With a market in turmoil, investors can make big gains with smart trading. What better place to get smart trading information then from a complete amateur.
Motorola- (MOT) Trading at 10.00
Why you want to buy: With Motorola’s largest investor Carl Ichan planning to spin off the cell phone division of Motorola, Wall Street speculation will result in a short term increase of Motorola stock. Sell it within a month though, the speculation won’t go on forever.
JPMorgan Chase and Co.- (JPM) Trading at 44.18
Why you want to buy: With the federally-funded take over of BearSterns, JPMorgan is experienced major stock turbulence right now. When the dust settles in a month or so, the price will be up. Don’t let minor downslides in the financial sector scare you away from purchases like this, the instability will only help the major players like JPMorgan. I wouldn’t be surprised to see even more acquisitions. Some investors are scared away from JPM because
Agnico-Eagle Mines- (AEM) Trading at 71.10
Why you want to buy: With a bullish market and the turbulence in the financial sectors investors will be looking for solid investment opportunities. For many investors that will mean a commodities market. When you combine that with the steady climb of gold prices, you really can’t go wrong buying a mine company. I personally like AEM over other mines because of it’s realistic production goals. Companies that set unrealistic goals often experience a massive drop-off when the gold isn’t realized. That isn’t a possibility with AEM.
Rubicon Minerals Corp- (RBY) Trading at 1.19
Why you want to buy: The same logic I applied to AEM, I’m applying here. Commodities and commodities manufactures a good bet in the bull market. RBY is a high risk pick though, low prices always are and RBY’s lack of diversification makes it even worse. I personally see big gains, but you could also see some big losses.
Costco Wholesale Corp- (COST) Trading at 66.62
Why you want to buy: With a recession (or at least fears of recession) coming, people will be looking to save money anyway they can, and this includes buying in bulk to save money. Costco and its competitors will all see a rise, what puts COST above similar companies is size. With 4000 SKU’s, COST can out-price its competition and attract customers.
Caveat: The moment this drops below 58, sell it like your life depends on it. Wholesale chains are vulnerable to a price drop when they face warehouse pull-out. Like a run on a bank if you don’t get your money out fast, you won’t get it out at all without COST reaching 52.
The above information should be taken as advise. You should consider seriously the risks and possible monetary damages before investing. If you are making investment decisions based a blog run by someone you don't know, you have Dennis Kucinich style mental issues and probably shouldn't be investing period.
Wednesday, March 26, 2008
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