Super Stock Blog

Let's make our own bull run!

Month: September 2008

Was last week the bottom?

If you have been reading any of the news headlines, you’ll notice in big letters ‘AIG GOING BANKRUPT, GOVERNMENT SUMMONED TO HELP’.  We had a huge 500 point drop on monday and then many fluctuations the rest of the week.  Thursday and Friday showed a huge rally that pretty much covered the whole drop from the week.  The government’s bailout scheme worked and brought the market back up.  Good for us who own stocks, bad for everyone else because we will all be part of the bailout helping the government pay out those taxes.

Tomorrow, we will either see another drop in stocks or see the stocks rise as part of the usual election rally.  I see a good chance of it dropping as short-selling is being banned for the rest of the year, which will artifically make the market rise temporarily, but finally drop again as people will just start selling the stocks.  Again, with last weeks’ news headlines like the Wall Street Journal’s big letter ‘CRISIS ON WALL STREET’, the blood might already be on the streets and its time for the recovery.  I do believe we will finally see a rise in the stocks before the year’s end.  If not the election rally, there will be the usual year-end rally.  I’m looking at november to be key.  But if you are in the stocks like me and don’t need the money right away, just hold on those stocks and let’s ride with the market.

Commodities Just Keep On Dropping

Will the hurting ever stop?  Silver stocks are falling, oil stocks are dropping, and all of the energy stocks are going down.  Its funny to see the financials actually moving up in this turmoil.  I do believe the commodities are due for an up-turn.  If you take a look at the silver, the prices have dropped below $13 an ounce.  This year it hit an high over $20 an ounce.  I’m hoping it starts moving up earlier than later.  Make my CDE move up, not down 🙂

No matter what happens in the presidential election there will be a place for uranium.  Nuclear energy will be the next strong point to fixing our energy problems.  Nuclear energy is clean and has many more safty measures than in the past to keep things safe.  Look for stocks like USU to go up.

Another material to start watching is steel.  These stocks have dropped over 20% within the week.  Termium (TX) has a forward PE of 3.5.  It’s the lowest I’ve seen for such a big company.  One thing that kept it dropping was the nationalization of the Sidor mine in Venezuela.  It dropped more when the sale negotiations with the president did not work out.  You can bet that this stock is close to its low and its time for it to start moving up again.

How Long Can It Go?

North American Palladium (PAL) is again hitting it’s low set 6 months ago and the same low in 2005 which is around $3.50.  Both times it stood in that ground for a month or two, then it sky-rocketted up to $9!  Tomorrow, if it is still around $3.50, I might go ahead and make my move and buy some more.   I’m running both on technical and fundamental research.  Technical in that the stock is again reaching its bottom, so its time to move up.  Fundamentally, this is a material that should be moving up with the inflationary concerns.  I do not think it can stay low for so long.

Couer d’Alene Mines (CDE) is also moving downward.  Silver is continuing its move down with gold.  Bleh, I will continue to hold onto my shares but if it goes down more I might justify it to get some more.  Commodity stocks move up and down quickly but if you are willing to play the same there is money to be made quickly also.  I do hope its bottoming out.  All the other silver stocks continue to move up.  I hope dilution does not continue to stop this stock!  What is management doing to this company!