Jay,
I wish I had as well developed a direction for the next 12 months as you do.
1) Right now I'm about 40% in small to mid-sized Canadian Natural Gas producers. These assets are available for as little as 50% of their USA counterparts. I don't want to offend any of our USA readers, but it seems to me that the average american investor isn't tall enough to see over the border. There is ONE market for natural gas in N.A. As the USA and Canadian valuations converge (probably this summer), I'm going to look for an exit. The Canadian oils and gas sector is for sale, shoppers include Calpine, Anadarko, Hunt Oil, and many more...
2) My 30% cash is waiting for the bottom. I've sold all of these stocks and am waiting for a "real bottom" (tell me if you see it) to buy some of them back: Naz: CEFT DFXI SBL SLNK FLSH, TorontoSE: WSC, HCG.B and a few others. I also sold a lot of other stocks that I won't buy back, like NT.
3) 30% is in a variety of obscure investments: junior low-cost gold producers, STKL (soy beans), and a bit of seed-capital in 3 different wireless startups. I also have 2 short positions in tech stocks (my first visit to the dark side of the market).
I can't imagine that the Naz could bounce to 3,600. I admit it's possibile, but would fill my shorts if it happened <g>. The bad news just keeps hammering the rallies. Tonight its Nortel. It like one of those carnival games where
you whack the gophers with a hammer every time they pop up.
It gives me a headache to think about it.
Cheers |
