Web Search

Custom Search

Tuesday, September 30, 2008

New Feasable Energy Solutions... (NYSE:FAN) - Wind ETF


Alright so this is a pretty trivial article on energy crisis and newer, less costly renewable energy products. There are countless articles, opinion's and political views of the different energy solutions to better reduce the harmful environmental impacts to the Earth's environment as well as our so called diminishing fossil fuel supply.


My favorite alternative energy technology available is definitely wind energy. I believe wind to be far more superior to the other alternatives for various reasons. Versus Solar, Wind has I higher yield of energy output with less opportunity cost of land. Wind turbines have a significantly smaller footprint than a solar matrix. With less land being consumed, the land can be used for agriculture, etc.


It's optimal compared to the bio-fuels as the bio fuels still produce carbon and the opportunity cost of the organic material (corn) used in production could be better used as livestock feed or food.


Another pro for Wind technology is that wind tech is not necessarily land-locked. Wind turbines can be erected in a floating apparatus anchored to a seabed. And advantage over solar and less costly to do than aquatic Geo-thermal technology.


To take advantage over the opportunity in Wind, you could purchase shares or calls in the Wind Energy producers or equipment manufacturers. I like the new First Trust Global Wind Energy (ETF) (NYSE:FAN). Its near it's 52 week low and is a great opportunity to get in.

New ETF Brought To My Attention (NYSE:FXI iShares FTSE/Xinhua China 25 Index)


The following ETF has caught my eye and I believe it to be a great bearish global play. iShares FTSE/Xinhua China 25 Index (NYSE:FXI) is a China play as the title obviously displays. This particular ETF correspond with the price and yield performance of the FTSE/Xinhua China 25 Index which essentially moves with the economy of the booming nation. Why it has caught my eye as a potential play is that last quarter, China saw the slowest GDP growth in the than it's had in the past six years. Now obviously this is caused by the Global Economic slowdown affecting the world economy accompanied by a reduction in global demand for Oil forecasted for the coming quarter.


The 52w low is a little over $30 and the high being $73.19. As I write this piece, the price has bounced on the September 30 market bounce after the 29th's congress financial bailout vote failed sending markets globally into a downward spiral.


China should correct soon as the American dream continues to crumble and continue positive economic growth and return in a 12-18 month period back to its highs.


Personally I am so sick of North American market instability, I am aggressively seeking international investment opportunities. If any readers have any suggestions, please leave your suggestion as a comment to this article.


Cheers,

Monday, September 22, 2008

O'Leary Global Equity Income Fund (OGE.UN:TSX) now on Agoracom.com

Just wanted to let the readers know that I have been appointed by Agoracom as the Hub Leader for the O'Leary Global Equity Income Fund's Investor Hub.

If your not familiar with Agoracom, it is the Internet's largest online Investor Relations company.

"AGORACOM is the Web 2.0 online marketplace and forum for citizens of the small-cap investment community. Public companies, shareholders and prospective shareholders amalgamate for the purposes of communicating in a monitored and secure environment free of bashing, hyping, spam and profanity that have plagued other small-cap communities for far too long." - Agoracom.com

And as of last week, they just began advertising on BNN, Bloomberg, and CNBC. This e-Firm is going to explode IMO and has a massive, informed community where the business concerns of many client and non-client publicly traded company's are discussed.

I will be moderating and posting information with regard to OGE.UN and this investor hub will be an investors and prospective investors best bet for information on the income trust.

Also, the O'Leary Global Infrastructure Fund will be traded soon. Unfortunately, no word on a symbol yet, but as soon as I know what it is, you do. I am very excited for this fund.

http://www.agoracom.com/
http://agoracom.com/ir/Gencap
http://www.gencapfunds.com/

Hit the Commodity ETF's and ETN's, and Hit Them Hard


This past last 6 months have created havoc in the United States and the rest of the world. The mortgage crisis followed by the financial market meltdown has created a situation of the largest Government bail-out in the history of the western world. The $700 billion Fed print-out *cough cough*, forgive me; Bail-out has produced a ton of cheap money sloshing around the worlds markets. What does this mean? Well for one, Hyper-Inflation.


Now the equities markets won't be very effected by the eroded buying power of the all-mighty greenback, but you will definitely see hyper-inflation in the commodities. And of course, the specifics are Gold, Silver and Oil. But don't kid yourself, the other commodities will be very lucrative in inflated gains.


Now, myself, I don't trade the actual commodities. My interests lie more in the ETF's and ETN's which follow the commodities. Specifically, the option call's of these securities. As always, do your homework, find the right strikes and profit.


(NYSE: GLD, SLV, DGP AMEX:USO)


And as always, the producer's of the commodities aren't a bad bet either, but be prepared to go the long distance.


Happy Trading.

Sunday, September 21, 2008

NEXEN - Premium Synthetic Crude to Begin Production Any Day


Nexen Inc. (NYSE:NXY, TSX:NXY), a large energy producer based in Canada which has a massive stake in the Long Lake Project in Fort McMurray looks to complete it's new Upgrader asset. As of September 2, 2008; a press release from Nexen revealed that the Long Lake project was moving along on schedule and that 90% of the upgrader to their extraction and processing asset's were commissioned and eluded that the upgrades would be complete by the end of the month.


We are coming to the end of the month and I look everyday for news of completion. This Upgrader will allow Nexen to begin it's first production of it's Premium Synthetic Crude product. All resources and materials for production are all procured and allocated to begin production the the new energy product and is believed by analysts to raise the price of Nexen in the $30-$35 range.


The best bet is to look at the October and November Calls to best position one's portfolio to benefit from this growth.

Further Rally In AIG and it's Calls

News released Sunday of AIG's major share holders efforts to raise capital and purchase the Government's 80% stake in the financial firm is already affecting AIG's bids and asks this Sunday evening. As of 10:36 MT, the stock is poised for a gap of 20 cents for tomorrow's market open and I anticipate it to raise further as we approach the market open for Monday.

My interpretation of this action is that obviously the shareholders don't want the shares to be diluted by that 80% stake but it also shows me that the company is worth not handing it over to the US Government and to keep the power with the shareholders.

The Calls of AIG between the 5-7 strikes look to be of particular open interest and look to perform very well tomorrow.

Keep an eye out for AIG.

Saturday, September 20, 2008

Government Bails Out AIG With $85 Billion Loan

Another informational video of AIG's take over. Just an additional weekend video for your viewing pleasure. Look for a new post Monday. Have a great weekend.

Treasury Rescue Plan: Bad Medicine

An interesting video of the recent activities of the U.S Government whith regard to the financial meltdown. Enjoy!

Friday, September 19, 2008

AIG and SPY Call's


During the trading day today, I was able to find a nice little opportunity which was an obvious no brainer on AIG (NYSE:AIG). The October 5 Calls were especially active on AIG, opening today at $0.50 gapping up from the $0.24 PDC and reaching a high of $1.08 and ending the trading day at $0.91 with massive volitility throughout the day. There were plenty of profit-taking opportunities for traders.


As well, Calls on SPY performed extremely well for investors with Friday's rally.


Overall, plenty of gains for investors to earn back from the financial crash earlier this week.

Tuesday, September 2, 2008

Oil and Commodities Tumble.....


*Sorry for the late post folks. I have unfortunately been sick extending my labor day long-weekend further than anticipated. I do try to at least post once daily but I let the ball slip.


On Tuesday as most of you are well aware of, Oil prices fell to a new five-month low, allowing the $100/barrel.


The demand side of oil fell as supply fears were extinguished as Gustav only affected the perimeter of the Gulf's 'Oil Patch' and drove the prices of oil further down. Although terrible for investors, I am thankful that a Katrina level incident did not repeat itself and cause as much hardship for the people of the American south.


As of now, Oil production in the Gulf is still shutdown as part of the preparations to minimize Gustav's damage to the energy facilities if the hurricane were to occur as forecasted.


Oil and commodities including Gold fell on additional news of global economic output falling. Economic slowdown in the America's and Europe will hinder demand for oil and has caused investors to pull out of the commodity and energy sectors around the globe.


In addition to the above, the greenback gained strength versus the euro and other western currencies driving demand for Commodities measures in USD down.


Overall, as energy traders on Tuesday drove down prices via mass exodus of the markets, it is apparent that they are going to keep their eyes on the following tropical storms to come.