1. THE IDES OF MARCH
2. AFTI TRADING LESSON
3. COSMIC ENVIRONMENT FUND
4. QUOTES
5. WEB SITES
6. LETTERS
MONEY, MONEY, MONEY MANAGEMENT
I don't believe Alan Greenspan can make things any clearer. As
soon as IRA inflows stop, so does the market. As to NYSE, 10,000 is NOW
a fairly firm ceiling, but how low is low is now the question... 9500?
9000? 8000? or 7001.67?
It is well known on Wall Street that in the last phase of a bull market junk is hot, and boy has the [Nasdaq] junk been flying. Small caps are especially hot, but for how much longer? Next week? Next month? Anyway, we keep raising cash, buying the appropriate sector rotation, [As financial astrologers, we always strive to be in the RIGHT place at the RIGHT time]. We are also beginning to buy more value stocks, waiting to pounce on Bonds, accumulating beaten up angels and patiently staying highly liquid for the post tax to May reckoning.
REAL STATISTICS
The average pay for corporate chief executive officers has risen some
750 percent since 1980, compared to only 68 percent for the average worker.
The California Association of Realtors (R)' Annual Housing Affordability
Index fell to its lowest level since 1992 last year.
You still believe the emperor is wearing fine clothing?
Next to May, this next week could be one of the two most exciting [volatility] times of this century to date. Cosmically, we have Mercury going SD on March 14, Pluto SR on March 15, Jupiter squaring Neptune on March 16 and a St. Patrick's Day options expiration on the 17th of March!
KEY DATES: March 13,14,15,16
DJIA:
P1 9500, P2 9200, P3 8800: 10,000 Ceiling
NASDAQ: --> 4000
2. After doubling up on AFTI at 4.25 and then finding it trade as low as 3 the next day,(we bought more there), I have taken this trading lesson to heart: I am NOT buying IBM above 60. We then bought MPVI on what we consider good news at 7/8 to 15/16. Thanks to Dial, UL is approaching our value (buy) target, but NO rush. We want to buy this and most stocks during the bloody season. We have no margin debt, lots of cash in reserve and recommend the same to all.
3. On March 16th, we begin offering our "Cosmic Environment Fund" program.
50% will be in established “classical” SRI companies, primarily from the
environmental, successor energy, natural foods and alternative health sectors.
Up to 25% will be emerging small cap and microcap SRI companies with higher
risk. The remaining would be selected from relatively clean industries,
although some might fail some passive “sainthood” screens. While
we believe our TOTAL returns would be bench marked and respectable, they
may be less than those of our Jupiter investments, which are more unrestricted
in scope. I personally do not buy the current SRI line that there is no
cost to investing with a conscience. However, personally, I don't mind
some sacrifice in portfolio returns in exchange for aligning my pocketbook
with the cosmos and helping the planet I live on.
For details, see MONEY and
SRI
Investing.
4. "People are making longer term bets. No matter how wild [demand]
is today it will be wilder than even you can imagine."
James M. Glickenhaus portfolio manager Glickenhaus .
HW: Now, I get it, if you hold AOL for 50 years, it will be worth at
least $50.
"We don't see any major glitches in the tech story. Business looks good
and the money is flowing [to Nasdaq listed stocks]."
Dan Cook, money manager StoneRidge Investment Partners
HW: Of course profits won't increase, but decrease. Silly me. I keep
forgetting that profits DON'T matter, only money flows and relative rankings!
''The stock market is never interested in what a company did, it is
interested in what they are going to do`''
Jeffrey Applegate, Lehman's chief investment strategist
HW: Now I understand- stocks like AMZN could be profitable by 2030.
''Our economy remains in balance and workers are reaping the benefits
of the sustained productivity growth.
Secretary Alexis Herman
HW: Benefiting how? By getting small pay increases and too much job
stress?
5. Dow's Worst Plunge In
45 Years.
"Classic Signs Of Market Stop Ignored By Investors" By Dan Ascani.
Is Prozac
Driving Wall Street? By Robert Wright
"Back in college, I once heard a guy fantasize about somehow getting
cocaine into Wall Street's water supply and making a fortune by betting
on the bull market this would trigger. Or, for that matter, he could bet
on the bear market that would ensue a couple of hours later. In psychopharmacology,
after all, what goes up must come down.
At least, that was the thinking back then, before Prozac. With Prozac, you supposedly can defy the law of gravity: get the bull moods without the bear moods-and, presumably, get a bull market without an immediately ensuing bear market."
2002: The date "The Bubble Bursts" Top economic forecaster says Fed already sown seeds of recession
6. READER: NEXT year I see Jupiter IN GEM TRINE Uranus Neptune,
so oil going higher and so are the techs..............
HW: Perhaps, although there could be MORE supply on both Oil (more
drilling) and Techs (more IPO's), making these stocks lower than today.
READER: I don't know. You only have to breathe on a stock this year
and it moves! Congratulations. Re AFTI, I am really concerned about the
comment you made re it could go to $1.00-should I be worried?
HW: There is always risk, especially as today's markets are totally,
totally insane. At any moment, markets could tumble. This is
why I advise taking 50% profit of each trade and keeping it in CASH.
PS Right now my horoscope is on fire (Jupiter/Uranus conjunct my 1999
Solar Return Midheaven).
READER: Thank you for your call on WAMX - now that it is off it's high,
where is a good point to reenter?
HW: Probably right now!
READER: I'm wondering about ABX. They seem to still be rather
heavily hedged. HM is good, of course. Have you looked at GOLD
at all? These have a currency risk as they are ADRs sold on the NASDAQ
but GOLD has liquidated their hedge book and seems to be well positioned.
Besides, if the metal takes off, the Rand will be looking pretty good vis
a vis the greenback anyway, so one might make
out doubly well. What do you think?
HW: I don't follow this company, but I DO like their ticker symbol.
Since gold is for me a conservative hedge, I naturally avoid South Africa.
While I don't like the US Dollar intermediate term, I simply avoid the
RAND. If I did invest there, my first choice would be AAUK-ANGLO
AMERICAN PLC.
READER: Do you see any upside in the near term for PFIZER? I have held
on for a long time and am seriously concerned that this stock will stay
in the low 30's forever.
HW: As you know, we do not recommend this stock, especially since its
grandiose and ILL-TIMED takeover ambitions surfaced. I don't believe it
will stay in the low 30's forever. It could drop much lower or given inflation,
eventually it may go higher. If, and when, our views change, they
will be posted on WSNW subscriber premium area on Healthcare.
READER: Would you explain what happen to LDW?
HW: This an intermediate term Value (i.e. post May) play for us. We
bought more at 2 9/16 yesterday, and looking at it lower today, I bought
more. LDW is a fallen angel that could be in real trouble, but I
do not believe so.
READER: What's your take on the recent fluctuations? [Celsion-CELN]
HW: CELN is a good company in a hot sector, i.e. BioTechs. Currently
we are holding. If this was a short term trade, I would have been stopped
out after its superfast 25% pop. However, for me this is more than
a short term trade, but an intermediate and long term hold.
READER: Just looking at IHI chart- it has all the makings of a roar.
Broken through it's long term resistance and going up on great volume-
could be an exciting week
HW: I agree. It looks ready to explode up.
READER: I returned from my 3+ week exciting India trip a week ago. Having
met some Yogi psychics/face readers in South India I inquired about the
future of my investment in IHI and when will it's share price "reach to
the stars"? Of course, I also consulted again with my astrology gurus and
this time we made a couple of Horary charts as the question was worth $100K
to me (which for me is a major investment ever in a single stock)! Well,
I am pleased to say I had some wonderful experiences with these learned
souls.
It is because of my own destiny and past "karmas" that I have been
fortunate enough to seek out IHI, and most interestingly that the divine
science of Astrology led me to IHI. The conclusion: IHI will "reach to
the stars" within 2 years and 9 months to be exact -- that could mean perhaps
$10/share or perhaps $100+..... How high are the stars? High enough for
me to buy another 50,000 shares ... and I've informed all my family and
friends to seize this opportunity.
HW: I have also done the same for my family and friends.
PS Whether you use Chinese Astrology, Vedic Astrology or Western Astrology,
the results are the same: IHI
has the cosmic potential to become a "one decision stock" like Microsoft.
READER: I realize that DCHT is no longer a client but I suspect you
still include them in your portfolios. They seem to be in some classic
Elliott Wave moves. The current down (profit taking after the Discovery
Showcase in S.F.) looks like a 4th leg of an up trend whose larger context
may itself be the 3rd leg of a longer term up-cycle. True, we have
to wait and see, but I am thinking about an earlier email you got about
Saturn's workings on both DCHT and its CEO this May. Could be the
"A" or "B" downswing might be a biggee?
HW: They are out of all of our actively managed portfolios. Last
week we sold at 14 the last of our "investing" positions. They "exist"
only in our hypothetical 2000 UIT which by definition is buy and hold until
either our target price is reached, or one year or two years time.
As to my selling of DCHT earlier, this was due to three reasons: 1) they
reached our 2001 price target 2) money management (we are raising cash
levels in ALL portfolios ahead of May 2000 but 3) mostly for personal reasons:
see my last DCHT post.
I do believe Fuel cell technology is a major future sector, but like Internet
companies, I view them as overpriced across the board. If you are
buying and holding at this price (above $8), you are betting on Al Gore
becoming President instead of George Bush (in which case you are holding
Oil drillers like Schumberger and TransOcean).
READER: It looks as if IHI could go for a run up the week of the 22nd
March- although my accountant has just told me not to sell anything else
before the end of March- the end of our tax year because thanks to you,
my income has increased so much I need to adjust what I owe in provisional
tax the next year greatly upwards- thanks!!
HW: I believe you will be able to sell your IHI trading positions closer
to US $5. Personally, I hope ALL my platinum subscribers have similar tax
"problems" to yours! :)
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