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Financial news I consider important, with my opinion, which is worth as much as you paid for it.
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Wednesday, October 22, 2008

Stock to buy

I try to avoid making any specific comments on stocks to buy or sell.

I did back in August, and if you followed the advice, PNC so far is about 15 bucks lower, BAC 12, and the other two about the same, USB, WFC.
So if you shorted 1,000 each, you are up 27K.

My next one is a bit riskier. The dollar has rallied hard in recent weeks. And a quick run usually means a down turn is around the corner. If the dollar goes down, gold/oil typically go up.
Instead of buying gold/oil, buy some beaten stocks based on gold or oil.

A friend told me, and I agreed with buying NAK at 2 bucks a share.
Read this article as to why.
Sell at 4 bucks to double your profits, or hold long term to hedge against a dollar fall.

If you don't like the risk NAK has, go with an index fund of gold miners, GDX. At 15 bucks, an absolute steal, at current price of 19.50, start buying.

NOTE: I am not a financial adviser, and as such, do your own research and I take zero responsibility for your actions. Be prepared to lose all money in a $2 stock.
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