Verified Investing's Blog (109)

Inflation Data Surges, Federal Reserve Nervous

This morning saw the Bank of England surprising the financial markets by not lowering interest rates as had been expected. This move is shocking because it goes in the face of all other global central banks and their easy money policy. After Brexit, the Bank of England was in a perfect position to lower rates but chose to stand firm. Could this be a new wave of central bank thought? Is easy money policy not the answer to…

The VIX is slightly higher today even with the big stock market bounce. This is a warning sign that the markets may not hold their gains or we could see some selling in the next few days. Basically, it tells us big money/smart money is buying protection here. This morning the BOE (Bank of England) surprised by not raising interest rates, JPMorgan Chase beat earnings and inflation data showed more inflation than expected. Regardless of the initial bullish move in the markets, be on…

Amazon, Inc. (NASDAQ:AMZN) is putting in the sell signal of the year. This stock has been a one way freight train, but that is about to reverse hard. Take a look at the price action in 2016. The stock is up from $475 per shares to a high yesterday of $757 per share. Just in 2016 that is a gain of almost 60%. The overbought nature of this stock is only a minor part of why it is going to be a huge sell with a target of $600. The main factor has to do with the sell signal seen on the chart in…

The driving force of every stock and market is greed and fear. While many will tell you it is earnings or the economy it is not. Earnings or lack there of, just create the human emotion of greed or fear. Greed drives people to invest their hard earned money irrationally and fear causes a mass exodus based on pure emotion. The best traders and investors in the world use fear and greed to place themselves on the opposite side of the majority. Remember, small investors always lose. They invest…

Fastenal Company (NASDAQ:FAST) reports earnings before the stock market opens on Tuesday July 12th, 2016.. Analysts expect $0.49 earnings per share on $1.02 billion in revenue. So what will the stock do? For that we look at the stock chart.

 Initial analysis reveals that the stock has rallied $42.20 on June 27th to close today at $45.36. Most average investors would view this in a bullish light but smart traders understand that the recent gains can take some power out of a good…

The Non Farm Payrolls Report came in at a whopping 287,000 today. This blew expectations out of the water. Most economists were expecting between 150,000 and 200,000. A strong jobs number puts the Federal Reserve hiking interest rates back on the table for later this year, perhaps post election in December 2016. However, there is some major price action that should really freak investors out.

 The jobs number being stronger than expected should have had the impact of seeing gold and…

The investment world has thrown the baby out with the iPhone. As much as a fan favorite Apple Inc. (NASDAQ:AAPL) was, it is now hated on by nearly every investor. Institutions and investment kings like Carl Icahn have dumped their positions, hundreds-of-millions of shares sold. The stock currently trades at $95.32, +0.33 (+0.34%), down from a 52 week high of near $135.00. This is a whopping 30% fall for a company that sits on an epic cash pile and pays a solid $2+ dividend per year.…

Clean Diesel Technologies, Inc. (NASDAQ:CDTI) may be an under the radar small cap. With a market cap of under $10 million and trading at just $0.40, the facts give a very attractive buying opportunity to tuck away in a portfolio. Let's look at the facts.

1. CDTI is debt free. This is rare for a micro cap stock.

2. CDTI will be profitable in the fourth quarter per their latest conference call. Extremely rare for a micro play.

3. Debt conversion is very attractive…

Silver is having another amazing day, soaring almost 5%. The iShares Silver Trust (ETF) (NYSEARCA:SLV) is trading at $18.44, +0.57 (+3.22%). Silver is a short as of today for a near term pull back. This can be maximized using puts, leveraged ETF's or just short the SLV itself. The reasoning is simple. Look at the chart below. The up-sloping trend line is a thing of beauty. Most investors buy/sell or short for no good reason other than a 'feeling'. I strictly look for chart signals.…