Being Warren Buffett
Feb 28, 2017 | Investing Strategies
Quick… who said, “It’s a huge structural advantage not to have a lot of money”? If you guessed Warren Buffett, congratulations. Of course, we tipped our hand in the subject line, but we want to let that statement sink in. When we compare ourselves to someone of Buffett’s stature, it’s easy to focus on the huge advantages he has over…
Long live the bond rally!
Feb 24, 2017 | Investing Strategies
Two months ago we wrote about the opportunity to lock in higher yields while you still can. Since then, our favorite yield generating investment is up a solid 4%. The window of opportunity to lock in higher treasury yields is still open … but this may be your last chance. In the past eight months, yields on U.S. Treasuries have…
TradeStops … and True Love
Feb 21, 2017 | Investing Strategies
Last Valentine’s Day a panicked lover, and TradeStops subscriber, wrote in to say: Getting tested today as my NAK stock that was up 300% has fallen by 30%. Hoping it’s a flash crash, so I’m not going to panic. But OUCH! NAK is Northern Dynasty Minerals – a widely held junior gold mining stock with a compelling mining opportunity in…
Wrong…and Long
Feb 17, 2017 | Investing Strategies
Being right … or making money. That’s the choice we investors often face. Weve been warning of bearish signs in the U.S. Stock Market for weeks now. We’ve been wrong … but we’re still long. There are a lot of reasons to be concerned about this market. Last week, we showed you that the CBOE Volatility Index (VIX) recently traded…
Optimizing Covered Calls with VQ
Feb 14, 2017 | Investing Strategies
We’re often asked the question, “Can the TradeStops Volatility Quotient (VQ) help with covered calls?” Today, we’ve got the beginnings of an answer to that important question. Covered calls are a popular strategy for generating income from your existing portfolio and doing so with limited risk. If you own 100 shares of Walmart, for example, you can sell a covered…
A Troubling Signal From the VIX, aka the ‘Fear Index’
Feb 10, 2017 | Investing Strategies
It’s often said that bull markets climb a wall of worry. That’s certainly been true of this eight-year long bull market. Investors have been nervous and incredulous about this bull market ever since the bottom in early 2009. What we’re seeing today, however, suggests that all the worry that’s fueled this bull market may have finally been used up. The…
SSI vs. 200-Day Moving Average
Feb 07, 2017 | Investing Strategies
A reader once again challenged us to test our Stock State Indicator (SSI) strategy against a widely followed Wall Street strategy – the 200-day simple moving average (SMA) strategy. We’re up to the challenge. Let’s get started. For the past few weeks we’ve been putting our SSI system to the test against buy and hold strategies on the Dow Jones…
Gold is Following Our Script…
Feb 03, 2017 | Investing Strategies
In December and again in January, we outlined a script for gold to form a bottom and start a sustained rally through 2017. That script continues to play out nicely … with gold really starting to shine in the past month. In just the past six weeks, gold has gained over 8% or nearly $90 per ounce. Most critically, it…
Doubling Up On the DJIA
Feb 02, 2017 | Investing Strategies
We’ve been exploring how our Stock State Indicator (SSI) system has performed against a buy and hold strategy on the Dow Jones Industrial Average (DJIA) during various types of market conditions. Today we’re going to show you how what we call our “2VQ” strategy of adding to our winners boosts the outperformance even more. When we left off last week,…
Profiting from Unpopularity
Jan 27, 2017 | Investing Strategies
Two months ago, we told you about an investment that the pundits hated. Since then, it has climbed 17% higher. We’ve spotted another opportunity … and the pundits hate it as well. Back in mid-December, we looked at EWZ, the ETF for Brazil, and the potential for the Brazilian stock market to continue climbing even after already having booked a…