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Michael Michaud is the founder of Invest2Success.com (http://www.invest2success.com/) and the Invest2Success Blog (http://invest2success.blogspot.com/). He has been investing and trading in the financial markets since 1989. He founded Invest2Success.com to empower individual institutional... More
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  • Gold Report 2015 Opportunity

    Gold Bullion Bar

    Gold Report 2015 Opportunity

    Investors Hated Gold at Precisely the Wrong Time: What About Now? by Elliottwave International

    Sentiment extremes often foretell major turns in financial markets.

    The price of gold hit a 4 1/2 year low last week. Many analysts see "more reasons for prices to go down." Learn why you should be wary of the prevailing bearish sentiment toward gold. Read more.

    I came across this sentence in an article about gold:

    Nobody expects gold prices to turn up soon...

    Another observer put it this way:

    There doesn't seem to be anything on the horizon that will make gold prices go up. It would be easy to think these comments published last week, when gold's price reached a 4 1/2 year low ($1,131.85).

    But in fact, those comments published on February 12, 2001 -- within days of gold's major low of $253. Many investors missed the ten-year bull market in the yellow metal that followed.

    The peak of that bull run was Sept. 6, 2011, when gold reached its all-time high of $1921.50. The then-prevailing sentiment was the opposite of 2001. A major global bank announced that gold's "fair value" was $10,000 an ounce.

    We had a different point of view. Just four days before gold's top, The Elliott Wave Financial Forecast featured this chart and commentary.

    Gold 5-Wave Rally

    Commodity fifth waves in major rallies often end in a final spike higher. ...

    Gold's wave structure is consistent with a terminating rise. As this monthly chart shows, prices exceeded the upper line of the channel formed by the rally from the 1999 low in what Elliott terms a throw-over. A throw-over occurs at the end of a fifth wave and represents a final burst of buying, as the last sub-waves of a rally conclude.

    Financial Forecast, September 2011

    Sentiment extremes often accompany major trend changes in financial markets. The Daily Sentiment Index (trade-futures.com) showed 98% gold bulls around the time of the yellow metal's all-time high. More than that, a Gallup poll showed that Americans considered gold to be the best long-term investment.

    Since then, the price of gold has fallen by over a third.

    Now, pessimism is again the prevailing sentiment surrounding gold.

    On November 10, an analyst told CNBC: "I don't see a reason why gold prices would continue going up - there are more reasons for prices to go down." The head of precious metals at a Canadian bank says, "The [gold] market still looks vulnerable.'"

    On November 7, the largest gold-backed exchange-traded fund saw its biggest one-day outflow in nearly three weeks. October saw its biggest monthly outflow of 2014.

    What's next for gold? You may have guessed, the sentiment is again suggesting that the majority opinion (bearish, this time) will be proven wrong.

    Click Here for the New Free Gold Report 2015

    New technical analysis, eye-popping sentiment studies, why most analysts missed gold's 2011 top, plus a BIG near-term opportunity developing for gold investors right now.

    Click the Links Below to Review Professional Precious Metals Trading Advisory Services and Resources

    Precious Metals

    Intraday Daily Weekly Monthly Forecasts on Gold Silver Copper and Aluminum
    You get short, clear forecasts for the direction throughout the trading session, most with short-term Elliott wave-labeled charts. And you get precise support and resistance points, so you always stay in control of your position risk.

    Alpari

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    Nov 25 7:34 PM | Link | Comment!
  • This Weeks Free Stock Pick

    Black Diamond Equipment

    This Weeks Free Stock Pick - Investing in Sporting Goods Earnings Growth

    Black Diamond (NASDAQ:BDE) recently reported Q3 earnings data which topped both the Zacks Consensus Earnings and Revenue Estimates. The reasons behind the beats were solid reorders for the Black Diamond spring/summer product, the POC and Black Diamond brands, and the POC Road line. The strength of these lines helped propel Black Diamond's revenues up 24% year over year.

    This Zacks Rank #1 (Strong Buy) company was formerly known as Clarus Corporation, operates as a manufacturer and distributer of outdoor recreation and equipment and active lifestyle products. Black Diamond's products range from rock-climbing equipment, technical and high end backpacks, headlights and lanterns, gloves and mittens, tents, skis, ski products, and avalanche safety equipment.

    Earnings Results and Forward Expectations

    Black Diamond posted solid Q3 earnings data, beating the Zacks Consensus Earnings Estimate by a whopping 1200%, and beat the Zacks Consensus Revenue Estimate by $1 million dollars. Further, the company has beaten the Zacks Earnings Estimates in three out of the four previous quarters with an average positive earnings surprise of 553.13%.

    These solid consistent numbers has caused the Zacks Earnings Estimates for Q4, FY 2014, Q1 2015, and FY 2015 to all increase over the past 30 days. Estimates have risen: Q4 from $0.04 to $0.10, FY 2014 from -$0.18 to -$0.01, Q1 2015 from -$0.05 to -$0.01, and FY 2015 from -$0.01 to $0.26.

    As you can see from the Price and EPS Surprise graph, when Black Diamond beats they see a strong uptick post earnings.

    Black Diamond Stock Chart

    Company Data

    During the quarter, Black Diamond saw growth in many categories; Revenue up 24% y/y, Adjusted gross margin up 290 bp y/y, and SG&A was up 6% y/y. Further, current second half guidance is looking for sales between $113-$118 million, up 15%-20% y/y, and a nice increase in gross margins between 160-260 bp. This would indicate a consistent growth trajectory for the company going forward.

    On a quarterly basis, Black Diamond was able to increase net margins by 9.9%, while decreasing Total debt to total capital by 7.5%, Total debt to total equity by 9.9%, and Total asset to Common equity by 8.2%.

    Bottom Line

    As the House Stark family motto states, 'Winter is Coming', and with another polar vortex, which is expected to be just as bad or even worse than last year, now slamming many parts of the U.S., winter has come. And it is time to bundle up!

    A company that sells avalanche gear, skis, gloves, and other outside items would be greatly benefited by a cold snowy winter. So bundle up for a strong winter with Black Diamond Inc!

    Click Here for a Free Trial of Zacks Investment Research

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    Van Tharp Institute
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    Dedicated to cutting edge, high quality professional educational investing trading programs for traders and investors providing a road map for financial freedom. The finest investing trading education in the financial universe. Dr Van Tharp is one of the orginal Market Wizards, and referred to as the Traders Coach.

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    Click Here For The Complete 2015 Schedule

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    Disclosure: The author has no positions in any stocks mentioned, but may initiate a long position in BDE over the next 72 hours.

    Nov 24 8:00 PM | Link | Comment!
  • "Save Our Swiss Gold" Referendum Vote

    Gold Bullion Bar

    "Save Our Swiss Gold" Referendum Vote

    Will Gold ETFs Be Salvaged by the Upcoming Swiss Vote? by Zacks Investment Research

    Gold is having one of its worst nightmares in more than four years and is currently languishing way below the $1,200 an ounce level - almost near its lowest level since April 2010. The precious metal - which had spiked roughly 200% between January 2008 and August 2013 - is now down more than 41%, below the record low of September 2011.

    While all macroeconomic indicators are currently against gold prices and some experts even believe that the bullion might slump to $800 an ounce by the end of 2015, a referendum to be held in Switzerland at the end of this month might decide on the short-term course of gold prices.

    The proponents of "Save Our Swiss Gold" have lately built up some pressure on the Swiss National Bank (SNB) to ramp up its bullion position to at least 20% of total assets from the current 8%. The bank presently holds assets worth $544 billion and the current proposal if approved would require the Swiss Bank to buy at least 1,500 tons of gold to meet the required threshold by 2019, as per a Bloomberg article. However, ABN Amro Group NV and SocieteGenerale SA estimate that the amount might be somewhat near 1,800 tons.

    Well, if the referendum gets a "yes", the SNB would be forced to buy the yellow metal in big quantities, shelling out $56.3 billion at current prices, making it the world's third-biggest holder of gold. Currently, Switzerland holds 1,040 metric tonnes of gold and is the seventh-largest holder of gold by country, as per International Monetary Fund data.

    Why is Gold Slumping?

    This might bring in some short-term relief to gold prices which have been falling due to a strengthening U.S. dollar against a basket of major currencies. The dollar has been crawling to its seven-year high mark on the back of a reviving U.S. economy, easy monetary policy in most of the developed markets such as Japan and Europe and the recent win by the Republicans in both chambers of the U.S. Congress.

    In fact, the hawkish tone assumed by the Fed lately has added strength to the rising greenback. The Fed will finally end its long-running monthly bond-purchase program, and is now closer to the rate tightening cycle, after it has held rates near zero since December 2008.

    The strengthening U.S. economy and waning geo-political tensions have in fact dampened the safe haven appeal of gold. Also, a lack of robust demand from China and India - the two biggest buyers of gold - has added to its woes.

    Gold ETFs to Watch Out

    Experts believe that the referendum, if approved on November 30, might lead to a short-term rally in the bullion market. This is especially true as the quantity required to be purchased by the SNB represents roughly 7% of annual global demand and could trigger a double digit rally in gold prices, as per Bank of America Corp.

    This might provide some support to gold ETFs which have been trading in the red in the year-to-date frame and have also underperformed broader market products by a wide margin. As a result, investors might want to consider keeping gold ETFs on their radar to watch for any positive movement. Below we have highlighted three popular products in the space, which might move northwards if the referendum goes through.

    SPDR Gold Trust ETF (NYSEARCA:GLD)

    This is the largest and most popular ETF in the gold space with AUM of $27.2 billion and average daily volume of about 6.5 million shares a day. The fund tracks almost 100% of the physical price of gold bullion measured in U.S. dollars, and kept in London under the custody of HSBC Bank USA. Each share represents about 1/10th of an ounce of gold at current prices. The ETF charges 40 bps in annual fees and has lost about 2.7% so far this year.

    iShares Gold Trust (NYSEARCA:IAU)

    This is the second largest fund in the gold space with an asset base of around $5.9 billion. The product is backed by physical gold under the custody of JP Morgan Chase Bank in London. Each share represents about 1/100th of an ounce of bullion at current prices. The ETF charges 25 bps in fees and expenses and trades in solid average daily volume of 2.8 million shares a day. IAU has lost 2.6% in the year-to-date frame.

    ETFS Physical Swiss Gold Shares (NYSEARCA:SGOL)

    This fund holds physical gold bullion bars in secure vaults in Zurich, Switzerland and has amassed $948.2 million in its asset base. Volume is small, trading under 35,000 shares per day. The product has an expense ratio of 0.39% and has lost 2.7% so far this year.

    Click Here for a Free Trial of Zacks Investment Research

    Click the Links Below to Review Professional Precious Metals Trading Advisory Services and Resources

    Alpari

    Alpari FX Brokers Online Forex Trading Company
    You can trade forex, CFDs, precious metals and spread bet with Alpari UK, a leading global forex (NYSE:FX) broker.

    Gold Silver Premium Newsletter

    By Wall Street Cheat Sheet
    Join Chicago Mercantile Exchange commentator Eric McWhinnie as he covers Gold, Silver, Gold & Silver stocks, and miners. We look for companies that based on their price today are trading at a discount now or likely bigger discount 12 months from today. The takeover game is a huge part of the resource business. Quality undervalued companies will not remain so for long.

    Algobit Free Trade Signals

    Free Gold Silver Copper Algobit Trade Signals with a Optionbit Account

    Bullion Vault

    Buy Gold Bullion Online at Live Gold Prices
    BullionVault lets you buy pure physical gold and silver at the lowest possible price. BullionVault gives private investors around the world access to the professional bullion markets. You can benefit from the lowest costs for buying, selling and storing gold and silver. BullionVault is endorsed by the major gold mines and is the world's largest online investment gold service. We take care of $2 billion for more than 40,000 users.

    Gold Silver

    How To Forecast Gold & Silver Prices

    Precious Metals

    Intraday Forecasts on Gold Silver Copper and Aluminum
    You get short, clear forecasts for the direction throughout the trading session, most with short-term Elliott wave-labeled charts. And you get precise support and resistance points, so you always stay in control of your position risk.

    SafeWealth

    SafeWealth's New 200-Page Manual
    Wealth Preservation in Very High-Risk Financial Times

    Gold Oil Guy Alerts

    ETF Trading Ideas and Video Analysis Newsletter

    Live Trading Seminars

    Stock Option Forex Futures Training Seminars Webinars Workshops
    Click Here For The Complete 2015 Schedule

    Professional investors traders teaching successful low-risk high-reward
    trade strategies. Power profit secrets for stocks, options, forex, futures
    investing trading success. Or avail of Home Study Courses and or
    Trading Softwares available to improve your investment returns.

    Nov 20 9:07 PM | Link | Comment!
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