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First Solar On An Earnings Run

There is one major factor that was left out of this wonderful and insightful analysis, sentiment. There aren't too many stocks that are actually trading where they should be trading based on absolute fundamentals.

Unfortunately, what matters is where Wall Street thinks the stock should be. Is (FSLR) overpriced? Yes. Is Wall Street overlooking that right now? Yes. So until solar stops being one of the hot sector of the moment or the company absolutely disappoints, we won't see a huge decline in the shares, or they'll rebound in very short order.

Also, I would not stay away from the earnings, its a good way to make great money. When earnings time gets close, buy some calls, then hedge the position.

There are strategies to ensure you make money in a stock like (FSLR) which is guaranteed to move strongly on an earnings release even without knowing which way the stock go.

Barron's Banks on $100 Oil

The Saudis have gotten used to the false idea that we have gotten used to higher oil prices and we'll pay whatever. Their attempts to temper rising oil prices so far have been very half-hearted at best. Hopefully, other countries join China soon in reducing and eliminating subsidies.

Research in Motion Rallying Ahead of Earnings

In all likelihood, the company will beat earnings and traders should take some kind of position into the earnings. For those that trade options, enter into a straddle position. The move in the stock price should be great enough to make the position profitable.

Market Power, Asset Allocation and Oil Price

There used to be a time when OPEC. or more specifically Saudi Arabia, was highly concerned about perception. That is, while like any normal purveyor of a product or service they wanted the highest price they could command, they also worried about disturbing that delicate balance between maximum pricing and upsetting customers. Now they've seen that we'll basically pay anything so they're emboldened to the point where they can actually look our president in the eye and say no they won't increase production, even though they could.

It is imperative that we increase US output as well as get serious about alternative energy. Unfortunately as is so often the case in this country, wherever there are politicians there are lobbyist so that now we have a very powerful farm lobby that refuses to let us use alternate feedstock for ethanol besides corn. This has resulted in everyone knocking ethanol. Lest we forget, Brazil is efficiently producing ethanol and powering their vehicles with it.

Thankfully, there is a limit that Americans will reach. Ford actually announced they will delay releasing their new F150 truck. The delay is supposedly for just two months, but to the extent that this is their bread and butter, what does that mean for the company? As it is, Explorer sales have fallen from over 450k units at their peak, to just about 150k a year! Something needs to be done ASAP.