This is the bottom?

The stock rallied 420+ point again this week. Last Tuesday the Dow rose 415 points, the most in five years. By Friday, Bear Stearns was almost bankrupt. So after jumping 420 points today, why would investors think this time will be any different?

Jim Cramer of mad money said he has 10 reasons, actually, that this could be the bottom we need. Here’s a summary, David Letterman style.

1. Treasury Secretary Henry Paulson woke up. Big Hank’s no longer touting President Bush’s “the fundamentals are sound” message. Finally, he’s will to do whatever it takes to keep the system from breaking down.

2. Mortgages bonds actually traded up today, in part, Cramer said, because there’s talk of a Washington allowing Fannie Mae
Federal National Mortgage Association (Fannie Mae)
FNM to buy back its own bonds. This would mean lower mortgage rates, and the chance for homeowners to refinance.

3. Lehman Brothers and Goldman Sachs reported strong quarters despite the odds.

4. Stocks outside the bank sector, such a Nucor
Nucor Corp
NUE

CSX Corp are actually hitting 52-week highs. This “real economy,” as Cramer calls it, seems to be in decent shape.

5. The Federal Reserve bailout of Bear Stearns
Bear Stearns Co Inc
BSC proved there’s virtually no risk of losing any money you might have in an investment firm. That wasn’t always the case.

6. That Bear Stearns bail out solidified a plan for bailing out a failing bank should a similar event surface in the future.

7. Momentum names like Apple
Google Inc GOOG Intuitive Surgical Inc
ISRG and First Solar First Solar Inc are showing signs of life again.

8. Brokers want investors back in the game, so Cramer expects them to low-ball Wednesday’s Visa IPO to entice potential buyers. Can’t get your hands on any? Buy Mastercard instead.

9. The biggest bull on Wall Street, Abby Joseph Cohen, who stayed bullish through this, the worst bear market in years, retired yesterday. “I always love a good irony trade,” Cramer said.

10. The market rallied despite Ben Bernanke’s best efforts to hold us back. He talked about inflation in his statement, only cut rates by 75 basis points instead of 100 and it still didn’t matter.

Be cautions with your trade. I dont believe this is a real bottom until I see some more signs of confidence in the market. This could be another one of the suckers rally for you to short more position.

To your continual success!
Andy Huang

Are we near a bottom?

I have been talking about the market mess daily on my blog but the news is important enough today to make sure everyone knows what is happening.

I have been through this before so i know that history always repeats itself but not always in the same way.

The media is hyping the bad news but so far the credit market has not budged.

“Burgeoning losses in mortgage-backed bonds fueled a credit crunch beginning last summer, as wounded banks and brokerages became reluctant to lend money. In recent weeks the crunch has spread well beyond the housing market, even affecting seemingly unrelated markets, such as municipal bonds.”. says Tom Petrano of the LA Times last week. “Some stock market pros say the credit turmoil is likely to lead to the failure of at least one major bank, brokerage or other financial company. Historically, market crises often have ended with a spectacular institutional failure that triggers a final wave of selling.”

This is what i have been saying all along. There is a total stalemate. Banks are not lending, sellers are not selling and banks are not dumping inventory yet. THIS HAS GOT TO CHANGE. We need to have a major calamity for the logjam to break. A major bank or financial institution has to fail. We need to see capitulation before things change.

Well folks here we are. Bear Stearns is really bankrupt but the fed allowed J.P. Morgan to take them over at fire sale prices and supplied the easy money to do so.

I’m sure that this is only the beginning. We need to see more disasters before anything will change. At the market bottoms you have to see blood in the streets. I think we are approaching that.

Once the stock market gives up, the banks and other financial institutions will have to dump the worthless junk they have. THAT MEANS DEALS FOR US!!!!

Please don’t bail out of the real estate market yet. Our time is coming, and for the ones who stick to their goals and don’t let anyone tell them they are crazy, the payoff will be significant. You guys should get Donald Trump’s book, “Thing big and kick ass”. (or something like that). I am reading it and it is so right on in his unique style. You may not like him but his advice is right on.

These are exciting times!

To your success!

Andy Huang

Increase Your Earning from Selling Advertising Space

If you would observe the company that delivers the daily paper to your doorstep for a business case study, you will come to learn that the newspaper publisher hires reporters, writers and other important staff to create the contents and deliver the papers to their readers.

In addition to the above mention, the publisher has to invest regularly in heavy duty machineries and tons of papers in printing tons of newspapers on a daily basis.

And in order to ensure that the newspapers are delivered on time, the publisher appoints agents at every part of the covered territory.

So, how does the newspaper company make money? It is obvious that selling a copy of the papers at less than a dollar would not even be able to even fund the operations.

The answer? Selling advertising spaces! You have definitely seen lots of advertisements in the newspaper. The publisher simply sells advertising space in the papers to advertisers who want to leverage their advertising efforts on the paper’s high readership.

On the same analogy, you can make money the exact way from your newsletter: simply by selling advertising space to prospective advertisers!

If your mailing list size exceeds 1,000 (5,000 is recommended) subscribers and beyond, you can start selling advertising space for say, $10.00 per sponsor ad.

In this manner, you turn every issue you send out to your subscribers into a profit-pulling device. And since there is virtually no end to the stream of advertisers as products, services and businesses are cropping every single day in every industry imaginable, so are your money making opportunities.
To your success!

Andy Huang

Dow Jone Soar 400+ point with positive fed help

The Dow Jones Industrial Average rose 416.66 points, the S &P  index soared 47.28 points and the Nasdaq Composite Index rose 86.42 points.

The Fed  today acted in a creative effort aimed at thawing the ongoing credit freeze that ails the economy — a smart move that was greeted with a great enthusiasm by the Wall Street investors. The US stock market performed and closed with its best single-day point gain since July 2002, as the financials led a huge 416-point surge on the Dow.

Even before the Fed’s new plan to inject more than $200 billion into the financial markets was revealed this morning, the market appeared poised for a bounce back due to short covering. Few could have anticipated the move would have been this big, however. The bears have dominated the tug-of-war in recent days, as the Dow had lost more than 900 points in an eight-day span prior to today.

Do not be fool by this sucker rally. Dont forget we are still in a bear market, as the move by the Fed today is a great put buying opportunity, as well as a chance for you to exit your falling positions.

Keep shorting the financial on great news like this.

To your continual success!

Andy Huang

US Stock Ended with more loss this week

The US stock market continue its loosing streak this week as Dow Jones lost more than 370+ points this week. Last week in my US Stock Dow Jones Loses 315 post I have warned all our readers to exit any long position and hedge with put position during the turbulance. The financial stock performance are extremely weak continuing the credit crisis. Make sure you go long on the put positions so you can continue to grow your portfolio while the market continues to trend lower.

To your continual success.

Andy Huang

Forum Helps ‘Imagineers’ Bring Products To Market

Here is a great article post from Dan Carlson’s Business opportunity blog, thought I share it with my readers as well.

San Diego Business Journal:

Not every inventor will garner fame like Benjamin Franklin, Thomas Edison or Alexander Graham Bell. But today’s curious thinkers are keeping the tradition of these forefathers alive by creating what they believe are new and improved ways of making things work.

Today, inventors across the nation are trying to push their “creative” products out to the masses, from games and unique gardening equipment to accessories, low-tech consumer products and sophisticated high-tech innovations. Even large corporations are seeking independent inventors to help make their products taste better or operate more effectively.

But, unlike the Ben Franklin era, 21st century inventors often face hurdles in getting their ideas and products developed and accepted by regulators, patent offices, investors and consumers. Locally, inventors can overcome some of these challenges via the San Diego Inventors Forum. The networking group, which has about 250 members, brings together successful inventors and entrepreneurs with the focus of turning great ideas into products and taking them to market.

Inventors participating in the forum learn strategies for developing inventions into products on a limited budget; have opportunities to tap into existing marketing and distribution challenges; have access to professional consultants, product evaluation and hands-on support; and get expert input and help with issues related to prototyping, manufacturing and retail packaging.

“We give a lot of support to the creation of business and marketing plans for these startup inventions,” said Edward Balian, 59, president and co-founder of the San Diego Inventors Forum. “We help them figure out (if) they want to sell the product or do they want to license or franchise it? That changes what their path might be. Some of the inventors just want to sell a toy or product to Mattel, for example.

Read more.

3 Things You Must Do Before You Submit To Article Directories

To all writers and non-writers out there, now is the time to start digging up those creative writing skills back. With modern communication technology comes the popularity of information-based marketing, which is one of the oldest and most effective techniques in getting targeted prospects to sites and converting them into buyers. This is why article writing, submissions and publications are also getting popular.
There are already many tools that people can use to make the process of distributing their articles more easily. Though this is invaluable in getting the contents more exposure, which is only half of the story.

Let us take a look first at the common mistakes that some people make before submitting their contents to article directories:

1. Confusing the reason to promote the articles with the reason to write them.
In article writing, there are three key benefits why you are promoting them; branding, lead generation and promotion, which are all part of your optimization efforts.
But there is only one reason why you write an article, and that is to inform your audience. If the article is not focused on this primary and most important purpose, it will fail to achieve the three promotion benefits because no one will be interested in reading them.
You need to figure out first how to get people to read what is in your article, then make them click on your resource box. You can achieve this by producing better contents.

2. Failing to maximize the promotional opportunities of article marketing.
You may know already that your articles can help you generate additional links back to your site. But do you know that you can get more visitors and better search engine results from that same articles?

Mention keywords at strategic places. Just be sure not to overdo them. Some are even using anchor texts which is also an effective method. But it is important to know that majority of the directories are not able to support this.

Remember that is not only about the links back to your site. Part of doing well in your article marketing is getting picked up by publishers with a large number of audiences and gaining the ability of leveraging other brands because of the quality of your work. Better search engine results also are great benefits.

But these things do not put much money in your pocket. There are other factors that can turn your article marketing efforts into an opportunity that can boost your earnings. Not just increase the number of visitors to your site.
Start out with a plan and see to it that your article will serve the function that you intended it to have.

3. Publishing content that does not help your readers.
Maybe in the process of writing articles, you are thinking that all that is you wanted is links back to your site. And any visitors it can generate are fine.

Guess what? Not all article banks and directories are going to accept your content automatically. Oftentimes, they have some guidelines and specifications on the articles that they are accepting.
You can double the number of sites you can submit to by writing articles that the directories want to share with other people. All it takes is one publisher with a hundred thousand readers to increase your potential audience overnight.

Write the articles that publishers want in their publications if you want your article marketing to work the most effective way for you. This also means you have to obey the standard guidelines, spell checks, researching on a good topic and even hiring a writer to produce a good content on your behalf.

In the end, it is all really a matter of choice on your part. You can start getting a little exposure from increased links back but on a very basic level. Or enjoy massive exposure from a little extra time making quality contents.

It will be your choice. You may not be aware of the fact that an article submitted on directories is not meant to have the same level of exposure as highly-targeted content ones geared on a narrow group of people.

Learn the difference between these two and it will surely help you know what kinds of articles to write and to submit.

To your continual success in your marketing efforts!

Andy Huang

« Previous Page — Next Page »