The Two Best Trades for 2010
Famed investor
Porter Stansberry thinks natural gas
and interest rates are about to jump. If he's right, United
States Natural Gas (NYSEArca: UNG) and Eaton
Vance Senior Floating Rate Trust (NYSE: EFR)
are two promising trades.
Short
This Currency in 2010
The U.S. dollar took a tumble in 2009, but
it's the euro's turn this year. For an easy
way to profit from any euro erosion,
consider
Market Vectors Double
Short Euro ETN (NYSEArca: DRR). This
ultra-short security is engineered
to move twice the daily direction of
the euro. Just don't hang on to
these leveraged notes for long.
They're designed for traders, not
investors -- so get in and get out,
then rinse and repeat.
Profit from Soaring Construction
Prices
Our friends at
Daily Wealth think
construction materials are about
to soar. Timber could lead the way -- and
forest product companies like
Weyerhaeuser (NYSE: WY) and Rayonier
(NYSE: RYN) offer investors a good
way to profit from rising
prices. |
+9,569% Gains in 52 Weeks
We know it sounds crazy, but this tiny stock
just turned every $500 investment into
$47,845 in 2009. That's because this firm is
just one of only five companies with
licenses to capitalize on a
legally-addictive product in one of the most
profitable and fastest growing markets on
the planet: coffee. The company is called
Diedrich Coffee Inc. (NasdaqCM:
DDRX) -- and the price
of its shares
skyrocketed nearly
+10,000% last year!
$100 Oil in 2010
One prominent oil
speculator sees crude
hitting $90 this quarter
and $100 by the end of
the year. The simplest
way to double down is to
trade Ultra DJ-AIG Crude
Oil ProShares (NYSEArca:
UCO).
Just don't hang on to
these leveraged shares
for long. They're
designed for traders,
not investors -- so get
in and get out, then rinse and repeat.
Time to Trade Platinum?
This rare metal is on the move -- advancing +23% in the last 4 months
alone. But it's a volatile, thin market: platinum suffered a -65%
drop from peak to trough in 2008.
With that in mind, here are three ways to profit as prices move
higher -- and one way to profit if they tank. |
|
More on our Weekly Trade Alert
VisionChina Media (NasdaqGM: VISN)
By:
Paul Goodwin
Analyst and Editor of Cabot China
& Emerging Markets Report
Published January 14, 2010
With what I think is a fine sense of
irony, my investment idea today is
VisionChina Media (VISN), a
Chinese company that has over 82,000
video screens in buses and subway
trains in 18 Chinese cities. What
really sets its product apart from
other out-of-home Chinese
advertisers like Focus Media is that
the broadcasts are digital,
real-time programming that can be
customized to show either local or
national weather, sports and
breaking stories.
Because content is local and fresh,
viewership is increased, which
allows VisionChina to charge for
advertising time just like a
broadcast TV station. The company
forges alliances with local
broadcast stations to supply
content.
Financial results have been
outstanding, especially for a
company founded just in 2005. 2007
sales were up 659% over 2006, and
2008's gain hit 254%. Earnings
turned positive in Q2 2007 and
year-over-year growth has fallen in
the last couple of quarters only
because Q2 and Q3 2008 gains were
insanely huge. After revenue of $104
million in 2008, analysts expect
2009 sales to hit $122 million with
earnings of 37 cents a share.
VISN has been trading sideways since
the beginning of December, which has
created a nice base for further
advances. The stock is a little too
low-priced for inclusion in the
Cabot China & Emerging Markets
Report, but buying on any breakout
above 12 should prove profitable, as
that will bring the stock into range
of the institutional investors who
actually move the market.
Editor's Note: Paul Goodwin has the
Cabot China & Emerging Markets
Report heavily invested in China
right now, but the whole emerging
markets universe is his oyster. Paul
recommends profitable stocks from
around the developing world in his
search for good investment
opportunities. So if you'd like to
have that kind of advice and
perspective—and profits—just click
here and we'll get you started with
a no-risk trial subscription.
VisionChina Media Inc.
1st Floor Block No 7 Champs Elysees
Nongyuan Road, Futian District
Shenzhen, 518040 China
86 755 8293 2222
http://www.visionchina.cn
Details:
Index Membership: N/A
Sector: Services
Industry: Advertising Agencies
Full Time Employees: 535
Paul Goodwin
Emerging Markets Specialist, Analyst
and Editor of
Cabot China & Emerging Markets
Report
A researcher and writer for over 30
years, Paul Goodwin has been a
member of the Cabot investment team
and editor of Cabot China & Emerging
Markets Report since 2005. Under
Paul’s stewardship, Hulbert
Financial Digest rated Cabot
China & Emerging Markets Report
the number-one-rated newsletter of
2006 with a 78.6% gain for the year,
the number-one-rated newsletter of
2007 with a 74.1% return, and the
top-performing investment adivsory
for five years with a 23.0%
annualized return as of 12/31/09.
Cabot China & Emerging Markets
Report was also named 2007
Investment Letter of the Year by
Peter Brimelow of MarketWatch.
Note: The article was originally featured in the
Cabot Wealth Advisory |
