Bad news and monetary policies of central banks

 

There’s a lot of bad news around the world at the moment: wars, clandestine immigration, economic recessions, this is important for most countries, because of bankruptcies and so on.

All these facts generate problems for me when I see them. I do not remember a period as bad as this in my life. This is the worst. I hope it will improve soon.

All these facts would suggest that it is not a wise moment to invest or to trade in stock markets now.

Could this be true?

The truth is that there are only two things that matter when we want to trade stocks for the medium term:

1-      If a company has increasing gross profits that increase its fair value and the price of its stocks;

2-      If Central Banks keep on sustaining the economic growth by printing money.

 

As regards the first aspect, many companies out there have outperformed the stock market in the last few months. I have suggested some of them with low risk, both via free weekly e-mails (GILD for instance) and in my private paid membership area (RFMD for instance).

I am confident that there are always companies whose stocks are worth buying, both in the S&P 500 and in the NASDAQ markets. I need to find them by the means of my new upgraded filter.

As regards the second aspect, new printed money is the only thing that matters and if this money flows both in financial markets and in the real economy.

Click on the following links and you can discover the current monetary policies of the:

 

-          FED: monetary policy;

 

-          ECB: monetary policy.

 

Can you see two different behaviour between the two? Can you imagine what this means for European and American markets?

I think so.

If there is new money to invest and a company has a good balance sheet, the price of its stocks will increase in value. Period.

This is the practical conclusion of my post today.

The previous cited graphics of M1 money allow me to draw the conclucion of a stock index forecast, that I believe is  reliable for the near future.

Here they are:

 

S&P 500 stock index forecast updated on 29th of August 2014

 

NASDAQ stock index forecast updated on 29th of August 2014

 

Italian stock index forecast updated on 29th of August 2014

 

I will send a new free buy signal for a good stock to buy to my newsletter subscribers, in some days.

Let us wait for the expected correction. Then we will discover which are the stock that show strength.

I think that that’s all for this week.

Keep on following me.

Do not forget to share this post with your friends in social media. They will be happy. You can find all the buttons here below.

Kind regards,

Fredrick

 

 

A new 6-month cycle has just started

The images below show us that the previous tops both in the S&P 500 and in the NASDAQ markets have been broken up.

This means that a new annual cycle and a new 6-month cycle have just started. My forecasts were right.

 

S&P 500 stock index and a new intermediate cycle updated on 22th of August 2014

 

NASDAQ stock index forecast updated on 22nd of August 2014

 

My forecasts explain that the current trend will go on until December.

I have suggested buying some good stocks in my members-only area and I have offered a buy signal for a stock (UEIC) for free via e-mail, this month. I am convinced that new bargains will come out as soon as possible.

The start of this new annual cycle and of this new 6-month cycle is present in in European stock indexes too.

Look at the Italian one.

 

Italian stock index forecast updated on 22nd of August 2014

 

A little pull back is expected, but after that, a great uptrend is very likely to take place.

What stocks can I buy in this moment? This question is asked to me regularly.

One group of stocks will outperform in the next months: the technology stocks.

I consider it the best one.

Keep on following me.

Do not forget to share this post with your friends in social media. They will be happy. You can find all the buttons here below.

Kind regards,

Fredrick

Accumulation overcomes distribution in stock markets

Welcome back in my website.

As you already know, a new annual cycle is starting for the stock indexes that I am used to observe every week in my website.

There is an accumulation in place that will bring these indexes higher before the end of this year.

My forecasts inform me that a good uptrend has just started. I do not know if it will be preceded by a triangle figure of accumulation, but a main new uptrend has just started.

Let us watch them in more detail.

 

S&P 500 stock index forecast updated on 15th of August 2014

 

 

NASDAQ stock index forecast updated on 15th of August 2014

 

Italian stock index forecast updated on 14th of August 2014

 

 

There is no real difference respect the forecasts of last week. Things keep going on.

I have inserted a study of mine about the S&P 500 here below that explains what is happening in stock markets.

 

S&P 500 stock index and a new intermediate cycle updated on 15th of August 2014

 

You can see two indicators. The upper indicator measures the speed of the last intermediate cycle.

It suggests that it has arrived to its end and a new intermediate cycle has just started. This scenario is very likely.

The lower indicator (blue line) measures the level of accumulation and distribution. It has grown up very much in the last few days. This means that accumulation is overcoming distribution. Therefore, the price of this index is growing up.

It is time to buy stocks until December as a new intermediate and a new annual cycle have just started.

My last free buy signal that I have suggested by e-mail was about the stock UEIC.

I think that it has good possibilities to increase in value in the near future.

I will offer other buy signals in my membership area in the next weeks. I work to select very good stocks.

Keep on following me.

Do not forget to share this post with your friends in social media. They will be happy. You can find all the buttons here below.

 

Kind regards,

Fredrick

  • Fredrick

    Fredrick

    Welcome into Mystocktobuy website.

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  • STRONG STOCKS FREE ADVISORY 2014 (FEW DAYS DELAYED)

    Ticker
    % Gain/loss
    Current price
    Buy price
    Buy date
    Sell price
    Sell date
    AFOP 5 / 17.32 21/04/14 18.1 13/05/14
    SPCB -7 11.28 9 27/05/14 8.33 18/07/14
    TRIP -4 97.96 98.5 30/05/14 94.5 01/08/14
    FB -3 74.59 65.77 11/06/14 64 09/07/14
    DXCM -4 44.41 37.4 17/06/14 36 09/07/14
    ARWR -10 14.58 15 19/06/14 13.5 26/06/14
    GILD 18 100.72 85.47 02/07/14 STILL IN
    LUV 3 30.76 27.2 02/07/15 28 08/08/14
    PFPT -12 39.5 39.4 02/07/16 34.65 08/07/14
    AMZN -5 334.53 337.5 07/07/14 320.4 29/07/14
    UEIC 1 54.57 54.15 15/08/14 STILL IN

  • STRONG STOCKS PAID ADVISORY SERVICE 2014 (FEW DAYS DELAYED)

    Ticker
    % Gain/loss
    Current price
    Buy price
    Buy date
    Sell price
    Sell date
    RFMD1012.0210.922/07/14STILL IN
    EA-837.013822/07/1435.0929/07/14
    HAL-668.7773.624/07/1468.901/08/14
    COP-579.9186.424/07/1481.701/08/14
    MAR-368.1366.524/07/1464.808/08/14
  • MOST UNDERVALUED STOCKS BOUGHT AND SUGGESTED IN 2014 (1 MONTH DELAY)

    Ticker
    % Gain/loss
    Current price
    Buy price
    Buy date
    Sell price
    Sell date
    DO -9 43.93 51.41 25/04/14 46.96 05/06/14
    TFM -14 / 37.41 02/05/14 32 07/05/14
    ADT 2 36.64 32.85 27/05/14 33.48 09/07/14
    MNTA -8 11.79 12.7 28/05/14 11.71 27/06/14
    CTCM -6 9.54 10.61 30/05/14 10 25/07/14
    HERO -13 3.24 4.8 13/06/14 4.18 24/06/14
    CSOD -7 39.22 44.6 19/06/14 41.6 09/07/14
    ANSS 4 81.12 77.75 07/07/14 STILL IN

  • Federico, l have to say that it's very unusual to come across someone that is as open and honest as you are.
    You openly show all your calls including the loses. Such honesty should be rewarded.
    I will continue to follow you and thank you so much for your time and efforts.

    Angela P. (UK)

    /////////////////////////////////////////////////

    Dear Fredrick you are a very serious and reliable person.
    You have always given to me pieces of advice and information that have revealed very valid.
    What distinguishes you is the seriousness and the love that you use in doing all this.
    Thank you.

    Azzurra Z. (IT)

    /////////////////////////////////////////////////

    I just happened upon your site in the last few days and am satisfied with your attempt to communicate. I will continue to follow until I see a noticeable lack of "something" like sound advice, logical remarks and well put sentences. Should I notice what I feel are these and other short comings, I will attempt to email you at this address and share my concerns. I know you want to be a success at this and I support your endeavors. Be patient. Asking us for input today, that's a good idea.

    Ben W.

    /////////////////////////////////////////////////

    Hello Fredrick,
    I happened to bump into your blog and i must tell you that i'm glad i have. I'm an aspiring trader whom wants to develop a trading method like you have since i dont have the time to daytrade....
    I would appreaciated it if you can give me further explanation and i was also wondering if your willing to take me as your apprentice to teach a good strategy like the one you've acquired. I have experience position trading but i need a good foundation like you have. ...
    Thanks in advanced,

    Harley D.

    /////////////////////////////////////////////////

    Hi Fredrick
    First of all I wanted to thank you for your analysis on the Italian market and the Nasdaq.
    I found your suggestions very helpful and I followed all the signals of the newsletter with great results.
    ...
    Best regards

    Domenico S. (IT)

    /////////////////////////////////////////////////

    Hello Fredrick, some time has passed and I wanted to write to you to thank you warmly for your weekly counseling about markets.
    I want also to congratulate with you for your forecasts that are always accurate and detailed. My regret is that I have not always followed you.
    While I am saying bye to you, I want to espress my best wishes to you for the great work you are used to do in your website.

    Bye and thanks again.

    Andrea Z.

    /////////////////////////////////////////////////

  • What is the meaning of my green ribbon? Here is my answer: 1. Green is the color of dollars; 2. Green is a relaxing color, (my trading is a relaxed style because I am a trend follower of the larger cyclical trend); 3. A ribbon is something that joins things in a softer way (i.e. markets are all interconnected); 4. The way I have placed the ribbon at either end of my chart, represents the cyclical and dynamical way in which markets usually develop. 5. The green velvet represents the fact that markets can be seen with safety, but only if every trade is based on objective and measurable data.
  • INTERESTING ARTICLES AND VIDEOS THAT I HAVE ADDED:

    '
    1. An interesting article of cycle theory:

    Walter Bressert cycle theory

    2. Extracts from Gann's books about cycles:

    Gann cycle theory

    3. One video I have recorded about APPLE stock

    Where to buy Apple stock

    4. One video I have recorded about RIMM Nasdaq stock

    RIMM price stock behaviour

  • SOME MORE RESOURCES FOR YOUR TRADING ACTIVITY

    '
    1. The broker I use, very good and cheap:

    Tradeking

    2. The trading software I use to have a professional analysis of the stock market; very good, easy to be programmed and quick:

    Amibroker Trading Software

    3. My book shop. All the books I need to keep on learning and profiting in financial markets:

    My Book Shop

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    Read the linked article by clicking on the yellow question mark

    Read the linked article by clicking on the yellow question mark

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