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  1. Phil

    Good morning! 

    Buffett buying HNZ for 20% over a close that was already up 10% since Thanksgiving shows you that this market still has legs.   As I've been saying, this M&A stuff is just terrifying for the bears as it's not just HNZ that jumps but the whole sector.  That's why you can't just sit out these rallies – we can get to silly valuations very quickly and THEN it's time to get to cash.  I don't think we're there yet, but that's what our levels are for anyway – to take the emotion out of the equation for both bulls and bears. 

    To that end,  we were looking for pullbacks on Tuesday that never came and, even in this morning's Futures drop, we didn't come close to:

    • Dow 13,850
    • S&P 1,502
    • Nas 3,160
    • NYSE 8,840
    • RUT 905

    Since we're actually up a bit since I posted them, it's going to take even more of a pullback to hit those levels and put us into any kind of worry.  As StJ pointed out the new Big Chart – the Russell is already at the 15% line at 920 and the S&P is right on our 1,520 line (Coincidence?  Of course not) and 14,000 is the 2.5% line on the Dow on the button and that means we have bullish goals of 3,225 on the Nasdaq (now 3,196) and 9,000 on the NYSE (now 8,955) BEFORE we fail 1,520 and 920.  

    As that's not likely to happen – we do need to remain a bit cautious ahead of a possible pullback – especially with the Dollar over 80.50 again (now 80.615) and oil poised for a possible drop (now $97.50 and lined up for yet another short on /CL!).  

    BBRY joining BKS in the graveyard of AAPL competitors.  It's deja vu from the IPod days all over again.   Aside from SNE walkmen and MSFT Zune, there was Creative's whatever it was called and dozens of other MP3 players and they copied the wheel and the screen and the menus and the buttons and they were cheaper and bigger and faster….  Now, there is only IPod.  It did take a long time – I think Zune was 2007 and that was 5 years after the IPod started and they were still trying to take it down.  

    BlackBerry (BBRY-6.1% after former chairman/co-CEO Jim Balsillie discloses he has completely liquidated his stake in the company. The stake was valued at $385M last March, when Balsillieresigned from BlackBerry's board after having already been removed from his other positions. Strategy disagreements reportedly played a role in his departure. Shares are now down 23% on the week. (13G) (yesterday)

    Of course it took AAPL over a decade from the release of the first IBook to become the leading notebook maker – also with a more expensive model that had "less" features than other competitors.  It's funny really – it's as if Porsche puts out a new car and people automatically assume it sucks – despite their very long, successful history of putting out great cars that people love.  Some companies are just good – all the time – like HNZ selling the same old, boring food – year after year after year and making more and more money until Warren Buffett decides they are still too cheap at 16x earnings and offers them 20x.  

    AAPL is trading at just 8x earnings – not including the 3x earnings of cash on their books.  

    Have I mentioned how much I like AAPL lately?  Yesterday's trade idea is still doable:

    AAPL Next week $470s are $6 and we can sell the Friday $465s for $4.25, which is what the next week $475s are going for so I'm thinking it would be fun to see how this works out.  Let's do 5 in the $25KPA as an excercize in Premium Decay.  



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Zero Hedge

Joe Scarborough: 'Hillary Clinton Cost Hillary Clinton the Election,' Not Fake News

Courtesy of ZeroHedge. View original post here.

Joe Scarborough dropped an epic dose of truth on Hillary and her disaffected, snowflake supporters this morning after Clinton herself took to the stage yesterday to blame "fake news" for her stunning loss.  Apparently not a buyer of the "fake news" excuse, Scarborough blasted Hillary, and democrats in general, saying that "Hillary Clinton cost Hillary Clinton the election."

“When you look at this ‘fake news,’ and you see what happened up at Harvard and you hear ever...



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Phil's Favorites

Hillary Backer, Republican Senator Lindsey Graham, Heads Obama's Witch Hunt on Russia

Courtesy of Mish.

Earlier today, president Obama ordered a Russia Hacking Claim Probe.

Republican Senator Lindsey Graham, a friend and backer of Hillary Clinton, heads up Obama’s witch hunt.

Barack Obama has ordered US intelligence agencies to conduct a “full review” of alleged Russian hacking into this year’s election and to issue a report before he leaves office next month.

Lisa Monaco, White House counter-terrorism adviser, said that the review, which would be sent to Congress but which might not be made public, would look at both what happened during the election and would consider “some after-action”.

The review ...



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ValueWalk

FRMO Corporation 2016 Annual Meeting Of Shareholders Transcript

By VWArticles. Originally published at ValueWalk.

FRMO Corporation ‘s transcript of the 2016 annual meeting of shareholders.

]]> Get The Timeless Reading eBook in PDF

Get the entire 10-part series on Timeless Reading in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues.

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Therese Byars - Corporate Secretary

Welcome to the 2016 FRMO Annual Meeting of Shareholders. My name is Therese Byars, and I’m the corporate secretary of FRMO Corp. (the “Company”). Joining me are Murray Stahl, Chairman and Chief Executive Officer, and Steven Bregman, President and Chief Financial Officer.

...



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Biotech

The Medicines Company: Insider Buying

Reminder: Pharmboy and Ilene are available to chat with Members, comments are found below each post.

I'm seeing huge insider buying in the biotech company The Medicines Company (MDCO). The price has already moved up around 7%, but these buys are significant, in the millions of dollars range. ~ Ilene

 

 

 

Insider transaction table and buying vs. selling graphic above from insidercow.com.

Chart below from Yahoo.com

...

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Kimble Charting Solutions

Stocks & Bonds testing 20-year inflection points, says Joe Friday!

Courtesy of Chris Kimble.

Below looks at the patterns on the S&P 500 and the Yield on the 10-year note (Inverted to look like bond prices), since the late 1980’s. A rare test of support and resistance by stocks and bonds, is in play right now!

CLICK ON CHART TO ENLARGE

The S&P 500, has remained inside of rising channel (1), for the majority of the past 20-years.

The 10-year yield (Inverted) has remained inside of rising channel (2), for the major...



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Market News

News You Can Use From Phil's Stock World

 

Financial Markets and Economy

Uncertainty Looms as Triple-Leveraged Oil Bets Go Dark (The Wall Street Journal)

Thursday is the final day of ordinary trading for a pair of popular exchange-traded products that deliver turbo-charged returns on the price of crude oil.

China warns WTO members not to use non-market economy clause after December 11 (Reuters)

China's Commerce Ministry said on Friday it would take "necessary measures" if World Trade Organization members continue to use a non-market economy clause in its to WTO deal to assess dumping duties against it after Dec. 11.

...



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Members' Corner

How To Poop At A Party?

Courtesy of Nattering Naybob.

Once again, it's "Toilet Thursday" or "Thursday in the Loo", so we follow up on Second Hand Stink with How to Poop At A Party. 

This hilarious video demonstrates how to control the Shituation when needing to Poopulate at a gathering, in no uncertain terms. 

We hope this recurring bathroom humor theme "shits" well with our readers. So please do relax, drop the cursor below, click and enjoy.

...

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Chart School

Dow Jones Gann Angle Update

Courtesy of Read the Ticker.

When the Dow Jones moves the media must have an explanation for it. However the insiders have the nod to what is going on.

The media story so far is that since the TRUMP win, managers have been rotating their portfolios to represent TRUMP trends (lower taxes, go easy on the 'too big to fail' Wall Street banks, more jobs for Americans). Prior the election the stock market was set up for a HILLARY win, due to more of the same, status quo, FED support. But....

Using Richard Ney logic, the short answer is, stocks were always going up and the election results do not matter nor would a higher 10 yr bond or lackluster fundamentals. The real story is the marke...

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Promotions

Phil's Stock World's Las Vegas Conference!

 

Come join us for the Phil's Stock World's Conference in Las Vegas!

Date:  Sunday, Feb 12, 2017 and Monday Feb 13, 2017.            

Beginning Time:  8:00 am Sunday morning

Location: Caesar's Palace in Las Vegas

Notes

Caesar's has tentatively offered us rooms for $189 on Saturday night and $129 for Sunday night. However, we have to sign the contract ASAP. We need at least 10 people to pay me via Paypal or we may lose the best rate for the rooms. (Once we are guaranteed ten attendees, I will put up instructions to call the hotel for individual rooms.)

The more people who sign up,...



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OpTrader

Swing trading portfolio - week of December 5th, 2016

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Digital Currencies

Largest US Bitcoin Exchange Is "Extremely Concerned" With IRS Crackdown Targeting Its Users

Courtesy of ZeroHedge. View original post here.

Last Thursday we reported that in a startling development seeking to breach the privacy veil of users of America's largest bitcoin exchange, the IRS filed court papers seeking a judicial order to serve a so-called “John Doe” summons on the San Francisco-based Bitcoin platform Coinbase.

The government’s request is part of a bitcoin tax-evasion probe, and se...



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Mapping The Market

The Most Overlooked Trait of Investing Success

Via Jean-Luc

Good article on investing success:

The Most Overlooked Trait of Investing Success

By Morgan Housel

There is a reason no Berkshire Hathaway investor chides Buffett when the company has a bad quarter. It’s because Buffett has so thoroughly convinced his investors that it’s pointless to try to navigate around 90-day intervals. He’s done that by writing incredibly lucid letters to investors for the last 50 years, communicating in easy-to-understand language at annual meetings, and speaking on TV in ways that someone with no investing experience can grasp.

Yes, Buffett runs an amazing investment company. But he also runs an amazing investor company. One of the most underappreciated part of his s...



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All About Trends

Mid-Day Update

Reminder: Harlan is available to chat with Members, comments are found below each post.

Click here for the full report.




To learn more, sign up for David's free newsletter and receive the free report from All About Trends - "How To Outperform 90% Of Wall Street With Just $500 A Week." Tell David PSW sent you. - Ilene...

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