LVS rose while others dropped. Look for buying opportunities (BANKs, MATERIALS)

The impressive JOB market will be one of the impetus boosting stocks to new highs.

However, traders are becoming wary that the US debt issue might become a main problem this year.

Should the new congress fail to keep the US housekeeping in check, then US might be in for a EURO style trouble and leave China to rule the world.

However, this is the 3rd year of OBAMA’s presidency and in order to secure a re-election, Obama is going to put in some extra effort with the help of his newly-made republican friends.

The House should be able to keep the US Debt in check by reducing unnecessary expenditures.

TAX CUT must be abolished and US economy needs to grow fast enough so that the government can earn fat pay checks to save the national debt.

 

The new trade is to watch materials as the thirsty dragon that is China is also hungering for more of these resources.

Iron, Aluminum, Steel, Copper are in huge demand by china. However, the Government is smart to stock pile these materials and the recent commodity rally was partially due to these stock pile. Thus there might be a short term decline in prices as the government cools down its spending.

Stocks that will see bright future are those that are exposed to the rich Asian economies, and also the laggards in the United States. Expect austerity by the US government, thus, I am staying away from Government related stocks such as Lockheed Martin, Boeing.

TRADEDRAGON stocks…

BEST STOCKS of 2010 that will continue on into 2011….

1. FCX
2. CLF
3. LVS
4. MGM
5. WYNN

2010 Recovering Stocks that should continue well into 2011…

1. AA
2. BAC
3. X
4. STD
5. AES

2011 STOCK Watch

1. CRM
2. NFLX
3. GM
4. S
5. AMD
6. MU

Current hot buys: LVS, STD, CLF

LVS written on Snow