Monday, September 22, 2008

New Robert Hsu orders

This post has been modified. Original post date was September 11th.
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New issue of Mr. Hsu's [REMOVED] (The Fastest Profit from the Asia Pacific Miracle).
Not being able to foresee what will happen (as nobody is), Mr. Hsu spends many paragraphs to explain what happened and why it happened. basically he explains why he was wrong.

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Three Sell Recommendations

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Mr. Hsu wanted his $3.000/year paying readers to sell ATW, PBR and FLR.

First of all, what Mr. Hsu calls a sharp connection in his newsletter is, in my humble opinion, a bear market going on since November 2007.




I would wait for the S&P500 to go over ist resistance level (currently around 1350) before saying the bear market is over.

But let's have a look now at the performance of these three closed trades.

ATW
Mr. Hsu added ATW to his Asia Pacific Edge portfolio on April 23rd, at $53.84 (split adjusted). In his newsletter he wrote:

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I want you to buy ATW under $110. I expect Atwood shares to reach $150 in the next six to eight months, which would give us a nice short-term gain of about 35%.

On July 2nd Mr. Hsu rose his buy below limit, as usual.

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I am raising the buy limit for ATW to $125.

All the above prices are pre-split (2:1).

You can see how it went yourself. The usual question is: how can an "expert" do nothing and watch one of his stocks going from more than $60 to $36 (-40%)?



PBR

PBR was the new buy of April 9th 2008, at $57.32 (split adjusted).

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I want you to buy PBR under $120. I'm targeting $150 in the next six to eight months, which would give us a nice short-term gain of about 30%.

PBR went well for a while. It also went over $150 (or $75 split adjusted) in May 2008.


First question for Mr. Hsu on PBR: PBR reached your target. So, why the hell didn't you sell?

Second question for Mr. Hsu on PBR: why did you wait for PBR to go from $75 to $ 39.61 (-47%) before selling?


And finally FLR

FLR entered the Asia Pacific Edge portfolio on June 25th at $95.02 (split adjusted).

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I want you to buy FLR under $200. I expect it to reach $240 or higher by year-end, which will give us a nice gain of 20%.


Once more Mr. Hsu demonstrated that buyng a stock at its higher price ever is quite risky.

And once more, the usual annoying question to Mr. Hsu: why waiting for the price to go
from $95 to $60 (
-36%) before selling?

Recap: Mr. Hsu's performance in these three trades (some might have done better, other worse)

  • ATW: -32.8%
  • PBR: -31%
  • FLR: -37.2%

Average: -33.6%




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