This Week in Barrons - 12-2-2012

This Week in Barrons – 12-2-2012

The New Normal:  “Why work hard for $60,000, when you can earn $14,000 and sit around collecting another $50,000!”

I realize that welfare benefits, Medicare, and cutting the spending side of the fiscal cliff – are all painful topics to discuss.  Thanks to James T. - if you somehow believed that it was the top 1% that is stealing from the middle class, please realize that it is also those individuals at the bottom of the economic ladder that rip off the middle class – courtesy of the world's most generous entitlement system.  It’s horrific when you can do as well working one week a month at minimum wage as you can working a $60,000/year, fulltime, high stress job.  This chart tells the story, and is fairly self-explanatory:

Money Earned in a Year        $3,625         $14,500         $30,000        $60,000

  +Payroll and Fed Inc. Tax   (    278)        (   1,225)        (   4,574)       ( 13,034)

  +Childcare Cost                    ( 2,400)        (   9,600)        (   9,600)       (   9,600)

  +Mississippi Inc. Tax            (    109)        (      725)        (   1,500)       (   3,000)

  +Earned Inc. Tax Credit         1,450              5,020             2,163                     0

  +Food Stamps                         6,312              6,312                     0                     0

  +National School Lunche      1,800              1,800                     0                     0

  +Temp. Assistance(TANF)    2,040                      0                     0                     0

  +Medicaid and CHIP            16,500            16,500           10,890                     0

  +Section 8 Rent Subsidy       1,450              4,350                      0                     0

  +Utility Bill Assist (LIHEAP)  1,240                  845                      0                     0

Total Disposable Inc.         $31,630          $37,777         $26,379         $34,366

This chart shows that a one-parent family of three making $14,500 a year (minimum wage) has more disposable income than a family making $60,000 a year.  Then I realized that a family provider working only one week a month at minimum wage, makes 92% of that same $60,000 a year – ugh!

Did you ever wonder why Obama was so focused on health reform?  It is so that those who have no interest or ability in working can make as much as representatives of America's endangered, middle class.

-       First, working one week a month, saves a lot on childcare.

-       Second, by only working one week a month you have minimal deductibles and copays – so you virtually get total medical coverage for next to nothing.

-       Third, the low-income parent will have more energy to attend to the various stresses of managing a household.

-       Fourth, say that one-week-a-month worker maintains an unreported cash-only job on the side – then the deal gets even better than the $60k a year job.  And some economists estimate that there is $1 Trillion in unreported, earned income each year in the United States.

Now where it gets plainly out of control is if one throws in Supplemental Security Income (SSI).  SSI pays $8,088/period for each "disabled" family member.  A person can be deemed "disabled" if they are totally lacking in the cultural and educational skills needed to be employable in the workforce.  If you add $24,262 a year (for three disability checks), now the lowest paid welfare family would again have far more take-home pay than the $60,000 a year family.

The topic of wealth redistribution in America is truly a touchy subject.  But this chart matches the disposable income chart recently released by the Congressional Budget Office – who just released a key paper titled: "Share of Returns Filed by Low- and Moderate-Income Workers, by Marginal Tax Rate, Under 2012 Law".

Perhaps the most disturbing set of figures resides below, and tries to summarize our unsustainable welfare burden:

-       For every 1.65 people employed in the private sector, 1 person receives welfare assistance, and

-       For every 1.25 people employed in the private sector, 1 person receives welfare assistance or works for the government.

Currently there are 110 million privately employed workers, and there are 88 million welfare recipients and government workers – rising rapidly. 

As much as everyone keeps throwing stones at the top of our social order, the facts show us that individuals at the bottom of the entitlement food chain also make out like a bandits.  On our path to socialistic welfare – we’ve long surpassed capitalistic/communist China – because in capitalist/communist China you actually need to work to eat. 

The Market:

 -       Monday was a surprisingly mild day for profit-taking day.  After a blistering run during the holiday week, a bit of "let’s take some off the table" was certainly appropriate.

-       Tuesday dawned with flat futures and I thought we could either plunge back down, or "hold the line" and work off the excess.  There was a lot of overhead resistance to slog through in order to move higher.  The only reason most of the traders weren't selling was because they knew if a "deal" is announced concerning our “fiscal cliff” a lot of folks that sold dividend stocks would rush back in, and they didn't want to miss that.  But Senator Reid came out and said that he wasn’t seeing much progress toward the fiscal cliff, and that sent stocks down for the day. 

-       Wednesday was the forever reversal day.  If you spend enough time looking at the market, you begin to notice that often Wednesdays reverse what ever happened on Monday and Tuesday.  In fact it’s so common, it’s termed "reversal Wednesdays".  In any event, Wednesday dipped in the morning as we heard some rumblings about the "cliff", and soon we were testing support at the 12,800 level (an area I said would be important).  Then Boehner made some comments about how he's optimistic about the cliff and up we went.  So, from a morning dip of 100 points we ended the day positive by 107.

-       The remainder of the week was spent treading water ending with the 13,025 line for the DOW, and the 1,416 line on the S&P. 

The market has spent 2 days above the DOW 200-day moving average of 12,994, and that’s a good thing.  That should mean they’re willing to push this market up and challenge the next resistance at 13,100 and then 13,200 on the DOW – 1,426 on the S&P.  I’m leaning long on the side that has traders not being left on the sidelines when a ‘fiscal cliff’ deal is announced.  If that happens we should be challenging the October highs and the all-time highs by late January.  Unfortunately the markets are dominated by ‘fiscal cliff’ news right now, so it’s great for day trading, but will cause some ‘angst’ for longer term investors for sure.

Tips:

My current short-term holds are:

-       AAPL – in at 525.35 (currently 586.30) – stop at 572.00

-       DBA – in at 28.30 (currently 29.45) – stop at entry

-       SIL – in at 24.51 (currently 22.89) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 166.05) – no stop ($1,710.90 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 32.44) – no stop ($33.20 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>

This Week in Barrons - 11-25-12

This Week in Barrons – 11-25-2012

“Control your own destiny or someone else will.” … Jack Welch

I remember hearing Clint Eastwood say: “I have a very strict gun control policy: if there’s a gun around, I want to be in control of it.”  Well, this week, it seems that drug lords along with Raymond Yans (the president of the UN's International Narcotics Control Board (INCB)) are lining up to challenge marijuana legalization in Colorado and Washington.

Apparently, the voters in Colorado and Washington were unaware that they would have to fight off not only the UN, but also global drug czars in their effort to exercise their local sovereignty.

Mr. Yans (in a letter this week) reminded the United States that we agreed to the 1961 Single Convention on Narcotic Drugs, signed by 185 States, that placed marijuana under control, and limited its use for medicinal purposes.

The INCB President requested the Government of the United States take the necessary measures to ensure full compliance with the international drug control treaties within the entire territory of the United States, in order to protect the health and well-being of its citizens.
 It is clear that the INCB (and the drug lords) have not been listening to nearly every independent study presented to the U.N. (including the most recent report in 2011 by the Global Commission on Drugs) concluding that the global war on drugs has failed, and that governments should end the criminalization of drug use.

It’s one thing to be threatened by drug lords, it’s quite another to be threatened by the UN.  I find it amazing that the UN can step in and try and tell our "sovereign" states what they can and cannot do.

On another matter, I remember listening to Tony Robbins say: “We need to control our consistent actions – because it’s not what we do once in a while that shapes our lives, but rather what we do consistently.”  A while back we talked about our 401K’s and IRA’s – and how the US would look at the trillions sitting in these accounts and begin to drool over them.  Just this week a vision of a new "National Retirement System" was leaked.  Under this system Americans will turn over their private retirement savings to the federal government in return for a government-controlled annuity.

Basically it’s ObamaCare for your retirement accounts.

Under the guise of 401K’s and IRA’s being unfair to the poor and disadvantaged, a government-sponsored program administered by the PBGC (the government’s Pension Benefit Guarantee Corporation) is in the early stages of taking over the administration of private retirement savings accounts.  Fair warning – going forward – know where your money is.

Change happens when you decide to take control over what you do, instead of craving control over what you don't.

The Market:

500 points in a week was a pretty strong bounce.  Last week we suggested that it might be time to play with the DIA’s and SPY’s (the Exchange Traded Funds (ETF’s) for the DOW and the S&P) and that a bounce was near – but we never thought 500 points was in the cards.  We suggested that some of the old leader stocks would bounce well, and Apple (AAPL) did just that. 

Calling that bounce was fairly easy.  We were down about 1,000 points in a month, were oversold from every technical indicator, and were just inches away from a traditional "10% correction".  As I said, that was the easy part – the hard part is trying to figure if this bounce has run it's course and we're going to fade back, or if we have just seen the start of a powerful year end rally that sweeps us into the "January effect" and we challenge the Sept/Oct highs at 13,600.  I can make a case for either scenario.

This coming week should hold the key.  This week (along with being perfectly set up for a bounce) was also the Thanksgiving Holiday week, and everyone is usually optimistic around this time.  With lower holiday trading volumes, they often just jam things higher because there's no opposing down volume.  But come mid next week (when volumes return to normal) we will see just how much profit taking and short selling is in store, and by week’s end we should be able to figure if we're going to continue ‘up, up and away’ or not. 


After a blistering run like we just had, the only question at the beginning of this week is: how much of a pullback will we see?

-       On the downside, if the DOW fails the 12,800 level, and/or the S&P fails 1,380 – we could go right back to the November lows.

-       On the upside, watch for them to try and take out 13,200 on the DOW and/or 1,426 on the S&P and then continue to us push us higher. 



I'm leaning toward the idea that we're going to see some mild profit taking and then they'll come right back in and buy, in anticipation of a "fiscal cliff deal".  That should take us up to challenge the October highs.  I could even see them punch through that resistance level and hit almost the all time highs by late January.  Again, it's too early to tell but that's where I'm leaning right now.

Tips:

As David S has written us – for reduced volatility with excellent return – take a look at an ETF that mimics Pimco’s Total Return Bond Fund – BOND.

On Monday – via Twitter – I’ll be posting about 15 stocks with buy in prices – that look good both technically and fundamentally. 

In terms of my broken record picks – they’re still Gold and Silver.  John Paulson continued pounding the gold drum this week, and George Soros increased his gold holdings by 49% in the third quarter of 2012.  16 analysts believe that Gold will rise every quarter next year and average $1,925 an ounce in the final three months – an increase of 12%. 

My current short-term holds are:

-       AAPL – in at 525.35 (currently 571.98) – stop at 562.00

-       DBA – in at 28.30 (currently 28.73) – stop at entry

-       SIL – in at 24.51 (currently 23.37) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 169.74) – no stop ($1,727.90 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 32.98) – no stop ($33.34 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>

This Week in Barrons - 11-18-2012

This Week in Barrons – 11-18-2012

“We shall draw from the heart of suffering, the means of inspiration and survival.” … Sir Winston Churchill

Survivors of Hurricane Sandy have sent us the following tips:

-       Water … two 55-gallon barrels would let a family of four "flush" for a long time, and having 20 gallons of bottled water is necessary for drinking, sponge baths, etc.

-       Heat … either preparing food or staying warm – a wood stove and your outdoor grill (with some propane) become your best friends. 

-       Power … a generator with a supply of ‘recreational’ fuel.  This is gasoline that does NOT have ethanol in it and will last up to 2 years.  An 8,000-watt generator will consume half a gallon of gasoline per hour – so plan accordingly.

-       So for under $3,000 you can make your coastal home quite livable for weeks during something like Hurricane Sandy. 


A more global survival list goes something like this:

-       Because the Dow and the S&P 500 are both down more than 5 percent since the election and the U.S. government rolled up $22 Billion more debt in October 2012 than it did in October 2011 – think gold, silver, and agriculture as alternative investments.

-       Initial claims for unemployment benefits soared to 439,000 for the week ending November 10th.  This is the highest level that we have seen in more than a year.  The largest number of new unemployment claims came from the swing states of Ohio and Pennsylvania.

-       According to the Federal Reserve of New York, economic activity is contracting.  Their index measured a ‘minus’ 5.2 this month after recording a ‘minus’ 6.2 in October. (Readings of less than zero signal contraction.)

-       The mid-Atlantic region is also slowing much faster than analysts were projecting.  It’s index measured ‘minus’ 10.7 down from ‘plus’ 5.7 the previous month.  Some of the fall can be attributable to Hurricane Sandy – but unfortunately not nearly enough.

-       The number of Americans living in poverty rose to a new all-time record of 49.7 million last year.

-       The number of Americans on food stamps increased by 420,947 from July to August.  At this point, an all-time record 47.1 million Americans are enrolled in the food stamp program.

-       The Eurozone is officially in a recession once again, and unemployment in the Eurozone is at an all-time record high.

-       China is buying gold and building uninhabited ghost cities.

-       Stealth inflation is running rampant – hamburger is over $5/lb, and it costs $3.99 for a 10-piece loaf of sourdough bread.

-       We learned this week (thanks to the powerful corn lobby) that our (non-elected) EPA is going to continue the ethanol subsidies – taking corn from being a valuable food resource.

-       Companies like Denny's, Papa Johns and many others are reducing worker hours and laying off personnel in order to avoid the Obamacare mandatory price tag.

And finally:  The Middle East is a tinder box, and if there's one thing we really don't need right now it's a full blown outbreak of war across the Middle East, which brings into play Iran and the Straits of Hormuz.  An oil price jump linked to additional US involvement would virtually assure a disastrous economic condition. 

Obama could help us all survive by:

-       Opening all the Federal lands to natural gas and oil drilling.

-       Opening the permits to build LNG plants on our coasts so we could export LNG (liquid natural gas) all over the world.

-       Donating Federal Property on closed military bases and have several state of the art oil refineries built, supplying us with $2 gas and exporting the rest.

-       Shutting down the EPA, and undo the ethanol madness so that corn is once again be a food source instead of fuel – thereby lowering our food costs.

Let’s all try and survive the storms that are coming: inflation, hyperinflation, high unemployment, and even more class warfare.

The Market...



There are a lot of reasons that the market has plunged for about 1000 points in the past month and I’ll explore a few of them here.

-       1^st the “Fiscal Cliff”.  There's no doubt that some folks have decided they'd cash out this year and take the lower tax hit than hold into next year in case the tax rates are higher.

-       2^nd Obamacare.  We have companies saying that Obamacare is going to cut into profits and jobs.

-       3^rd Revenues and Earnings.  Revenues have been falling for years, and companies have succeeded in keeping profits elevated by slashing jobs, cutting costs, expensing things that should be illegal.  But you can only cut so far, and now profits are beginning to suffer.    

Which begs the question: “These elements have existed for a while now - why would anyone stop buying stocks?”  Honestly, I think J.Q. Public is running out of money.  One thing to remember is that the 401K's and pension plans buy the bulk of stocks for their mutual funds.  As the economy continues to slide, more and more folks will need that 401K money to pay bills.  Small businesses will liquidate their 401K’s and IRA’s when they will close due to inflation and Obamacare.  This year is on track for more than a $90B withdrawn, on top of the $100B that was withdrawn last year.  Eventually those exiting the market will offset The Ben Bernanke billions pouring in – and a major league bear market will begin.  Many readers have told me that raiding their 401K was the only way that they could send their kids to college.  Toss in the global slowdown, the money troubles of Europe, and try as they might to keep the market "up" – I just don't think they can pull it off in the long run.

After we get whatever "bounce" we're going to get from an agreement on the ‘fiscal cliff’ (and the fact that we're entering the single strongest period for the market (Dec- Jan) ) – I sense the market heading lower for a long time (ending below 7K) starting in the spring of 2013.

For now keep your powder dry and sit on your hands.  Wait for the turn, jump in and ride it up, and then go short next year.  There's going to be some huge money to be made on the short side of things in the future.

Tips:

In terms of investing your way OUT of this market.  I hate to be a broken record by Gold and Silver have remained fairly stable vs the 1,000 point drop in the DOW (quite honestly) – so consider them safe-havens for your dollars.  

Also, Dave S and Francis D reminded us that “DBA” the agricultural exchange traded fund (ETF) is about to produce its first “higher low” in a long time.  It should use its moving average as support.  Additionally, we see that the weekly Relative Strength Index (RSI) is about to become oversold, and this means that higher prices are likely to come in the months ahead.  In addition to that, the moving average convergence divergence (MACD) index diverged from the falling price action earlier in the year, and this showed that DBA’s descent was likely coming to an end.  That happened and now DBA has surged so much that the MACD’s lines are now above its zero line.  This tells us that the likelihood of an uptrend forming and continuing is high.  And with what we expect in terms of higher food prices in 2013 and beyond, we know that we’ll see DBA head much higher in the months ahead.  So you may want to hedge some of your higher grocery bills and dining out costs by buying DBA – the agricultural ETF. 

I continued to hide out in ‘cash’ over the past week – exiting SLW even.  After our ‘Santa Claus Rally’ – please remember the list below – as they will come in handy in order to manage a bear market (ETF’s offered by ProShares):

-       Short the DOW 30 – ticker symbol = DOG

-       Ultra Short the DOW 30 = SDOW

-       Short the ‘Financials’ – ticker symbol = SEF

-       Ultra Short the Financials = FINZ

-       Short the Nasdaq = PSQ

-       Ultra Short the Nasdaq = SQQQ

-       And if you LOVE SILVER = Ultra Silver = AGQ

My current short-term holds are:

-       SIL – in at 24.51 (currently 22.34) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 165.80) – no stop ($1,714.30 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 31.35) – no stop ($32.36 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>