Money Talk

BTN and HOOK I covered in Sep last year have been pretty interesting on the rear view mirror now. BTN has lost about 8% as of now but had been hovering 10% higher or lower from the price point at about $8.20 from back then.  HOOK on the other hand has seen a very good uptick going from about $8 then to above $9 and about 10% but the good news is that its trend is strongly rising while BTN is either flat or moderately lower. Both stocks are in my kitty as good buys even at this price for a yearly gain of atleast 25%.

I have to report of two stocks Vasco Data Security (VDSI) and Hansen Natural (HANS) that have been steadily going up inspite of all gyrations in the market in the last 2 years after the recovery took hold. Third one is really a smart pick too, Reliance Steel (RS). I see a 50%, 25% and 20% upside respectively in the next 3-5 months. These three companies are all in excellent niche business environments for the present and may have very little negative impact from the current goings-on in the world.

I see some sharp reversals but a broad rally till the end of second quarter. Taking short positions in select tech and commodities stocks would be something to consider but prepare for a major reversal after 3 months. There are some daunting realities that US has to face....debt and deficit reduction and debt limits. There are estimates suggesting the indices could lose upto 50% from its current levels....ouch that could really hurt. So keep an eye on 50-day moving averages for reversals.