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REBALANCE WITH CASH — NOT BONDS — BEFORE YEAR END $TLT

December 16, 2013

Rebalancing between bonds and cash at year-end is quite common. Traditionally some practitioners have suggested a higher proportion of bonds as an investor ages. A split of 60% for stocks and 40% for bonds is quite popular. In a year like 2013 when stocks have been up strongly, to maintain the desired split between stocks and bonds, stocks will have to be sold and bonds added at the end of the year. This year, I recommend against this traditional rebalancing in favor of bonds. The reason is that bonds are likely at the end of a long bull market. Going

GERMAN REGULARS PROBE GOLD AND SILVER PRICE MANIPULATION, IGNORE CONSPIRACIES AND FOCUS ON THREE POINTS $GLD $SLV #GOLD #SILVER

December 16, 2013

There is no shortage of conspiracy theories related to gold and silver. However, I have never found much credible substance in such theories. For the first time in recent years, there is a report that is worth monitoring. German regulators are investigating Deutsche Bank regarding gold and silver price manipulation. This is important because Deutsche Bank is one of only three banks involved in London silver fixing, and one of the five banks involved in London gold fixing. HSBC and Bank of Nova Scotia are the other two banks that fix silver prices. In addition to the foregoing names, Barclays

WEEKLY MARKET DIGEST: HOUSE PASSES BUDGET, INFLATION UNDER CONTROL, SENTIMENT OVERLY POSITIVE $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

December 13, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) HOUSE PASSES BUDGET, INFLATION UNDER CONTROL, SENTIMENT OVERLY POSITIVE December 13, 2013 The House passed the budget deal; this is causing mild optimism in the stock market. Core PPI came at 0.1% vs. 0.1% consensus. This shows that inflation is under control. Core PPI has a significant weight in our model, the theory is that inflation shows up in producer prices before it shows up in consumer prices. Our proprietary sentiment indicators are reaching overly positive territory.

CURVED SCREEN COMING IN SAMSUNG GALAXY S5 BUT NOT IN APPLE IPHONE 6 $AAPL $GTAT

December 13, 2013

Apple investors need to be alert to both positive and negative upcoming fundamental developments, one of which may give a boost to Samsung’s mobile fortunes. An upcoming negative development for Apple AAPL is the potential release of the Samsung Galaxy S5 with a curved screen, which the iPhone currently does not have. In terms of positive developments, Apple just won a patent for producing a curved screen. Here is an abstract of the patent number 8,603,574. “A method of forming a curved touch surface is disclosed. The method can include depositing and patterning a conductive thin film on a flexible substrate to

TAKE PARTIAL PROFITS ON TWITTER $TWTR #TWITTER

December 13, 2013

This post was just published on ZYX Buy Change Alert. Consider taking profits on a 5% tranche on TWTR right here around $57.30.

TAKE MORE PARTIAL PROFITS ON APPLE SHORT-TERM TRADE AND PROTECT THE REST $AAPL

December 11, 2013

This post was published on ZYX Buy Change Alert. On December 10, 2013, the following alert was posted: Depending upon the size of position held, consider taking profits on one-quarter of the original AAPL short-term trade in the zone of $562 to $568. The stock is trading at $563.50 as of this writing. Protect the remaining position by putting a stop in the zone of $542.43 to $543.38. This has no impact on the long-term AAPL position which is separate and distinct. (Note: Only those trades that are posted in real time on the blog and time stamped by Google are

DO NOT BE FOOLED INTO BUYING APPLE ON CHINA MOBILE DEAL $AAPL $CHL $VZ

December 9, 2013

China Mobile has scheduled an event on December 18 and the speculation has been that China Mobile will introduce Apple’s AAPL iPhone. The Wall Street Journal reported this morning that China Mobile will take pre-orders for iPhones starting Thursday. It is easy to see how a superficial analysis can lead one to conclude that it is a big deal. After all, China Mobile has over 700 million customers and is the last major telecommunications carrier that has held out in not carrying the iPhone. Take a look at the following and make a judgment for yourself. ARPU Average revenue per user per month or ARPU

WEEKLY MARKET DIGEST: STRONG EMPLOYMENT REPORT, GOLD SQUEEZES SHORTS $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

December 6, 2013

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) STRONG EMPLOYMENT REPORT, GOLD SQUEEZES SHORTS December 6, 2013 The U. S. Department of Labor reported a very strong employment report for November. Nonfarm Private Payrolls came at 96K in line with consensus. However, unemployment rate fell to 7.0% vs. 7.25 consensus and 7.3% in October. October Core PCE Prices, a good indicator of future inflation, came at 0.1% vs. 0.1% consensus. The only negative in this morning’s data is that October Personal Income came at