Financial Market Analysis
By Shawn R. Carpenter
Wednesday, March 11, 2009
New Ideas for a changing consumer...
Hello All... Sorry I have not been posting for awhile. I was busy speaking with some funds regarding my potential to work with them using my ideas and strategy. If anyone out there is interested, I would love to sit down with you and chat about my ideas and performance.
OK, we have had quite a start to 2009. The bearish sentiment has there, yet I think the markets will continue to slide, as the caution and concern about the consumer has only just started. While we hear week after week about job losses, the deflationary environment will only continue to grow. Each new segment of what is happening, whether it is home foreclosures, jobs, consumer spending, corporate earnings.. these things are all food for one another and are propelling the economy into a tailspin.
Here are a few ideas I see out there today:
Auto Nation (AN) is looking potentially good here for a few reasons. Potential Reverse Head and Shoulders pattern, although it is near the peak of a bearish channel. I like this simply for the fact that that while fewer new cars are being purchased, consumers will look for other ways to maintain cars. AutoZone would be another one to watch.
Spot Gold is also looking attractive down here. The rise above the broadening pattern in 2009, and subsequent new support should be a clear buy signal.
CVS looks badly oriented, as a recent break in a bearish wedge pattern should call for further downside. Not sure how many consumers out there will end up buying purchases from their stores, so it could be a redundancy out there given that people will pick up what they usually buy at CVS at the supermarket.
Will the consumer go out to eat more often? Not sure, as DRI is about to head lower.
Gamestop (GME)... are people buying more games? I think a potential 25-50% haircut is in the offering here....
Also, I see some other names that look weak.... namely, WRC....
and ROP....
¶ 3:50:00 PM 
OK, we have had quite a start to 2009. The bearish sentiment has there, yet I think the markets will continue to slide, as the caution and concern about the consumer has only just started. While we hear week after week about job losses, the deflationary environment will only continue to grow. Each new segment of what is happening, whether it is home foreclosures, jobs, consumer spending, corporate earnings.. these things are all food for one another and are propelling the economy into a tailspin.
Here are a few ideas I see out there today:
Auto Nation (AN) is looking potentially good here for a few reasons. Potential Reverse Head and Shoulders pattern, although it is near the peak of a bearish channel. I like this simply for the fact that that while fewer new cars are being purchased, consumers will look for other ways to maintain cars. AutoZone would be another one to watch.
Spot Gold is also looking attractive down here. The rise above the broadening pattern in 2009, and subsequent new support should be a clear buy signal.
CVS looks badly oriented, as a recent break in a bearish wedge pattern should call for further downside. Not sure how many consumers out there will end up buying purchases from their stores, so it could be a redundancy out there given that people will pick up what they usually buy at CVS at the supermarket.
Will the consumer go out to eat more often? Not sure, as DRI is about to head lower.
Gamestop (GME)... are people buying more games? I think a potential 25-50% haircut is in the offering here....
Also, I see some other names that look weak.... namely, WRC....
and ROP....
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