280. We're Back

Sorry for abandoning you during the long summer doldrum months, but I was putting my money to use rather than watching it sit and just get crispy and brown lying in the sun. If you remember, I suggested to get out of the market around 11,200-11,300 and forget about trying to beat the big boys in their game of manipulating the market to tweak out gains (from we low-life individuals) and to boost their egos beating other big boys. You just can't ignore the manipulators -- hedge funds, trust funds, brokers, etc. -- who rely on their computer trading tools to automatically kick off trades, hoping to best other players. Also remember the downside effects President O's team has cast upon us. I wish my predictions would have been wrong, but the O-factor proved them all right. Thanks O for the booming economy, especially for the $787B (actually above $800B now) stimulus that was supposed to CREATE jobs! At 9.6 % unemployment, actually more in the Private Sector, we continue to slither on the basement floor's slime. Maybe this November will bring a spark of light when the Dems get to pack their ear-mark bags and get out of town. America needs a radical change (not a radical O-change though) -- reducing government spending is way over due. Let's first repeal a few money-sucking laws railroaded through by the Dems. But, let's not stop there. If the Republicans drag their butt reducing government spending and continue to allow ridiculous ear marks we're still doomed.

So, what have we been doing? We= Samantha and her human master who gets to type in these silly entries. The summer was consumed with the garden, of course, The heat out here in Texas -- mid to upper 90's all summer long -- didn't lend itself to growing tomatoes too well. I'll never learn this farmer stuff -- much too complicated (soil conditions, weather, insects, fertilizers, etc.). Did get some gret tasting sweet corn once the protein was removed from the ear ends. Squash struggled a lot, beans caught the same virus/blight as the tomatoes. However, the cold-weather crops did well -- turnips, beets, carrots, spinach, lettuce, onions, tyfon, Chinese cabbage. My second corn crop is about 2 feet tall and I'm trying to get a second bean crop going since the first was pathetic.

Anything else? Yep. Had a Four Season's sun room attachment put on to my covered porch and now have a 200 sq foot, tiled, temperature-controlled sun room. Well, let's say, the wife has a reading room. Got some great deals off the Internet (Patioshoppers.com) on wicker furniture, plus created a brick patio around the new sun room. That's where most of my money was spent productively. But, we then made a mistake (not really) by visiting the local art gallery and saw some beautiful paintings by Bonnie Marris. After searching the Internet, we ordered her "Idle Hours" and "Too Much Information" giclee canvas' and had them framed locally. they now hang in the family room forever to enjoy.

But now what? Is the market ripe? Actually, I've been buying when the market dipped to its valleys -- I use Williams %R to monitor the indexes. Yesterday signaled an oversold condition again (going up anybody?). The only question becomes when will it drop again after it goes up? Well, there is another question: Will it go up now. It did today, but the 50-day average is still below the 200-day average. When the 50-day crosses the 200-day, i.e., becomes greater than the 200-day, we're in for some up-time. If the Williams %R (14 days) when the market again dips is higher (actually lower, when graph line is above last point) I say that signals a long-trend up. Bumpy of course, but I suspect it will sneak up like it did down (see 1-year chart of DJIA and the successive declines of Willians %R curve peaks). I will now expect the William %R peaks to become successively better each time until it reaches the over-bought range (below 20%) and remain in that range for a couple of months. So, hang in there and watch the curves. Buy when there is a signal for over-sold, sell when signal for over-bought. When the curve goes into range, sit tight and let it rock.

All for now. I have several book reviews for you next time.