Declan Fallon

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  • Profiting from Farming

    By Declan Fallon - August 15, 2013 | Tickers: ARG, MON, POT, DOW

    Weak economies often leads to a boost in rural industries as former workers look for more affordable living and better quality of life outside of the suburbs. The sharp rise in the number of farmers markets around the country reflects an increased demand for locally sourced produce, and a source of revenue and opportunity for smaller farms, often excluded from the traditional supply chain of larger supermarkets served by industrial more »

  • Next Leaders in Technology and Health Care

    By Declan Fallon - August 12, 2013 | Tickers: AKAM, CYBX, MRK

    Health Care and Technology stocks have offered the best reaction to earnings in the current quarter. The performance of stocks from the two sectors offer an interesting divergence between defensive health care and cyclical technology. This diversity offers good news for investors looking for the rally to continue. A time for worry is when buyers concentrate on defensive stocks at the expense of more speculative issues. However, the overall market more »

  • Running High, Stocks To Beat the S&P

    By Declan Fallon - August 8, 2013 | Tickers: MDSO, PAAS, PPC, POT, QIHU

    Once again, the S&P is running 10% above its average price for the year. This last happened in May and was soon followed by a 100+ point loss in the S&P. As outlined in my Investing Strategy, I consider this a time to consolidate and take profit: cut losers and restock the cash coffers either by selling positions and/or writing covered calls on profitable holdings.

    Of the more »

  • Buying Bernanke's Breakouts

    By Declan Fallon - July 23, 2013 | Tickers: APL, BEAM, ELRC

    It didn't take long for market losses generated by the Ben Bernanke breakdown to be surpassed in the days following the long July weekend. However, the number of NYSE stocks making new 52-week highs is running well below the prior rally, going from 800 new 52-week highs a day in May to sub-600 in July -- not exactly a swinging endorsement on the part of buyers. No new highs means more »

  • Time to Buy? Financials are Doing the Talking

    By Declan Fallon - July 9, 2013 | Tickers: AXP, AMP, XLF

    The markets are picking up steam, recovering from the 7.5% peak-to-trough fall. Cyclical sectors have taken the lead from the June 24th low. While Materials and Utilities are offering opportunity for value buyers with their under-performance against the broader market, it has been Financials and Consumer Discretionary which have been leading from the front.

    Last week's improved employment figures and rise in consumer sentiment is good news for more »

  • 3 Stocks for Your Summer Vacation

    By Declan Fallon - July 8, 2013 | Tickers: SHLM, AYI, BSET

    The summer vacation season is in full swing. And with that, on many minds will what books to read, rather than what stocks to buy (or sell). The summer season can be a scrappy affair for the market, light trading doing enough to keep the lights on until the fall season. However, there will always be stocks nicely positioned to advance no matter what the season. These 'gentle sea breeze more »

  • Looking Beyond Friday's Employment Figures

    By Declan Fallon - July 5, 2013 | Tickers: AMBA, ASBC, ADP, PAYX

    The new quarter rolls in and buyers were quick to grab some early holiday bargains. The Bernanke-induced sell-off has almost worked its way out of the market, although the May high will be a more substantial barrier to break. With the horse now bolted on the eventual tightening of the money flow, Friday's employment data has a fine line to walk: if the data is too good, then Fed more »

  • Materials Selling Is Overdone

    By Declan Fallon - June 28, 2013 | Tickers: APD, XLB, DOW, XLU

    On May 8, I noted how the overall market had qualified as a 'sell' under my Investing Strategy. The S&P ultimately went on to drop 7.5% from peak to most recent trough, and further losses are possible. Certainly, the market is a long way from my Investing Strategy 'buy,' which was last reached in October 2011, but this doesn't mean ignoring opportunities as they present themselves. 

    Not more »

  • Utilities to Outperform Semiconductors?

    By Declan Fallon - June 21, 2013 | Tickers: INTC, SMH, XLU

    The market didn't like what the Fed said, which left stock holders scrambling for the exits.

    Some sectors took a greater hit than others, but did the right sectors take the brunt of the selling?

    Don't discount utilities

    The threat of rate hikes had the most impact on interest rate sensitive defensive sectors, like utilities in particular.

    The Utilities Select Sector SPDR (NYSEMKT: XLU) quickly dropped below what more »

  • Throwing the Baby Out With The Bathwater

    By Declan Fallon - June 19, 2013 | Tickers: CNP, EQT, XLU

    Bears have done their bit to take the steam out of the mini-recovery last week, which has left Bulls on the defensive and looking down instead of up. However, there is one sector which is at risk from been thrown out with the bath water: Utilities.

    The Utilities Select Sector SPDR (NYSEMKT: XLU) was the first sector to get beaten on by bears. After a rally which saw it advance more »

  • Save Your Doughnuts for Winter

    By Declan Fallon - June 18, 2013 | Tickers: DNKN, KKD, SBUX

    Krispy Kreme Doughnuts (NYSE: KKD) has been a standout performer in the stocks I have covered.

    The stock first featured in September, when it traded at $7.47, and looked an attractive takeover proposition with a then Price/Earnings (P/E) ratio at 3.3. It followed with a solid run to bring it into the teens as broad market strength helped carry it higher. By February it had booked more »

  • This Stock Is Rising for the Wrong Reasons

    By Declan Fallon - June 10, 2013 | Tickers: BRFS, PPC, SAFM

    Pilgrim's Pride Corporation (NASDAQ: PPC) was one of the big movers in recent days. The stock jumped over 20% on nearly triple typical trading volume as its parent, JBS USA Holdings, forked out over $3 billion in cash and assumed debt for a Brazilian poultry unit, Seara. The move managed to evade the attention of anti-trust regulators as it purchased the unit from a larger rival, Marfrig Alimentos SA more »

  • Is It Time To Buy Utilities?

    By Declan Fallon - June 3, 2013 | Tickers: D, DUK, SO, XLU

    The Utility Select Sector SPDR (NYSEMKT: XLU) has stumbled from a high of $41.44 down into the $30's, falling 8.5% over the month: sellers were quick to outsell buyers by a 4:1 volume margin over this period. And not surprisingly, the outlook for defensive sectors was glum as economic conditions improved. The last time the sector was out of favour (in relative terms to other sectors more »

  • Juicy Goodness in Jamba Reverse-Split

    By Declan Fallon - May 29, 2013 | Tickers: JMBA, MCD, SBUX

    While many popular stocks are taking a licking from those stuffing profits in their pockets, others are trying to regain some of their old glories and push higher.

    One such stock which caught my eye was Jamba (NASDAQ: JMBA).

    The stock burst onto the scene in 2005, and was quick to climb from the $7 range to over $12 inside a year. But then the credit crunch hit, and all more »

  • Getting It Wrong: This Stock Is a Winner

    By Declan Fallon - May 29, 2013 | Tickers: AMZN, EBAY, MELI

    Smart Investing is a constant education. There is a need to be able to step back and look at the Big Picture to gauge the winds of the market. To look at yourself and the goals you set with consistency in good performance are the most important. Then there are the stocks you put your hard earned money into: knowing when it's the time to buy, and when it more »

  • Sector Analysis: Cyclicals Away!

    By Declan Fallon - May 20, 2013 | Tickers: XLY, XLF, XLK

    The strength of a rally can be gauged by how sectors are performing relative to one another. These relationships can determine if a rally has room to run, or if things are about to turn. Rallies are best fueled by the support of cyclical sectors, but typically struggle when monies are channeled into defensive sectors.

    Sector performance can be viewed from two perspectives: the past six months, when this phase more »

  • 3 Stocks Enjoying Stubborn Buying

    By Declan Fallon - May 20, 2013 | Tickers: NLS, SB, WFT

    Buyers managed to hike this market into new multi-year highs, surpassing both the credit-crunch peak and Y2K peak relatively effort free. This unfamiliar territory will no doubt leave many scratching their heads as to "what happens next?" But not all market participants are staring at the vista before them. Some are looking for the next foothold to push higher.

    The following three stocks have all shown strong buying activity, with more »

  • Take Advantage of the Upcoming Online Storm

    By Declan Fallon - May 17, 2013 | Tickers: BYI, IGT, SHFL

    Bally Technologies (NYSE: BYI) is enjoying a period of rest after Q3 earnings attracted nearly five times typical buying volume, pushing the stock into the $50s, while maintaining a competitive P/E. The stock was able to beat both on revenue and profit expectations, but Bally Technologies has been a consistent consensus beater. However, it surprised by the degree it exceeded expectations, given that Q3 and Q4 were tighter quarters more »

  • Climbing the Wall of Worry

    By Declan Fallon - May 9, 2013 | Tickers: GWR, PCYC, SRE, XLU

    According to the American Association of Individual Investors (AAII), bullish sentiment clawed its way to 31%. What's unusual about the low level of optimism is how the S&P has been pushing new multi-year highs. Market rallies often have to climb a wall of worry, and it would appear there is plenty of "worry" left in the tank for this market to rise. It's only when everybody is more »

  • Sell in May, But Don't Go Away

    By Declan Fallon - May 8, 2013 | Tickers: AUXL, KKD, MDSO, THC, TSO, TFM

    The most recent high for the S&P qualified the market under a 'sell' criteria for my Investing Strategy. The last time this happened was in March-April 2012, when the index went on to shed nearly 11% from peak-to-trough by the time the market bottomed in June 2012. However, this should not be viewed as a clarion call to sell everything, but may instead offer a better opportunity to generate more »

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