
March 17, 2014
Where To Invest Your Money Now
Market Strategies Newsletter
Sample Issue — Read It At:
PrincetonResearch.com/3-17-2014-Market-Strategies.pdf
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High Return Investments Trade Alerts
Covering High Return Balanced Investing Strategies To
Make Money In Up Or Down Markets
A Publication of Princeton Research, Inc. (www.PrincetonResearch.com)
Contributing Staff: Michael King, Charles Moskowitz
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Market Strategies
$10,000 Trading Account
Traders Comments
There are three open positions:
GRPN March 11 Calls
KMP April 77.50 Calls
RSX March 22 Calls
Funds in Use $ 1,524
This was an interesting week with all trades closed out by either the 50% Down Rule and the 100% Up Rule.
The net effect was a gain of $337 bringing the YTD loss to $1,194
In 2013 YTD gains were $28,479
Over 284% Returns
A $10,000 Portfolio would be
worth $38,479
The last 3 years our gains have gotten progressively greater year over year.
284% Returns for $28,400 Profits In 2013
171% Returns for $17,100 Profits In 2012
77% Returns for $7,700 Profits In 2011 (only 33 weeks)
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The world situation moving from bad to worse has put a strong bid under the Treasury market.
A look at the weekly chart of the Bonds shows what look to me to be a pretty nice bottom.
It would take a close over 136 to break it out to the upside. The question is, if the economy is getting stronger and we have the “taper” in place, why would yields decline? The answer is clearly that when the hot spots of the globe heat up, the U.S. T-Bonds are the safest place to be … regardless of yield.
The gold was higher and we got taken out of the position in GLD on the 100% Up rule. I did not get back into the position since the move is extended and I’m not willing to accept the risk back to support in the $1355-60 area.
…CAM
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Market Strategies
$10,000 Trading Account
Trade Table
DATE |
TRADES |
PRICE |
COST |
PROCEEDS |
RESULTS |
03/14 |
This Information Is For Members Only For Free Trade Alerts |
0.60 |
360 |
|
|
03/13 |
0.16 |
|
160 |
150 Loss |
|
03/12 |
3.05 3.06 |
|
915 918 |
522 Gain 525 Gain |
|
03/12 |
0.40 |
|
320 |
320 Loss |
|
03/12 |
0.80 |
640 |
|
|
|
03/11 |
0.40 |
|
240 |
240 Loss |
|
03/07 |
1.31 |
786 |
|
|
|
03/06 |
0.80 |
480 |
|
|
|
03/03 |
0.62 |
620 |
|
|
|
02/28 |
0.31 |
310 |
|
|
|
02/18 |
0.68 |
544 |
|
|
Remember, these trades are based on your participation in the
Subscriber Members Only
TEXTING SERVICE TO RECEIVE ALL UPDATES.
Previous closed out trades not listed here may be seen in previous market letters in the VIP Subscribers Members Area.
Options Trading Strategies Notes: In Texting we have a limited amount of words. In the interest of brevity: we use 8=August , 9=September . The Quantity and Strike Price for each trade is specific.
We may trade weekly options and they are noted: SPY 1/25 147 for SPY Jan 25th 147 calls or puts.
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Market Strategies Market Laboratory
Weekly Changes For Market Indicators
Prices are copied from Barron’s Weekly and Yahoo Finance and may be incorrect.
Dow 16,065.67 -387.05 -2.35% |
Nasdaq 4245.40 -90.83 -2.09% |
S&P 500 1841.13 -36.91 -1.97% |
Transportation 7475.79 -116.57 -1.54% |
Russell 2000 1181.41 -21.90 -1.82% |
Nasdaq 100 3627.87 -75.53 -2.04% |
Gold (spot) 1379.00 +40.90 +3.1% |
Silver (Dec ) 2141.3 +48.9 +2.3% |
Crude 98.89 -3.69 -3.6% |
Heating Oil 294.31 -6.90 -2.3% |
Unleaded Gas 2.9597 -0.0141 -0.5% |
Natural Gas 4.425 -0.193 -4.2% |
VIX 14.11 +0.11 +0.8% |
Put/Call Ratios S&P 100 141/100’s +45/100’s |
Put/Call Ratios CBOE Equity 58/100’s +1/100’s |
Bonds 133.15 + 2-10 3.59% -0.13% |
10 Yr Note 124-21+1-036 2.64% -0.13% |
Copper 295.05 -13.20 -4.3% |
CRB Inflation Index 302.88 -4.31 -1.4% |
Barron’s Confidence 71.2% -1.3% |
S&P100 809.95 -16.75 -2.03% |
5 Yr Note 119-27 +203 1.53% -0.11% |
Dollar 79.41 -0.31 -0.4% |
DJ Utilities 522.29 +8.09 +1.57% |
AAII Confidence Index |
Bullish 41.3% +0.8% |
Bearish 26.8% +0.2% |
Neutral 31.9% -1.0% |
M1 Money Supply +13.85% March 3rd
|
M-2 Money Supply +6.76% March 3rd
|
M1…all money in hands of the public, Time Deposits Traveler’s Checks, Demand Deposits
M2.. adds Savings and Money Market Accounts both compared with the previous year.
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Market Strategies
New Stock Recommendations
$ 100,000 account
Each stock is allocated a theoretical $ 5,000 share of the portfolio unless otherwise indicated.
Stock |
Purchase Price |
Purchase Date |
Stop/Loss |
|
Price/Date Sold |
|
Profit/(Loss) |
This Information Is For Members Only For Free Trade Alerts |
0.407 |
03/14 |
|
|
|
||
15.94 |
02/13 |
|
|
|
|||
12.52 |
02/07 |
|
13.36 03/06 |
$ 336 |
|||
15.37 |
01/29 |
|
|
|
|||
10.40 |
01/28 |
|
|
|
|||
11.79 |
01/28 |
|
|
|
|||
15.37 |
01/16 |
|
|
|
|||
10.06 |
01/10 |
|
|
|
|||
7.85 |
12/30 |
|
8.76 02/25 |
$ 455 |
|||
0.78 |
12/30 |
Sold Half |
0.91 03/07 |
$ 260 |
|||
16.22 |
12/23 |
|
|
|
|||
32.64 |
12/23 |
|
|
|
|||
4.08 |
8/12 |
|
|
|
|||
6.56 |
7/11 |
|
|
|
|||
12.10 |
5/23 |
|
|
|
|||
4.10 |
3/04 |
2.64 sco |
|
|
|||
538 |
11/08/12 |
|
|
|
|||
636 |
10/9/12 |
|
|
|
|||
0.22 |
10/22/12 |
.12 sco |
|
|
Recommendations will be both listed in this letter and texted to members.
Previous closed out stock and option positions can be found in past Market Strategies Newsletter issues available in the Subscriber Members Area.
For those of you who do not buy puts to protect your portfolio, there are many ETF’s that are the inverse of the DOW. The symbols are DOG, DXD, SDS,TZA and RWM, which go up when the DOW, S&P 500 and Russell 2000 go down and down when they go up. The DZZ goes up double when gold goes down.
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Market Strategies
$100,000 Trading Portfolio
Recommendations And Overall Comments
Last week we gained $ 337 reducing our total loss for the year to $ 3,556.
For the full year 2013 we had realized gains of $ 53,556.
We have open position losses of about $ 7,339 most of which are held over from last year.
We also have not counted dividends received on stocks like Apple, Nordic American ( NAT ) and JP Morgan.
We have three long options positions:
GRPN March 11 Calls; KMP April 77.50 Calls and RSX March 22 Calls
The Stock table has the following 17 positions:
The options call for a $ 2,500 investment unless otherwise stated; each stock position requires $5,000 unless specifically stated.
We are basing money management on a hypothetical $ 100,000
and are using $ 3,048 in three options positions and
$61,783 in 17 stock positions
totaling $ 64,831 with
$ 35,169 in cash
These figures are approximate.
We do not count commission costs and there may be errors.
Executions that have occurred at or near the open or close of trading sometimes vary from our actual numbers. For example, when something opens down and it is through our price, we take the next trade whether it is an uptick or continues lower. This sometimes results in a 50% trade that is slightly above or below the exact number.
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Previous Week’s Recommendations and
Rules for the Market Strategies
$100,000 Portfolio Trading Account
- All options count for about $ 2,500.00 for model portfolio calculations unless otherwise stated
- When the option has doubled sell half the position
- Stop Loss protection is either half or offered with each trade
- The cost of the option is the asking price (or the price between the bid and ask, whichever is more realistic)
- The options will be followed until closed out.
- Option Symbols are stock symbol with expiration month and strike price
Option |
Cost |
Date |
Sold |
Date |
Profit/(Loss) |
This Information Is For Members Only For Free Trade Alerts |
Calls 0.60 |
03/14/14 |
|
|
|
Calls 0.80 |
03/12/14 |
0.40 (50% Loss Rule) |
03/12/14 |
( $ 640 ) |
|
Calls 1.31 |
03/07/14 |
3.05 (100% Profit Rule sell half )
3.06 Sold other half |
03/12/14
03/12/14 |
$ 1044
$ 1050 |
|
Calls 0.80 |
03/06/14 |
0.40 (50% Loss Rule) |
03/11/14 |
( $ 480 ) |
|
Calls 0.62 |
03/03/14 |
|
|
|
|
Calls 0.31 |
02/28/14 |
0.16 (50% Loss Rule) |
03/13/14 |
( $ 300 ) |
|
Calls 0.68 |
02/18/14 |
|
|
|
Note: Previous closed out stock and option positions can be found in past Market Strategies Newsletter issues available in the VIP Subscribers Members Area.
NOTE: This is a Sample Issue Only!
TO GET OUR TRADE ALERTS BY TEXT MESSAGE AND
THE COMPLETE VIP MEMBERS ONLY
MARKET STRATEGIES NEWSLETTER ISSUES
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This Weeks’
Where To Invest Your Money Now
Market Strategies
Economic Numbers and Media Data
Monday | 08:30 hrs Empire Manufacturing Mar ( 5.4 vs 4.5 )
09:00 hrs TIC Flows Jan ( NA vs -$45,9Bln Dec )
09:15 hrs Industrial Production Feb ( 0.1% vs -0.3% ) Capacity Utilization ( 78.5% vs Same )
10:00 hrs NAHB Housing Market Index
|
Tuesday | 08:30 hrs Housing Starts Feb ( 915K vs 880K )
Permits ( 955K vs 937K )
08:30 hrs CPI Feb ( 0.2% vs 0.1% ) CORE CPI ( 0.1% vs Same )
|
Wednesday | 07:00 hrs MBA Mortgage Index 03/15 ( NA vs -2.1% )
08:30 hrs Current Acc’t Balance 4th Qtr ( -$87.6B vs -$94.8Bn )
10:30 hrs Crude Inventories 03/15 ( NA vs 6.180 Mln Bbls )
14:00 hrs Treasury Budget Feb ( NA vs -$203.5B ) FOMC Rate Decision March ( 0.25% )
|
Thursday | 08:30 hrs Initial Claims 03/08 ( 329K vs 323K )
Continuing Claims 03/08 ( 2883K vs 2907K )
10:00 hrs Existing Home Sales Feb ( 4.60Mln vs 4.1 Mln
10:00 hrs Philadelphia Fed Mar ( 2.0 vs -6.3 )
10:00 hrs Leading Indicators Feb 9 ( +0.3% vs Same )
10:30 hrs Natural Gas Inventories 03/15 ( NA vs -195bcf )
|
Friday |
Where To Invest Your Money Now
Market Strategies Economic Data
Producer prices declined 0.1% in February after increasing 0.2% in January. Excluding food and energy, overall core prices declined 0.2% in February after increasing 0.2% in January. The consensus expected these prices to increase 0.1%. Energy costs increased 0.5% in February after rising 0.3% in January. The increase was the result of a 4.6% gain in residential natural gas costs. Gasoline prices were down 1.1% in February, which was the second consecutive monthly decline. Food prices rose 0.6% in February, up from a 0.1% gain in January. Egg prices spiked 19% and were instrumental in the overall food price increase. Excluding food and energy, core goods prices increased 0.2% in February after increasing 0.4% in January.
Category |
FEB |
JAN |
DEC |
NOV |
OCT |
Final Demand |
-0.1% |
0.2% |
0.1% |
0.0% |
0.2% |
Core (excluding …) | |||||
Food and Energy |
-0.2% |
0.2% |
0.0% |
0.1% |
0.1% |
Food, Energy, and Trade |
0.2% |
0.4% |
0.3% |
0.0% |
0.1% |
Final Demand Goods | |||||
Total |
0.4% |
0.4% |
0.4% |
-0.2% |
0.1% |
Energy |
0.5% |
0.3% |
1.5% |
-0.6% |
-0.3% |
Finished Goods |
0.4% |
0.6% |
0.4% |
-0.1% |
0.2% |
Final Demand Services | |||||
Total |
-0.3% |
0.1% |
-0.1% |
0.0% |
0.1% |
Trade |
-1.0% |
0.1% |
-0.8% |
0.1% |
0.4% |
Intermediate Demand | |||||
Processed |
0.7% |
0.6% |
0.5% |
-0.4% |
-0.1% |
Unprocessed |
5.7% |
0.9% |
2.3% |
-2.0% |
-0.5% |
Services |
0.2% |
0.0% |
0.1% |
0.0% |
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Market Strategies Trading Fundamentals
Thursday was a major swing day in the averages. All four major indexes opened higher then plummeted confirming the change for a new interim direction. The Dow opened higher on Thursday up 65 points but closed down 231. The S&P 500 had a 33 point swing from an early high of 1874.40 to a low of 1974.40 and a close of 1846, a loss of 27 points or 1.45% and a weekly loss of 2% when taking into consideration Friday’s losses.
The S&P closed at 1,841 and appears headed for at a test of its 50 day moving average at 1829. Nasdaq Composite fell 1.80 over the past two sessions, 91 points for the week or 2.1% and is now testing some minor support. More realistic support is at 4200, the 50 day moving average, which is likely to hold. Both the Transportation and Russell 2000 performed better. The Dow Jones 20 Transportation held at the 13 day moving average 7475.79. The fifty day M.A. comes in at about 7312 where there is heavier support.
The Russell, while down 20 points on the week and also had an outside-day down last Thursday actually shrugged off the bearishness of the other markets and closed 4.70 points higher on Friday.
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Market Strategies Technical Information
Support Levels S&P 500 1829
Resistance S&P 500 1868
Support Levels DOW 15,960
Resistance DOW 16,288
Support Levels QQQ 88.00
Resistance QQQ 90.24
Support Levels NASDAQ 4200
Resistance NASDAQ 4278
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Market Strategies Cycles
Gold has a seasonal tendency to decline from mid-February until mid-March. However, after suffering its worst annual loss in decades in 2013, gold rallied briskly through this seasonally weak period this year. (“If a market does not [decline], as it should during [bearish] seasonal periods, it is a sign that other forces are stronger and that when the seasonal period ends those forces will really have their say.” — Edson Gould, Findings & Forecasts, 1902-1987) Gold’s strength during this usually weak period suggests that its rally could continue especially as gold enters a new period of historical strength in mid-March. Since 2001, going long gold in mid-March and holding through the end of May (shaded in yellow below) has been profitable nine times in thirteen years with potential cumulative profits, based upon trading a single futures contract, of $25,260. ( Stock Trader’s Almanac )
NOTE: This is a Sample Issue Only!
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Rule 17B Attestations
Princeton has approximately 2,581,578 shares of AIVN both free and restricted and represents them for I.R.. Princeton also has about 40,000 shares of TXGE. Princeton is paid $ 1,500 per month from RMS Medical Products. Princeton has bought 81,100 shares of RMS Medical Products. Princeton will be engaged by Target Energy. No contract is currently in place. When there is no movement in penny stocks, even though there is none or very small losses, we will liquidate ( sold AIVN on stop ) even though we like the company, if money is needed for better opportunities. We now believe REPR represents upside opportunity. The Target ADR trades at about $ 4.50 in U.S. vs 0.045 in Australia. Princeton owns 400,000 Australia shares and about 500 U.S. ADR’s. Princeton is paid about 500,000 shares of Leo Motors.
Pursuant to the provisions of Rule 206 (4) of the Investment Advisers Act of 1940, readers should recognize that not all recommendations made in the future will be profitable or will equal the performance of any recommendations referred to in this e-mail issue. Princeton may buy or sell its free-trading shares in companies it represents at any time.
CONTACT
Please Direct All Inquiries To:
Mike King
(702) 650-3000
Princeton Research
3887 Pacific Street,
Las Vegas, Nevada 89121
Fax: (702) 697-8944
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