A key technical resistance level for the S&P 500 was taken out this week when the index closed above 1,100 for a three-day period, which spurred Wall Street into rally mode -- at least until yesterday's dismal housing data. However, I expect that sector to remain in the doghouse for some time, and if you focus on that alone, you'll miss all the other positive global economic news.
So in today's issue of Cash Machine, I'll discuss some domestic economic data that is looking up and favorably affecting our Cash Machine portfolio. Additionally, we've seen quite a bit of favorable news from our recommendations, and several of our holdings represent excellent entry points -- so I have a fresh Top Buy list this week that's brimming with opportunity.
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Despite better-than-expected earnings and a string of upbeat economic reports, there are two events that have led to a shaky start for the fourth quarter: consumer confidence and dollar volatility. In fact, the current market rally actually coincides (to the day) with the decline in the greenback.
So far, the current environment remains primed for our high-yield income strategy. Sector leadership is pointing up, capital spending in technology is on the increase, and I believe that 2010 is going to be a great year for investors who position themselves for the coming global economic recovery.
In fact, given the recent developments in the economic landscape, I've been working hard to get the November Cash Machine issue out to you as soon as possible. And I didn't want to hold it until our normal time next week due to an exciting new recommendation in the dry bulk shipping sector. So, today I'm sending you the monthly issue, along with our regular weekly discussion, in one package.
What exactly will we be covering in this combined issue? Well, we'll discuss what the recent market action means for our Cash Machine portfolios going forward. I also have a massive portfolio update, and two sell recommendations. Additionally, I'll go over the Baltic Dry Index and the dry dock shipping sector -- which I've wanted to jump back in to. Well, today's the day -- I've got an excellent new recommendation, a Master Limited Partnership that actually just raised their dividend in a sector where practically all dividends have been omitted recently.
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I'm always looking for new investment opportunities to add to our portfolios. Here's what I'm researching right now and will let you know if any of these companies meet my buy criteria. Be sure to check back often.
The compare and contrast feature includes a table of guaranteed yields reflecting current yields as a way to compare risk-free investments versus recommendations within the Cash Machine service. Having a handle on what Jumbo Certificates of Deposit, Treasury Bills, Treasury Notes, Ginnie Mae's and Money Markets are paying provides important reference points for investors stepping outside these traditional and ultra-safe investments. Yields determined as of 11/4/09. |
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With high-yield dividend stocks that are appreciating in price, what stop-loss, the trailing stop-loss percentage do you use? And do you set the stop-loss to preserve dividend or tighten up to protect the appreciation?
I don't use a physical stop-loss because it's so easy to get gamed. If I put a recommendation out there for everybody to put a stop-loss at $20, and I promise t...
For more than three years, Bryan has brought his expertise on high-yielding investments to the Cash Machine service. His main goal is to help income investors craft a portfolio that will pay a reliable income even during the worst of times. Read
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