Tuesday, November 29, 2005

To diversify or not to diversify...

Nice post by Robert Kiyosaki, the author of "Rich Dad, Poor Dad"

Why the rich get richer? - To diversify or not to diversify

Wednesday, November 23, 2005

More CHK - How it all began...

Jubak artcile (mentioning CHK)

Friday, November 18, 2005

CHK - Chesapeake Energy

I havent done a recommendation in quite a while and discovered its actually fun to do one. Here's a recommendation to consider.

Chesapeake Energy
(CHK) has pulled back from its recent highs. The run up for the year has been over 70% (the stock doubling at one point). While this may seem like astronomical performance, my opinion is that this pullback is an opportunity to buy. Natural gas stocks are currently under pressure due to unexpectedly warm Fall weather in the cold regions, thus lowering expectations on natural gas usage in the winter. First of all, the weather is as predictable as the markets direction.

Chesapeake in particular has come under pressure primarily because of profit taking. Insiders in the meanwhile have purchased in large quantities in September. The company has strong fundamentals and the long term technical trend remains bullish, with stock price still riding barely above 100 day and 200 day moving averages. The price did flirt with the 100 day trendline and dipped below it slightly during the recent pullback, but as mentioned earlier, insiders have been buying on these dips. Options based sentiment (contrarian indicator) suggests bullish action, the volume put-call ratio seems to be making a turn off a recent high indicating a bullish move. The Open interest put-call ratio is showing similar short-term high.

I would suggest adding this to our watch list and looking for opening a position on the first positive sign on natural gas. Compared to other stocks in the sector, CHK has a stronger growth potential with proven earnings, at an affordable price.

Monday, November 14, 2005

Ben Stein on Yahoo Finance

Ben Stein mines through cement and steel, for market trends based on macro hints.

Cement, Steel and Stocks - by Ben Stein

Wednesday, November 09, 2005

Toll brothers says era of soaring prices has ended

Monday, November 07, 2005

Hidden Gems November Issue, LAST ISSUE

Hi all this is our last issue. As discussed earlier, we will not be renewing our subscription to hidden gems.

Hidden Gems - Nov 05 Issue, loging reqd.

Sunday, November 06, 2005

The Indian Consumer...

Morgan Stanley chief economist is counting on the Indian consumer to save the developed world! Consumer confidence, desi style...

Here Comes the Indian Consumer: Stephen Roach, Morgan Stanley