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The Investors Alliance Gold Member Blog & Web site
This blog is for the general public with the password protected area for Investors Alliance Gold Members.
The password protected area has daily updates for: The Gold Model, EWS 1 and EWS 2, GM of stocks and ETFs, The MSI, Triple Test and The Sector Models. If you are not a member, you can get more information at our main web site at www.powerinvestor.com. A Gold Membership is $229 per year. The Gold Membership includes all of our investment software programs.
The blog will have general investment information and we may display charts each day based on Triple Test, Genetic Mapping, or The Movie Star Indicator for the general public. Gold Members can log in to view the daily updates. These systems use our stock software, trading software, stock analysis software and investment software
Please Note: This web site and blog is for educational, entertainment and research purposes only. This site is not an advisory service and does not provide recommendations. The site also contains our personal opinions.
Models powered by our stock analysis software, trading software, investment software and stock software.
Fixing Greece - There is No "Fix" or "Bailout"
We have been saying for over a year that there is no "fix" for Greece. Greece should have left the Euro a long time ago. The Euro should have never been created in the first place. In fact, the Euro was created at the worst possible time. The Euro was launched in 2000 after the fall of the Berlin Wall. Europe could be more unified, the standard of living for all would be increased plus the usual politicians fantasies.
The reason why the Euro happened at the worst possible time was the rise of China and China's exports. Greece was always a poor country with very little industry. The country had textiles, olive oil, shipping and a few other industries. Tourism is one of Greece's biggest industries. To make matters worse, close to half of the population works for the government and they are unionized employees. Tax collection in Greece is at best weak.
So Greece adopts the Euro which gives them a strong currency just about the time that China's export monster of low cost items starts hitting Europe. If Greece had stayed with their old drachma, the currency would have been cheaper. This would attract more tourists because it would be a cheap place for holidays or vacations. The textile industry in the north might have survived. As long as the EU in Brussels kept plowing money into Greece then life was good.
The German and Dutch citizens now are saying no more. France's new President has said he does not support austerity. He supports the ongoing spending of money that Europe does not have which is also going on in the United States, California, Illinois and other states. We the can can only get kicked down the road so long.
The Greek population wants to stay in the Euro but also does not want austerity. This means keep sending more money. They do not want to go back to the drachma because it would be devalued versus the euros they used to have.
There is no fix as long as Greece stays in the Euro. The endless band aids are no longer effective. The end result will be a long summer and we think for a while that the old acxiom of sell in May and go away may hold this year. Please note this is not investment advice or a recommendation. Our point is there is no fix or bailout for Greece. This idea of endless "bailouts" is also fantasy. The term "bailout" really means you are taking someone's money and giving it to someone else. Using more debt to paper over old debt never works. Keep a close watch on your moving averages.
RIG Was a Triple Test at The End of Last Year
RIG or Transocean Was A Triple Test Before The End of 2011
Triple Test or TT is our proprietary tool to help investors do better research and analysis. We will be posting a new report for members on TT here on the Gold and Platinum Member site. RIG hit a TT condition at around $39 in mid to late December. By staying with a 20-day - the target would have been around $54. We will have full details in the report on the web site. The chart below is from our Power Investor investment software.
Please note that this is not investment advisory services, a recomendation or other advisory information. This information is also historical. This is provided for education, entertainment and for users to use for additional research.
www.powerinvestor.com
www.gold-ews.com
Warren Buffet Trails The S&P 500 for the Third Year In A Row
We are not sure why people go to Omaha and line up for the show at 4 am. This is apparently reversion to the mean and the law of large numbers. Based on the data, it appears Warren Buffett and Berkshire have not beaten the S&P 500 over the past five and ten years.
http://www.fa-mag.com/fa-news/10849-buffett-trails-sap-500-for-third-year.html
(Bloomberg News) Berkshire Hathaway Inc. shareholders missed out on better returns from the Standard & Poor's 500 Index by sticking with Chairman Warren Buffett after each of his last three annual meetings.
Please note this is not financial advise, a recommendation or financial advisory services.
May 1-2, 2012 EWS Has been Posted For ETFs
We have posted the May 1, 2012 EWS info for ETFs. The Mutual Funds should be posted shortly. They take a long time to run.
www.powerinvestor.com
www.gold-ews.com