Month: July 2015

Returns for the month of June were bad.
In June IRA#1 -5%, IRA#2 -3%, PDP PIE PIZ DWAS -1%, TQQQ 0%, TQQQ/SQQQ 0%, Power4 -0%.
For the last 3 months, IRA#1 -5%, IRS#2 +0%, PDPetc -3%, TQQQ -8%, TQQQ/SQQQ -14%, Power4 -1%.
May portfolio changes:
IRA#1 – Sold China Region on 06/22.
IRA#2 – Sold China Reqion on 06/22, sold SElectronics on 06/29.
PDP PIE PIX DWAS – Sold PIZ and PIE on 06/05.
TQQQ – None.
TQQQ/SQQQ – Purchased 2QQQ on 05/07, sold SQQQ on 05/18.
Power4 – None.
Starting 01Jul, I am changing my TQQQ to just QQQ and investing exactly the way IBD instructs. I am changing the TQQQ/SQQQ to just investing in SPY (S&P500 – capitalization weighted) and RSP (S&P500 – equal weighted).

IBD TBP’s Market Pulse is “Uptrend Under Pressure” – Not a Time to invest. Friday’s market changed the Market Pulse and now it is not a time to buy. The Market Pulse of Comfirmend Uptrend lasted only a total of 6 business days. Currently there has been 8 distribution days on the S&P 500 and 4 on the Nasdaq.

My current investments:
SPharmaceuticals has a price of 24.45, a sell price 23.65, a rank of 02, and is a Hold.
SHealthCare has a price of 240.06 a sell price 234.54, a rank of 08, and is a Hold.
SBiotechnology has a price of 277.72, a sell price 280.64, a rank of 01, and is a Sell for IRA#2. However it has been held for only one week in IRA#1 and is a hold until it meets Fidelity’s stupid rule of hold for 30 days.
SmallCapGrowth has a price of 20.89, a sell price 19.85, a rank of 05, and is a Hold.

My portfolio changes this weekend:
IRA #1 – None.
IRA #2 – Sell SBiotechnology.

My portfolio market exposure after this weekend’s changes:
IRA #1 – 100% invested
IRA #2 – 60% invested

Correction – Since my IRA#1 is invested in only one fund, currently CashReserves, it is going to invest in the best fund, SBiotechnology, rather than in SmallCapGrowth.
Since IRA#2 is invested in five funds, and currently has an investment in SBiotechnology, it is going to invest in SmallCapGrowth.

 

Receptos, Inc. (RCPT) is a biotech stock with total revenue of about 5M none from sales. It went public about 2 years ago at a price of 15. It closed this week after receiving a buyout offer which created a 15% increase to 229. At that price it has a total market value of 7B+. In it’s 2+ years it has not had any product sales. Anyone see a biotech stock bubble here? There are 100+ biotech companies with no earnings. This activity looks exactly like 1999 when the bubble was in any stock ending in .com . Enjoy the gain, but be ready to sell when the investment starts to go down. From the end of 1999 to the summer of 2002 the NASDAQ Composite declined 78%.

IBD TBP’s Market Pulse is “Confirmed uptrend” – Time to invest. Thursday’s market changed the Market Pulse and now it is time to buy.

My current investments:
SPharmaceuticals has a price of 24.89, a sell price 23.65, a rank of 02, and is a Hold.
SHealthCare has a price of 240.22 a sell price 246.88, a rank of 03, and is a Hold.
SBiotechnology has a price of 274.03, a sell price 295.41, a rank of 01, and is a Hold.
SmallCapGrowth has a price of 21.31, a sell price TBD, a rank of 04, and is a Buy. SmallCapGrowth is another of those funds which has a short term redemption fee of 1.5% if sold within 90 days.

My portfolio changes this weekend:
IRA #1 – Invest 100% in SmallCapGrowth
IRA #2 – Invest 20% in SmallCapGrowth

My portfolio market exposure after this weekend’s changes:
IRA #1 – 100% invested
IRA #2 – 80% invested

A very interesting discussion on the current Federal Reserve policy, which is been copied for countries all over the world, is featured in http://video.cnbc.com/gallery/?video=3000394325. The discussion points out that with the market supply and demand policy being controlled by governments, the value of all investments is invalid. It also suggest we are borrowing from the future by moving future demand to today. So we have a very weak recovery, being supported by future demand migration, with unreliable investment prices. Not a good senario.

IBD TBP’s Market Pulse is “Uptrend under pressure” – Not a time to invest. The S&P500 has a distribtion count of 5 and the Nasdaq has a distribution count of 4. The count is improving because previous distribution days are getting too old.

My current investments:
SPharmaceuticals has a price of 24.37, a sell price 23.15, a rank of 02, and is a Hold.
SHealthCare has a price of 240.22 a sell price 229.81, a rank of 05, and is a Hold.
SBiotechnology has a price of 274.03, a sell price 260.33, a rank of 01, and is a Hold.

My portfolio changes this weekend:
IRA #1 – None
IRA #2 – None

My portfolio market exposure after this weekend’s changes:
IRA #1 – 00% invested
IRA #2 – 60% invested

Doug Fabian’s 10 Strategies for Retirees to Lower Taxes and Create Income is a presentation available at http://www.fabianwealth.com/investor-education/teleseminar/. It may contain a strategy you can use.

IBD TBP’s Market Pulse is “Uptrend under pressure” – Not a time to invest. The S&P500 has a distribution count of 7 and the Nasdaq has a distribution count of 5. Much to my surprise, the count declined rather than increase for each index on Monday, the worst down day this year. Distribution days are added only when the volume increases on a down day and removed after 25 sessions due to lack of relevance.

My current investments:
SPharmaceuticals has a price of 23.92, a sell price 22.87, a rank of 03, and is a Hold.
SHealthCare has a price of 238.23 a sell price 229.81, a rank of 05, and is a Hold.
SBiotechnology has a price of 270.31, a sell price 259.98, a rank of 01, and is a Hold.

My portfolio changes this weekend:
IRA #1 – None
IRA #2 – None

My portfolio market exposure after this weekend’s changes:
IRA #1 – 00% invested
IRA #2 – 60% invested