
Be Money......
This Tuesday (12-11-2007) the Fed is going to lower rates either .25 basis points or .50 basis points.
This is important, as I have said before, it could trigger stocks to move North for the next couple day or month depending on the Fed speak that surrounds the rate cut.
The movement can be a great opportunity to enter into a trade at a decent price prior to its next move. With the (VIX) volatility index down today, it will be a very good indicator to take a look at prior to the Fed cut.
If you are in the US Equity market currently, you might want to ammend your portfolio to stocks or options that earn 50% of their revenues from outside the US. Becuase if the Fed does not cut .50 basis points, the market could head South very quickly.
We think a small rally might continue through December and part of January, but the Fed cut or lack of Fed cut could put a ripple in the rally.
Companies we like right now are DRYS, DSX, and ACI.
Good Fortune!