BAGAKOAA; 6 February 2012 A Little Adjustment Today

Post 589 CLICK HERE To See Past PostsFebruary/2012

No I did not go back to Africa. We had a wonderful weekend. Saturday, I got to hang with my home boys at the club. We enjoyed watching Tim T figure out his new distance measuring tool. Not to pick on Tim, but with a little work, he could become a Luddite. After the breakfast, Devin, (oops sorry Devin does not want to be mentioned in the blog anymore so I will say gorgeous brunette and we will know who I am talking about.) this gorgeous brunette and I donned our walking shoes and went on a nice walk. It was 3.8 miles above a local campground and you actually felt like you were out in the woods. It was a great morning. Then we went to the home improvement store and bought sanding blocks and Thompson's water seal. The project for the day was to sand down this gorgeous brunette's work bench (made by her father many years ago) and move it to the back yard and use it for an herb ranch. Yes I was sanding and painting while she tore bushes out of the ground and worked on the sprinklers.

 

All of this was going on while we supervised Man Child's valiant attempt to get caught up on all of his work he missed last week. He got a lot done on Saturday, but by dinner time were all a we bit tired. I enjoyed and nice bottle of 2006 Fontodi Flaccianello della Pieve Colli della Toscana Centrale IGT with a reasonably sized pan fried steak and salad.

The bottle from Tuscany was great after about 30 minutes. It had some nice fruits like currant, rhasberries, blackberry working. On the nose we got some herbs like rosemary and flowers. It had a nice smooth finish, but should shape up nicely over the next few years. We have 7 of them left.

 

We slept in a bit on Sunday, but still had not read Barron's or even looked at the market since Friday afternoon. We decided we would get as much done as possible on Jack's Homework before the big game. I assisted with the copious amount of religion homework. The Topic was the Pauline Letters. Now for you non Catholics and or agnostics and or atheist or people of another faith. The Pauline letters were not from some Biblical Babe named Pauline. They are the letter attributed to St. Paul. He did a lot of blogging and even some things he did not blog were attributed to his hand. We were focusing on 1 Timothy and 2 Timothy, but my favorite (because it was the shortest)was his letter to Philemon. I liked it because it brings up that age old question which all of us ask, was the imprisoned St. Paul actually asking Philemon for the release of all of the slaves under his ownership or was he just seeking permission from Philemon to allow this one slave Onesimus to join him in spreading the Good word of our Lord? But I digress.

 

We all enjoyed the Super Bowl and despite me choosing the wrong team, came in second place in the season long football pool.

That right, out of thousands of contestants, I came in second place winning a fortune. Ok maybe it was not thousands, or even hundreds. Actually by the time the season was over I think we had about 23 people in the pool. I will still take second place and the cash and the bragging rights as I am a basically insecure person.

 

We also enjoyed good all American Superbowl Food, a big plate of Nacho's. Then after the game it was homework wrap up, pack the bags for school, and let the games begin. Basketball practice begins at 6:00 AM tomorrow for his last three days of practice, the last game on Thursday, and then next weekend he starts conditioning for football next year.

A Little Adjustment Today

 

We were at the controls this morning and had some cash to deploy in a lot of the family trust accounts. We stayed true to the CAN SLIM model and only invested in the Core Holdings UNFI, MSFT, XOM, CELG, GWW, NUAN, MGRC, GLD and VXX. In the main account we added more GLD and VXX.

 

Most of the lack of direction and volume in the market was due to everybody waiting to see what Greece is or is not going to do. Decliners took the lead today but volume was light so we are not sure we will be adding any distribution days to the list so the green flag still waves. Please remember we are posting a green flag when the market is cooperating with investors. This is a good time to consider deploying cash in those equities that you have done your homework on. As we see some distribution days, (The casino managers are skimming some of the profit off the table.), we will put up the yellow flag. That will be a sign to be very alert, make sure your stops are strategically placed, and even consider taking some profits. The red flag will suggest you take your stack of chips and sit out a hand or two until Mr. Market says its time to play. Now keep in mind you can use these flags in reverse as well. Note we added to our VXX and GLD positions at this time. When the market changes we should see some impressive gains in the volatility bet and metals. This worked really well for most of the accounts last year.

 

All the talking heads on Bloomberg are talking about the 12% run since December 21 (Green Flag), and the inevitable 2-3% correction that is coming. They maybe right as certain sectors look a little overbought. Just keep an eye on the direction and the VOLUME of the market. A couple of down days with heavy VOLUME will raise a yellow flag and we can take a couple of dollars off the table and start looking for our next run.

 

Salve Lucrum

 

 

 

 

 

 

Brian Ireland
Since 12/21/2011
BAGAKOAA;

I am not a professional investment advisor. Anybody reading my blog and investing accordingly must be out of their minds. I have made more money than I have lost. There are many more qualified people than I to actually tell you how to invest your money.

BAGAKOAA=Boys And Girls And Kids Of All Ages

Salve Lucrum=Latin for Hurrah for Profit.

2012 Year Ending

Dow 13,073

S&P 500 1,358

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