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NEW ECB BAZOOKA OFFERS OPPORTUNITY

August 20, 2012

European Central Bank Chief Mario Draghi may follow the U.S. lead and fire off his own bazooka. Requesting broader spending powers, Treasury Secretary Hank Paulson famously told Congress that he needed “a bazooka” to head off the financial crisis. German magazine Der Spiegel reports that the ECB is now considering pledging unlimited bond purchases to limit the maximum yields on sovereign debt. Draghi is bringing new boldness to the ECB and may have an itchy trigger finger on the big bazooka. The present stock market rally started in earnest after Draghi’s statement about future action: “It will be big enough.”

ZAGG CEO FIRED

August 17, 2012

Robert G. Pedersen II has stepped down as CEO and chairman. ZAGG president and COO Randall Hales has been appointed interim CEO by the board, and Cheryl Larabee has been appointed to serve as chairperson of the board, effective immediately. Pederson sold 515,000 shares of ZAGG stock, or $4,234,021 worth, as noted in an SEC Filing today. ZAGG reiterates FY12 revenue guidance of $256M, consensus $260.15M ; reiterates FY12 adjusted EBITDA guidance of $56M-$61M. ZAGG dropped about 5% in the after market. It appears there is more to the story than meets the eye. We will be digging. What to do now? Those in the

WEEKLY MARKET DIGEST: SPAIN IS THE BEST PERFORMING MARKET

August 17, 2012

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers.) SPAIN IS THE BEST PERFORMING MARKET August 17, 2012 Since July 24th bottom, the Spanish market is up about 25%. The up move continues this morning. Spain has been the epicenter of the European crisis. The point is that the most money is made by identifying value during troubled times. Most of Europe is on vacation and volume is light. Today is option expiration. Big moves are possible on light volume. Gold futures are at $1617,

WHY BUYING GOLD AFTER PAULSON AND SOROS IS FOOLISH

August 16, 2012

There are plenty of reasons to buy gold; buying gold just because Paulson and Soros bought gold is a fool’s game. For years, I have analyzed Form 13F Reports filed by institutional investment managers with the U.S. Securities and Exchange Commission (SEC). An institutional investment manager exercising discretion over $100 million or more is required to report holdings on Form13F to the SEC. Not only do I routinely trade gold and silver in my hedge fund, I also provide recommendations on gold and silver to both long-term investors and short-term traders of my investment alert services. One of the pleasant surprises

NOKIA AND MICROSOFT MAY BEAT APPLE’S IPHONE 5 TO THE PUNCH

August 16, 2012

It is no surprise that Apple will launch iPhone 5 soon. The debut is widely expected on September 12, 2012. The surprise is that Nokia (NOK) and Microsoft (MSFT) are planning to beat the iPhone to the punch. Microsoft and Nokia have sent out a notice of a press event in New York on September 5, 2012. As of this writing, no details are available but it appears that Nokia and Microsoft will announce Windows 8 phones at the event beating Apple iPhone 5 to the punch by seven days. The official launch date of Windows 8 is October 26, 2012. Initially it was expected that Nokia will

GOLD AND SILVER RUNNING UP ON WEN’S COMMENTS

August 16, 2012

This post was just published on ZYX Buy Change Alert Gold and silver are running up on overnight comments from Chinese premier Wen that indicated higher likelihood of stimulus in China. Interestingly gold trading data from Shanghai overnight shows that Chinese investors dismissed Wen’s comments. However, American gold momo crowd thinks they know Chinese premier better than the Chinese gold investors.

NEW DATA FLIES IN THE FACE OF GOLD BULLS

August 15, 2012

The most recent run in gold and silver is based on the belief that the central banks all over the globe are once again about to ease. When the most recent run up started, there was sound basis for the belief as economic data was weak. However, the recent data flies in the face of gold and silver bulls. At The Arora Report, we monitor economic data from 23 countries. Late in the second quarter and until recently this quarter, the economic data from all over the world was weak. For the first time since the 2008 financial crisis, our

OBAMA OR ROMNEY, PHARMA IS A LOSER

August 15, 2012

A popular axiom among long-only investors is to “buy low sell high.” For those investors who are equally interested in making money from both markets going up and markets going down, the parallel axiom is, “short-sell high and buy-to-cover low.” In the short-term, the stock market is overbought, and it is common for overbought markets to become more overbought. If this market moves up from here, many opportunities on the short-side will be ripe for the long-term investors who want to position themselves to make extraordinary returns when the market goes down the next time. We diversify among over 50