Bought ICF @ $82.21

[[ICF]] Broke a double top at $81 on Friday, and has now formed an ascending triple top breakout today above $82. I closed on this property at $82.21. The tide has turned on the REITs.

Price objective is $108, with a stop at $76.

The crude oil price trend is clearly down, and oil is off again today. The dollar is starting to strengthen, and money has been rotating into formerly beaten down sectors like banks, healthcare and REITs. Even gaming is showing a pulse.

The picture is getting clearer, no?

Disclaimer: No real estate was foreclosed on, or lazy tenants evicted, with this purchase. The purchase of real estate, using REITs, involves risks, too numerous to mention. Consult your financial advisor for his/her worthless and irrelevant opinions before taking action.

General Dynamics Corporation [[GD]] broke a double top at $92 on Friday. GD appears to be firing on all cylinders—- so I bought some shares (apologies to all you “socially responsible” investors).

My price objective is $112, with an initial stop at $87.

Disclaimer: If you buy this stock on a whim, the Russians might invade Romania next, effectively interrupting the supply of goat milk.

As I highlighted in yesterday’s “Stock of the Week” post, I bought shares of Amazon.com, Inc. [[AMZN]] , @ $80.45 this morning.

Disclaimer: If you buy AMZN without doing your due diligence, get ready to have a shitload of Harry Dent’s books, “Dow 40,000” , dumped in your driveway.

Amazon.com, Inc. [[AMZN]] , broke a triple top at $80, after a period of consolidation. I’m looking at buying it here, at these levels, with a stop at $74.

When evaluating a trade, I always look at the price objective, which is clearly indicated on the PnF chart. In the case of AMZN, the price objective is $115.

Buying it at these levels with a stop at $74, puts the reward to risk at over 6 to 1. This is a potentially high reward for the risk, and is one trade you might want to consider.

Disclaimer: “Price objectives” are simply guidelines for evaluating a trade. There is no guarantee that the objective will be attained. Trading involves risk. Know what you’re doing and why.

The price trend in oil is down.

As more and more trend followers jump on this train, what’s it going to take to reverse this? What is the likelihood of something like that happening?

More importantly, what does this means for the stock market if this trend continues, and what actions do you need to take next week, given this scenario?

Keep in mind that todays drop in crude oil now puts it in what I would categorize as “slightly oversold”. Not as oversold as other commodities or even foreign and emerging market stocks, but still moving in that direction.

My best guess is that this trend in oil will continue for a little while, as the effect it is having on the stock market is getting a rousing applause from many camps.

See you next week.

“The world is awash in oil”, so says my friend, the geologist.

“There is plenty of oil and gas on the planet (good)—in some cases, it’s just getting harder to extract technically, financially and politically (bad)”.

From experience, we know that the new offshore fields they are discovering now, probably won’t be in production for another 10 years, so there is supply down the road.

As alternatives are continually being developed and become more economical, crude oil will eventually decline in demand, and accordingly, in price. However, this most likely will take years.

I’d be interested to know if someone knows of any research, in the area of oil and energy, as it relates to Kondratieff cycles. The year 2030 sticks out in my mind as an important year, for some reason. Thanks.

Have a great weekend.