On the backs of an egregiously large Chinese stimulus package, commodity related stocks should respond favorably.
Thinking fast, without traveling into the future to see what my stocks will do, tomorrow, I will probably cover some shorts, sell [[REW]] , [[SDS]] and [[DUG]] , and then do a 180 and get long [[UYM]] and more [[UYG]] .
You can never be long enough banks. So, I figure, might as well do it in style, via 200% upside etf.
As for [[EEV]] and [[FXP]] :
They will be my primary hedges, since they have the most value, down at these levels. So, I do not care if they gap lower, for I will be accumulating them.
Personally, I think today’s stimulus was baked into Friday’s tape. We shall see tomorrow.
Things to get long:
Okay, here’s where the Godliness of The PPT comes in handy. Aside from [[UYM]] , I might get long blocks of a variety of basic resource names, like Freeport-McMoRan Copper & Gold Inc. [[FCX]] , Southern Copper Corporation (USA) [[PCU]] or The Mosaic Company [[MOS]] or not.
I have not decided on my buy list yet.
At any rate, here are the top 3 rated stocks, in the sectors that I am most interested in (life is all about short cuts):
Major Integrated Oil & Gas
BP plc (ADR) [[BP]]
Chevron Corporation [[CVX]]
Exxon Mobil Corporation [[XOM]]
Steel & Iron
Ternium S.A. (ADR) [[TX]]
Gerdau SA (ADR) [[GGB]]
ArcelorMittal (ADR) [[MT]]
Farm & Construction Machinery
Bucyrus International, Inc. [[BUCY]]
Astec Industries, Inc. [[ASTE]]
Joy Global Inc. [[JOYG]]
Oil & Gas Equipment & Services
Schlumberger Limited [[SLB]]
Helix Energy Solutions Group Inc. [[HLX]]
Dawson Geophysical Company [[DWSN]]
Shipping
DryShips Inc. [[DRYS]]
Seacor Holdings, Inc. [[CKH]]
TBS International Limited [[TBSI]]
Agricultural Chemicals
American Vanguard Corp. [[AVD]]
Terra Nitrogen Company, L.P. [[TNH]]
Compass Minerals International, Inc. [[CMP]]
Now, if the rally fizzes out, ignore this post and throw a copy of it into a burning barrel of garbagio. However, if the market is going to boot stomp higher, based upon renewed Chinese optimism, the above stocks will lead the way.
NOTE: For those of you who are curious about The PPT, here is an excellent summary, penned by my IT guy/partner.
NOTE II: Titans are now 9-0. In other words, “The Fly” wins again.
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