Monday, November 16, 2009

MARKET MAGIC REPORT issue IV - 'The Buying Issue'

The Market Magic Report realizes we said to wait until the S&P breaks above 1100 to buy, but we are retracting that and giving you another option. We beleive it is still a buy situation and pulling the trigger is not the wrong thing to do.

The other option is to wait until the correction we believe the market will have sometime next year. Basically when the US Dollar starts to recover from it's bear run. This market correction should be a 10 to 20 percent pullback.

MMP also believes that you can not go wrong either way. Maybe the best thing to do is buy now and cover them during the correction next year with PUT options.

One important thing to remember about trading options, that we forgot to mention in the last issue, is always choose options with plenty of open interest in that options chain. If there is no open interest it will make it very hard for you to get out of the trade when the time comes.

As we all know to buy stock, there has to be someone out there willing to sell you there stock. It is the same with options, but because thee are so many choices in options you need to make sure there is interest in the option you wish to buy, or it will be almost impossible to get out of the trade.

MMP does have four more stock referrals to add to the twelve we gave you in the first issue; CHU - China Unicom, LTD, CNI - Canadian National Railway, WMT - Walmart, MCD - McDonalds.

This brings the total number of referred stocks by MMP to sixteen stocks. Please do your own research and determine which ones your like the most. Another play could be to just buy the US Dollar since it has been beaten down pretty good.

MMP received a question the other day. Well more of a request which we thought might be a fun idea. The question was if I gave you $10,000 how would MMP invest it?

Well here is the first MMP portfolio and we will call it the 'Working Mans Portfolio'. We hope this will help some of you. We will show every movement to this portfolio but do not expect MMP to sell any of the stock anytime soon. But every option trade will be shown here at the time of the trade and we will keep track of every penny right down to trade fees.

The goal of MMP is to please and inform our readers and hopefully make the financial side of your life more secure. Financial stress is probably the leader for causing health problems today. So let's avoid all that and become financially secure together.

Please remember that MMP is just a source of information for the investor and suggests that you consult a professional advisor before entering the stock market or any other type of investment.

Thursday, November 12, 2009

MARKET MAGIC REPORT issue III - 'What are your options'

When buying and selling stocks you need to decide whether you are a trader or an investor?
Traders work the stock market on a daily basis and it becomes a full time job, 9:30 to 4pm est.
Investors are in there trades for the long haul. This is were most of you will fall, and is a good way to play the market.
In fact, if during the last down turn in the stock market, you were able to just look the other way, you will soon be back to where you were before the down turn depending on which companies you were invested in. And should not be too much longer for the others.
Some of you might of made money with PUT options during the down time. A PUT option makes money when your stock falls in price. A CALL option makes money when the stock price goes up. Some traders buy and sell options instead of stock because they are much cheaper. Just a fraction of the stock price.
However, options are truly a different animal in the market. It is hard to loose all your money in stocks because they rarely go to zero. But options expire and can become worthless in a couple different ways.
Options cost a fraction of the stock price and are bought and sold in groups of 100 options per contract. Some options expire in a week, some expire in several years depending on which one you choose as there are many different options in options. No pun intended!
The safest way to use options is as a back-up for your stock in down times. An option can also be exercised, which means you buy the 100 shares of stock at the strike price you bought the option at. But more commonly the options are just sold for a profit or lose. But unlike most stock you can loose every penny you put into the trade.
It too MMP some time to become familiar with options so we do not expect you to completely understand them in one issue of MMP. So we will cover more of options later as there are several ways to play options. But the most practical way to use options is to protect the stock you own in your portfolio in down times.
The first thing you need to do is have an investment strategy. The MMP strategy is simple: 10% cash and savings, 20% commodity's, 20% options, 50% stocks. There are plenty of ways to play commodity's with commodity companies such as Canadian Natural Resources, US Steel, Alcoa are just a few and ones we gave you in the first issue of MMP.
Please feel free to ask MMP any questions you may have, or stocks you wish MMP to check on and give you an opinion on. But please also remember that we are just another tool for you to use and you should always check with your professional financial advisor before committing your money to a trade.

Tuesday, November 10, 2009

NFL WIZARD Vol. VII


The Wizard, not really, more like Chris Berman. Ha Ha! But as we all know Chris is terrible at picking winners. And so is the Wizard this year. There has never been a time were I have been below 50%. And with an overall, 17-18 there is no were to go but up. More amazing than that is 5 Star plays at 0-3 for the year so far.
All I can say at this point is I will do my best to just find winners of any kind.
This week I tightened up my rating process and let's see what happens. The Titans -6.5 should get the job done at home against the Bills a 4 Star play. Also a 4 Star play is Miami -10 over the Buccaneers. Two 3 Star plays as the Saints -13.5 will have way too much offense for St. Louis and Detroit +16.5 might catch the Vikings a little soft after a week off. Well those are Week 10 plays, I hope the Wizard gets back on track this week.

MARKET MAGIC REPORT issue II - 'Special Report'

The first Special Report from Market Magic Report. Do NOT buy until the S&P 500 Index closes about 1100. We might be playing a game with the 1100 level.

If it breaks through and closes above this level the market will continue up until the end of the year sometime. Or we will drop down again then come up and test the 1100 level again by the end of the year.

If it does not break above 1100 this time we will be looking at a double dip and the market will then have a significant pull back. So lets keep an eye on this before we pull the trigger. Unless we want to put some PUT's on the board. The MMP will get into options in our next issue.

Monday, November 9, 2009

MARKET MAGIC REPORT issue I - '12 Bars of Gold'

Gold has had an incredible run up and has reached new highs and probably has more room to run. However, that is not what this article is about, it is about twelve stocks Market Magic is going to refer to you today.

For the past seven years we have been learning and studying how to make money in the stock market. The Market Magic Report is now at the point were we are ready to share our thoughts, predictions, and strategies for making money in the market.

This introductory issue to the Market Magic Report will be simple and to the point. We will give you twelve companies that you can check out while we wait for the perfect entry point.

Timing is everything when dealing with the market. We use the S & P 500 index to determine timing for buying and selling stock as well as options. We will get into options in later issues of the MMP (Market Magic Report).

Until then here are the '12 Bars of Gold' with there stock symbol and current price:

# Symbol Company Stock price as of 6 Nov.

1. AA Alcoa, Inc. $12.86
2. ASTI Ascent Solar Technologies, Inc. $ 4.92
3. BAC Bank of America $15.05
4. CELL Brightpoint, Inc. $ 7.64
5. CNQ Canadian Natural Resources, LTD $65.14
6. FDX FedEx $77.12
7. HPOL Harris Interactive, Inc. $ 1.02
8. JNJ Johnson and Johnson $60.30
9. MO Altria Group, Inc. $18.54
10. OXPS Optionsxpress Holdings, Inc. $15.61
11. PWAV Powerwave Technologies, Inc. $ 1.28
12. X US Steel Corp. $37.38


The S & P 500 Index broke out above 1080 since I wrote this article over the weekend. Making it a buying point for the stock market. So jumping in on some or all of these is warranted.

As time goes on I will have more stock recommendations and will keep you informed on these twelve at the same time. This is a great time for investing in the stock market. Just remember timing is everything and there is a ton of money to be made over the next five years or so. So let's get rich together just look for the next issue of the Market Magic Report. Which will be out no later than next week.


* The Market Magic Report is basically just a stock analyzing source and suggest that you consult a professional investment advisor before investing your hard earned money. *

Sunday, November 8, 2009

NFL WIZARD Vol. VI

Sorry guys little late this week. So here we go since it is Sunday. 5 Star play: Denver +3, 4 Star plays: Indy -9 and Philly -3, 2 Star plays: GB -9.5, Balt. -3, Chicago -3, Ten. +4, and Giants -5. I know alot of plays this week, all I can say is stick with the 4 Stars and 2 Stars as they are hitting 85% and 5 Star and 3 Stars are hitting only 25% of the time. Good luck will get things up earlier next week.