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WEEKLY MARKET DIGEST: STOCKS ROCKET, GOLD AND BONDS FALL ON BLOWOUT EMPLOYMENT REPORT $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

March 7, 2014

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) STOCKS ROCKET, GOLD AND BONDS FALL ON BLOWOUT EMPLOYMENT REPORT March 7, 2014 February Nonfarm Payrolls came a 175K vs. 163K consensus and whisper numbers around 120K. Stocks are rocketing on this much better employment report compared to whisper numbers. Gold and silver are taking it on the chin. Interest rates are rising. Oil attempted to stage a rally but the rally is being met with heavy selling. Gold futures are at $1336, silver futures

DRONE INSANITY GRIPS INVESTORS $AVAV $AMZN $TSLA $ZU $CRAY #DRONE

March 7, 2014

On March 5, drone insanity gripped investors. They ran up the stock of drone maker AeroVironment by $6.71, or 21.33%, after the company reported earnings the day before slightly ahead of expectations. Ill-informed investors with stars in their eyes jumped on the chance of making money from commercial drones as the media whipped up the hype. This actually opens up another opportunity, but perhaps not the one they’re thinking. It was not long ago that Amazon AMZN released a video of a drone delivering a package. Add to that the fact that electric-car marker Tesla TSLA is hot, and AeroVironment is

A NEW IDEA ON GOLD MINER ALLIED NEVADA GOLD $ANV $GLD $SLV $GDX $GDXJ #GOLD MINERS

March 7, 2014

This post was just published on ZYX Short Change Alert. Consider building up to a 30% short position in gold miner ANV in the zone of $5.55 to $6.00. The stock is trading at $5.62 as of this writing. Stop zone is $6.11 to $6.32. Target zone is $4.25 to $4.68. This is a very short-term trade.

UPDATE ON GENERAC HOLDINGS $GNRC

March 6, 2014

This post was just published on ZYX Short Change Alert. GNRC makes generators. Its business is driven by storms. When storms occur like they have this winter demand for backup generators increases. One simple principle of short selling is to sell stocks that go up because of temporary factors. We do not have expertise in weather but we do know that the kind of storms experienced this winter are not likely to repeat often. Nothing fundamental has changed for the move over the last few days. It is simply that all momentum stocks, GNRC is one of them, are running as a

SHORT GRAINS $DBA #GRAINS #UKRAINE

March 4, 2014

This post was just published on ZYX Short Change Alert. Grains have moved up sharply on Ukraine turmoil and bad weather. Ukraine is known as the bread basket of Europe. Part of the analysis here is the same as we provided you yesterday in UPDATE ON RATINGS ON GOLD AND SILVER IN THE WAKE OF UKRAINE TURMOIL. A convenient way to short grains is through the ETF DBA. DBA closed yesterday at $28.06. Consider short selling a 10% tranche in the zone of $27.73 to $28.50. Consider adding another 10% tranche if DBA moves higher in the zone of $28.50 to

IS LINKEDIN A $300 STOCK OR A $100 STOCK? $LNKD $GOOG $FB $TWTR

March 3, 2014

LinkedIn is the largest social network for professionals in the world. On balance, LinkedIn stock is in no-man’s-land at this time. It can as easily go to $300 as it can to $100. As of this writing, the stock is at $213.30. Let us examine the eight most important factors for this stock. Technical perspective From a technical perspective, the stock is in a downtrend. Please click here for the annotated chart . As the chart shows, the price action over the last several months is capped by a downward-sloping trendline. Volume also jumps on bad news much more than

WEEKLY MARKET DIGEST: THE GOOD AND BAD OF S&P 500 BREAKOUT $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

February 28, 2014

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) THE GOOD AND BAD OF S&P 500 BREAKOUT February 28, 2014 Yesterday S&P 500 finally broke out of the heavy resistance at 1850. The good is that it broke out, took out the stops, and did not fall back under 1850. The bad is that after the breakout, the behavior is atypical of S&P 500 compared to major historical breakouts. History tells us that in major breakouts, S&P 500 rockets up after the breakout.

AMAZON COULD KILL ZULILY $ZU $AMZN $TSLA $EBAY $TGT $WMT $JWN $GRPN

February 28, 2014

Starry-eyed investors in Zulily may lose their shirts if Amazon becomes more aggressive in the daily-deal business; considering Zulily’s success, Amazon moving in to crush Zulily is a highly likely event. The chart illustrates the insanity that has set in Zulily ZU stock. Please click here for an annotated chart. On Feb. 24, 2014, after the market close, Zulily reported earnings of $0.10 compared to consensus of $0.04; reported revenues of $257 million vs. consensus of $226 million. However, for the first quarter, the company saw a loss compared to the consensus EPS estimate of $0.03; for Q1 company sees revenue