Strategy Lab: Screening for Losers

August 27, 2008

Note: All MSN Strategy Lab entries are not to be considered a recommendation. These are notes/orders that were sent in for the MSN Strategy Lab editors for the use with my specific contest portfolio.

* Buy 300 shares of United States Natural Gas Fund (UNG) with a limit of $40 and a protective sell stop at $36.90. Enter buy transaction after 10:30am ET.

When I was growing up, I can recall that the official end of summer was signified by a Labor Day barbecue where we would gather and watch the MDA Telethon hosted by Jerry Lewis. It was the last memory before school started and the fiscal work year began.

For many investors, this will come as a relief. The summer has been brutal. From June 1 to Aug. 26, the Dow Jones industrials ($INDU) fell more than 8%, while the Dow Europe Index dropped more than 15%. At the same time, the price of oil dropped 8% as speculators ran from the coming storm of legislative action squarely aimed at controlling rampant manipulation done through unregulated exchanges.

Read the rest of the article and get a screening criteria to search for potential stocks to short.

TDI Episode 66: Stock Tips and Mish-O-Nomics

July 20, 2008

Guest: Michael “Mish” Shedlock and Andrew discuss the current economy, the financial stocks and the unbelievable rules that are coming from the SEC and the FED. What are they thinking? Short-selling may break the back of the banks that have the biggest problems as they are now fair game, while the big brokerages have been…officially excluded. Even though it is a temporary action, I have to say: Nice work fellas! (not)

As promised, Andrew gives you a few stocks to look at as they are exhibiting strong fundamentals, good technicals and are setting up to move. If you want to learn more about how to find, research and invest in iTunes Subscribestocks, this episode is for you….

Mike Shedlock / Mish is a well sought after blogger that has been spot-on with the current economic debacle we are seeing. He is a registered investment advisor representative for SitkaPacific Capital Management. Sitka Pacific is an asset management firm whose goal is strong performance, low volatility, regardless of market direction. They provide wealth management for investors seeking strong performance with low volatility.


Mish’s blog provides global economics commentary 7-10 times a week. He is also a “professor” on Minyanville. Make it a habit to visit his Minyanville Profile. Mish also does weekly live radio on KFNX on the Charles Goyette show every Wednesday.


Stocks discussed: Apple Inc. (AAPL), Aecon Tech (ACM), Adobe (ADBE),  ITT Educational Services (ESI), Fannie Mae (FNM),  Freddie Mac (FRE), Lehman Brothers (LEH), Goldman Sachs (GS)


The ZachZone Stocks: Fannie Mae (FNM), Freddie Mac (FRE), GT Solar International, Inc. (SOLR), China Distance Educational Holdings (DL)


CLICK HERE for a Virtual Tour of The Disciplined Investor Managed Growth Strategy

Get your free copy of The Disciplined Investor or any audiobook HERE


Money Girl – Stock Screens

June 11, 2008

Excerpt from the recent MoneyGirl Episode:

(Yes, I am still guest host!)

Webster’s Unabridged Dictionary states that the word Quantitative can have varied meanings. For our purposes, we will look at only two:

(Math.) The resolving of problems by reducing the conditions that are in them to equations.
(Logic) The tracing of things to their source, and the resolving of knowledge into its original principles.

So, essentially, we are looking to utilize simple or even complex equations to find stocks that meet certain criteria through an automated system…

…Once you get the hang of the idea, the process is simple. What you need to do is to get your hands on a good screening tool to help with process. The one I recommend is provided by MSN Money. While you can use MSN’s screener for free, in order to make use of the advanced features, you will need to have an MSN Hotmail or Passport account, which again is free and after you’ve completed the quick registration you can navigate to the MSN Money screening page.

Listen/Read the Full Episode

Friday Stock Screens: Shield of Yield

March 13, 2008

As discussed in Chapter 2 of The Disciplined Investor, stock screens can be used effectively to help search for stocks that can help to provide downside protection while positioning a portfolio for the upturn if /when markets stabilize. The fact is that the key in this environment is to look for large cap stocks paying dividends with:

  1. Low Debt
  2. PEG Ratio below 1
  3. Stable outlook
  4. High Rating Read more