade for every month of the year. However, given the fear that is sometimes associated with October due to its association with market crashes, it was interesting to discover that Apple had actually appreciated 90% of the time during the month of October during the past decade...
6 Favorite October Tech Stocks To Buy And Hedge [View article]
Naturally, past performance is not necessarily indicative of future performance. However, it is important to be aware of cyclical patterns which can sometimes lend higher probability for how certain events unfold. Personally, I believe that although it is not guaranteed that Apple, IBM and Oracle will appreciate in October, I believe it is highly probable that they will...
It's Okay To Fight Fed Intentions, Just Not Fed Actions [View article]
Very good article.
It is also important to note that inflation has become "digital" in nature. I will explain:
Bernanke has also been known as "Helicopter Bernanke" because his original thesis is that it is not necessarily bad to fly over in a helicopter and drop money on the masses, hence providing needed cash for consumption and avoiding deflation. Such concept would actually result in steady rising inflation, depending on how much money you dump out of the helicopter. In case you dump endlessly, you will then end up in hyperinflation Germany in the Weimar Republic around 1923.
However, today money is not being showered onto the masses. It is actually given to the few elite. Who are the few elite? The bankers. Not necessarily all bankers, as within a certain bank, there is only a handful of executive individuals who actually drive major decisions. Similarly, cash in corporate America also exceeds over $1.2 trillion. Such money is simply sitting there, again awaiting disbursement. Once again, who can disburse such cash? A few elite executive managers within those corporations who actually make the majority of decisions.
So at the end of the day, the decision of the transfer of money to the average citizen, whether originating from the Fed, or whether originating from corporate profits, actually resides within an elite group of executive managers who probably number just a few thousand at most, and within such a few thousand, probably under 500 would account for over 70% of the available liquidity.
It is also the case that such elite act as a heard. They typically act together, or not at all. Hence, at the end of the day, such elite are the actual deciding factor for inflation. No matter how much money is stached into the system, either they decide to let it out, or they decide not to let it out. Hence, the "digital concept", whereby in such concept the outcome is either 0 or 1.
Once such elite decide to disburse the cash, most likely after they have adequately positioned themselves to benefit handsomely from such step, inflation will pick up and will pick up quickly, and much faster than any Fed or government can reign it back in. Why? because the ability to reign it in again will be in the hands of those elite,
Maybe if Bernanke really wants to improve matters, he should go back to his original thesis of dumping money in a controlled manner out of a helicopter. Such concept is much better than dumping money to a few elite who simply accumulate it, until one day they may decide to let it all out at once.....
2 Stocks To Avoid In The Top 10 NASDAQ-100 Ranking [View article]
Given its valuation DLAL, one must have a nerve of steel to buy Amazon...
At the same time, given that markets can often be irrational, and for a long time, it is not a stock I would short outright; its current level is a good level to take profit on, or possibly buy some naked puts with known capped downside.
9 Reasons Apple Shares Will Make New Highs, Again [View article]
9 Reasons Apple Shares Will Make New Highs, Again [View article]
This morning's drop was expected in the article, as sellers follow on selling through the breach of the 50-day moving average; I believe it is an opportunity to buy on such sell signal, as I do not believe such sell signal will last...
9 Reasons Apple Shares Will Make New Highs, Again [View article]
9 Reasons Apple Shares Will Make New Highs, Again [View article]
These 3 Top Stocks Could Be Poised For A Correction As Oil Continues To Drop [View article]
In addition, QE3 is expected to lead to an expansion in P/E multiples. Hence, in case they witness a drop in earnings, and as long as such drop from a percentage basis is less than the percent increase in P/E multiples, then any potential drop in their share price will be somewhat mitigated....
RF Micro Devices Receiving A Stronger Signal [View article]
Will These 3 Apple Suppliers Soar Again? [View article]
6 Favorite October Tech Stocks To Buy And Hedge [View article]
6 Favorite October Tech Stocks To Buy And Hedge [View article]
It's Okay To Fight Fed Intentions, Just Not Fed Actions [View article]
It is also important to note that inflation has become "digital" in nature. I will explain:
Bernanke has also been known as "Helicopter Bernanke" because his original thesis is that it is not necessarily bad to fly over in a helicopter and drop money on the masses, hence providing needed cash for consumption and avoiding deflation. Such concept would actually result in steady rising inflation, depending on how much money you dump out of the helicopter. In case you dump endlessly, you will then end up in hyperinflation Germany in the Weimar Republic around 1923.
However, today money is not being showered onto the masses. It is actually given to the few elite. Who are the few elite? The bankers. Not necessarily all bankers, as within a certain bank, there is only a handful of executive individuals who actually drive major decisions. Similarly, cash in corporate America also exceeds over $1.2 trillion. Such money is simply sitting there, again awaiting disbursement. Once again, who can disburse such cash? A few elite executive managers within those corporations who actually make the majority of decisions.
So at the end of the day, the decision of the transfer of money to the average citizen, whether originating from the Fed, or whether originating from corporate profits, actually resides within an elite group of executive managers who probably number just a few thousand at most, and within such a few thousand, probably under 500 would account for over 70% of the available liquidity.
It is also the case that such elite act as a heard. They typically act together, or not at all. Hence, at the end of the day, such elite are the actual deciding factor for inflation. No matter how much money is stached into the system, either they decide to let it out, or they decide not to let it out. Hence, the "digital concept", whereby in such concept the outcome is either 0 or 1.
Once such elite decide to disburse the cash, most likely after they have adequately positioned themselves to benefit handsomely from such step, inflation will pick up and will pick up quickly, and much faster than any Fed or government can reign it back in. Why? because the ability to reign it in again will be in the hands of those elite,
Maybe if Bernanke really wants to improve matters, he should go back to his original thesis of dumping money in a controlled manner out of a helicopter. Such concept is much better than dumping money to a few elite who simply accumulate it, until one day they may decide to let it all out at once.....
Will These 3 Apple Suppliers Soar Again? [View article]
2 Stocks To Avoid In The Top 10 NASDAQ-100 Ranking [View article]
At the same time, given that markets can often be irrational, and for a long time, it is not a stock I would short outright; its current level is a good level to take profit on, or possibly buy some naked puts with known capped downside.
Will These 3 Apple Suppliers Soar Again? [View article]
Will These 3 Apple Suppliers Soar Again? [View article]
Will These 3 Apple Suppliers Soar Again? [View article]