Latest Stock Buy or Sell? Make More Informed Decisions!

Markets. The S&P is at an all time high. The NASDAQ is above the level of year 2000 at an all time high. On Friday we broke on the TSX to a 52 week high. The question is if this is a fake out or is it going to keep going to new all time highs. No. He thinks not. Energy stocks normally do well from now until the middle of September. It is because of hurricane season. Gassy stocks normally do better than oil stocks. Last Friday the financials powered into new highs, taking the market with them and this is why he thinks it is a fake out on the TSX. Materials and consumer discretionary did not show that kind of a bump. Going forward there are warning signs that we should be very, very careful.

It usually moves lower until the end of September each year. It has a distinct downward trend. It is underperforming the market and short term momentum indicators are negative. Wait for signs of the commodity bottoming. There are currently no signs of support on the charts. It looks like it is a falling knife.

Gold in General. Historically this is the time of year to buy gold and gold stocks until the middle of October. We had a pullback on Friday, but any weakness is an opportunity to buy.

Buying a stock near X-dividend date. Some investors buy to get the dividend for tax reasons and some sell just before for the same reason, especially in the case of foreign dividends.

Negative Interest Rates. A number of countries have gone in this direction. Canada has said they are not going to do this. The economy seems to be recovering in the third quarter.

The tech sector has strength in October to January and then mid –April to end of July. Watch your short term momentum indicators. The stock is overpriced on a technical basis. Stick with the stock.

Moves lower this time of year, but is doing better this year at this time. He would be cautious at these levels. Look at indicators to see when you want to take profits, probably in the next couple of weeks.

Bonds. Now they have seasonal strength to October. Technically, the indicators make him twitchy. Longer term bonds have formed a trading range over the last 6 weeks. Hold them as long as they stay in this range. If they break below the range, then consider taking some money off the table.

Education Segment. Seasonal Trends in the Markets. This is a time of year that volatility increases until the middle of October. Something unusual always happens this time of year. This year it is the US election. You normally see a rotation this time of year. Forest products drop from now until mid October. Autos are the same as they change model years. Metals do well until now, then flatten out and drop until the end of October. It is a positive time for gold. It climbs until the middle of October.

Markets. There are a lot of people in stocks because the alternatives are so unpleasant. There are a lot of risks in the bond markets. He thinks wage increase in the US make it look like full employment. You have to buy something with your money. The best part of the US market has been the Russell 2000, the smaller cap stocks. He thinks they are a bit inflated now. He thinks most of the money will be made through dividends for the next year or two at least in Canada. Sometimes companies are paying dividends that exceed their earnings or even their cash flow and this is not sustainable. You have to do your homework and make sure they are sustainable. He thinks the North American economies will be in a slow growth mode for some time. Health care, big technology and experiential consumerism are sectors to outperform the economy.

A real estate holding company. The value of the assets is well over $200 a share. But the stock is very illiquid. You can get in and get trapped, not being able to get out. He thinks they have a terrific portfolio of real estate. He likes it very much.

Takeover of WB-T. He does not think there will be another bid. He has not finished researching whether to hold the resulting stock after the takeover closes.

It has been a terrific bounce. He would sell it now. He does not see the fundamentals supporting the current price.

It depends on one or two drugs. They ran into a lot of competition on one of their drugs. Competitors have come out with drugs that are cheaper and GILD-Q had to take their prices down.

Will really benefit from the lower dollar. As long as the dollar stays where it is their prospects are not bad at all.