Archive for category: Articles

Bonds beat stocks over the last 30 years – Who would have expected that?

There’s a “truism” in the financial world that stocks always beat out stocks over the long-term. It’s almost unquestioned by most financial advisers, media pundits, and radio and T.V. personalities. However, the truth of the matter is that bonds actually beat out stocks over the last 30 years. It’s true. If you had purchased a [...]

Is This Time Really Different?

‘This time is different’ was a common theme during the late 1990 tech bubble. The theme even made its way into MBA programs across the nation. Ultimately, the share prices of companies with massively elevated valuations, no earnings and poor business plans came crashing back to earth proving giddy bulls wrong. This week, we are [...]

Three Bull Market-Friendly Divergences

Predictions are of that mental substance that your mother warned you would make you go blind if you engage in too much of it, so we are not in the business of making predictions. With that in mind, three charts that likely encapsulate the potential for stocks to rise or fall more than anything else [...]

4 Reasons Traders Fail When Trading a Breakout And How You Can Profit From It

The Sucker Trade Can you recognize the sucker trade before you buy a breakout? What is the sucker trade? That’s what happens when you blindly buy or sell a stock that is breaking out because you followed a traditional technical analysis trade signal, such as volume, candlesticks, stock indicators, pattern breakouts, etc… without taking into [...]

Why in the Heck is Salesforce.com CFO Dumping Shares?

On November 18 we asked the question “Is Salesforce.com the Next Short Seller Victim?” The price at that time was 12% or so higher than it is now; not a huge drop, but $CRM is certainly under selling pressure and if it takes out November lows just above $103, well, Betty bar the doors ’cause [...]