Financial stocks in the stock market presenting major buying opportunities but risk is high so trading sizes should be reduced significantly and long term positions built up over time. Exploit the volatility.
There’s absolutely no way to predict how the market is going to behave in the near term. This is where the “chaos” meter spikes off the charts. Pure random noise. But one can, if one so chooses, to react based on certain “tactical” guidelines. I would prefer to see some retracement early in the trading day, a base to develop over several hours, and then a continuation on Thursday and Friday for another 10% to 15% from here. These short term bear market rallies are hands down the best market environments to trade the bull side. The problem is that it would also require sitting on one’s hands for several days, weeks even, keeping the powder dry. Since most full time traders can’t sit out from the market for sustained periods, there is a tendency to give gains back.
The massive gap to the upside is a bitter-sweet move for those with long-term investment horizons around the financial stocks that have been mentioned here in the past two weeks. Bitter-sweet because although it should show good profits for long positions, it also places a big, nasty gap right below current prices. And being that […]
By LARA SETRAKIAN
TEHRAN, Iran, March 7, 2008 —
Last week the Iranian government gave ABC News special access into its international art collection, a distinguished group of works amassed during the reign of the shah of Iran.
Ironically,the collection, estimated to be worth $3 billion, has spent most of the last 30 years locked in a basement […]
A great way to take advantage of the excess pessimism in the REIT sector is to buy URE, another geared ETF that holds a portfolio of very strong REITS. Remember, this is also a 2X ETF so it will move twice the regular Real Estate index.
The true nature of an Investment Capitalist includes the ability to implement the appropriate mechanisms available to a financier. This implies that one must be a great industrialist, speculator, capital provider, opportunistic (i.e. vulture), optimistic (i.e. venture) and everything in between.
