In the next 30 days, we’re going to see the stock market drop by 10%. And if you buy shares of the play I’m about to reveal, you could be in for as much as 20% profits as a result…

While that may sound like a very specific prediction for a market that’s been anything but predictable this year, thanks to our newest investing tool we’ve got a little bit of added insight into where the market’s headed in the short term.

A few weeks back, I wrote to you about the Small-Cap Recovery Index that Penny Stock Fortunes editors Greg Guenthner, Jim Nelson and I have been working on here at Agora Financial HQ.  The index was designed to use the predictive power of small-cap stocks and leading economic indicators to give us some clues as to when we might get our first glimpse at economic recovery.

That’s because historically, small-caps lead

By guest author Jim Nelson (http://pennysleuth.com/a-rare-second-chance-at-making-a-fortune/)

Today you have a rare “second chance” at making a fortune.

Let me explain…

From 1990 to 2004 the number of internet users in the US absolutely exploded — going from less than 1% of the population back in 1990 all the way up to over 65% in 2004.

And, as you know by now, the rapid increase in Internet usage spawned enormous growth in computer and internet-related companies. Microsoft went up 9,750%. Yahoo jumped a whopping 7,763% in just three and a half years. And AOL, the grand daddy of them all, went up 73,050%from its 1992 IPO to its peak at the end of 1999.

The trick was to identify the growth early. And to get out before the bubble burst.

Well today we’ve got a rare second chance to “turn back time.”

As investors and traders, it’s rare that we get any second chances. But when you’re …

Sellers back in control… China, FDIC, U.S. consumers trigger global sell-off… Chris Mayer examines a disturbing trend among American investors… Signs of the times: Bernanke frets over commercial real estate, Treasury to sell U.S. mortgages to China… Greg Guenthner with a Far East opportunity growing “at an astronomical rate”…

“Investing in this market is like trying to take cheese out of a set mousetrap,” Chris Mayer begins today. “It’s very tempting to make a grab, but you are also fairly certain about what will happen if you do. The market’s 50% rise from its March lows is stunning. It’s like the cheese in the trap. But we also know that no market moves up like that for long. The kill bar is never far from such rallies.”

Check out Asia early this morning… you can almost hear that bar whipping through the air:

Imagine waking up tomorrow morning with no access to the Internet. No e-mail. No news. No streaming video.

Even though the Internet as we know it is only a couple of decades old, this is still a difficult scenario to comprehend. Entire businesses - literally thousands upon thousands of jobs - exist because of the web.

Now we’re entering an age of Web convergence. Every single element of our old media - radio, television and print - is migrating to the Internet at breakneck speeds.

Within the next five years, the depth of offerings on the Internet and the global population connected to them will grow exponentially. In fact, the worldwide Internet economy is now growing at such a rate it will be next to impossible for content providers to keep up…

Bandwidth is being eaten up left and right by more data-intensive offerings, such as streaming video. Young people are also gobbling up

CIT dodges bullet, others report super-sized earnings… are banks really on the mend? Greg Guenther with a safe way to play the volatile biotech sector… California finally plugs its budget gap… with taxes, debt and accounting fraud… Chris Mayer on a rising dilemma for miners of the world… Plus, even the dead can’t dodge the recession… backyard burials booming…

You can rest easy today… the financial crisis is over.

CIT Group, the new epicenter of systemic financial risk, got thrown a lifeline this week from its bondholders. As we reported Friday, the company needed $3 billion — fast — in order to stay afloat. It was rightfully denied a government bailout, but was able to strike a last-minute deal with holders of its debt. Of course, the market rejoiced… the S&P 500 rose 1.1% yesterday largely on the news. But again, we’re calling the market’s

by guest author: Adam Lass http://taipanpublishinggroup.com

Impressed by yesterday’s breakout? No, not really! In fact, I think you should short the pants off it.

I may as well start the column with the question everyone is asking me.

“If everything is as bad as you guys say, if the shoots are all shriveling, if banks are all screwed, if the technicals are calling for a whopping breakdown, why is the Dow breaking out?”

Are things really better all around than your erstwhile bearish correspondents have been telling you?

The simple answer is “no, it’s not.” And also, “no, they’re not.”

Facts vs. Slogans

Let’s address that second denial first.

As much as the cheerleading squad might wish to muddle the issues, the basic facts of the matter remain quite clear. Every honest economist concedes that the recession will continue through the rest of 2009 and into 2010.

We have become so numb to the word recession that many investors …

By Guest Author: Adam Lass (www.taipanpublishinggroup.com)

Anyone who has ever flown on most any commercial airline is familiar with this scenario: Your plane is supposed to depart in the next few minutes. The big board says the flight is on time. The lady behind the counter is all smiles.

But you haven’t actually boarded or anything. In fact, as you squint out the window, you can see that there is no plane available to board, a fact that the oblivious clerk seems unable or unwilling to acknowledge.

Thirty minutes after your takeoff slot has come and gone, the ubiquitous screens that decorate the departure lounge’s walls suddenly blur, flicker and light up with the announcement that some flights may be delayed… by 10 minutes.

Airlines Crash and Burn

I’ve always wondered: Is this just wishful thinking? “Maybe pixies will make a plane appear!” Or more probably, “Maybe if we say nothing, no one will complain.”

When …

Exchange Traded Funds, or ETFs for short, take an investment that’s normally complicated and simplify it. ETFs make it easy for any investor to put money into a variety of macro ideas with one easy to buy share.

Take the popular ProShares ETFs. ProShares give you the opportunity to buy and sell the Dow, S&P, NASDAQ, Russell and more.  Overall, they mimic the price of these indices, minus a small fee or transaction cost.

And best of all, it’s an easy way to buy and sell trends through your usual broker or online account. No messy futures contracts, no complicated math — just a cheaper way to invest in the NASDAQ.

But what if I told you all ETFs aren’t created equally? And what if I told you that some ETFs might really hurt your overall ability to profit?

Today, I’ve got a word of caution for you: some of the funds you’re holding

A plea to lawmakers…give liquidation a chance!

U.S. stockowners got a break yesterday…the Dow rose 236 points. News reports tell us that investors were listening to Ben Bernanke. He’s speaking to Congress…intending to boost investor confidence. But we can’t find anything in Bernanke’s remarks that would give us much confidence.

In fact, consumer confidence is at a record low. And investors couldn’t have taken much comfort from the Fed chief. Bernanke said the economy would start to grow again in 2010…and then, only if the banking system is stabilized. Of course, Bernanke is talking nonsense. He doesn’t know when the economy will begin to grow in earnest again, and if it does begin to grow it won’t be because the banking system is stabilized. You can stabilize a comatose person. You can stabilize a battlefield. You can stabilize a ladder. But stabilizing a crummy bank won’t help the economy grow. For that