Stocks and Forex

Michael Lifshitz, Consultant, Financial Security Advisor, Mutual Funds Representative with Investors Group Financial Services Inc. , financial services firm in Montreal, Quebec discusses his upcoming webinar entitled Top 10 RRSP Tips: Get the Most From Your rrsps. To register for this webinar, visit www1.gotomeeting.com Note: This presentation is intended as a general source of information only and is not intended to provide any tax, legal or investment advice, and is not intended as a solicitation to purchase securities. Commissions, fees and expenses may be associated with mutual fund investments. Read the prospectus before investing. Mutual funds are not guaranteed, values change frequently and past performance may not be repeated.

Frank Holmes submits:

The U.S. dollar was up last week against the euro out of fear of how debt problems in Greece and elsewhere in Europe will be resolved, and as a result gold had a tough week.

The dollar’s rally appears to be a short-term safe haven move, rather than a response to improving economic conditions in the U.S.

Read the rest of this entry »

Crude was down 5% today which hurts being we’ve let a wining trade become a loser for clients. They are out of all their futures with no damage done but still hold May $7 call spreads. Relatively speaking we are only back to levels from 4 days ago but the path we took here is why I’m concerned. On a $2 bounce in the futures they should be able to get back to cost. We advised clients to go flat on all their natural gas. We used the near 10 cent correction in RBOB today to buy; clients are long 12 cent call spreads in June.

We used a day like today to buy because premiums were hit hard. The rally we were looking to sell never materialized and with Indices making new lows into the close we may miss the trade on futures. We will have an option strategy in coming sessions but no doubt the trend is DOWN. We highly suggest lightening up on your equity exposure or implementing hedging strategies. From zero to hero in 3 days in the sugar calendar spreads (short March/ long July) as we exited today for clients at a profit of just over $500/per after being down $1600 just a few sessions ago. On a further retracement in sugar we will be looking to get outright long. In March the 50 day moving average and 50% Fibonacci retracement comes in at about 26 cents; about 5.5% from the current levels. We may not wait for $1.50 on the May OJ if we can get a smaller profit for clients tomorrow we are going to cash. As long as there are sovereign debt concerns

Read the rest of this entry »