I've been a loyal follower of freetradingvideos.com since the beginning of summer. I've seen their daily analysis of the stock market and I just wanted to spread the word. These guys have made some of the best calls regarding where the market might be headed. The videos are very perceptive and educational and the best part is that they are free. Click the link below to watch the weekend edition of their videos:

http://www.freetradingvideos.com/vlog/default.asp


P.S. They point out1150 will be a major monthly resistance for the S&P500. That means we might be bearish for a week or two.


Peace,
FF

ll_ll,
I will try my best to give you an idea why I think RPC is a buy. Let me start with the SEC filing. Why do I think this one investor is going to explode the price of this stock? The word is 'History.' Yes, you looked at the Form D they filed on 02/02/2010 where you can clearly see that Cantone Research Inc is putting in substantial investment in this company. If you look up on Cantone, it's a firm that invests in small cap stocks.

Now, lets check out the news from RPC's website for 2009.
http://www.radient-pharma.com/news/news2009.htm
Here's the link to their PR from May 08,2009------>Link.

On May 7, 2009, RPC had filed a similar SEC form D.----->May Link

If you look into that report, you will see that Cantone Research Inc had invested $2.5 million. Now, at the time of the filing, Cantone had already invested $1.32 Million and look at the date of that transaction. It is May 4, 2009.  Here's what it looks like in the form:

Total Offering Amount $ | 2500000 | USD
--------------------
--------------------
Total Amount Sold $ | 1327250 | USD
--------------------
--------------------
Total Remaining To Be $ | 1172750 | USD
Sold --------------------



Date of First sale |2009-05-04 |


Now, lets go to the Charts and see what happened to the stock of RPC on May 4, 2009.



Holy crap, institutional money came in and the stock soared 28%. Can one investor cause the price to explode? Hey if you got enough money, you can do whatever you want. If you read the RP statement, Cantone bought around 212,360 common stocks. I am fairly certain, that Cantone's Investment caused the stock price to go up to $1.35 the next day.


Now, I don't know how much money Cantone is going to put in the RPC stock this time. But I bet you it's a large chunk of that 3.5 million. Their february 02 filing says they nothing has been sold yet. You will see volume coming in the near term and I expect this stock to take off 0.42 high it made few weeks ago. The reasoning is that the stock is dirt cheap. Listening to their recent conference call, CEO Dough MacLellan lamented on how ridiculously the stock has been beaten. He says something about how this will be the bottom in the company's history.

Now, more on the fundamentals:

On December, RPC came up with another PR saying one of their subsidiary AMDL will be profitable by the end of this year. They are projecting a net profit of 3.3 million. Their total shares in 17.4 million. That puts their EPS at .20. Now you tell me a stock with P/E of less than 2, especially a biotech is not dirt cheap!!! That's why institutional money is flowing in! Do you think anyone is going to dump 3.66 million if they don't think this company has potential. Look at their Onko sure cancer detection kits. They are making 81% gross margin on those kits. If they sell 16000 kits as they hope, they will be profitable and the stock will be at least 2 dollars.
Link to PR.


2010 OVERALL ADI SALES FORECAST
2010 QTR 1 QTR 2 QTR 3 QTR 4 TOTALS
---------- ---------- ---------- ---------- ----------
ONKO-SURE Test Kits $ 297K $ 621K $ 1.56M $ 2.01M $ 4.48M
---------- ---------- ---------- ---------- ----------
Onko-Care (U.S.) - $74K $ 745K $ 1.34M $ 2.13M
---------- ---------- ---------- ---------- ----------
Onko-Care (Asia) - - $ 298K $ 745K $ 1.04M
---------- ---------- ---------- ---------- ----------
Gross Sales $ 297K $ 695K $ 2.254M $ 3.795M $ 7.65M
---------- ---------- ---------- ---------- ----------
Op. Expenses ($740K) ($963K) ($1.099M) ($1.507M) ($4.306M)
---------- ---------- ---------- ---------- ----------
Net Profits ($543K) ($418K) $905K $2.288M $ 3.344M


I know about RPC's de-listing notification and I have looked at their Quarterly earnings for the past year as well. They ran into problems this year and I think the market lost hope.  RPC planning to sell their Chinese subsidiary 'Jade.' Guess what the market value of Jade is right now? 20 Million! That's 4 times more than RPC's Market cap of 5 million. This company is about to fly and the average investors will come too late in the rally as usual.

I hope I have given you a comprehensive reasoning on why I think this is buy for both the short term and long term.

Good luck to you all and like I said small caps are very volatile and RPC dropped significantly today. I haven't put a stop loss on it yet but if it dumps below 0.25, I will get out.


FF

I have moved my stop on QQQQ from 40 to 42. If this goes below 42, I'll take the loss and look for another opportunity.

I think the market will move sideways for couple of weeks before finding a direction but boy is it looking ugly today!

FF,
    Few questions that you have not answered yet and few new ones... (As I have told you, I don't necessarily disagree with everything/ anything you said, just playing the devil's advocate)

1) Institutional buyers generally put their money in their investments in 2-4 quarters. Since the Cantone guys had bought these shares about 3 qtrs ago, shouldn't they have put in their huge investments by now? But still the share prices have steadily declined since then. How do you explain that?
2) I did not listen to their Conference call but the CEO shed any light on how they are going to meet their short term obligation? With 200K CA and ~3MM CL, it seems like a uphill battle. And what is that 164K of other CA in their B/S? ( Mind you most company fail not because they don't have enough asset, its because they are not liquid enough)
3) So, you are saying that these Cantonese now have invested close to 3.8MM in this company. Shouldn't they have a majority stake by now or very close to it? How many shares do they have compared to the outstanding shares?
4) Where did you get the market value of Jade @ 20MM? All I could find was 28MM which is in the books of  RPC itself but then again, the company also says "In addition, there can be no assurance that we will ever realize any significant
value from our equity interest in JPI and JJB." Source
5) As you have seen with their Business Plan, almost everything in it is dilutes the earnings. By how much, we have to wait and see. Both how much they want to sell and/or if anyone wants to buy it.

What do you think?

got stopped out on rpc. i dont have any longs right now. next stop on spy is 1040. the bears are back and feb will be brutal.

The only important thing on a day like this: Capital preservation!!

Maybe there is still more than few percentage point left in this correction but time to buy again is just right around the corner. I had half my money invested at -5% a week ago, thanks to ~200 points gain in last few days, I am still a couple of percentage points up. I think my portfolio can still sustain a couple more points to break-even at which point I would be going all in.

I know days like this are hard for everyone but lets keep our chin up and discuss some stocks that got hammered unfairly and are a bargain at current prices...

Capital preservation is the key!! A lot of people take their stocks emotionally. I know how that feels. But technicals aren't about emotions. If you lose some, move on. Holding a stock hoping it will go up is a huge mistake. I had to incur loss in RPC but hey that's trading. I will wait until the market decides to turn up to buy any longs at this point. If you are holding FSLR, I would suggest to sell it. That thing will be hitting 100 in my opinion before it hits 140.

Having said that, though I wouldn't ask anyone go long in this market right now, Verizon looks like it might have support around 28. I wouldn't be surprised if it bounces to 30 - 31.





FF

It's good to know where you are going to get out if you are wrong. Stops are always necessary. Check out www.finviz.com and click on the screener and start entering your conditions. This is a great place to start.

On my QQQQ, I have moved the stop to 42.

The market is down down down Red Red Red. . Whata day.

I have added more QQQQ at 42.90, bringing my average cost to 43.25. I still have the stop at 42.

They were saying Job Report, job report job report!!! Job report comes in better than expected and the market is still down. This is not the sign of the bottom!

I would not be surprised if we make up everything that we lost yesterday. Time to squeeze the shorts.

The word of the day: Capitulation!!
   Wow, fundamentals are out of the window, the market is so gripped with fear that nothing more matters. I went in some more today **finger-crossed** it will be almost the bottom. GE down 4%, with DOW down 1%? That does not even make any sense. DXY (Dollar index) even up .75%? Just because dollar stinks less than others? They are call it flight to quality, or is it? DOW is down ~9% I think since its high. This might be the bottom or very very close to it!

This does not look good. Next support is at 65 WMA, which is exactly where we are right now. If we break that 980-1020 is the next support. Well no one is going to win everytime.

What about AIG's future?

What do you guys think of FNM long term?

I've been holding C for a loooooong time now. I'm loosing my patience. My biggest mistake was to sell REXX to buy C. What a dumb decision.

Here you go...the buyers are coming in and my QQQQs look safe for another day. Low of the day 42.12.

Late rally.....1040 still holding...time to buy again

XMDC