Early in 2009, I set up a new options portfolio called Boomer's Revenge. I posted this statement on our sister publication website - BoomersInvesting.com - "My goal is to recover the 40% or 50% you lost over the last year, and to do it in less than 3 years. It will require that you consider an unconventional investment idea that I feel confident you have never been told about before. Nor will you have read about it in the financial press, or Money magazine, or in the AARP magazine."
The year is almost over, and the portfolio has outperformed these goals by a wide margin. On an annualized basis, the Boomer's Revenge portfolio has gained over 70% in 2009 (after paying all commissions, of course). I would like to share every trade we made to achieve this remarkable result as part of explaining the option strategy that made it possible.
So what's the investment? I'm suggesting that you spend a small amount to get a copy of my 70-page (electronic) White Paper, and devote some serious early-2010 hours studying the material.
And now for the Special Offer - If you make this investment in yourself by January 5, 2010, this is what happens:
For a one-time fee of only $39.95, you receive the White Paper (which normally costs $79.95 by itself), which explains my two favorite option strategies in detail (we call them the 10K Strategy and the Mighty Mesa Strategy), 20 "Lazy Way" companies with a minimum 100% gain in 2 years, mathematically guaranteed, if the stock stays flat or goes up, plus the following services :
With this one-time offer, you will receive all of these benefits for only $39.95, half the cost of the White Paper alone. I have never made an offer anything like this in the eight years I have published Terry's Tips. But you must order by midnight on January 5, 2010. Click here - http://www.terrystips.com/order.php, choose "White Paper and the Options Tutorial Program", and enter Special Code 8YEAR.
Investing in yourself is the most responsible New Year's Resolution you could make for 2010. I feel confident that this offer could be the best investment you ever make in yourself.
Happy New Year! I hope 2010 is your most prosperous ever. I look forward to helping you get 2010 started right by sharing this valuable investment information with you.
Terry
P.S. If you have any questions about this offer or Terry's Tips, please call Seth at 800-803-4595. Or make this investment in yourself at the lowest price ever offered in our 8 years of publication - only $39.95 for our entire package - http://www.terrystips.com/order.php using Special Code 8YEAR.
There were limited economic reports during the holiday shortened week, but that did not prevent the market from advancing to fresh 52-week highs. Volume was low, which is to be expected during this time of year, so the gains might be somewhat inflated, but one thing is certain, the Santa Claus rally filled the stockings of the bulls this year.
The market averaged around 800 million shares on the NYSE during the holiday shortened week, well below the 52-week average of 1.4 billion.
The S&P 500 (SPY), Dow (DIA), Nasdaq 100 (QQQQ) and Russell (IWM) finished the week mixed 2.2%, 1.9%, 3.3% and 3.8%, respectively. For the year, the S&P 500 is up 24.7%, the Dow has advanced 19.9% and the Nasdaq is leading the way with a 44.9% gain.
Economic data was mixed this past week. Existing home sales advanced by a better-than-expected rate of 7.4% which helped to push the market higher throughout the week.
"Clearly, the tax credit and the feds meddling in the mortgage market has helped add an extra kicker to home sales in the short term, but that's not the only factor at work," said Michael D. Larson, a housing analyst at Weiss Research. "As housing prices fall, home ownership becomes competitive with renting, and buyers start to come out of the woodwork."
However, later in the week, November new home sales came in well below expectations with an 11.3% decline.
Robert Toll, CEO of luxury builder Toll Brothers Inc., said earlier this month demand has been "choppy" after several strong months in the spring and summer.
"You just have to bite the finger, be patient, and wait until you see what comes out in the latter part of January, all of February and in the early part of March," he said.
Also, later in the week, the third quarter GDP came in well below expectations at 2.2%. Economists' predicted 2.8%.
"The recent acceleration in world economic activity means that US export growth will pick up briskly and net exports will contribute to growth in the fourth quarter," he said.
"Moreover, we expect that the pace of inventory accumulation will gain momentum, adding significantly to growth during the last quarter of 2009 and in the first part of 2010."
As for the technical picture the market (S&P 500) has pushed into a short-term overbought state so I would expect to see a short-term reprieve as we enter next week. The Russell and NASDAQ have entered a 'very overbought' state which typically means the reprieve will come sooner than later.
Andy
Overbought/Oversold as of December 28, 2009
Major Benchmarks