Seeking Alpha

MitchSand's  Instablog

Send Message
Founder of Mitch Financial
My company:
Mitch Financial Website: We Believe In Financial Balance
View MitchSand's Instablogs on:
  • How To Handle A Couple Different Problems You Might Run Into

    Now there are a couple different problems you might (or should I say will) run into when investing in stocks:

    • The price keeps rising and I want the most income I can get, when do I sell?
    • The price keeps falling and I want a discounted price, when do I buy?
    • The price doesn't seem to be moving much and I don't know what it will do next, what do I do?

    Now all of these are very good questions and will pop into your head many times. Now instead of tell you in one paragraph the answer to all of them, I'm going to give you 3 paragraphs and many different answers, so get ready:

    1. (The price keeps rising and I want the most income I can get, when do I sell?) Now this is the most common of the three questions because it is impossible to tell when you have the stock price at its peek. But think about it, will an extra $25 do you any good in the long run, not really (its not enough to buy a car or house, maybe a nice dress or suit). So why worry about getting that small extra $25 and sell when it looks like a good amount of income.
    2. (The price keeps falling and I want a discounted price, when do I buy?) This one is a little easier to answer: (1) You can buy the stock when some good news comes out about it or earnings or (2) You can DCA. Now if you don't know what DCA is I will explain it too you: DCA or Dollar Cost Averaging is simple, first you invest in a stock (lets say 25 shares of Wells Fargo (NYSE:WFC) at $30) you invested $750 in that stock. Now two things can happen (1) The price will drop to $25 after you buy it. Then you invest $750 worth of the $25 share of Wells Fargo. If it goes up to $35 then do the same thing with $35 shares. This will cut your loses in half if you have any, but will do nothing too your gains if you have any.
    3. (The price doesn't seem to be moving much and I don't know what it will do next, what do I do?) Hold the stock.

    Now these problems might not seem so complicated, pretty much all you have to do is stay calm and make good decisions, because if you are stressed and worried about the stock and try the make a big decision on it you will be putting more stress on yourself and most-likely make a bad decision.

    Tags: Investing
    Aug 16 7:04 PM | Link | Comment!
  • Jobless Claims, International Trade, Import And Export Prices, And Treasury Budget Consensus'

    International Trade:

    • The U.S. international trade gap in May narrowed, thanks largely to lower oil prices. The trade deficit narrowed to $48.7 billion from $50.6 billion in April. Exports rose 0.2 percent, following a 0.9 percent decline in April. Imports fell 0.7 percent after a 1.6 percent drop the prior month. The narrowing in the trade gap was led by the petroleum goods gap which shrank sharply to $24.9 billion from $28.1 billion in April. In contrast, the non-petroleum goods deficit expanded a little to $37.9 billion in May from $36.7 billion the month before. The services surplus improved to $14.8 billion from $14.6 billion.

    Jobless Claims:

    • Initial jobless claims rose 8,000 in the July 28 week in what was the smallest change after three weeks of severe volatility tied to adjustment for summer auto retooling. The latest level of 365,000 was right in line with the 4-week average of 365,500 which offers an interesting gauge for the full-month July to June comparison, and this comparison, which was down more than 20,000 from the late June average, points to improvement in the labor market. Continuing claims in data for the July 21 week fell 19,000 to 3.272 million with the 4-week average down 11,000 to 3.299 million for the lowest reading since early June.

    Import and Export Prices:

    • Import prices fell a steep 2.7 percent in June following a downwardly revised 1.2 percent plunge in May and a 0.1 percent decline in April. The decline in June was the steepest of the recovery. The export side, where the headline in minus 1.7 percent, was very similar with a 4.0 percent monthly plunge in agricultural exports a heavy negative.

    Treasury Budget:

    • The U.S. Treasury monthly budget report showed a June deficit at $59.7 billion. Receipts were up while growth in spending was down, making for a 6.8 percent decline in the nation's deficit 9 months into government's fiscal year. When excluding special factors, such as calendar timings for government payments, the deficit was down 12.7 percent. Looking ahead, the month of July historically shows a deficit for the month. Over the past 10 years, the average deficit for the month of July has been $72.2 billion and $103.6 billion over the past 5 years. The July 2011 deficit came in at $129.4 billion.

    ~Mitch Financial

    Tags: Economy
    Aug 08 10:19 PM | Link | Comment!
  • Independent Oil & Gas Rating Reports

    Occidental Petroleum Corp (NYSE:OXY)- A: First and maybe the most important part of rating a stock you need to look at the stocks growth over time. And the thing you look for when looking at growth is revenue and net income growth. This company has great growth in revenue with the last five years going; 20.0B, 24.5B, 15.5B, 19.1B, and last year 24.1B. Though you do see a drop in 2009 you have to remember that was when we were having a depression so you can't expect a stock to keep its revenue up. Then for sales you see the exact same trend so I'm not going to show you the numbers. We rate these fundamental numbers: A

    Next after fundamental we have technical analysis. The stock over the past 6 months has been having a trend downward but it is starting to come out of that decline. But because of the decline over the last 6 months we rate the technical strength of the company: BB.

    Apache Corp (APA)- BBB: First we looked into the fundamental strength of the company (ticker: APA). We rate if by the growth of the company over the past few years. The main two fundamental ratios we look at and are the biggest part of test is the growth of revenue and net income. The company has had very good revenue and net income growth and had recollected itself after the fall in 2009 during the depression. And this is the same story with the net income. Revenue 5yr growth: 2007-10B, 2008-12.4B, 2009-8.6B, 2010-12.1B, 2011-16.9. So as you can see it has shown great revenue growth and for that reason we rated the fundamental strength: AA

    Next we looking into the technical strength of the company (ticker: APA). The stock has showed much volatility over the past year and is at the bottom of one of the wavelengths so I believe it´╗┐will go up again. Rating for technical strength: BBB

    Anadarko Petroleum Corp (APC)- CCC: First we need to rate the fundamental strength of the stock (ticker: APC). The biggest part of this test come from the growth of revenue an net income. Over the past 5 years the revenue growth has been gone, the revenue per year has been DECREASING! Now this is very bad for a company to have. Now thought it did fall after the 2009 depression, it hasn't been correcting itself up again to the level it was in 2007 and 2008 and even then there was a decrease in revenue from 2007 to 2008. Because of this we rate the fundamentals of the company: CCC

    Next we rate the technical strength of the stock (ticker: APC). For the past 9 months the stock price has been declining fast and it doesn't seem to be stopping soon. Though it did start to go up at the beginning of June, it has been falling ever since. This seems to look like it will continue so I will rate the stock for technical strength: CC

    Devon Energy Corp (DVN)- AAA: First we need to rate the fundamental strength of the company (ticker: DVN). The stock had great growth in revenue from 2007 to 2008 then took a big dip in 2009 when the depression struck. But that hurt the company more than most because the size and products they sell cost lots and aren't daily buys. Also it is usually a government buying, but this company is based in the US and the US is going under depression and can't afford to buy from them. This is why they took the big dip then. But from 2009 to 2010 the company made a big correction and kept that going till 2011 but is still under the 2008 revenue. But when putting all those facts in there we rated the fundamental strength of the company: AA

    Next we test the technical strength of the company (ticker: DVN). As most stocks in the industry, it has been going down for the past 6 months, but at a slower pace than most. It is starting to come back up and this has been going on for 1 and 1/2 months. This will probably lead to an increase in the price for the next 6 months. Using this research, we rate the technical strength of this stock: AAA

    Source: Mitch Financial

    Jun 24 4:02 PM | Link | Comment!
Full index of posts »
Latest Followers


More »
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.