The U.S. economy and stock markets are in a tug of war between the bearish effects of weakening housing and real estate, which adversely affect financials, and the bullish influences of big-cap stocks with an international flair and the mojo tech stocks.Titanium Metals ( TIE) produces titanium-based products for several industries including aerospace, military and industrial worldwide. The stock is in the middle of its own economic tug of war with its mix of business in the U.S. and Europe, which are showing some signs of economic slowdowns. The stock should hold around the $31.00 level. It closed at $31.72 Thursday, for a rebound to its 200-day simple moving average at $33.35. Titanium Metals is soaking up sales with its titanium sponge. The company's aerospace customers, which include Boeing ( BA), Rolls Royce and United Technologies ( UTX), use titanium for applications such as jet engine components and wing supports. The industry accounts for well more than half of TIMET's business. I will place a limit order to buy 10 March 20 deep in-the-money calls (TIECD) for $11.80 or better. Now, as we do every Friday, let's take a look at some of your emails. I am amazed at the knowledge you have as it relates to the market, finance and business in general. I wanted to see if you have any advice as to how one goes about becoming as familiar with this stuff as you are. What's the best way to gain a foundational understanding for the market and move forward from there? Are there publications you would recommend? To learn about the market, it is essential to immerse yourself in the task. Besides TheStreet.com and Stockpickr, I read top publications: Forbes, Agora Financial, Porter Stansberry and all of his company newsletters. Valuengine and Morningstar.com will provide more learning tools, information and advice as well.
I love your articles and have made money following your advice. The question I have is this. If a DITM
It's great that you do this daily entry for DITM calls. Nearly every day when I read your articles, the bottom line states "At the time of publication, Dykstra had no positions in stocks mentioned." Don't you think it's a bit ludicrous that you recommend thousands of dollars worth of purchases of volatile stock options for people while the outcome has no direct bearing on yourself or your job? My personal brokerage firm requires that when I publish my recommendations I may not already own it. I must wait 24 hours after publication before I can follow my own trade. You can be sure that each company recommended for a DITM calls trade is thoroughly researched and considered. However, no columnist is perfect, and all investors need to recheck my work and be confident of the selections they make on the basis of their own work too.