MARKET MAGIC REPORT issue XI 'Panic Striken'

The stock market was down big Wednesday and again today. That is usually were the panic sets in with investors and more so with traders. The 'Working Mans Portfolio' is operated somewhere in between.

Two thirds of the Working Mans Portfolio is an investment portfolio and the other third is a traders portfolio. But that is just how we feel every one's portfolio should be. Keeps you involved so you know where your money is going.

When you are investing or trading in the stock market the two worst things you can do is to panic or get too greedy. This is how and when we make bad decisions with our money.

When there are days like yesterday sometimes the best thing to do is walk away for the day. Do not get wrapped up in the market or it will consume you on those days. When the S & P dropped below 1136 we did stop and look at some intra-day charts to get a feel for what was going on then walked away.

The Market Magic Report simply decided it was not the start of a bear market but the bear claws are coming out soon. We still believe the S & P needs to kiss 1180 or 1200 before a bear market starts.

If you are following the Working Mans Portfolio and are concerned about the call options we have on the board. Stand fast and be patient and above all do not panic. However, we are really close right now to a support level and if it is broken we need to go ahead and sell our call options.

This support level is 1114 to be exact. If the market closes below this level you need to sell the call options. Even if you sold them today at closing prices you would make a profit of around five or six hundred so be patient, we still have the ability to make a nice profit.

However, we still believe the S & P needs to reach 1180 and when this happens keep a close eye on the market. I am looking for a day that sees the market sore upwards then comes way back down off of the highs. The S & P will probably be around 1170 - 1180 at the start of the day and will get up over 1200 then finish the day at 1188 or something. Sell all call options at this time.

The Market Magic Report has been asked recently about putting on stop losses on there trades. Stop losses are never a bad thing and in the Working Mans Portfolio's case we would let you know if we thought it was necessary to put a stop loss in on a trade.

When trading large quantities of stock, stop losses are strongly recommended. When we bought the penny stock OPMG we probably should of put a stop loss on that trade and if we had held it for any longer we may of just done that. But as you know we sold that bad trade off rather quickly.

It is always important to set levels when trading stock or options in the market. For instance, on the Weatherford International (WFT) Call option we are looking for 22 to 23 on the stock price to take profits and have a bottom sell point of 17.50.

On the other hand Arch Coal (ACI) Call option has past our profit taking point but has come back to it the last two days. You have not received a sell trade on this yet due to the fact that we feel it has more room to run and set a new profit taking level of 29 to 30. However, if this goes much below 24.75 think about taking your profits on this one, but again be patient I think it sees at least 29 first.

Just remember that panicking and getting too greedy are two very bad emotions to have when trading in the market. So are we getting greedy with Arch Coal? Possibly, but we are confident holding this a little longer will be profitable. However we will watch it closely with the sector down grade today.

Patience is a virtue... so they say, let's give it a try!

NFL WIZARD issue XV

Post-season wizardry, the football post-season picks could not be hotter. A record last week of 2-0, and unofficially 4-1. Taking our post-season total to 4-1 officially and 6-2 unofficially. Just winners this post-season.

Just so my newer readers understand. Usually my record is much better in the regular season and not so hot in the post-season. This year it has been the opposite. 56% winner in regular season and 80% in the post season for an overall 59% winners in 2009.

This week we love our picks. Both games came out to 3 Star plays. Minnesota +4 over New Orleans and Jets +8 over the Colts.

There are two other plays that caught our eye this week. These are not official plays but wanted to let you know about them just in case you can take advantage of them. Minnesota 4.5 to 1 to win the Super Bowl are the best odds out of the four teams left that has a chance to win. We also found a pick em' line on the Super Bowl. Take the NFC over the AFC on the pick em' line for the Super Bowl.

Well here's to having a bucket full of money to spend on the Super Bowl as we will have more things to bet on that game than any other single sporting event. What other event can you bet on a coin flip?

MARKET MAGIC REPORT issue X - 'Where and When?'

Off to a bumpy start to 2010 and everyone is wondering which way the market is going. Are we gonna get a double dip? Will the bull market continue?

Usually when these questions are being asked the market is getting ready to correct. However, this is usually preceded by a nice run up in the market before the correction. And this is where the Market Magic Report thinks we are at in the timeline.

This is why the call options are sill on the table in the working mans portfolio. We believe the market has one more nice run up before a pull back or correction. The Market Magic Report made a mistake with our trade on QQQQ put option. This option was put on the table way too soon, but with some patience we can still make a little profit as we have plenty of time left on this put option.

The biggest question facing the Market Magic Report is how big of a correction will the stock market have? This correction could be around 15% or greater. And certainly could end up being thought of as a double dip.

The Market Magic Report still thinks that stocks will never be cheaper than they are now. At least between now and the next market correction.

The stock market is closing in on a serious bull market and we hope you are not left behind during this amazing time in the stock market. Consider investing in the market soon.

The next working mans portfolio chart update will be towards the end of the month. The portfolio is up some 20+ percent at this point.

NFL WIZARD issue XIV

Which NFL players will be getting frustrated on the golf course sooner that others is the true question this time of year. And the NFL Wizard is off to a great post season start with a 2-1 record last week.

This week we have two solid 3 star plays. The first is New Orleans -7.5 over Arizona looks great. Not sure what the over is but expect at least 60 points scored in this one. Next the New York Jets +7.5 over San Diego is another solid play.

We also like Minnesota and Baltimore this week but are not official play. Good luck.... 67% winners post-season, 56% winners regular season.

NFL WIZARD issue XIII

Well it is playoff time of year. Our regular season totals are far from profitable, but they were break even numbers anyway.

A total of 33-26 on the regular season. Just shy of 56% winners. We will try and make that number bigger during the post season.

Our first selection for this week is a 3 Star play. Arizona -1.5 over Green Bay is our top play this week. However, we do have two 2 Star plays also. The Jets +2.5 over Cincinnati as I just think last weeks game took too much out of the Bengals, not to mention all that team has been through this year. And the Eagles +4 over the Cowboys should be the difference as I just do not think the Cowboys have another big game in them. And if they do win it will only be by a field goal tops.

Good luck everyone. Did not touch the Patriots game as they are my home team and there is too much emotion involved there to make a clear selection.

MARKET MAGIC REPORT issue IX - 'TRADE'

Working Mans Portfolio TRADE; First we are going to sell OPMG at 0.07. Then we are going to buy CALL options on WFT, CHK, and ACI. First buy .WFTEY May 23 Call at 0.60 tops, then buy .HKWDT April 33 Call at 0,65 tops, and last buy .ACIDE April 25 Call at 1.45. I will update everything with a chart towards the end of the month.

Good luck everyone, lets make it happen in 2010.

MARKET MAGIC REPORT issue VIII - 'Making it Happen in 2010'

The Market Magic Report would like to start 2010 off with a bang. But greed is a bad thing, so maybe smart instead of a bang is better.

The stock market is getting closer and closer to a serious bull market. A stock market that may see the S&P 500 reach 1500 or better. However, this bull market could still be a few year off.

If you are playing the stock market for the long term now is the time to buy. If you have the money to invest for the long haul, Congratulations you will be one of the rich ones someday.

The question is, where to invest your money. Well if the market is going that high it will be hard to go wrong. However, there are certainly places where you can get the best bang for your buck.

Financials, technology and commodities are the three best areas to invest your money now. Companies like Bank of America, Goldman Sachs, Optionsxpress, Apple, Amazon.com, IRobot Corp., Alcoa, Arch Coal, and US Steel are just a few.

Remember to always check with your financial advisor on our stock selections, but we recommend that you learn how to make your own selections when investing your hard earned money. Learn for yourself why and when we buy and sell stock, commodities, options, and futures.

But to put it simply, the stock price on most quality companies will never be this low again. And to put it simply, to make money in the stock market we buy low and sell high. And let me repeat myself one last time. 'Most stocks will never be this low again!'

THE WORKING MANS PORTFOLIO UPDATE

Above we have the working mans portfolio updated picture. Looks like we may of made a bad decision about OPMG as that stock has gone nowhere but down.

We need to put some of our cash to work for us to start the new year. But we will sit back and see which direction the market will start 2010 off with.

We have our eye on some moves like we think Bank of America could start to climb the ladder so to speak. Not to mention US Steel and others.

The Market Magic Report will let you know shortly about our moves so you can take full advantage of them. Probably towards the end of next week or the following week.

Since our last working mans portfolio update we have lost almost 400 bucks. Three hundred of which is with our terrible penny stock pick. However, we will continue to hold it and see what happens.

Stick with the Market Magic Report for 2010 and we will make you some money in the market. It should be a slower year than 2009 but we will show you how to continue to make a nice profit in a sideways market.

The Market Magic Report would like to wish you and yours a Happy New Year, and here's to a larger portfolio in 2010.

'2010' The New Year

What will 2010 bring? Health and prosperity for all? Not likely!

Well 2009 certainly did not bring us any wonderful experiences as a country or a world. But more American soldiers died overseas. The rich got richer and the middle class got smaller and thousands of more Americans lost their homes.

Lets not forget more false promises that things will get better from our government. Meanwhile more people are losing there jobs and homes.

Not that some people in society even deserve better, as common courtesies and common sense has been totally forgotten by humanity. More and more we are becoming an all for one, one for all society.

Why respect each other, what purpose does it gain? A close friend of mine was robbed on Christmas day while he and his family were visiting other family members during the day.

This is how desperate and disrespectful our society has become.

So what will 2010 bring? I can only hope it brings a society of respectful, honest people that work together and help each other prosper both financially and spiritually.

There are a lot of things that truly scare me about today's society. Only can hope things will change for the better soon because society is currently headed on a path of destruction.

Sometime I want to just buy a bunch of good and head out into the wilderness like Grizzly Adams or my favorite Jeremiah Johnson. Just leave society behind and live the pure life. The simple life, the way life should be.

Society and the leaders of our societies need to make some serious decisions. Let us hope they make the right decisions or we are all in trouble.

Keep the faith and honor, respect and love thy neighbor. It just might be a good start.

NFL WIZARD Vol. XII

Shark bitten last week with only a 2-2 mark on the day. And my fantasy football team, The Juggernauts came up short last week in the Stogy Bowl XIX our leagues nineteenth season.

Maybe this week will be better. We have another four plays for you guys and gals, one 3 Star play and three 2 Star plays. The 3 Star play is Chicago -3 over Detroit. The 2 Star plays are the 49ers -7, Miami +3, and Titans -4. Short and sweet this week, and back on winners.