I am going to lay out what we did this week in the market as a recap of the week. I am going to do a better job from here on out of telling you how we are doing as a whole because on a day-to-day basis it can get somewhat overwhelming. Hope you enjoy the recap of stocks and positions we held/are holding. Overall, for the week, we had 6 winners and only 2 losers. Tomorrow, I will post for you some tables showing you historical growth of how we are doing on my virtual portfolio.
Winners:
1. Shanda Entertainment Interactive (SNDA) – It was not a big winner for the week, but we started out on Monday with a slight gain on our short sale of SNDA. I recommended a short sale on the stock after it jumped over 6% in pre-market trading on an upgrade that I did not think gave it the sort of value we were expecting. We entered the stock (reported via the Oxen Report Entry/Exit Alert) at 49.75. By the end of the day, the stock did not make much movement to the downside on a big rally day, but we were able to still come out of it with 0.25% gain on the day, covering at 49.62.
2. Pepsi Bottling Group (PBG) – We started PBG as a short sale on Tuesday, with a recommendation coming on the heels of earnings that were not extremely great on a technically overvalued stock. The stock, however, had really flat movement on Tuesday, so we decided to hold it over the one day. Our entry on Tuesday was at 37.35, which was adjusted from the original post in my Oxen Report Morning Levels Alert due to the stock moving down a lot more than I had expected. Since the stock was so flat, we readjusted our expectations for just a 1% gain, which we hit on Thursday at 36.98. We had to extend this one a bit longer, but we were able to make money.
3. Family Dollar Stores Inc. (FDO) – On Friday, Oct. 2, I had four picks that went out, and one was a longer trade that would extend from that date into this past week. The trade was on Family Dollar Stores, who reported earnings on Wednesday. I was very confident in the earnings, and the company’s ability to rally behind the earnings. We got in on Friday via a late afternoon alert at 2:45 PM for a price of 26.65. We held the stock until Wednesday after the earnings were released, and we sold the position at 29.50 for a GAIN OF 10.69%. This was the winner of the week.
4. Direxion Daily Bull Oil and Gas ETF (ERX) – On Wednesday, our buy pick of the day was a bullish oil ETF that we bought right after crude inventories were released down, showing an increase in demand for oil. The ETF, we assumed, would pop on the news. We got into the stock at 40.50, looking for 2-3%. We were looking for an exit of 41.21 – 41.61, but it did not hit it. We were able to get out at the end of the day at 41.10 for a solid 1.5% gain.
5. Ultra Proshares Financial ETF (UYG) – On Thursday, we saw the market rallying on a slew of positive news from strong Alcoa earnings and the fact that initial jobless claims were much lower than expected. The financials, in pre-market seemed undervalued compared to the rest, so it looked like a perfect buying opportunity for UYG. We got into the ETF at 6.02, and we held it most of the day, looking for an exit of 6.14 – 6.20. We almost hit 6.14, but the stock decayed through the rest of the day, so we took a nice 1% profit at 6.08 in the late afternoon.
6. Ultrashort Proshares Oil and Gas ETF (DUG) – On DUG, we were able to only get a slight gain. The ETF was bought in on the weakness we saw in oil, and it was up over 1.5% at one point. The late Friday rally, though, got rid of our earnings in this one, and we sold for only a 0.18% gain at 13.42 on a 13.40 entry price. Still a gain, but it was minimal.
Losers:
1. Mosaic Co. (MOS) – This trade, in fact, worked out pretty well for everyone that held the stock as I recommended Monday, even though I had been stopped out for a 3% loss due to my entry price at 46.60. The stock decayed due to some weakness before earnings because of a rival’s downgrade on earnings. Mosaic, however, beat expectations and rallied the very next day. We jsut got in a bit too early for a buy, but it was nice to see it work over a two day period.
2. Helen of Troy Ltd. (HELE) – With the market rallying on Monday and Tuesday, I was under the impression we would get a nice sell off on Wednesday just to stabilize the markets. Stocks that were overvalued would move backwards. It did not happen. We got into a short sale of HELE after the stock reported better than expected earnings that popped the stock over 8% in pre-market trading. I was expecting a major pullback from there. It did not happen. Since we did not get stopped out, we decided to hold it through to Thursday, but the market rallied even further on Thursday, and we got stopped out for a 3% loss.
Positions Open:
1. Nu Skin (NUS) – We have made money on this one, but we are still holding this short sale open because I think it is a confident play to continue downwards as it did on Friday.
