Sorry I haven't written in awhile but I just got back from some time in Cancun - some much-needed relaxation (of sorts). I was pleased to see, when I returned, that Yellow Pages Income Fund had not only released their latest financial results and confirmed their monthly payout, but they also announced that they would be converting to a Corporation at the end of 2010. They are reducing their current 80 cent per year distribution to a 65 cent dividend - still about a 12% yield at the time it was announced! With the tax treatment of dividends versus trust distributions, it looks like the investor return is actually HIGHER once they convert. Investor response to the news was great, with YLO.un moving up about 4% on Thursday and another 5% or so on Friday. The units jumped from 5.15 to 5.67 in two days. Since I am in YLO.un mostly for the high yield, getting unit appreciation is a bonus. I could honestly see the units moving back to the $7 range in pretty short order, as long as the unit holders hold tight.
I am just over 61% invested in equities at the moment - I had been expecting a correction (which happened in January), and the moving average graphs have been telling me to buy lately. Most of the ETF's (upside) are still in 'don't own' territory, but I am looking to them pretty soon. I will be looking to purchase HFU on Tuesday (financial ETF), as it just passed the 'buy' signal on Friday.
Currently, I own many securities including YLO.un (Yellow Pages), ENF.un (Enbridge), PMZ.un (Primaris), PN (Photochannel), PWF (Power Financial), TCM (Thompson Creek), QBR.B (Quebecor), RCI.B (Rogers Communications), WJA (Westjet), RIM (Research in Motion), AGU (Agrium), COS.un (Canadian Oil Sands Trust), OCX (Onex), TCW (Trican Well Services), LIF.un (Iron Ore Income Fund), and S (Sherritt).
I am more heavily invested right now than I planned to be but that is what the graphs told me to do. The markets have had a good couple of weeks so it seems to be the correct call for now. If there are a couple more strong days early next week, even more stocks will move into 'buy' territory.
Next week, I am looking to purchase HFU (Financials ETF), MSI.un (Morneau Sobeco), and T (Telus - even though they just announced disappointing results, the graphs still say buy right now).
I am up 2.02% YTD, which doesn't seem all that good, until you consider that the markets were down considerably in January. As the markets continue to recover, I hope to ride that momentum upwards.
Subscribe to:
Post Comments (Atom)
great insight an info..
ReplyDeletei just started trading in 09 nov..
i would like your opinion on my stocks..
eme,bev,tbe these are on the tsx..
an avr on the venture this gold stock is killing me...
thks paul.
Hi Paul,
ReplyDeleteThe stocks you mention all seem smaller than the ones that I track - I only track large-cap stocks that are leaders in their fields and that have high trading volumes so I can get in and out easily (and I also need good volume so I don't get abused by the market with my use of stop buys and sells).
That said, the moving average method DOES work with just about any stock, so:
- EME is very new, and doesn't have enough data for a 40-day moving average line, so my method can't be used on it yet
- BEV is in HOLD territory, as it was a buy when the lines crossed upwards through the MA line at about 1.85 and the stock is now at 2.51
- TBE is a DON'T HOLD right now, as it passed downwards through the MA line at 1.30 and the stock price is now at 1.23
I hope this helps you.
MJ