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WLT- Warns After-Hours 09/02/10

2010-09-02T23:29:44Z

WLT- Warns After-Hours 09/02/10

Walter Energy lowers FY10 coking coal sales expectations (77.93 +0.78) Co announced that it is modifying its full-year 2010 coking coal sales expectations. The Company now expects to sell between 7.2 and 7.5 million tons for the full-year 2010, compared to a previously expected range of between 7.7 and 7.9 million tons, primarily driven by lower expected coking coal production volumes. Coking coal production volumes are now expected to total approximately 1.8 million tons in the third quarter at a cost of approximately $60 per ton. The co is maintaining coking coal sales volume expectations of 1.8 to 2.0 million tons for the quarter. However, the higher cost per ton is expected to lead to lower operating income margins, with operating income now expected to average between $107 and $110 per ton, compared to the previously expected range of $110 - $115 per ton.

Stock continues to sell off after-hours

NetSuite poised for growth

2010-09-01T17:35:10Z

This morning I added NetSuite (N) to the Barchart Van Meerten New High portfolio. The company is a leading provider of on-demand, integrated business management software for growing and mid-size businesses. With thousands of customers globally using NetSuite's online products and professional services, companies are enabled to manage all key business operations in a single hosted system, including: customer relationship management; order fulfillment; inventory; accounting and finance, product assembly; e-commerce; Web site management; and employee productivity.

As the economy recovers new small and mid-sized start-ups will be buying business management software and existing businesses will be upgrading their software to be current and competitive. Businesses don't have time or the patience to deal with multiple vendors. They look for one stop shopping so NetSuite has a product line and a delivery system they might appreciate. What are the numbers on this stock?

There are 21 Wall Street Brokerages with published recommendations to their clients and 20 of them rate the stock as hold or better based on projections of double digit increases in sales and earnings. Sales are estimated to increase 13.90% this year and 16.60% next year. If their projections on earnings can be believed they look for increase in EPS of 140.00% this year, 83.30% next year and 27.00% annually for the next 5 years. Great numbers.

General investor awareness and sentiment as measured on Motley Fool is good. The CAPS members think the stock will out perform the market by a vote of 148 to 53 with the All Stars in step 33 to 9.

I really like the current price momentum. The stock has appreciated 32.28% in the last month by hitting 13 new highs in the last 2o trading session including all 5 of the last 5. Barchart's 13 technical indicators have 12 buy signals and the stock's 14 day Relative Strength Index is 72.34% and rising. It traded recently at 19.63 well above it's 50 day moving average of 15.47.

The stock looks promising based on:

1 - Positive price momentum
2 - 96% Barchart technical buy signal
3 - Wall Street is pushing their clients to buy based on projections of double digit growth of both sales and earnings
4 - General investor sentiment is positive.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Thia economy is spicy

2010-08-31T15:53:49Z

I'm adding the Thai Fund (TTF) my Barchart Van Meerten New High portfolio. The Thia economy continues to be spicy and while the rest of the world seems locked in recession they are managing to grow their GDP by a rate of almost 12%. The Thia Fund is a closed-end, non-diversified management investment company whose primary objective is long term capital appreciation through investments in equity securities of companies organized in Thailand. At the present time most of their investments are in financial services, energy producers, consumer and business services and industrial infrastructure.

This seems to be an investment in the right country and the right industries at the right time to take full advantage of the world recovery.

When I look at a country fund I look not only to see if that country's GDP is growing faster than the world's GDP but also the technical price momentum of the fund. The Fund's price has also been on a tear with 13 new highs in the last 20 sessions including a price increase of 10.02% in the last month. Barchart's technical indicators have 12 of 13 buy signals for a 96% overall buy rating. The 14 day Relative Strength Index is at 75.10% and on the rise. The stock trades at 11.66 well above its 50 day moving average of 10.48.

The Fund has a following on Motley Fool with the CAPS members voting 60 to 6 and the All Stars voting 20 to 2 that the stock will beat the market.

If you're interested is investing in a segment of the world's economy that appears to be ahead of the recovery curve consider the Thia economy and look at the Thai Fund ( TTF). Points to consider:

1 - An economy on track to grow by 12% per annum
2 - A diversified portfolio in the sectors poised to reap profits from a world recovery
3 - A broad and positive investor following
4 - Recent upward price momentum that is expected to beat the market as a whole

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.
Disclosure: No positions in the stock mentioned at the time of publication

A very weak week - W/E 8/27

2010-08-27T21:50:16Z

This week showed a little promise at the end but I'm not holding my breath. Lately we've had a lot of strong Fridays that ended up being a disappointment the following week. Let's step back and forget about the headlines and pundits on TV and use our 3 yard sticks to rationally evaluate where we stand. We use Barchart as our data source and use 3 yardsticks because no single one works all the time. I learned something from the Supreme Court - if you have an odd number you never have a tie. Let's see where we ended.

Value Line Index -- Contains 1700 stocks so its broader than the S&P 500 or very narrow Dow 30 -- recovering but still weak

1 - Index down .11% week over week
2 - Index down 5.70% for the last month
3 - Barchart short term 20% sell -- overall 1 buy, 4 holds & 8 sells
4 - Trading below its 20, 50 & 100 day moving averages
5 - 14 Day Relative Strength Index 45.69% and rising -- a bright spot

Barchart Market Momentum - Contains approximately 6000 stocks -- Percentage of stocks trading above their Daily Moving Averages for various periods -- recovering slightly

1 - Friday only 38.16% close above their 20 DMA, over 51.15% closed above their 50 DMA, only 44.91% closed above their 100 DMA

2- Last Week only 32.70% closed above their 20 DMA, only 49.22 closed above their 50 DMA, only 52.52% closed above their 100 DMA

3 - Last month over 79.21% closed above their 20 DMA, over 72.16% close above their 50 DMA, over 52.33% closed above their 100 DMA

Ratio of stocks hitting new highs/new lows for various time frames -- 1.0+ bullish, 1.0 neutral, below .99 bearish -- still bearish

1 month new highs/new lows -- 216/666 = .32
3 month new highs/new lows -- 127/323 = .39
6 month new highs/new lows -- 84/255 = .33

Summary and Investment Strategy -- The week looked like we may have found a bottom. I'll continue to trim from my portfolios stocks that have a downward momentum and I might add back new stocks if the Barchart Market Momentum keeps improving and the Value Line Index gets a 14 day Relative Strength Index above 50%.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.Disclosure: No positions in the stock mentioned at the time of publication

Articure still the quivering heart

2010-08-24T14:37:38Z

I'm adding Articure Inc (ATRC) to the Barchart Van Meerten New High portfolio. They are a medical device company focused on developing, manufacturing and selling innovative surgical devices to create precise lesions, or scars, in soft tissues. Medical journals have described the adoption by leading cardiothoracic surgeons of the AtriCure, Inc. bipolar ablation system as a standard treatment alternative during open-heart surgical procedures to safely, rapidly and reliably create lesions in cardiac, or heart, tissue to block the abnormal electrical impulses that cause atrial fibrillation, a quivering of the upper chambers of the heart.

Wall Street brokerages have 4 buy recommendations published based on estimates that sales will increase 6.10% this year and 12.90% next year. They have made very aggressive earnings projections of increases in EPS of 12.80% this year, 55.90% next year and a 5 year annually compounded EPS increase of 55.00%. I like projections like this.

Barchart has all 13 technical indicators signalling a 100% buy, The stock hit 18 new highs in the last 20 sessions including 5 in the last 5. The price increased 17.09% in the last month with a Relative Strength Index of 81.01% and rising. The stock recently traded at 7.40 well above its 50 day moving average of 6.44.

General investor sentiment as measured on Motley Fool is small but positive with the CAPS members voting by 32 to 3 that the stock will beat the market with the All Stars in agreement 10 to 2. Fool notes that the last 5 articles that Wall Street columnist have written about the company have all been positive.

I considered these points:

1 - Barchart has all 13 technical indicators giving a 100% buy signal
2 - The 14 day Relative Strength Index at 81.01% and rising
3 - Wall Street has buy recommendations published based on double digit projections of increases in sales and earnings
4 - Investor sentiment is small but positive

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

3 reasins to consider Golden Star Resources

2010-08-19T15:03:03Z

I'm adding Golden Star Resources (GSS) to the Barchart Van Meerten Speculative portfolio because the 7 Wall Street brokerages that follow the stock predict double digit increases in both sales and earnings going out for at least 5 years.

GSS is an un-hedged gold producer that owns the Wassa gold project in Ghana and controls a number of gold exploration properties in West Africa. The Company is well funded and has strong, operationally focused management experienced in West Africa. The Company has become a producing gold company by consolidating a long-lived production base at Bogoso/Prestea in Ghana. Going forward, the Company plans tol continue to focus on growing its gold business.

Technically this stock is on the move. Barchart technical indicators have 12 of 13 buy signals for an overall 96% buy signal, The stock has hit new highs in 16 of the last 20 sessions including all of the last 5. Along the way it had a 17.35% price appreciation in the last month and trades around 4.71 well above its 50 day moving average of 4.23.

Seven Wall Street brokerages are following this stock and have a consensus estimate that sales will increase 16.10% this year and 11.40% next year. Fantastic earnings projections of increases of 142.90% this year, 58.80% next year and continue at a 5 year annual compounded growth rate of 10.00%.

The general investing public as measured on Motley Fool has noticed these projections and the CAPS members vote 720 to 54 that the stock will beat the market with the more experienced All Stars in agreement 202 to 15. Fool notes that all 3 articles recently written about the company have been positive.

This stock meets my criteria for addition to my model portfolio as a speculative issue because:

1 - The stock is having upward price momentum in more than 50% of the recent trading sessions
2 - Wall Street brokerage fundamental analysts predict double digit increases in sales and earnings
3 - There is a wide and positive investor sentiment

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Star Bulk Carriers - SBLK - The little carrier that can

2010-08-18T15:27:56Z

I'm adding Star Bulk Carriers (SBLK) to the Barchart Van Meerten Speculative portfolio. Once in awhile you find a small company that both the Wall Street brokerages and the public in general are both high on and this stock is it.

Star Bulk Carriers (SBLK) is a global shipping company providing worldwide seaborne transportation solutions in the dry bulk sector. Star Bulk's vessels transport major bulks, which include iron ore, coal and grain and minor bulks such as bauxite, fertilizers and steel products. Currently, Star Bulk has an operating fleet of nine dry bulk carriers, plus definitive agreement to acquire two further dry bulk carriers.

This stock really has momentum. Barchart has a buy signal on 11 of its 13 technical indicators for an 80% buy for both the short term and overall periods. The stock has managed to climb by 20.08% in the last month hitting 17 new highs along the way including 4 of the last 5 trading sessions. The stock has a Relative Strength Index of 73.12% and is rising. It recently traded at 2.93 well above its 50 day moving average of 2.61.

The general public as measured on Motley Fool has really noticed this little stock and has voted 686 to 21 that the stock will beat the market. The more experienced All Stars are also in agreement 268 to 6.

Wall Street brokerage firms normally don't follow a stock this small but they have distributed 3 buy recommendations to their clients and forecast a 100% increase in earnings per share for next year.

Star Bulk Carriers (SBLK) seems to be the little carrier that can. You should consider:

1 - The stock has a Wall Street following with buy recommendations published based on fantastic earnings projections
2 - The general public has discovered this stock and is overwhelmingly approving of its chances to beat the market
3 - The stock has recent and consistent upward price momentum and appears to be a buy at least for the short term

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

2010-08-17T17:44:01Z

I'm adding Praxair Inc. (PX) to the Barchart Van Meerten New High portfolio.

The reason I like this stock is that the company is already positioned in their markets to supply industrial gases to the growing economies. They are established with customers in China, India and Germany and they're the second largest in their industry with 26,000 employees world wide.

Praxair is also one of the largest industrial gases companies in North and South America. Their primary products for its industrial gases business are atmospheric gases and process gases. The company's surface technology segment, operated through Praxair Surface Technologies, Inc., supplies wear-resistant and high-temperature corrosion-resistant metallic and ceramic coatings and powders. The company also designs, engineers and builds equipment that produces industrial gases through its global supply systems.

Wall Street analysts are high on this stock with 14 buy recommendations published based on projections of sales increases of 12.70% this year and 8.30% next year. Double digit earnings increases of 17.50% this year, 12.40% next year and a 5 year annual compounded EPS growth rate of 12.74% shouldn't be ignored.

Investor sentiment is extremely high with the CAPS members on Motley Fool voting 629 to 23 that the stock will beat the market. The All Stars are very much in agreement with an over whelming vote of 164 to 2. Fool notes that of the Wall Street columnists they follow there have been positive articles 15 to 0.

Now for the real news. Barchart's technical indicators have 12 out of 13 buy signals for an overall 96% buy signal. The stock has appreciated 10.63% in this flat market making 16 new highs in the last 20 trading session. The Relative Strength Index is 68.84% and rising. The stock recently traded at 87.98 well above its 50 day moving average of 82.25.

The points in favor of Praxair Inc. (PX) :

1 - Positioned in an essential industry with a world wide supply network already in place in the key markets of China, India, Germany as well as North and South America
2 - Overwhelming and positive investor sentiment
3 - Wall Street brokerages have published buy recommendations to their clients
4 - Recent price momentum with a Barchart 96% technical buy signal and a 68.84% Relative Strength index that is rising

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

What a scary week W/E 8/13

2010-08-13T23:05:08Z

This week as the talking heads kept telling us how strong the economy was recovering the market went down almost every session. Time to step back, ignore the hype and go to Barchart for just the facts. We will still use our 3 standard yard sticks because we know that no single indicator works 100% of the time.

Value Line Index -- Contains 1700 unweighted stocks so I think it better represents the market than the narrow S&P 500 or very narrow Dow 30 -- Down for both the week and the last month

1 - Down by 4.66% for the week
2 - Down by 3.11% for the last month
3 - 14 day Relative Strength Index is at 39.85% and falling
4 - Barchart only has 1 buy on its 13 technical indicators for a 40% short term sell and a 64% overall sell signal
5 - Index closed Friday below its 20, 50 and 100 day moving averages at 2287.87 which is 2.4% below its 50 day moving average of 2343.52

Barchart Market Momentum -- Contains approximately 6000 stocks -- Percentage of stocks closing above their Daily Moving Averages for various time periods -- above 50% is good --Worse than last week

Friday only 35.61% closed above their 20 DMA, over 51.13% closed above their 50 DMA, only 41.75% closed above their 100 DMA

Last week over 73.82% closed above their 20 DMA, over 73.31% closed above their 50 DMA and over 57.46% closed above their 100 DMA

Last month only 46.61% closed above their 20 DMA, only 40.30% closed above their 50 DMA , only 33.55% closed above their 100 DMA
Ratio of stocks hitting new highs/new lows for various time periods -- 1.0+ bullish, 1.0 neutral, below .99 bearish -- This is the most bearish I've seen in quite a while.

1 month ratio of new highs/new lows -- 138/776 = .18
3 month ratio of new highs/new lows -- 57/423 = .13
6 month ratio of new highs/new lows -- 30/320 = .09

Summary and strategy for the next week -- The market was definitely in a net downward trend last week. During the next week I will be trimming stocks that are tanking faster than the market and try not to loss more than 10% on any individual position. I will begin to accumulate cash until the market starts to recover.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

The Lake Wobegon Portfolio

2010-08-13T15:26:29Z

This morning is a time to take a breather and sit back to contemplate. My indicators aren't giving me any sell signals on any of the stocks I presently own and the market seems to be slightly above it's yesterday lows so I'll wait till noon to see what is in store for us today.

Let's take a minute and try to clarify what we really want out of our portfolios. Lots of people are looking for some magic secret that will propel them into the Forbes 400 list in just a matter of weeks. My inbox is filled with SPAM promising that they offer the only newsletter that can show me the secrets of the universe and can reveal to only me the next great penny stock that will go from 50 cents to 100 dollars in the next year. All I can say is: " A fool and his money are soon parted".

There are no secrets to investing. There are no crystal balls that can tell you what the market will do in the next week, month or even next year. There are only 3 things you need to have a superior portfolio:

1 - Knowledge
2 - Tools
3 - Discipline

Investing is like weight control. We all have the knowledge that you can control your weight by balancing calories ingested and calories consumed. Any imbalance in the equation results in a gain or loss of weight. We all have the tools. Every package of food has the calories per serving clearly disclosed. We all have the ability to increase or decrease calories taken in with portion control and increase or decrease the calories expended by increasing or decreasing our exercises or activities.

So what's the problem? Why are so many of us overweight? The difference is discipline. Evey day you must monitor your calorie and exercise equation or things just get out of hand.

But so many people still look for that magic secret to "the body you've always dreamed of having". Investing is the same way. Everyone is looking for that magic secret that will make them rich without any effort.

What's all this got to do with the Lake Wobegon Portfolio? Plenty. You have knowledge. You have tools - more knowledge and tools are available on the Internet for free than you can ever use, so why is your portfolio performance not above average? Discipline!

If you consistently monitor your portfolio so that every stock you hold is slightly above average then your portfolio performance will be superior. If you consistently let your winners run and sell your losers unemotionally and without regret your portfolio performance will be superior.

The whole is equal to the sum of its parts. If every stock is just slightly above average, your performance will be above average. Sounds too simple?

Use this simple list as your guideline:

- Be conservative -- Don't swing for the fence
- Capital preservation is number one -- Don't take chances
- Don't think you can out guess everyone else
- Don't think you have better tools or secrets everyone else doesn't have
- Apply the knowledge you have
- Consistently use the tools available
- Be more disciplined than anyone else by continually reviewing your holdings and trimming the losses unemotionally.

I'm sorry if I've disappointed you by not unlocking the secrets of the universe but wake up!. The secret is there are no secrets.

As my German professor told me in college: " There are only three ways to learn German. Discipline! Discipline! Discipline!"

So today I still believe that the only three things you need to beat the stock market averages is:

- Knowledge
- Tools
- Discipline

Any single one of these is not enough. You must consistently use all three.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Latin banks spice things up

2010-08-12T15:01:47Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio.

I'm adding a little Latin flavor to the Barchart Van Meerten Speculative portfolio with the addition of the Argentine bank Grupo Financiero Galicia SA. (GGAL) They are involved in the Financial Services Industry and their principal activity is to continue to be a financial and investment services holding company and to fulfill the banking services activities of Banco Galicia in Argentina. They have 238 full service branches, 620 ATMS and 754 self service terminals throughout the country.

Wall Street brokerage analysts think the company will increase earning per share by 10.00% this year, 50.90% next year and continue a 5 year compounded EPS growth rate of 7.00%.

The stock's price has been out performing most of the US based financial stocks with 11 new highs in the last 20 sessions including 4 of the last 5. The past month has produced a 20.61% price increase. Barchart has a 100% technical buy with all 13 of their indicators signaling a buy. The stock has a rising Relative Strength Index of 74.74% and trades around 7.65 well above its 50 day moving average of 6.25.

The general investing public thinks this stock will outperform the market with the CAPS members on Motley Fool voting 25 to 19 that the stock will beat the market with the All Stars in agreement 12 to 7.

If you need a strong foreign bank stock in your portfolio consider these points about GGAL:

1 - Wall Street brokerage firms think this stock will have increasing earnings for the next 5 years
2 - Investor sentiment is positive
3 - The stock has current and constituent upward price momentum

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Discount foods in a discount market

2010-08-11T18:58:05Z

On Barchart Portfolio Blogs bring to your attention stocks you might want to consider for your portfolio.

Enough bad news, let's look at a great stock. Family Dollar Stores, Inc. (FDO) is one of the fastest growing discount store chains in the United States. The merchandising concept responsible for this growth provides consumers with good values in low cost, basic merchandise for family and home needs. The merchandise is sold at everyday low prices in a no frills, low overhead, self-service environment. Most merchandise is priced under $10.00. Stores generally range in size from 6,000 to 8,000 square feet and most are operated under leases.

As the general consumer gets the jitters about their future they look for alternatives to cutting the cost of necessities they must buy and these stores are a good alternative. They have over 6,600 stores in 44 states so this is a real national chain. This stock has an A+ financial strength and a conservative management that always tries to increase shareholder value.

Wall Street brokerage firms have 13 buy recommendations published based on estimates that sales will increase by 6.30% this year and 6.10% next year. They project an increase in earnings of 24.60% this year, 14.30% next year and a 5 year annual compounded EPS growth rate of 13.58%.

The company has instituted a very aggressive share buy back program and already bought back 5 million shares. Major purchases by Nelson Peltz and the Trian Fund have made these shares a hot commodity.

The general investor has noticed this stock also and over on Motley Fool the CAPS members feel the stock will beat the market by a vote of 485 to 49 with the All Stars in agreement 158 to 12.

All the fundamental signs are there but for those of you that want a technical confirmation Barchart gives the stock an 80% short term and a 96% overall technical buy signal with 12 of Barchart's 13 technical indicators signaling a buy. The stock trades above it's 20, 50 and 100 day moving averages with a recent price of 41.81, way above its 50 day moving average of 38.98.

You can't ignore the 17 new highs in the last 20 trading sessions and 4 in the last 5 when the market has been down 4 out of 5 days. In a down market this stock has increased by 18.75% in the last month and has a 14 day Relative Strength of 70.87%.

The reasons why I like this stock and I'm adding it to my model portfolios is:

1 - The management of the company is conservative and the company has an A+ financial strength
2 - Stock buy backs by the company and investments by Nelson Peltz and the Trian Funds are a plus sign for me
3 - Technical price movement confirmed by the 14 day Relative Strength index of 70.87% and an increase of 18.75% in last months down market
4 - Wall Street brokerage analysts are recommending to their clients based on double digit earnings increase projection
5 - Positive general investor sentiment.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Market up only slightly

2010-08-07T14:38:06Z

As I do every weekend I like to take a step back from the trading and hype and look objectively where the market stands. I use Barchart to find my data and I use 3 yardsticks because although each one measures the trend of the market, each set of data has some inherent errors and each measures momentum in a slightly different way. Well where do we stand this week?

Value Line Index -- Contains 1700 stocks so I think it is more representative of the market than the narrow S&P 500 or very narrow Dow 30 -- Trending up but not very strong

1 - Index up .99% for the week but up 10.95% for the last 20 sessions
2 - 20% Barchart short term buy signal
3 - 8% Barchart overall buy signal with 5 of 13 indicators a buy including the Trend Spotter (tm)
4 - 14 day Relative Strength Index -- 56.00% -- above 50% is good

Barchart Market Momentum -- Contains approximately 6000 stocks -- Percentage of stocks that closed above their Daily Moving Averages for various time frames -- Strong but last week was stronger

1 - Friday 73.96% of the stocks closed above their 20 DMA, 73.14% closed above their 50 DMA, 57.53% closed above their 100 DMA

2 - Last week 79.06% closed above their 20 DMA, 72.08% closed above their 50 DMA, 52.30% closed above their 100 DMA

3 - Last month 52.26% closed above their 20 DMA, Only 42.87% closed above their 50 DMA, Only 38.28% closed above their 100 DMA

Ratio of stocks hitting new highs/new lows for various time frames -- 1.0+ bullish, 1.0 neutral, less than .99 bearish -- This month barely bullish

1 month new highs/new lows -- 492/318 = 1.55
3 month new highs/new lows -- 210/204 = 1.03
6 month new highs/new lows -- 121/148 = .82

Summary and Investment Strategy -- Although this week wasn't a gang buster we are trading above the 20 and 50 Daily Moving Average but below the 100 DMA. I think we should stick to our original plan and cull from our portfolios stocks with downward price momentum and replace with new stocks only if they are having an upward momentum that is better than the overall market. This is a time for disciplined portfolio management not for betting the farm on a speculative play you're not sure of.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Staar Surgical - STAA - sell signals

2010-08-06T14:30:32Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio. There are lots of sites that tell you when to buy but fail to tell you when to sell. That's the reason that I run two model portfolios and place all my trades to those models. Buying is only half the story, knowing when the stock has run out of gas is just as important.

I'm selling Staar Surgical (STAA) from the Barchart Van Meerten Speculative portfolio for the following reasons:

Barchart short term 40% sell signal
Trend Spotter (tm) sell signal
Closed yesterday below its 20 and 50 day moving average
Lost 11.50% in the last 5 sessions
14 Relative Strength indicator is below 50 at 39.41%
Any one single indicator can give reason for caution but together they all add up to a sell.

Hint: The way I make my final decision is to look at the chart. My default chart is the daily price chart using as parameters: 1 - Barchart OHLC, 2 - Moving Average reg, 3 - Up/Down Day Chart and 4 - Trend Spotter (tm). This is my standard chart. Before I push either a buy or sell button I change the frequency to 60 minutes. That shows the stocks action in the last 16 trading sessions.

If you make that your final decision point to determine if this is the proper time to buy or sell it's hard to be wrong. If you can't make a decision by looking at that chart then you are the best example of a classic procrastinator.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

2010-08-04T17:25:31Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio.

Hawkins, Inc. (HWKN) is a regional company, which provides a full range of bulk industrial products complemented with the technical competence and ingenuity to formulate and blend specialty chemicals. The Company sells and services related products and equipment to safely dispense chemicals in highly controlled environments.

They manufacturer, blend, and distribute bulk and specialty chemicals. It operates through two segments: Industrial and Water Treatment. The Industrial segment provides industrial chemicals, products, and services to agriculture, energy, electronics, food, chemical processing, pulp and paper, pharmaceutical, medical device, and plating industries. In addition, this segment manufactures sodium hypochlorite and agricultural products, as well as food-grade products, including Cheese-Phos liquid phosphate, lactates, and other blended products. They perform custom blending of chemicals for customers according to customer formulas.

The Water Treatment Segment provides equipment, chemicals, and solutions for potable water, municipal and industrial wastewater, industrial process water, and non-residential swimming pool water.

Barchart's technical indicators signal a 96% overall buy plus a Trend Spotter (tm) buy signal. The stock hit 12 new highs in the last 20 sessions including a 31.22% price appreciation last month. The 14 day relative strength indicator is above 50 at 72.48. The stock recently traded at 32.93 above its 50 day moving average of 2.63.

Investors have found this stock and are very positive on their estimates that the stock will beat the market. On Motley Fool the CAPS members vote 269 to 7 and the All Stars vote 105 to 0 that the stock will beat the market. That is a very positive vote.

Only one Wall Street brokerage analyst is following the stock and he has a strong buy call out to his clients based on his estimates of increased sales and earnings.

If you'd like some reasons to add a chemical stock to your portfolio consider these reasons to buy Hawkins Inc (HWKN):

1- 96% Barchart overall buy signal
2 - Trend Spotter (tm) buy signal
3 - 72.48 relative strength indicator
4 - Very high investor sentiment
5 - A Wall Street strong buy call based on increased sales and earnings

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Let's go to the movies with RDI

2010-08-04T15:50:24Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio.

I'm adding Reading International, Inc. (RDI) to the Barchart Van Meerten Speculative portfolio. They are engaged primarily in the ownership and management of commercial properties but not just any properties. They focus on the development, ownership, and operation of entertainment and real property assets in the United States, Australia, and New Zealand. They operate multiplex theatres; and are involved in real estate development and the rental of retail, commercial, and live theater assets. The company anticipates opening of two newly leased cinemas: one in Newcastle NSW, Australia with eight screens with opening scheduled in October 2010; and the Angelika branded cinema in Merrifield, Virginia, with eight screens, with anticipated opening in late 2011.

Reading's Cinema Exhibition segment owns and operates 53 cinemas with 425 screens, had interests in certain unconsolidated joint ventures and entities that own an additional four cinemas with 32 screens, and managed two cinemas with nine screens. If movie attendance keeps increasing they will benefit.

Although REITs usually benefit for not only from rents on the owned properties but also the increases in the value of the underlying properties this REIT also operates many of the cinemas themselves so you have a triple play:

1 - Rental income
2 - Property appreciation
3 - Profits from the cinemas

Now for the 6 technical reasons to buy the stock:

1 - 17 new highs in the last 20 sessions including 5 in the last 5
2 - 18.62% price appreciation in the last month
3 - 80% Barchart technical buy
4 - Trend Spotter (tm) buy signal
5 - Trading above it's 20, 50 and 100 day moving average
6 - Relative strength indicator is above 50 at 75.87

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

5 Reson to buy Telecom provider EXFO

2010-08-04T14:55:05Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio.

I'm adding EXFO Inc., (EFXO) formerly known as EXFO Electro-Optical Engineering Inc., to our Barchart Van Meerten Speculative portfolio. They are a provider of next-generation test and service assurance solutions for wireless and wireline network operators and equipment manufacturers in the global telecommunications industry. The Company operates in two segments: Telecom Division, and the Life Sciences and Industrial Division. The Telecom Division offers a wide range of innovative solutions to assess optical networks, from the core to access, as well as next-generation IP infrastructures and related triple-play services. The Life Sciences and Industrial Division offers solutions in medical device and opto-electronics assembly, fluorescence microscopy and other life science sectors. EXFO's mission is to be a world leader in telecommunications test and measurement equipment.

Recently, EXFO acquired NetHawk Oyj, the second-largest provider of 2G, 3G, and 4G/LTE protocol analyzers and simulators for wireless network equipment manufacturers and network operators, in an all-cash transaction estimated at 37.3 million euros for all outstanding shares on a fully diluted basis, or 27.6 million euros excluding NetHawk's net cash.

This stock is on a move and hit 16 new highs in the last 20 sessions including 4 of the last 5. Last month saw a 14.61% price appreciation. The stock has a Barchart Trend Spotter (tm) buy signal and trades above it's 20, 50 and 100 day moving average. It recently traded at 6.04 which is above its 50 day moving average of 5.38.

Wall Street brokerage analysts are very high on this stock with 6 buy and a hold recommendation published for their clients. Take a very close look at their projections. They project increases in sales of 31.20% this year and 22.20% next year. Earnings are estimated to increase 90.00% this year, 100.00% next year and maintain a 5 year annual compounded growth rate of 31.00%. If the stock fulfills even half of these projections it's worth looking at.

The general investing public is also high on this stock with the CAPS members on Motley Fool voting 153 to 9 that the stock will beat the market. The more experienced All Stars vote 30 to 0.

I'm adding EXFO Inc (EXFO) to the Barchart Van Meerten Speculative portfolio because:

1 - There is a Barchart Trend Spotter (tm) buy signal
2 - Trades above its 20, 50 and 100 Day Moving Average
3 - 16 new highs in 20 sessions including 4 of the last 5
4 - Wall Street has buy recommendations released based on estimates of double digit increases in sales and earnings
5 - General investor sentiment is high

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

4 Reasons to buy Virgin Media

2010-08-02T20:36:42Z

On Barchart Portfolio Blogs I bring to your attention stocks you might want to consider for your portfolio.

Virgin Media (VMED) is a broadband communications and media group. The company through its subsidiaries, provides entertainment and communications services in the United Kingdom. They have 3 segments: Consumer, Business, and Content. The Consumer segment offers cable broadband Internet, television, and fixed line telephone services under the Virgin Media brand to residential customers; mobile telephony services through Virgin Mobile, a mobile virtual network operator; and broadband and telephone services to residential customers through third-party telecommunications networks. The Business segment provides a portfolio of voice, data, and Internet solutions to commercial customers, including analog telephony and managed data networks and applications, as well as supplies communications services to emergency services providers. The Content segment operates various television channels, including Virgin1, Living, Bravo, Challenge, and Challenge Jackpot; and owns a 50% interest in the companies that comprise the UKTV Group, a series of joint ventures with BBC Worldwide.

The stock hit 12 new highs in the last 20 sessions including 5 in the last 5. In the last month the price is up 33.69%. This momentum has given it a 100% Barchart technical buy signal. The stock trades at 22.28 with a 50 day moving average of 17.47.

Wall Street brokerages are very high on this company with 12 buy and 2 hold recommendations published, Although they think revenue will only be up 2.90% this year and 3.80% next year they estimate earnings increases of 65.80% this year and 237.00% next year. Pretty healthy projections.

Investors have noticed these estimates and the CAPS members on Motley Fool think the stock will beat the market by a vote of 118 to 64. The All Stars agree with a vote of 49 to 22. Fool notes that of the Wall Street columnists they follow all 10 of the past articles have been favorable.

If you'd like to take a chance on a UK multi-media company thing to consider are:

1 - The stock has recent upward price momentum
2 - Barchart has a 100% technical buy signal
3 - Wall Street brokerages have healthy projections for increases in earnings
4 - Investor sentiment is positive

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication

Sideway Market

2010-07-30T22:03:58Z

That's really the only way to describe the market action this week -- Sideways. Not a lot of bad news but nothing to write home about either. Let's look at the 3 yardsticks I use each week with the data I mine from Barchttp://www.barchart.comhart to get an objective view of what happened. I use 3 because no single indicator tells it all.

Value Line Index - contains 1700 stocks so its more representative of the market than the narrower S&P 500 or very narrow Dow 30. What can I say -- sideways

1 - Index down .23% for the week but up 7.77% for the month
2 - Up on Monday and Friday-- down on Tuesday, Wednesday and Thursday
3 - 40% Barchart short term buy
4 - 16% Barchart overall buy - 6 of the 13 indicators are buy
5 - Trend Spotter (tm) buy
6 - Closed on Friday at 2394.84 just above its 50 day moving average of 2339.01

Barchart Market Momentum -- Contains approximately 6000 stocks -- Percentage of stocks that closed above their Daily Moving Averages for various time frames -- above 50% always good -- slightly weaker than last week but better than last month

1 - Friday 79.12% closed above their 20 DMA, 72.29% above their 50 DMA, and 52.26% closed above their 100 DMA
2 - Last Week 82.14% closed above their 20 DMA, 68.69% closed above their 50 DMA, and only 49.88% closed above their 100 DMA
3 - Last month only 25.16% closed above their 20 DMA, only 23.60% closed above their 50 DMA and only 28.58% closed above their 100 DMA

Ratio of stocks hitting new highs/hitting new lows for various time frames -- 1.0+ bullish, 1.0 neutral. below .99 bearish -- We have a bright spot here

1 month new highs/new lows -- 1147/262 = 4.38
3 month new highs/new lows -- 498/161 = 3.09
6 month new highs/new lows -- 381/104 = 3.66

Summary and Investment Strategy -- Although we had a good month the week ended a little flat. I'm not looking for anything magical to happen next week but at this time we are fully invested but will cull anything that turns south. We had a caution on FLIR and it closed above its 50 DMA and still has a Trend Spotter (tm) buy. The other caution ANH although closing below its 50 DMA still has a Trend Spotter (tm) hold.

Portfolio results:

Barchart Van Meerten New High portfolio was up 2.36% for the week -- up for the last 12 months by 36.92% vs the S&P 500 up by 15.28% -- We're still ahead of the benchmark by 21.63%

Barchart Van Meerten Speculative portfolio was up 6.70% for the week -- up 27.20% for the last 12 months vs the S&P 500 up 15.28% -- We're still ahead of the benchmark by 11.92%

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Turkey isn't just for Thanksgiving

2010-07-29T15:09:42Z

My portfolios are full but when screening on Barchart for stocks hitting the most frequent new highs I came across the Turkish Investment Fund (TKF). It's a non-diversified, closed-end management investment company managed by Morgan Stanley. The Fund's investment objective is long-term capital appreciation through investments primarily in equity securities of Turkish corporations. The fund is concentrated in 23 issues and the top 5 comprise over 45% of the portfolio. 87% of the fund is in 5 sectors: Financial Services, Consumer Goods, Telecom, Industrial and Energy.

I'm considering the fund on technical reasons but after researching the economy in Turkey I've got some other reasons too. The IMF is predicting that the Turkish economy is stable and expected to grow between 3.5% - 4.0% in the next few years. Turkey has the 17th largest economy in the world and S&P just raised their sovereign bond rating a notch. Turkey has instituted financial restraints on their economy and didn't need to be bailed out like some of the smaller Euro countries. The country stands at the cross-roads of trade between Europe and Asia and even Israel makes sure to stay on Turkey's good side although recently some problems with relief efforts to Arab areas had to be worked out.

The Fund hit new highs on 15 of the last 20 trading sessions including 4 of the last 5. In the past month the price has appreciated 14.23% and trades around 15.25 with a 50 day moving average of 13.73. Barchart gives the Fund both an 80% short term technical buy and a Trend Spotter (tm) buy signal.

Wall Street brokerages have an unwritten rule about recommending other firms managed investment funds but over on Motley Fool the CAPS members think the Fund will beat the market by a vote of 101 to 8 with the All Stars in agreement 32 to 2.

If you'd like to invest in the Middle East here are some points to consider regarding the Turkish Investment Fund (TKF):

1 - There are some ETFs available to invest in Turkey but I'd rather go with a managed fund instead of an index fund when investing in foreign countries
2 - Morgan Stanley has a pretty good reputation and track record investing overseas
3 - The Fund had a recent and consistent appreciation in price
4 - Barchart has both an 80% technical buy and a Trend Spotter (tm) buy signal
5 - Turkey is the most stable country in the region and seems to be able to keep Europe, Asia and even Israel in their good graces
6 - These is a large and positive investor sentiment in the Fund's ability to beat the market.

While researching for this blog I came across How to Invest In Turkey by World Market Pulse on Seeking Alpha. I'm not familiar with their analysts but the article is well written and warrants your attention.

Jim Van Meerten is an investor who writes on investing here and on Barchart Portfolio Blogs. Please leave a comment below or email JimVanMeerten@gmail.com.

Disclosure: No positions in the stock mentioned at the time of publication