Use access key #2 to skip to page content.

MLGtrader (99.87)

Advice to some guy

Recs

12

July 30, 2008 – Comments (5) | RELATED TICKERS: FEED , DGLY , EBIX

My best advice would be to buy stocks that are unaffected by the market turmoil.  That means no financials, builders, oil, commodities, consumer goods or those highly followed stocks.  Stocks like healthcare, consumer staples, ect should perform well.  Personally, I prefer small cap stocks with high growth.  I own PRAA, FEED, EBIX, and DGLY.  Those are my solid four.  I also have some more speculative money in PHM, IPI, and POT.  Do your own due diligence though.

Short term I am looking for the S&P to rally to 1350 within the month, then I will hedge my long positions with shorts like SKF, SRS, and other diversified ultrashorts.  Longer term, the market should continue to be pinched and tumble to new lows.  I did hear an interesting theory: there is tons of money out there with the government running the printing press overtime to try to save the economy, so people will need to find investments for that.  Once the market begins to recover, it will rally way,way up because of all of the capital out there looking for a home.  

Good luck in this rough market.

C'mon! big money! big money! big money!

5 Comments – Post Your Own

#1) On July 30, 2008 at 2:31 AM, MLGtrader (99.87) wrote:

PS.  If you are rich and you would like to help me and you, then you could buy some of the stocks that I own - because they are small and have a low volume, they go up when people buy small amounts.  JK. 

I get emails from Bacon Equity for fun and they have these buy alerts they release on penny stocks.  The normal volume in dollar amounts is only about 10K or less, so when they release these alerts, the volume jumps and the share price rises because of all the sheep following the buy advice.  They must make a fortune really quickly because they buy the stock before they release their buy alerts and sell on the high buying volume.

so BUY! BUY! BUY! BUY! BUY!

Report this comment
#2) On July 30, 2008 at 10:01 AM, dwot (99.98) wrote:

Don't you think it is time to lock in profits with POT?  Well, it is perhaps a little late, but not too late...

Report this comment
#3) On July 30, 2008 at 10:05 AM, MLGtrader (99.87) wrote:

I just bought at $200 on the pullback.  Peak earnings are years away, the sector is showing no signs of slowing and pot's earnings are just beginning to reflect is valuation.  Fertilizer should run at least another year.  Potash prices have not even reached their peak.  They are still steadily rising.  I will hold at least a couple of months.

Report this comment
#4) On July 30, 2008 at 10:33 AM, MLGtrader (99.87) wrote:

I just bought at $200 on the pullback.  Peak earnings are years away, the sector is showing no signs of slowing and pot's earnings are just beginning to reflect is valuation.  Fertilizer should run at least another year.  Potash prices have not even reached their peak.  They are still steadily rising.  I will hold at least a couple of months.

Report this comment
#5) On July 31, 2008 at 1:31 AM, MLGtrader (99.87) wrote:

I just bought at $200 on the pullback.  Peak earnings are years away, the sector is showing no signs of slowing and pot's earnings are just beginning to reflect is valuation.  Fertilizer should run at least another year.  Potash prices have not even reached their peak.  They are still steadily rising.  I will hold at least a couple of months.

Report this comment

Featured Broker Partners