- A Wall Street powerbroker for nearly 50 years who built an influential firm has confessed to a massive fraud scheme that will cost investors at least $50 billion, federal authorities say
I am going to swig some Kool Aid and chant for the Santa Claus rally, and restart Jacobs Engineering Group (JEC). Why JEC? I tossed a coin. It could of been Fluor (FLR), it could of been Foster Wheeler (FWLT), it could of been any infrastructure stock - they all trade together. In fact the Fluor and Jacobs Engineering chart literally are identical (same recent highs of mid $50s, same pullback today to lower/mid $40s) In the old days (like 6 months ago) I used to buy baskets of stocks in a sector, since I didn't know which one would be rewarded and which not. Now, they are all rewarded equally. Monolithic trading.
As I stated yesterday I want to buy the stronger charts on pullbacks - I too, want to bathe in Midas and work up a hot sweat as I think of Obama's power to make everything turn to gold.
Since I don't have a basket I will concentrate more buying power in 1 name - we're putting a 3.1% stake on in the $45s. We closed out of our last position in this name on Sep 5th in the mid $60s so despite the rebound thus far, we are buying 30% lower. A perfect retrace to support after a breakout (I love buying this sort of a chart in a bull market) The upside to this is obvious ($60) and if we break down below $41 or so we'll cut back very hard. But we do want an infrastructure stock in the portfolio now that they are back in fashion.
Long Jacobs Engineering Group in fund; no personal position
[Nov 4: Jacobs Engineering Group - Business as Usual]
