mailogo:: Newsletter
Home :: Strategies :: Membership :: Past Results
Author: Mike Celeste Editor: Tony Ponzo March Circulation: 13945

Stat Sheet Week Ending March 4th 2006

ChangesWeeklyFebruaryYear to Date
IndexesPointsPercentPointsPercentPointsPercent
Dow-40.0-0.4%+128.0+1.2%+304.0+2.8%
S&P-2.0-0.2%+1.0+0.1%+39.0+3.1%
NAS+16.0+0.7%-25.0-1.1%+98.0+4.4%
Splitmaster Strategies
Basic......................+5.9%+14.3%
Big Dipper......................+11.9%+27.9%
Option Calls......................+49.0%+117.0%
Option Puts......................+89.0%+236.0%

Highlight of this past week

CELG came through BIG TIME--The CALL made 139% profit and the stock was up a very nice 10.40 points.

In this Issue---
Auto-Trading Reminder---
***************************************
Just a quick reminder that we are set-up to handle auto-trading, for those that prefer it. You can email us thru the site if you are interested in details or just click on this link - contact@splitmaster.com .

Testimonial---
***************************************
" Perfect timing, gentlemen. I jumped on this and sold the call at 3.7. Now it's down to 3.3. A tidy profit of 123%. Not too shabby. I closed out ITT and FCFS right now too. I'm happy with the profit and want to take it, lest it swoon later this afternoon.

Cheers to a very solid February. Made 12,000 using 5-contract positions.

-M" End quote

SplitMaster Basic System---
***************************************
For those of you that like to plan ahead, we can tell you that at this time there are 7 more Basic System plays coming up in March, along with additional 3-2 splitters that will be in the Big Dipper System. There are currently 8 active plays going at present in the Basic. I don't think anyone is asking for more action--are you?

Big Dipper System---
************************
The Big Dipper really showed its stuff recently. You can see by the stats above that we are running at a current profit of 27.89% thru this date. The pressure was definitely on, watching so many drop into the target buy range for this system. There are 4 currently active, and we closed out 4 this past week, all showing good profits. Remember that this is a completely separate system from the Basic, even tho many of the same stocks are in each system. We set a target sell price in the Big Dipper and that could well come before the sell date in the Basic. The reasons are several--we don't want to lose profit that is sitting right there--we might see a resistance point that we feel is better not to fight-- we might want to average out our results with the Basic. Sometimes the profit from the BD makes up for a loss in the Basic--and sometimes there is a rebound that creates a profit in both the BD and the Basic. Of course, members can make their own decisions.

Testimonial #2---
************
" Hi Mike--
Update! I exited SLB this morning at 121.67 for a gain of 5.82% in three days. I first started thinking about stock splits on January 11 when I got a copy of your newsletter. After your second newsletter which I got on January 25, I decided to dive in and try investing in stock splits. Actually more like trading. Since starting 4 picks, four winners. TIE, CELG, QSII, SLB. now in all cash up 21.9% total since start. HEY! I LIKE THIS. Thanks again for pointing me in the right direction. P" End of quote (Editor's note--Obviously "P" is thinking outside the box, and making his own decisions--BUT--using stock splits. He has some that we haven't entered yet, but will, in due time. "P" is comfortable doing things in combination with some of our thoughts, and since he is doing well, we say--Congrats, and keep up the good work--BUT--be careful out there.)

Options---
************
Since energy stocks have been making so much in their earnings releases, it is easy to see why there are so many splitters that come from this sector. However, the sector is wild, and gyrates all over the place, as we have seen lately. We caught a couple of options here that ended to the downside, but we got back in the profit groove this past week, and the results are again what we have come to expect. The stats for the CALLs showed we ended up 49% for Feb., after a 74% increase in January. March overcame the rocky start that had 2 losers in CCJ and BTU (bad luck, as the stock was at a profit until a couple of days before sell date--win some, lose some) and the last 2 were up 139% and 83% (CELG and the BD option CALL in CCJ--another reason we buy the options both in the Basic and when they hit the Big Dipper).

S+P 500 PUTS---
*********************
Another week, another drop in the PUTs on the SPX plays. They are currently down about 79% from the entry price--and remember--a dropping price on a written put is what we want.

Chart Indicator---
*******************
The CI (shown on the Big Dipper website page) finally was confirmed positive, and that was good news, even if we don't specifically act on it. Outside investments could be used more with this indicator, but that is up to the members.

Stock Split Comments---
****************************
As mentioned a little bit above, there has been quite a bit of volatility in the market, especially in the energy sector. The indexes have rolled up and down and back again, also. The emotional strain that such fluctuation puts on the investor is such that we feel it is the single most difficult factor to control--it takes tremendous self-discipline to hold on during some of these rollercoaster rides--and I won't even go on a rollercoaster at the amusement parks. Too much stomach reaction. I for one, am tired of these days of good up moves followed by deep down moves, and back again. Take the Nas this week, for instance. Monday up 20, Tues. down 25, Wed. up 33. Keep in mind that every Nas point is worth 5 Dow points, so those are all moves over 100 Dow points--and well over. While we have been showing profits at SplitMaster, it is still hard to watch. Give me those stable markets, and when we have those we still have shown great results in splitters--no guarantee of the future, but I like to be on the odds of splitters keeping up with historical results. Talking about the past vs. the future--here is what the Stock Traders' Almanac (compliments of student, J) has to say about Feb. and March. "Feb. is the weak link in 'Best Six Months' of the market." So how did we do compared to the hot months--Nov,,Dec. & Jan.? Feb. managed to beat Jan, but Nov. and Dec. were really good for the splitters--so the Almanac was pretty good. March is the 6th best month on the list, so the Almanac is looking for a month that is lower than Feb. It also says that "early and mid-month strength and late-month weakness are most evident." Since our Feb. splitters beat Jan., we look forward to the challenge.

Interesting site---
*************************
I ran across an interesting site that some of you in the US might be interested in. Go to www.zillow.com and punch in your house and any other house--brings up value and aerial view, etc.--shows all houses around you, too--click on each one and it shows value, size, etc. It works for the whole US. Note--It is just a guide--and I think they put a value based on assessment/taxes, as my neighborhood showed figures that go along with that thinking. Also, if you can't link by clicking on, try entering the site manually--it worked for me.

A Personal Note---
*****************
I just wanted to take a moment to say that we really appreciate all the comments and emails that we receive. There is such a common bond thru the stock market that it is almost like sitting in the living room and having great discussions. Our members from other countries have been giving us some insights that are new and enlightening to us. The variety of thoughts is interesting and educational to us. This is definitely one of the bonuses to being on this end--so thanks to all of you that have taken the time to write. As we continue to grow, we realize we can't be as personal as we would like, but we will add to our staff, and you can get to know them, too. Above all, we want to maintain our level of service through quick responses to your needs, questions, suggestions and comments.

Today's Thought---
**********************
Why does a slight tax increase cost you two hundred dollars and a substantial tax cut saves you thirty cents?

Mike


The Splitmaster.com information system delivers email to addresses provided by subscribers. To Subscribe or Un-Subscribe go to our Newsletter page.