If you’re thinking about going long term think again.  The economy is still very unstable and I predict it will take 1-2 years before things get back on track.

Right now short term profits is the way to go.  If you make a profit don’t be shy to take it.  The market doesn’t go straight up so any run that last 3-5 days could retrace.

I would also advise against holding stocks into earnings.  Holding a stock through earnings is a huge risk and not worth it.

Sectors worth watching: Oil, and Financials

If you can weather the short term volatility in the markets, BofA looks very attractive here:

The reason for why Bank of America has dropped so low is because of how uncertain everything is and all the negativity. I believe has huge upside potential here.

1. There is the rumor that President Obama wants to nationalize the banks. Americans don’t want this. Obama has actually laughed at the idea when he said on an ABC interview, “Sweden had like five banks. We’ve got thousands of banks…managing and overseeing anything of that scale…wouldn’t make sense.

And we also have different traditions in this country.” President Obama understands that the stock market can determine his success this year. I don’t think he wants to kill off the current shareholders and take Bank of America off the market.

2) Bank of America is committed to repaying taxpayers. They paid back $402 million in a TARP dividend payment to the U.S. government. The CEO has also mentioned that they will not be borrowing any more funds. Read the rest of this entry »

LSTM – Volume Alert
http://www.chartmoney.com/stockquotes.php/?ticker=lstm
International Aerospace Enterprises, Inc (“IAE”) is an innovative and aggressive provider of military aircraft spare parts that offers inexpensive aircraft spare parts that meet high quality manufacturing standards to the complex worldwide military/industrial establishment.

SKYT – Momentum
http://www.chartmoney.com/stockquotes.php/?ticker=skyt
SkyTerra Communications, Inc., through its subsidiaries, provides mobile satellite communications services in the United States and Canada.

ACPW – Volume Alert
http://www.chartmoney.com/stockquotes.php/?ticker=acpw
Active Power, Inc., together with its subsidiaries, designs, manufactures, and markets power quality solutions that provide ride through power for power disturbances caused by voltage fluctuations and temporary power outages.

The Markets staged a nice turn around on Thursday and formed a hammer candle stick. The candle stick is a favorite formation of mine, and after a down trend in this case for the last few days could be a sign of a reversal.

This is not a perfect hammer formation but it’s good enough so keep an eye out for some upside the next few days.

SSLR and alert from yesterday closed the day up 38.75%. CCTYQ continues to move up on possible take over news. I believe a dip in price could be a buying opportunity.

CBAI – Momentum
http://www.chartmoney.com/stockquotes.php/?ticker=cbai
Cord Blood America, Inc., through its subsidiaries, provides private cord blood stem cell preservation services to families in the Untied States.

NEXM – Volume Alert
http://www.chartmoney.com/stockquotes.php/?ticker=nexm
NexMed, Inc., a pharmaceutical and medical technology company, engages in the development of transdermal products based on its proprietary NexACT drug delivery technology.

ANAD – Momentum
http://www.chartmoney.com/stockquotes.php/?ticker=anad
ANADIGICS, Inc. provides semiconductor solutions to the broadband wireless and wireline communications markets.

BWNR – Volume Alert
http://www.chartmoney.com/stockquotes.php/?ticker=bwnr
Brownstone Resources is a gold exploration company focused on creating value for shareholders by exploring and developing high-grade gold properties in North America.

LVLT – Momentum
http://www.chartmoney.com/stockquotes.php/?ticker=lvlt
Level 3 Communications, Inc. engages in the communications business in North America and Europe.

SSLR – Momentum
http://www.chartmoney.com/stockquotes.php/?ticker=sslr
Sunrise Solar Corporation intends to commercialize and distribute cutting edge alternative solar energy technologies and equipment. Sunrise also intends to capitalize on its institutional knowledge of emerging alternative energy technologies to develop comprehensive alternative energy plans.

Do you remember back in Early 2007 when DNDN was trading for about $4 and then over night gapped up to about $18? I remember it very clearly because some of my friends made hundreds of thousands that day.

DNDN gapped that day because because an FDA advisory commitee had reviewed their drug and found it adequate. Here is an excerpt from the press release:

“the U.S. Food and Drug Administration’s (FDA) Office of Cellular, Tissue and Gene Therapies Advisory Committee recommended to the FDA that there is substantial evidence of efficacy and safety of PROVENGE (sipuleucel-T) for the treatment of patients with asymptomatic, metastatic, androgen-independent (also known as hormone refractory) prostate cancer. The FDA will review the advisory committee’s recommendations.”

DNDN’s drug wasn’t even cleared yet.

Fast foward to 2009 and GTCB’s anti-clotting drug Atyn has been given positive comments by the FDA staff reviewers. A final decesion could be made this Friday. GTCB is still trading at under $1.00 although it has made quite a substantial gain already.

Playing bio tech companies can be very dangerous but rewarding too. I believe GTCB’s current price still makes it very attractive as the upside potential could be 200-300% from these levels.