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The DJIA is close to breaking out; it would measure up another 500 points.
The TSE 60 has broken out and measures up another 300 points on the TSE Composite.
Alcan($38.55) has a 5 year chart pattern with highs at $65 and lows at $38 to $39 and that is where the stock is. Also our rating at 0.73 makes the stock excessively undervalued and a #1 topick.
On April 27/05 we rated the 30 Dow stocks and picked 10 that qualified for our substantially undervalued #1 topicks. As of May 27/05, these 10 have done 75% better than the DJIA.
In fact, the #1, #3, and #5 picks are each up 11% in the month; these stocks are American Int.Group; Caterpillar; and Home Depot. Our #1 pick was the #1 performer.
Technically, the Dow is poised to go up another 500 points. It is essential that you get the revised figures on our Top Ten Picks, just email us at fraserratings@yahoo.ca
For those of you who would like to see the chart of the Euro, and our interpretation of it, just email us at fraserratings@yahoo.ca and we will send it to you next week.
Of course, if the Euro and the Canadian $ go down the U.S. dollar will go up.
Big news tonight; the charts say that the Euro is going down to $121(currently $126) and the Canadian$ down to 75 cents.
During '02,'03 and '04 the Euro went from 84 cents to an astonishing $1.38 (that's 64%.) The Europeans fell in love with their Euro. But the sad facts are that EU is hardly growing at all and even in France and Germany the unemployment rate is in the 10% to 12% range.
Also, if the Canadian $ goes to 75 cents we sell our $48 U.S. oil at Can. 64 dollars. The new Queen Elizabeth Highway will not only be paved with some black gold but even some of the gold gold could be used.
Most observers that we hear or see are somewhat adamant that the U.S.$ is going to go down. The difficulty is that it keeps on going up - which has been our view for many months. So there!
Our reason for the bullish view on the U.S.$ remains that the EU is not doing very well; slow growth and very high unemployment rates. And now as far as the rest of the world is concerned they have high prices; not good. We think the Euro will continue to decline. Our list (and ratings) of the 30 Dow stocks is very popular if you would like to get it just email us at fraserratings@yahoo.ca
As we mentioned before one of the surprising factors in our analysis of the 30 Dow stocks is the fact that almost two-thirds of them are undervalued.
Another surprise is that one of the Dow's latest additions to the Industrial Average is American International Group which has been in trouble with Spitzer for many months and now there are stories that there may even be criminal proceedings. Just plain bad luck for the Dow selectors.
However, 19 of these stocks are still undervalued and if you would like to see this list just email us at fraserratings@yahoo.ca
Our Report of April 29, 2005 is all about the 30 stocks that make up the DJIA.
The first factor to be aware of is that the Dow Jones Company is very active in making changes in the stocks that make up the Dow. Over the years the Dow has changed from being mainly income stocks to now being mainly growth stocks. In fact 27 of the 30 Dow stocks are growthers!
Also, 19 0f the 30 stocks are undervalued (GM being the 19th) and 10 are sustantially undervalued and get a #1 rating. If you would like get our top 5 picks in the Dow stocks just email us at fraserratings@yahoo.ca
