PGH

One of our basket of Canadian Royalty Trusts, PGH has broken out on its Daily chart.  It has also broken out on its Weekly chart and in the process, taken out the overhead resistance of its 200-Week MA.  PGH has also moved above its 50-Month MA on the LT Trend.

We like a 2-5% opening entry here with the goal that we may own 3-5 of these Trusts at a total investment of no more than 10% of our Core Portfolio.  The Trust is currently paying a monthly distribution of $.07 / Unit which translates to an annual return of ~7.5%

Though the tax status is undetermined at this point, past distributions have generally been “qualified” which means they are taxed at LT Capital Gains rates rather at ordinary income tax rates, making it an excellent candidate for a spot in your after-tax trading or investment account, rather than in an IRA account.

Other CAD Energy Trusts we are watching for entries are… BTE, ERF, PDS, PVX & PWE

Coach BD

RMBS

Today the USPTO confirmed validity of several RMBS Patent claims at issue, particularly and presently at issue with nVidia (NVDA).  This is extremely important because once the USPTO completes a reexam and confirms validity of any Patent or Patent Claim, it cannot be challenged again, including any legal actions, ongoing or otherwise.

However, the decision by the USPTO can be appealed to the CAFC but it is my understanding that less than 5% of appeals after a reexam has “confirmed” validity are successful even to the extent that the decision is sent back for further examination.  In other words, once the USPTO reconfirms a Patent’s validity through reexamination, it is extremely rare for a successful appeal.

On the other hand, when Patents are found to be invalid after reexamination, the appeal success rate is for the Patent holder is 80%+.

Very very good news.  The hits just keep on coming.

Coach BD

QCOM

Following a significant sell-off during FEB QCOM raised its dividend today, causing a high-volume reversal.  We believe QCOM may have made its new low for quite some time yesterday @ ~$35.50

We would have liked to see QCOM close back above its downsloping 20-Day MA but we will be watching closely for a follow-up move back above this key ST resistance.  If successful, we would expect QCOM to make a slow and steady climb back into the mid-40’s.

Keep an eye on QCOM for a continuation of its reversal to the upside.

Coach BD

Though the market rolled over into the close today the recent action has been generally positive.  The NAZ & S&P are generally looking better than the DOW but all are holding above their respective Daily & Weekly trends.

We are still looking for a VIX entry as a Mid-Term Portfolio hedge and at the 19 level we think this is an excellent entry point.  At this level we are confident that the downside is limited while there is a good opportunity for a substantial upside move prior to earnings season next month.

Coach BD

SNDK

We are making an Add-ON entry to SNDK on today’s high volume BO.

BOUGHT - JAN 2012 - 20 Calls @ $15.37

SOLD - MAR 34 SHORT Calls @ $.69

BOUGHT - MAR 32/30 PUT Spreads @ $.60 (200%)

Coach BD

SNDK

Raised its outlook for the 1st Quarter and is in the process of making a high-volume BO on its daily chart.  It is also breaking out on the Weekly chart and above overhead resistance from its 200-Week MA.  This is a very bullish move and we are going to make an Add-On to our Core position today.

We will update after 3:30 after we evaluate the closing strength and the appropriate entry.

Coach BD

The averages rallied quite strongly into the close today, erasing much of the day’s early losses, however, none of them managed to close above the overhead resistance of the 40 & 50-Day MA’s.

Subsequently, we held off on our planned adjustments and VIX entry until we see if today’s late strength carries over into tomorrow.

Coach BD

CRT’s are once again looking attractive and entries are close at hand.  We will be evaluating the best of the group tomorrow with our entry criteria.

Coach BD

VIX

We’ve been waiting for the VIX to hit the 20 level once again though we don’t like the chart.  We may well enter tomorrow if the markets bounce off resistance to the downside.

Update in the a.m.

Coach BD

TSRA

This has been our biggest disappointment so far.  Tomorrow, short of a huge BO to the upside, we will adjust this position to NET NEUTRAL and start collecting premium from both ends (Long & Short) to get our investment back.

I hate losing money so this is commando time.  Aggressive entries, collect ATM premiums for the next 4 months and if there’s no change in the story we’ll be out with a near Break-even (BE) or minimal loss.

Coach BD