Wednesday, October 31, 2007

Gold $808.50/ounce

Gold hitting a 27-year high doesn't seem to be peaking the interest of the gold bugs. From Mark Hulbert; "the latest readings of the Hulbert Gold Newsletter Sentiment Index (HGNSI), which reflects the average recommended gold market exposure among a subset of short-term gold timing newsletters followed by the Hulbert Financial Digest. As of Tuesday night, the HGNSI stood at 51.8%" the all-time high being 90%. "This past February, when gold bullion was trading between $650 and $660, the HGNSI stood at 75%. So, over an eight-month period in which bullion has risen nearly 20%, the HGNSI has decreased by some 23 percentage points."
"That's a remarkable divergence for two data series that normally rise and fall more or less in tandem. And it bodes well for the gold market over the next several weeks."

Tuesday, October 30, 2007

DryShips hits an iceberg

Not exactly sure what happened to DryShips Inc. (DRYS) today. Perhaps investors were spooked from what Motley Fool writer Rich Smith wrote yesterday;
"while the dry bulk shipping industry is booming, I fail to see why a single player within this industry -- DryShips -- should enjoy a valuation more than 50% higher than its nearest rival, and more than twice that of some of the ships giving more distant chase. Sure, it gets the best margins of the bunch, but that just raises more flags. Reviewing DryShips' results, we see that much of its profit over the past year was derived from gains on the sale of assets. Meanwhile, the firm's cash flow statements don't show this supposedly wildly profitable firm generating any cash profits since its IPO. On the contrary, over the last year, the firm has burned through nearly $500 million in free cash flow, as its long-term debt ballooned from $418 million to $728 million. Somewhere, this corporate ship has sprung a leak.
If DryShips can't generate free cash flow on sky-high margins, I shudder to think what will happen when those profit margins splash back down to sea level. And you should to -- because this is the scariest stock in the world."
Investors certainly jumped ship today.

ETN's by Jimmy

Commodities guru Jim Rogers has set up (well, loaned his name to anyway) four Exchange Traded Notes that invest in a buffet of commodities that one might not normally trade in (i.e. greasy wool!?). There's RJI which is linked to Rogers International Commodity Index total return, RJA for total Agriculture returns, RJN linked to energy commodities, and RJZ for metals linked returns (though Gold carries a lesser weighting than aluminum and copper, which seems fair). Here's a chart of the weightings given per note:

Wednesday, October 24, 2007

Back from Vancouver, B.C.

I just got back from a whirlwind week-long road trip up to Vancouver B.C. I'm sure I purged whatever readers I had from my blog by now. I'll be sure things will pick up for me from here on and get back on track. Vancouver is a fantastic city which could only have been better had it not been so cold and rainy. One of my favorite experiences while in Vancouver had to have been having a brilliant Cuban cigar with a complimentary cup of Cuban coffee, a delicious pairing that got me pretty blissed-out. If this sounds like your sort of thing and you find yourself in Vancouver then you have to pay a visit to La Casa del Habana on Hornby street.
I'm hoping to get back on top of things in the course of next week. I'm not too worked up about not being in the swing of things, I just don't care to stress myself out by worrying. So, while refusing to worry about not being caught up I'll be taking things cool and calm. Maybe even start posting things that are helpful to me (and perhaps others that may still be reading this site).

Tuesday, October 09, 2007

Ascending Triangles...

While trying to get my act together, here are some charts I'm looking at that look like they're setting up...Ascending Triangles?? Included are; CMI, GME, PCU, TNE, HURN, SNDA, POT

Wednesday, October 03, 2007

soy un perdedor

I'm a
I've been out of the loop for some time now and attempting to overhaul my approach to my business model. Trying to re-create my intentions at the moment....please stand by.

At the moment I'm reading this article
entitled "Congress calls for "mortgage czar."
The White House responded by saying We got your mortgage czar right here (our own HUD secretary).
The article says that Alan Greenspan stated that "the credit crunch was past the worst." Although the more exact quote from Greenspan was: "We are beginning to see the frenzy calm down...Unless we get secondary effects, the worst is over."
Sounds like a Technical Analysis response to me. Sounds like what he's really saying is that things look good from here unless of course we see confirmation of a Double Top. And if that's the case...