If you like this e-zine, please do a friend
and me a big favor and "pay it forward."
If a friend DID forward this to you and if
you like what you read, please subscribe by
Jun 26, 2006 - Issue #012
Tinker Belle asks, "Do You Believe?"
Watching the talking heads on CNBC reminds me of watching the scene in "Peter Pan" where
Tinker Belle asks the audience, "Do you believe?"
At least "Tink" had magic dust to sprinkle and, lo and behold, things began to levitate.
That magic dust could come in handy right about now.
For the week, the Dow was only down -.23%. Give me a break!
Comparing the individual components (12 up, 18 down) and you come away with a whole
different take on the situation. GM helped cover up a lot of losses.
Trends: 12 rising, 8 consolidating, and 10 declining, by my admittedly subjective
As always, how the consolidating components resolve themselves is key; just like "swing"
voters in political elections. But I got to tell you, I'm not optimistic.
It's not easy finding things to buy, these days. It's also not easy finding initial
"shorts" either, because of all the carnage that has taken place.
I said, last week, that no one was recommending INTC as one of the reasons I liked the
stock. Well, I can no longer say that, can I?
UBS and Motly Fool mentioned it favorably. Should I be concerned?
I calculated that buying the stock, along with the Jan '07 20 "protective" puts, worked
out to a risk of $.67. I think that's a cheap enough risk.
With any kind of decent rally, one might be able to "leg" into a profitable "collar", if
one were so inclined.
There are so many possibilities, depending on how the market goes from here, but having
a low risk as a starting point is always a good thing, don't you think?
Comments? Ideas? Feedback? Let me have it, right between the eyes! I'd love to hear from you. Just reply to this zine and tell me what you think!