Stock and Market Speculation 30 August

Short post today on what news and some stocks that are moving in Canada.

Nothing like getting kicked in the nuts by the courts. That seems to be where we go to get our oil to market. Winter might be coming but we can't seem to get out product to market without pipelines. Yup, today was all about the pipes and how and when we'll get some new ones built.

The vote is in and Transmountain has been nixed for now. More consultation needed. I guess 42 First Nation thumbs up just wasn't enough. You can be sure more fighting ahead for the Feds and the provinces of BC and Alberta.

BC happy, Alberta sad, rest of Canada held hostage. Expect more small oil companies in the patch to pack it in. Too many bottlenecks. 

This is why I own CP and CNR as you can expect more crude by rail to be shipped. How else will we get our oil to market? Both stocks have been on a steady climb and I am a happy shareholder.

At the other end of the spectrum TRP has been beaten down in the last two trading sessions. This is a long fight.

The other major boil on Canada's ass waiting to be lanced is the trade talks between Trump and Trudeau. Friday's deadline looms large before Labour Day. Will we get a deal? The auto sector can't afford tariffs and the feds need those jobs to stay here. The markets hate all this uncertainty and are tanking today and will now make it two days in a row with a shortened trading day tomorrow ahead of the long weekend.

Canadians need investors to step in and invest in our resources. These companies are being strangled by high taxes and more regulation. All we seem to be relying on is real estate. People are borrowing money and pouring it into a house. Say hello, to the one trick pony.

As far as investing in the stocks of Canadian companies in the oil patch, I pass. Just look at any chart of any ETF invested in oil and gas stocks. It's FUGLY! These are good for short term trades only. I am lousy at it, I've tried but can't keep up with the whipsawing day to day. Even with a rising oil price the stocks cant seem to join the party without pipelines to help get their product to market. Meanwhile, the price of gas at the pump just can't stop going up here in Ontario in spite of the boasts of the new Preem to bring down the price of a litre of benzin by 10 cents. How ya makin' out Doug?

Until these two major issues are sorted out the TSX will lag. I will continue to hold ENB and TRP in our retirement accounts and keep clipping the coupon. I fully expect TRP to be on the 'Dogs of the TSX' next year and for ENB to still be there.

I talked about Pot Stocks yesterday and how they rise big and fall big from day to day. Canopy Growth was up $4 yesterday and today it's giving back $3.50. I mean when is a good time to get in and hold? Cronos Group (CRON) so far the biggest loser of the day down 25%. One day of bad news and these things just plunge. It seems that a US short seller is accusing the company of not being honest disclosing the size of it's distribution agreements with some of the provinces. Result - stock sheds over $4 in value. Really? whose truth telling here?

"We keep buying as long as we find companies that look attractive" 

- Warren Buffet, today on Bloomberg

If you trade stocks for capital gains this statement means nothing to you. I do some of that to generate capital gains. It seems my gamble on Trevali Mining has turned to shit. It has fallen through support at 78 cents and sits currently at 74 cents. Down 8% which is my SELL target where I might dump it tomorrow before the weekend sets in and implement Rule #1. 

Recent Stock Purchases

OTEX, 1% CGX, 7% LNR, 1.7% CSU 6.8%. All made within the last couple weeks. Nice to see my stock picks of recent days go green. CGX especially bought as a value play and if I can squeeze a few more bucks out of it I'll be happy to kiss it goodbye. Maybe by then weed stocks will have some value after posting earnings. I'm watching closely.

I NEVER USE MY RETIREMENT MONEY TO TRADE IN AND OUT OF 

STOCKS!

Looking for Saving Ideas so You Can Invest? 

If you are looking at ways to save money this new book The Cashflow Cookbook can help you find some savings to then use to invest.

If you are having trouble getting your financial house in order and organized then you need to read Worry Free Money. 

If you are further looking for portfolio ideas then you might find my review of The 6-Pack Portfolio a way for you to get started on your investing journey. All of our retirement money is invested in this manner. We just hold more than 6 positions.

If you want to read more about the theory and methodology of some of Canada's professional investment/portfolio managers then you need to pick up a copy of the book 'Market Masters'. Robin Speziale conducts interviews based on a set of pre-arranged questions. This will give you a real insight into how others invest money and how they think. A must read!

Have a great day on the markets. What stocks did you buy or sell today?