Posts Tagged ‘Google stock tip’

Insider-Trading Arrests Open a Window on Hedge-Fund Culture

Insider-Trading Arrests Open a Window on Hedge-Fund Culture

Raj RajaratnamBy Barbara Kiviat, courtesy of TIME

On July 19, 2007, Google reported earnings that were lower than what analysts had expected, and the tech company’s stock price dropped 5% — but Raj Rajaratnam made $9 million. Allegedly, the New York hedge-fund manager had gotten a tip that Google’s earnings would be below expectations, so he was prepared with short positions and put options that would become more valuable as the stock price fell. The alleged source of the tip: an employee at an investor-relations firm that helped Google announce its earnings who wanted to be paid for similar informational gems in the future. 

If you didn’t already feel like a financial ingenue in the wake of last year’s Wall Street meltdown and Bernie Madoff’s massive Ponzi scheme, maybe the government’s latest insider-trading case will help put you over the top. Federal prosecutors have charged six people with conspiracy and securities fraud in a series of insider trades that allegedly netted more than $25 million in illegal profits. The defendants include higher-ups at two hedge funds as well as executives at Intel, IBM and the consulting firm McKinsey. Rajaratnam was arrested with the others on Oct. 16, but he promptly paid the $100 million bail so that he could return to work on Monday.

The case is being billed as the largest hedge fund insider-trading case in history — its importance underscored by the fact that the feds got a wiretap to collect evidence, a technique normally reserved for drug busts and organized crime. "This is a monumental step for the government," says Stetson University law professor Ellen Podgor. "This is not the typical way you do a white-collar case."

At issue are a number of purported information leaks, which — if the allegations are proven true — fall into a truly special category of brazenness. For example: a Moody’s bond-rating analyst sharing privileged information that the private-equity firm Blackstone was about to buy Hilton Hotels. A senior vice president at IBM handing over details of Sun Microsystems’s financials, which he had access to only because IBM was contemplating buying Sun. A managing director of Intel passing along the company’s revenue and profit numbers before they were publicly released and later asking his hedge-fund consort for a job with one of his "powerful friends."

Thanks to the FBI’s wiretap, the…
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Kimble Charting Solutions

Lumber Price Peak Would Raise Concerns For Equities!

Courtesy of Chris Kimble

The supply chain has dealt with several issues over the past couple of years, as consumers and businesses have been forced to navigate a tricky “COVID” landscape.

Commodity prices (in general) have risen, while enduring some big swings.

Today we look at a commodity that plays an intricate role for consumers, and perhaps the equities market as well. Lumber. When lumber prices are high, new homes and buildings cost quite a bit more.

Above is a “weekly” chart of lumber prices. As you can see, there have been times when a lumber peak/bottom have be...



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ValueWalk

How To Buy Gold

By Eric Gozenput. Originally published at ValueWalk.

If you’re looking for an asset that protects against inflation, buy gold!  Take a look at our helpful guide below for some tips on purchasing this precious metal.

Q4 2021 hedge fund letters, conferences and more

Wondering How to Buy Physical Gold? Consider The Different Types: Gold Bars and Rounds

Gold bars are one of the most popular gold buying options for investors. B...



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Zero Hedge

Canadian 'Freedom Convoy' Receives First GoFundMe Payment After Temporary Halt

Courtesy of ZeroHedge View original post here.

Update (Friday 0711ET): Organizers of the "Freedom Convoy" have "received confirmation that GoFundMe has released our first batch of funds" following reports Thursday, the c...



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Phil's Favorites

Is the omicron variant Mother Nature's way of vaccinating the masses and curbing the pandemic?

 

Is the omicron variant Mother Nature’s way of vaccinating the masses and curbing the pandemic?

Preliminary research suggests that the omicron variant may potentially induce a robust immune response. Olga Siletskaya/Moment via Getty Images

Courtesy of Prakash Nagarkatti, University of South Carolina and Mitzi Nagarkatti, University of South Carolina

In the short time since...



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Biotech/COVID-19

Is the omicron variant Mother Nature's way of vaccinating the masses and curbing the pandemic?

 

Is the omicron variant Mother Nature’s way of vaccinating the masses and curbing the pandemic?

Preliminary research suggests that the omicron variant may potentially induce a robust immune response. Olga Siletskaya/Moment via Getty Images

Courtesy of Prakash Nagarkatti, University of South Carolina and Mitzi Nagarkatti, University of South Carolina

In the short time since...



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Digital Currencies

Why do you need a Bitcoin ETF when they already made you one?

 

Why do you need a Bitcoin ETF when they already made you one?

Courtesy of 

Chart via Piper Sandler’s new note on Coinbase. They don’t think it’s trading as a proxy for Bitcoin but I know it is. Here’s their take:

COIN shares have performed in-line with bitcoin since reaching an all-time closing high on 11/9/21. COIN shares and the price of bitcoin (which we use as a proxy for broader cryptocurrency pric...



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Politics

5 things to know about why Russia might invade Ukraine - and why the US is involved

 

5 things to know about why Russia might invade Ukraine – and why the US is involved

Courtesy of Tatsiana Kulakevich, University of South Florida

U.S. President Joe Biden said on Jan. 19, 2022, that he thinks Russia will invade Ukraine, and cautioned Russian president Vladimir Putin that he “will regret having done it,” following months of building tension.

Russia has amassed an estimated 100,000 troops along its border with Ukraine over the past several months.

In mid-January, Russia began moving ...



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Chart School

Bitcoin Swings Down to Support

Courtesy of Read the Ticker

Come on! Seriously do you think a 400% rally for Bitcoin was going to be given to the public easily. Without any pain! Come on muppets!



The uniformed (public) buy when price is rising or breaking new highs, the informed buy when price is falling or breaking lows.



The informed have to do it this way as they are large volume players and the only way they can buy large volume is to create chaos. The chaos brings to the market the weak holders and a forced sell. Price is moved to where the volume can be accumulated, in a bull trend that is down to critical support.



Of course if price is in a true bull market the 'chaos' created should not break critical long term trend signals, ...



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Promotions

Phil's Interview on Options Trading with TD Bank

TD Bank's host Bryan Rogers interviewed Phil on June 10 as part of TD's Options Education Month. If you missed the program, be sure to watch the video below. It should be required viewing for anyone trading or thinking about trading using options. 

Watch here:

TD's webinar with Phil (link) or right here at PSW

Screenshots of TD's slides illustrating Phil's examples:

 

 

&n...



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Mapping The Market

Suez Canal: Critical Waterway Comes to a Halt

 

Suez Canal: Critical Waterway Comes to a Halt

Courtesy of Marcus Lu, Visual Capitalist

The Suez Canal: A Critical Waterway Comes to a Halt

On March 23, 2021, a massive ship named Ever Given became lodged in the Suez Canal, completely blocking traffic in both directions. According to the Suez Canal Authority, the 1,312 foot long (400 m) container ship ran aground during a sandstorm that caused low visibility, impacting the ship’s navigation. The vessel is owned by Taiwanese shipping firm, Evergreen Marine.

With over 2...



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The Technical Traders

Adaptive Fibonacci Price Modeling System Suggests Market Peak May Be Near

Courtesy of Technical Traders

Our Adaptive Fibonacci Price Modeling system is suggesting a moderate price peak may be already setting up in the NASDAQ while the Dow Jones, S&P500, and Transportation Index continue to rally beyond the projected Fibonacci Price Expansion Levels.  This indicates that capital may be shifting away from the already lofty Technology sector and into Basic Materials, Financials, Energy, Consumer Staples, Utilities, as well as other sectors.

This type of a structural market shift indicates a move away from speculation and towards Blue Chip returns. It suggests traders and investors are expecting the US consumer to come back strong (or at least hold up the market at...



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Lee's Free Thinking

Texas, Florida, Arizona, Georgia - The Branch COVIDIANS Are Still Burning Down the House

 

Texas, Florida, Arizona, Georgia – The Branch COVIDIANS Are Still Burning Down the House

Courtesy of Lee Adler, WallStreetExaminer 

The numbers of new cases in some of the hardest hit COVID19 states have started to plateau, or even decline, over the past few days. A few pundits have noted it and concluded that it was a hopeful sign. 

Is it real or is something else going on? Like a restriction in the numbers of tests, or simply the inability to test enough, or are some people simply giving up on getting tested? Because as we all know from our dear leader, the less testing, the less...



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Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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