Category: Research
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Watch Out For The Bull Trap In Gold
Does the recent rally in gold give bulls the “All Clear” that it’s finally safe to come out? HELL NOOOO… IT’S A TRAP!
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Why Banks Are Being Taken To The Woodshed
U.S. financials have been taken to the woodshed over the last month. Many bank stocks are either in a bear market, or very close to one. They look disastrous from a technical standpoint. As you can see in the charts below, various banks have formed long-term topping (bearish) patterns that indicate a likelihood of further…
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The 4 Horsemen Of The Global Deleveraging Apocalypse Part I : China’s Renminbi Devaluation
This is part 1 of our 4-part series on the global deleveraging which is now beginning and is expected to last over the next 2 to 4 years. We anticipate a lot of pain for the global economy in the form of crashing security markets and depression-like economic conditions. This series will cover how we…
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MLPs: A Great Opportunity In The Near Future, Just Not Yet
Shares of various MLPs have been battered over the last year. It’s a classic case of the baby being thrown out with the bathwater. Attractive MLPs with strong balance sheets have been sold indiscriminately along with over-leveraged operators. Soon investors with dry powder will be able to pick up excellent MLP assets for pennies on…
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Expectations Blockage – Short Spectranetics Corp (SPNC)
It’s important to understand how to evaluate a company. But it’s even more important to know how to evaluate other investors.It all comes down to expectations. What is the majority expecting? How can they be surprised? These factors are what move a stock’s price. And nowhere is this phenomenon more prevalent than in growth stocks. Take…
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The Fed Already Tightened 3.25% And Probably Doesn’t Know It
As seen in the Shadow Federal Funds Rate, the effective interest rate was as low as -3% in April of 2014 before the Fed started tightening. The current rate of 0.25% means the Fed has already tightened by 3.25%. There is no way the Fed will stick to its proposed rate hike schedule. If it…
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Long Bonds: A Safe Haven In Volatile Markets
Long dated US treasuries do well in times of market volatility and provide their best returns during bear markets. US debt is viewed as a safe haven when markets are in turmoil and investors flood into them. Recessions are deflationary and inflation expectations plummet. This increases the expected real return on bonds. Lower growth and…
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Short UPS: What Brown Can’t Do For You
Amazon’s potential delivery service is not a significant threat to UPS. The real problem they face is a slowdown in the economy. The faltering economy along with lower oil prices and a stronger dollar are tanking UPS’ stock price. When it comes to the United Parcel Service (NYSE:UPS), investors love talking about the threat of…
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ConocoPhillips: The Dividend Isn’t Worth The Potential Squeeze
A bet on ConocoPhillips is a leveraged bet on oil. Why there’s a good chance the dividend will be cut. There are safer plays for a dividend investor looking to put money into an E&P. I’ve heard many income investors pitching ConocoPhillips (NYSE:COP) as a great value at its current price and 6.4% dividend (one…
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Stop Listening To Blowhard Oil Bulls
Some investors truly deserve a gold medal. The mental gymnastics they execute to avoid evidence contrary to their beliefs is amazing. Instead of objectively assessing the avalanche of data that runs against their long-held opinions; they spin, distort, and bend over backwards to twist reality into what they want to be true.Why? Because nothing is…