Update for Friday, February 25, 2010

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INTERESTED IN MORE “HOW TO” INVESTMENT INFO PLUS MY NOT ALWAYS POLITICALLY CORRECT RUMINATIONS ABOUT THE MARKET?

I have set up a blog to share my market analysis & insights -- and to sometimes blow off steam when something stupid (or brilliant) catches my eye. You can post comments and voice your opinion uncensored. Take a look:

http://thewallstreetbully.blogspot.com

This week's hot topics are:

1. "Why China Buys Our Debt"

2. "Waning Confidence"

3. "Tiebreaker"

4. "Reader Feedback: Short Selling With The Trend Tracking Index"

5. "Sunday Musings: Reasons To Worry"

6. "Nothing Learned"

This is another free service, so spread the word to your friends.

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THE LINK TO OUR CURRENT MUTUAL FUND/ETF STATSHEET is:

http://www.successful-investment.com/StatSheet/SS022510.htm

This StatSheet is updated through Thursday, February 25, 2010.
The next scheduled update will be Thursday, March 4, 2010.

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Friday, February 26, 2010

FROM BIG SELL-OFF TO BIG REBOUND

This week proved to be another roller coaster ride featuring a big sell-off and an almost matching rebound. When all was said and done, the losses were manageable with the S&P 500 giving back about 0.5% but gaining for the month.

Resistance for the S&P remains at the 1,100 level as the markets traded around that point for most of the month. While we reached a high of 1,150 during January, it proved to be a onetime event so far.

It seems that part of the reason was last year's strong rebound of the March lows, which makes it now questionable whether economic reality supports these stock market levels. Until there is clear evidence of a continued recovery, we may be stuck in a trading range. In the absence of any good news, the path of least resistance may very well be to the downside.

Our Trend Tracking Indexes (TTIs) changed only slightly and are hovering above their long-term trend lines as follows:

Domestic TTI: +3.85%
International TTI: +2.73%
Hedge TTI: +0.59%

The economic picture continues to be mixed at best with negative reports outweighing positive ones. Today's consumer sentiment readings and existing-home sales painted a disappointing picture while 4th quarter 09 GDP grew more than expected--until it is revised again.

Despite the ups and downs, the market remained its upward bias for the month. It's still imperative to be prepared for any pullback that might occur as a result of sudden news (Greece comes to mind), which could prove to be unsettling for market direction.

Have a great week,

Ulli...

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Back issues of the Fund Tracker are available on the web at:

http://www.successful-investment.com/newsletter-archive.php

Do you have a question regarding your mutual fund investments?

I will always give you my unbiased and honest opinion. How can you be sure?

First, this is a free newsletter and it will not affect my renewal rates.

Second, I am not running for office and do not have to hide my thoughts in evasive language designed to obscure what I really mean.

So, feel free to send your questions to: ulli@successful-investment.com

All Reader Q & A's for this Buy Cycle are now listed at our web site! Check it out at:

http://www.successful-investment.com/q&a.php

WOULD YOU LIKE TO HAVE YOUR INVESTMENTS PROFESSIONALLY MANAGED?

Do you have the time to follow our investment plans yourself? If you are a busy professional who would like to have his portfolio managed using our methodology, please contact me directly or get more details at:

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We are located at:

18685 A-Main Street, #606
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Until next week.

Ulli...

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Ulli G. Niemann
Registered Investment Advisor
714.841.5804 Toll free: 866.580.6764
http://www.successful-investment.com
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