Thursday, April 9, 2009

Taiwan and Asia Etfs

Added to position yesterday. No new fundamental news. market has based and looks like it is going up.

Technical resistance at 7 and 8$ was broken. $10 looks to be the next stop.

Use the etf EWT if you choose.

We find Taiwan fundamentally interesting given that we feel in the lnog term it will relink with China. Plus Taiwanese companies are the least levered in Asia. The ETF pays nearly 8% dividend. Even if they are cut in half, we can wait.

Singapore and Hong Kong can viewed in similar fashions.

Russia is the Easiest Money Ever!

Right on call. This was the easiest trade ever. $11 a share on Feb, 4th. $17.45.

There you go.

1) Panics create excellent trading opportunities on the long side.

2)Buy a market that is down 80% in a swan dive , but after it has based . . . unless the world is ending.

3) technicals combined with fundamentals worked. Fundamentally Russian equities were only 15% of GDP. Technically they had established a base, and were massively oversold.

The market gives plenty of opportunities, but one must be ready!

Monday, March 23, 2009

The Emerging Markets Rally is Here

So says Mark Mobius.

IS this for real or not, we don't know.

We see strong base building in, but not limited to Japanese small caps, Korean shares, Taiwanese shares, Hong Kong shares, and Russian shares. We don't see these markets dipping to new lows.

Many of these markets crashed in October and early November. Unlike the US, they did not pierce those lows and appear to have successfully retested the bottom.

Our call on Russian equities, was spot on and the RTS has rallied 40% in less than 2 months.

The technicals, simple ones at that, help us line up the probabilities so that they are in our favor. The best advice we can give is to never attempt to catch a falling knife.

Thursday, March 19, 2009

Gold and Hard Assets to Gain with Fed Money Destruction

The Fed is buying treausuries, which is in fact money printing, or monetization of debt, in order to hold the yield curve down.

This will be excellent for gold and hard assets. It is why we were positioned well ahead of the crowd and used the November - February months to acquire the gold miners of our choice at rock bottom prices!

Paulson Joins the Gold Rush

John Paulson, one of the greatest hedge fund investors ever has acquired an 11% stake in Anglogold Ashanti from Anglo American.

Paulson joins Einhorn from Greenlight and Loeb from Third Point in the great gold hunt.