Sorry for not posting for a while, I’ve been out-of-the-country and on my own stock research sabattical researching short-term trading and swing trading. Now we can get down to business and make more money than just doing value investing. I’m not to fond of big drops in the market. If we want to make cash, we ogtta be able to swing our trades no matter what the scenario.
The past week we bottomed out at the market at 9200. The only next point of resistance is at 10,500. We have a lot of bull to go and the stocks that I am posting below all have an advantage to gain for the next couple weeks.
ETFC, E-trade, is a online broker company and mortgage financing company. They trade at $1.55 but ran up to $1.92 last week before hitting a low of $1.50. A lot of institutional investors have been trading this stock. Citadel investment put out a press release stating they will not be selling their shares of stock. They are the largest holder with 120 million shares! Goldman Sachs bought over $38 million and Barclays bought over $60 million worth of shares. There has been recent buying by Vanguard, IShares, Equity Advisors, and other mutual funds. Companies like Vanguard continually buy more shares through 401k programs. I see this company as a very safe trade at these levels. There is also a ton of shorts in this stock. I definitely see it breaking $2 just by the short-covering alone. Great stock to get in now!
CMO, Capstead Mortgage Corporation, is a mortgage REIT that invests in residential and commercial properties. It makes money by investing in mortgage loans. The last quarter is gave a whopping .58 dividend. This comes out to a yield of 17.34%. The company makes money by profitting off the spread on interest rates. Since the United States is at all time lows on interest rates it is making tons of cash right now. Just last week the interest rate for short-term loans went down furthur this will add to its profitability. The only way this company will lose is if the interest rates go up; however, this only happens when the FED wants to slow the growth of the country. We have the highest unemployment rates for the past 27 years and tons of mortgages that will be going into foreclosure for at least the next year. I highly doubt interest rates will be rising anytime soon. Technically, the daily stoichastics are at the lowest its been for the past few weeks. The risk is low right now. Buy now at $13.35 and hold it long-term for at least a year. Easy dividends and easy cash. Nothing to lose.
FSLR, First Solar, has low stoichastics. It has already started a move up from hitting a low of $112. It currently trades at $121.47 and I see it moving up to $145-150 range. After that depending on market conditions it can either move up or drop. This is a very easy trade right now with the current bullish market conditions and solars at all-time lows. If you want to play with more leverage, JASO, JA Solar Holdings, moves up a lot more. I don’t know what the long-term trend for solars will be but for the short-term they both look like fine plays.
BSTK is a penny stock with a lot of potential. This stock currently increased 100% from .12 and it was at a low of .05. I see it moving it .50 cents before it hits strong resistance. Another great short-term play!
Good luck!
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