TEN Exclusive: Portfolio Update – 9/1/10

Written by Patrick McCubbin
Exact Stock Picks

Good Afternoon,

Stocks jumped Wednesday after surprisingly strong growth in U.S. and Chinese manufacturing allayed some of the worries that had been building over the global economy in recent weeks.

The Dow Jones industrial average jumped 255 points on the first day of September. With investors pouring into stocks, Treasury prices fell and interest rates rose.

The new reports snapped a string of disappointing economic data that sent stocks slumping in August. The Standard & Poor’s 500 Index, the benchmark most widely used by professional investors, lost 4.7 percent in the month, its worst August performance since 2001.

Well, we have been posturing the portfolio to the long side the last week or so and we started getting some profits locked in the last couple of sessions. We also expect our current stocks to get rolling and give us the ability to take more money off the table. It’s all about winning trades!

We exited our position in QuinStreet Inc (QNST) today. This stock has had big moves both up and down and we’ve missed a couple of opportunities in the last week. We weren’t going to miss another one today. We were happy to take our 10% return.

We entered one new stock, TIBCO Software Inc (TIBX). This stock looks to have broken out of some resistance and should push nicely higher over the next number of sessions. The fact that many of these companies in this sector are looking to be acquired won’t hurt us either.

Isilon Systems Inc (ISNL) had a huge day, up over 6%. This stock has surged over 10% in the last two sessions. It now has blown through the $20 mark it should keep running. Very strong volume as well was good to see.

Companhia de Saneamento Basico (SBS) had a nice move up today of 5%. We would have guessed we would have exited this stock sooner with profits, but it has been in a very tight range. Hopefully today will get it going.

The rest of our stocks traded in a thin range.

We have really started to hit our stride the last few months. Our selection system is finding those stocks that are technically ready for a move, and positioning those plays within the range movements of the general markets has allowed us to profit on 73% of our trades. Our portfolio is also up a cumulative 64%, and given our average trade size that equates to roughly $3200 in profits since June 1. If you remove fear and greed from the situation, you will bring in profits.

Let’s look forward to another big day of trading tomorrow. Have a great evening!

Related Reading:

• Stock Market Trends: Super Bowl XLVI – A Giant Catastrophe for Stocks?
• Stock Market Trends: Is Wall Street Ready to Hit the Panic or Buy Button?
• Stock Market Trends: What to do When Stocks Go Down
• Assessing Downside For The S&P 500
• Interesting Observations About YTD S&P 500 Returns

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Investors should be cautious about any and all stock or option recommendations and should consider the source of any advice on stock or option selection. Various factors, including personal or corporate ownership, may influence or factor into an expert's stock analysis or opinion. All investors are advised to conduct their own independent research into individual stocks before making a purchase decision. In addition, investors are advised that past stock or option performance is no guarantee of future price appreciation or depreciation. Those involved with the preparation and distribution of this report may have had in the past, currently hold, or may purchase in the future stock and/or options in companies discussed in this report.