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Markets. We are in the midst of a Santa Clause rally. The January effect involves small cap moving. Usually the stocks that are the most beat up at the end of December have rebounded by mid-January as a group. The biggest trend he saw last year was the activist investors bullying companies to buy back their own shares. He is not encouraged by it.

BUY

He is not a fan of trying to pick banks. Eventually they all do well. Buy the ZEB-T ETF. Yields are roughly the same.

WATCH

We have had the steady decline since the rally, but we had a pivot point after which if it moves above $32 it confirms the down is over. It is not over yet. He would probably be an owner here. He likes copper stocks.

DON'T BUY

Does not see a compelling reason from the chart to buy it. 4.2% is a rather high yield for this stock.

BUY

Industrials are one of his favourite sectors. ZIN-T allows you to buy the basket or you can buy Russell and he would buy it. It’s better to acquire at the bottom end of a channel. Perhaps buy in thirds over a couple of weeks.

WATCH

Likes the energy sector, but likes the services companies more. There is support here but if we get above $2.50 resistance then you are off to the races.

BUY

Breaking out after having been ignored for ages. Very favourable. Go with it and hang on to it until it is over. Imperial oil did the same and would confirm what this one is doing.

BUY

There is no reason to sell it unless it becomes overweight.

HOLD

Caught up in tax loss selling, which is over. It was almost a selling panic. It took out its previous low. Should rebound into January and then one would take another look at it then. Watch to see if it takes out last summer’s peak.

PAST TOP PICK

(Top Pick Dec 31/12, Up 25.88%) Would have preferred CAE but this did okay. For CAE it does not matter what planes are sold. It’s all blue sky for CAE.

PAST TOP PICK

(Top Pick Dec 31/12, Up 25.86%) Underperformed Japanese stocks because of the currency risk. He forgot to hedge (DXJ-N). He thinks DXJ will work higher.

PAST TOP PICK

(Top Pick Dec 31/12, Up 18.39%) The trend is up and it is not over by any means.

WAIT

There is no historical data because they only just became a public company so you have to look at the peers. It seems social media is not participating in the Santa Clause rally. Stand aside and see what happens in the first two weeks of January.

DON'T BUY

He is bullish on Natural Gas. It is not a long term investment but not a buy and hold product because it is dealing with continually buying new futures. Leveraged vehicles are not buy and hold products.

BUY

Gold. $1180 is big time support and we are back there again. Thought Gold would be crushed today, but it wasn’t. He thinks the first few weeks in January should be quite good for the sector.