The Global Bull Market Alert Strategy Shines in Tough Times

Nicholas Vardy

Nicholas Vardy has a unique background that has proven his knack for making money in different markets around the world.

Let’s recall the Global Bull Market Alert strategy you started implementing in mid-January. Because of the global uncertainty, you began to shift your investments into a portfolio that moved more or less independently of global stock markets. That meant a much greater focus on commodities and currencies. That strategy has been paying off. The sharp sell off of global markets notwithstanding, almost all of your positions are in the black.

Your two bets on the soft commodities boom are thriving. The PowerShares DB Agriculture ETF (DBA) is up 18.07% during the past five weeks. And your second bet, the iPath DJ AIG Agriculture TR Sub-Index ETN (JJA), is up 8.47% during the past three weeks. The soft commodities boom is one of the most powerful investment themes of 2008 and you should add to your positions on any pullback this week.

Your precious metals bets have also paid off. Yamana Gold (AUY) is up 12.65% during the month — with the options up just under 50%. The iShares Silver Trust (SLV) — one share equivalent to 10 ounces of silver — that you bought just two weeks ago is already up 14.10%. Last week’s bet on coal, Market Vectors Coal ETF (KOL), ended the week flat after a big sell off on Friday. But you should be happy to add to these positions at current prices.

Your two currency bets, the CurrencyShares Japanese Yen Trust (FXY) and shorting the Great British Pound through the CurrencyShares British Pound Sterling Trust (FXB), taken together are broadly flat. The weakening dollar makes big gains in these picks more of a challenge than in some of your other commodity-based picks. Both are slow and steady gainers, but they do move independently of global stock markets.

Exclusive  Reviewing Attractive Clean Energy Income Assets

Your short position in China through the UltraShort FTSE/Xinhua China 25 Proshare (FXP) continues to underperform considerably for reasons that I’ve been unable to fathom. The unleveraged iShares FTSE/Xinhua China 25 Index (FXI) is down 12.42% since Nov. 26. A back of the envelope calculation shows that your position in FXP should be up about 25%. Instead, it’s up only 7.58%. This is one position that I would not keep adding.

As our strategy has shown, it is possible to make money on today’s tough markets. And by looking beyond traditional global stock markets, Global Bull Market Alert is proving that “there is always a bull market somewhere.”

P.S. Join me for The 20th Annual Money Show Las Vegas at the Mandalay Bay Resort & Casino, May 12-15, 2008, for a unique opportunity to meet and hear from 100+ Wall Street experts who will tell you what to buy and what to sell in 2008! Invest four days in planning and refining your portfolio, learning profit-making strategies during a turbulent market, identifying top-performing ETFs, and talking with representatives from more than 300 of the world’s top financial product-and-service providers to answer your personal investment questions! Call 800/970-4355 and mention priority code #009613. You also may click on the following link to register FREE today!

Like This Article?
Now Get Our FREE Special Report:
Alternative Investing: Investing in Timber

Stock Investor editor Paul Dykewicz reveals why investing in timber may be one of the best long-term portfolio strategies you'll find today.

Get Access to the Report, 100% FREE

previous article

It was another strong week for your Global Stock Investor portfolio. Coca-Cola Hellenic (CCH) soared 11.31% and your two agricultural plays, the PowerShares DB Agriculture (DBA) and Potash (POT) jumped 6.92% and 5.92%, respectively. Millicom (MICC) also jumped 7.19%, Veolia (VE) 5.16% and ArcelorMittal (MT) 5.65% in a week that was marked by sharp gains across global markets.


Dr. Mark Skousen

Named one of the "Top 20 Living Economists," Dr. Skousen is a professional economist, investment expert, university professor, and author of more than 25 books.

Product Details

  • Forecasts & Strategies
  • Home Run Trader
  • Fast Money Alert
  • Five Star Trader
  • TNT Trader

Bryan Perry

A former Wall Street financial advisor with three decades' experience, Bryan Perry focuses his efforts on high-yield income investing and quick-hitting options plays.

Product Details

  • Cash Machine
  • Premium Income (exclusively for subscribers of Cash Machine)
  • Quick Income Trader
  • Breakout Profits Alert
  • Hi-Tech Trader

Jim Woods

Jim Woods has over 20 years of experience in the markets from working as a stockbroker,
financial journalist, and money manager. As well as a book author and regular contributor to
numerous investment websites, Jim is the editor of:

Product Details

  • Successful Investing
  • Intelligence Report
  • Bullseye Stock Trader

Bob Carlson

Bob Carlson provides independent, objective research covering all the financial issues of retirement and retirement planning. In addition, Bob serves as Chairman of the Board of Trustees of the Fairfax County (VA) Employees’ Retirement System, which has over $2.8 billion in assets.

Product Details

  • Retirement Watch
  • Retirement Watch Spotlight Series
  • Lifetime Retirement Protection Program

Hilary Kramer

Hilary Kramer is an investment analyst and portfolio manager with 30 years of experience on Wall Street. Since 2010, Hilary's financial publications have provided stock analysis and investment advice to her subscribers:

Product Details

  • GameChangers
  • Value Authority
  • High Octane Trader
  • Triple-Digit Trader
  • 2-Day Trader
  • IPO Edge
  • Inner Circle

Jon Johnson

Jon Johnson's philosophy in investing and trading is to take what the market gives you regardless if that is to the upside or downside. For the past 21 years, Jon has helped thousands of clients gain success in the financial markets through his newsletters and education services:

Product Details

  • Investment House Daily
  • Technical Traders Alert
  • Success Trading Group

Used by financial advisors and individual investors all over the world, is the premier provider and one-stop shop for dividend information and research.

Product Details

Popular tools include our proprietary Dividend Calendar, Dividend Calculator, Dividend Score Card, and many more.

  • Dividend Investor