October 21, 2013

Market Strategies Newsletter

Sample Issue

Balanced Investing Strategies

Covering High Return Balanced Investing Strategies To

Make Money In Up Or Down Markets

A Publication of Princeton Research, Inc. (www.PrincetonResearch.com)

 

NOTE: This is a Sample Issue Only!

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THE COMPLETE VIP MEMBERS ONLY

MARKET STRATEGIES NEWSLETTER ISSUES

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Read this Market Strategies Newsletter in pdf format:

http://www.princetonresearch.com/10-21-2013-Market-Strategies.pdf

Market Strategies Stock Options Trading

$10,000 Account

Traders Comments

There are four open positions:

2 AGQ 19.50 October 25th Calls

10 NBG January 2015^th, $7 Calls

3 VLO November 35 Calls @ 1.16

8 SPY October25th 173 Calls

 

Funds in Use $ 1,960

 

New Trades:

Buy 10 CSCO Nov 23 Calls @  $ 0.73

Buy 8 MOS Nov/47.50 Calls @ $ 1.10

Buy 5 XOM Nov 87.50 Calls @ 1.20

 

Market Strategies

Stock Options Trading Chart

$10,000 Account

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.

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 25^th 147 calls or puts.

For any questions please call (702) 650 3000.

Market Laboratory – Weekly Changes

Prices are copied from Barron’s Weekly and Yahoo Finance and may be incorrect

See this table in the newsletter pdf format:

http://www.princetonresearch.com/10-21-2013-Market-Strategies.pdf

 

New Stock Recommendations

Market Strategies $100,000 Trading Portfolio

We were stopped last week on ETAK and bought SOHO using a TEXT.

Each stock is allocated a theoretical $ 5,000 share of the portfolio unless otherwise indicated.

Note: Previous closed out stock and option positions can be found in past Market Strategies Newsletter issues available in the VIP Subscribers 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.

 

Market Strategies $100,000 Trading Portfolio

Recommendations And Overall Comments

New Trades:

1) Buy 20 CSCO Nov 23 Calls @ $ 0.73

2) Buy 16 MOS Nov  47.50 Calls @ $ 1.10

3) Buy 10 XOM Nov 87.50 Calls @ 1.20

 

We gained 2,026 in closed out positions last week

increasing our profits for the year to a hypothetical $ 57,502

not counting open positions losses of about $ 12,067

 

We also have not counted dividends received on stocks like Apple and JP Morgan.

We have four long options positions:

The Stock table has the following 21 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 $ 3,920 in four options positions

and $ 70,751 in 21 stock positions

totaling $ 74,671.00 with
$ 25,329.00 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.

 

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

See this table in the newsletter pdf format:

http://www.princetonresearch.com/10-21-2013-Market-Strategies.pdf

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

Visit:

PrincetonResearch.com/investment-strategies.htm

 

To Lock In Your SPECIAL Low Subscription Rate

This Weeks’ Market Strategies

Economic Numbers and Media Data

 

Market Strategies Trading Fundamentals

The bull market is back in full gear and even significant misses by prominent names such as Goldman Sachs, IBM and United Health, which are members of the beleaguered Dow, the Russell 2000, Transportation and  S&P 500 averages made significant new yearly all-time highs. The Russell 2000 is up 31.2%, Transportation 28.5% and the S&P 500  22% for the year.

The bull market has momentum fostered by the ongoing belief that tapering will be postponed well into the new year. Momentum has been accelerated by Google earnings which caused the shares to gain 13.8% overnight to $ 1,011.41. which is up 43% for the year. Earnings season will continue dominating the news.

The government is back in operation, but there were only political losers in the bipartisan fracas that closed the government for more than 2 weeks. The Tea Party, according to the Pew Research Center, has shifted from 33% favorable/25% unfavorable in 2010, to 49% unfavorable/30% favorable this past week. The biggest falloff was from moderates and liberals within the GOP itself. President Obama’s ratings also fell sharply from a 53% approval rating to just 41%.

We continue to be long Valero ( VLO: $ 39.10 ) + $ 2.56 or 7% for the week, which is benefitting from an increasingly profitable crack spread as the prices for both distillates and unleaded gas are rising relative to the price of basic crude. Other names in the crude refining business are worth a look if not a buy: Tesoro ( TSO: $ 49.13 ) + $ 3.94 last week or 9.4%. Holly Frontier ( HFC: $ 44.92 ) + 2.17 or 5.1%. San Miguel Corp ( SMGBY ) $ 19.53 + 13%; Exxon Mobil ( XOM: $ 87.55 ) + $ 0.60 or 0.7% for the past week.

Market Strategies Economic Data

The Housing Industry data trends continue strong. Housing starts increased 0.9% in August to 891,000 from a downwardly revised 883,000 from 896,000 in July.

Single Family Construction jumped 7% in August to 628,000 from 587,000 in July, the most homes started since February when builders began construction on 652,000 new single family homes. The current single- family housing starts are consistent with the improvements in the NAHB Housing Market Index. The Fed policies help builders maintain confidence that rates will remain low and that their risk taking will result in profits. As a result builder sentiment remains elevated.

 

Market Strategies Technical Information

Support Levels S&P 500    1717

Resistance S&P 500           1763

 

Support Levels DOW          15,285

Resistance DOW                 15,640

 

Support Levels QQQ           8036                  

Resistance QQQ                  8329

                  

Support Levels Nasdaq      3884

Resistance Nasdaq             4017

Market Strategies Cycles

How much of the bull move will be borrowed from next year?

Enjoy the bull market while it continues augured by a return of the government and the likelihood of favorable money circumstances for the remained of this year. How much of the gains are borrowed from 2014 remains to be seen. The bull is roaring and has a long way to go in 2013.

These 20 stocks all provide solid valuations, healthy revenue and earnings growth, while exhibiting positive price and volume action as well as other constructive technical and chart pattern indications. The group of 20 covers a broad array of 14 different sectors and 17 industries. It also runs the gamut of market capitalization with a mix of large caps with more than $5 billion in market value, midcaps in the $1-5 billion range, and small caps under $1 billion with a couple of microcaps for good measure to round out the diversity. However, they have already made significant moves.

With this list of about 50 stocks we dug into each individual company and chart before settling on these final 20 stocks. Our underlying theme was to find reasonably priced stocks quietly growing sales and earnings that are flying somewhat under the radar with possibly less attention being made to them, although they have moved significantly. The almanac focus was on small- and mid-capped stocks. October has historically been the best month to buy stocks. And as you can see in the chart below from Stock Trader’s Almanac 2014, page 110, it has been especially smaller stocks as represented by the Russell 2000 index.

The 20 stocks in the table below will be added to the Almanac Investor Stock Portfolios using today’s closing price. The portfolio will allocate a hypothetical $2000 from the cash position. For each stock we have provided the ticker, name, sector, general business description, plus annual sales growth, PE, price-to-sales ratio, market value, a dividend yield and a suggested buy limit and stop loss.

You will notice that the 5 large caps are at the smaller end of the spectrum. Our one real microcap, RF Industries (RFIL) pays a dividend as do 8 others. There’s an auto parts supplier. The two business services concerns are software outfits also. Plenty of tech and consumer related businesses: a chip maker and a chip tester, electronics, telecom connectivity, electronics retailer, and consumer products. Several other sectors are also well-represented: energy, finance, insurance, generic drugs, medical lab, metal fabrication and two transports – a regional airline and trucking and storage. That is quite a cornucopia to feast on.

 

Rule 17 B 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 if money is needed for better opportunities. We now believe the two small penny stocks ( REPR and AIVN ) we represent for a total outlay of $ 4,725 is well worth the risk. The Target ADR trades at about $ 5.90 in U.S. vs 0.065 in Australia. Princeton owns 400,000 Australia shares and about 500 U.S. ADR’s.

 

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 Email 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

mike@princetonresearch.com

 

Or

 

Charles Moskowitz (781) 826-8882

CAM@MoneyInfo-LLC.com

 

Princeton Research

3887 Pacific Street, Las Vegas, Nevada 89121

 

Phone: (702) 650-3000

Balanced Investing Strategies Newsletter