This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Holiday Portfolio: In Search of a Heat Wave

Memorial Day brings the unofficial start of summer, and with it, another look at the 2006 edition of the holiday portfolio. Spring has not been kind to most of the portfolio, but there are reasons to believe summer may provide some respite.

The concept of the holiday portfolio is simple. I select a group of five stocks that deserve watching over the next 12 months, and I follow them -- regardless of their performance -- throughout the year. Then I revisit the portfolio on each market holiday. The only way a stock is removed from the portfolio is if it merges with another company or ceases to trade on a major exchange.

The portfolio serves two purposes. First, it follows the fundamental progress of a group of stocks over a longer period of time. My hope is that the portfolio will serve as a forum for in-depth discussion of investment decisions and company strategy, and reinforce the importance of ongoing portfolio analysis. Second, it provides an opportunity to look at both short-term trading strategies and longer-term investment strategies with the same stocks.

So, as you sit back and enjoy a day off in the middle of what has been a warmer-than-normal winter and a pretty volatile market, let's take a quick look at the stocks that make up the holiday portfolio and their almost midyear performance.

Spring Fade

Until three weeks ago, the holiday portfolio was moving right ahead with the broader market. Then inflation worries, growth concerns and market jitters began to impact all stocks, especially those in the holiday portfolio.

When you get market action like you have seen in the last three weeks and a group of diversified stocks begins to underperform the market, it's important to think about a couple of issues:
1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
CHK $10.55 -5.55%
GE $26.66 0.34%
MO $49.10 0.39%
MSFT $44.44 0.67%
PFE $33.69 0.48%

Markets

DOW 17,757.91 +138.40 0.79%
S&P 500 2,077.42 +14.31 0.69%
NASDAQ 5,013.1230 +26.2560 0.53%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs