Nothing wrong with investment right now, what was the saying buy when others are fearful, sell when others are greedy etc.. but those are bad choices.
1) USO is ok at current valuation, despite the major push for renewable energy most industrial operations still require oil. Once things pickup, it is guaranteed to bounce off the current level. In addition, it's a good hedge against the onslaught dollar inflation, as many are predicting (with good reason) that's coming.
2) RSX, not sure exactly what you are smoking here... buying into russia? Do you know what is happening in russia right now.....
3) XHB, again not a good choice in term of risk/reward. Real estate market is not stock market, it has long memories, i dont expect the country to start building real estate again any time soon even after economy starts to pickup. 1) Still tons supply 2) everyone has a memory of what happened, real estate is not the stock market 3) It will most likely be dead money, just not worth the risk/reward.
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Here's some of the ones i am buying in additional to oil:
DBB: mines closing all over, base metal is a core supply for the economic turnaround, current valuation.
DBA: same deal as dbb, not so much dependent on economic turnaround but it is a core staple.
PBW: pretty clear clean energy will the huge, but as with any emerging technology, it is complete chaos - many companies will go under, some will become market leaders. Way too early to tell, so you better off investing in the index. Current valuation is a gift.
NVDA/INTC: both solid companies with complete market dominance, and an almost impossible entry barrier.
CAT: solid company that will benefit the most once the turnaround happen. But i am still waiting, $20+ is still a bit too risky for me.
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HIGH RISK PLAYS: below are the ones i fully expect to go bankrupt but with a good chance they might make a lot of money too.
ETFC: penny stock now, but market leader with excellent product, core business profitable, excellent management. Bottomline, needs to work through the toxic shit on its balance sheet before going bust.
DRYS: needs to not run out of cash before shipping tuns around.
AUTH: excellent balance sheet, strong technology geared towards future growths (fingerprint security on cellphones, laptop, etc..)
FEED: pig farm of china
