The market has been trading in a fairly small range now for like 3 months. Depending on how long this goes on, it should break out quite a ways either way.
Now, I named this post 'Trading Range' because of that market fact. With this kind of account, it's more of a 'Non-Trading Range.' We won't have anything to do until it breaks out. So, like I said in the last post, I'll just keep posting after I update the spreadsheets for all my accounts.
The latest looks like this:
Cathy's is the only one that's showing a 'buy' signal, albeit a small one, under buy/sell advice, since I bought all her stocks pretty much at the top of the market, her account has come down the most. Now, that doesn't mean I am buying any stock. There has to be an amount in the 'Market order' column. By the way, her stocks are HD, HPQ, SBUX, SNE, and WFMI. I use different criteria for her group. She wants to own companies that are responsible in the world. Successful companies that have any liquidity (as well as stability) in this category are not very plentiful, sadly. Says something about our society, huh?
For my sons, I use a Janus fund called Orion. They're accounts have been going for quite awhile and working quite well. They'd really be working well if they hadn't pulled money out for 'emergencies.' I notice the longer you follow the rules of this method, and leave an account alone, the better it works.
I do like the Dogs one, because the cash reserves are constantly growing from the dividends, even though, for the most part, the companies aren't exactly the 'be responsible in the world' type. HD is the only one of the group that most people would look at and say, "yeah, they really are worldly responsible." Meaning, they give money to good causes, aren't wasteful or polluting, and try to have a goal other than just to line their own pockets. Who knows? Cathy's account could end up out-performing mine - the companies do fit all the criteria that Robert Lichello had for stocks he suggested in his book. A couple of them, especially WFMI, are REALLY volatile, which is the name of the game for AIM. That's why I've always avoided Kraft. Food companies are notorious for just sitting there. The main thing is, set up some rules and follow them. I have a feeling the stocks in Cathy's account will stay the same longer than the ones in the Dogs account will. I've practically changed the whole thing out in the short time I've had that account. Not good. Hmmm...yeah, the only one that is in the original account is HD. Imagine that!
Monday, July 26, 2010
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