John Bell, 4th May 2012

On Friday, 4th May 2012 at 0425 AM, our mysterious “John Bell” sent out the following rhapsody:

Look, I really think my upcoming pick could be my best yet.

In fact, I’m so confident I’m gonna make you a promise:

If this pick doesn’t at least DOUBLE in price, then I’ll never send you another pick again!

Remember in my last email I told you this is a “fast money” pick. That means the action is going to be very fast and very exciting.

When searching for a trade or a “fast money” pick I look for one thing.

I look for a company where the line of least resistance is upwards.

This is often because there is just not a lot of sellers in the market.

When the price starts to rise, it just keeps rising because there is little resistance.

The same pattern can occur in commodities and it’s the very reason Gold has quadrupled in the last decade.

As the price of gold rose, there was no excess supply (So the path of least resistance was upwards and gold just kept going up and up!)

Get ready for my “fast money” pick!

John Bell


Now, we have our familiar “John Bell” at work. His missives are starting to look and sound like those sent before JAMN was “officially” announced. An interesting point to recognize: before TFER, he sent a couple of e-mails that contained no energy weakly explaining two of the key metrics underlying the Magic Stock Formula of Joel Greenblatt. The Greenblatt technique pertains only to investing in companies that exhibit deep value at the time that the fundamentals are examined. Here, our “John Bell” reverts to concepts found in technical analyses to support his argument that the price of this particular company will rise very rapidly.

As with the Motley Fool, the only reason that these stock picks rise is because a stock promoter conveys excitement in the published missives. The excitement is infectious and the gamblers, who read the missives, buy without fully understanding what they are buying. One clear example of such a situation, and one that was heavily promoted by Motley Fool, is Netflix.

As I stated earlier: if you are inclined to gamble on this next “John Bell” pick, or anything promoted by Motley Fool, set your buy at a one-half percent discount to current market price, set your sell at at 17% premium to the current market price for the upside, and set the stop loss limit at a 8% discount to the purchase price. This strategy will minimize the loss, and provide about 10% gain after transaction costs and income taxes.

Or, you could exercise your own good judgment and intelligence and buy solid companies in the commodities markets on the dips, use DRIPs, and hold for 12 to 20 years.

Nathan A. Busch

6 Responses to “John Bell, 4th May 2012”

  1. New email sent today from Mr. Bell. Says the pick won’t be out ’til near the end of the month. Guess that “Fast Money” is gonna have to wait. Well, at least for those of us who haven’t yet received the tip. No telling how far down the queue I am for receiving the tip. I am sure there are plenty of fortunate ones who are already benefiting from the pump-n-dump.

    Anyone hearing anything different from JB???

    • Dan:

      As of 15th May 2012, I have not yet received notification as to the “Fast Money” pick.

      I would not consider those that buy into these “pump and dump” schemes as “fortunate.”

      Nathan A. Busch

      • Hi, Nathan:

        My tongue was in cheek in my reply. I should have used some appropriate punctuation to indicate that. =:0 This is one of the shortcomings of the ‘net, isn’t it?

        Keep us posted, please, if you “hear” more —

      • Dan and my audience:

        One of the myriad problems with communication by the Internet is that the subtleness of normal conversation is lost.

        Thank you for following this blog.

        Nathan A. Busch

      • New “update” as of today, at least for me. However, the update discussed the Facebook IPO debacle and announced that there will be a delay in the release of his next pick due to “market timing”. This “Fast Money” pick is moving at a glacial pace. Mr. Bell says it’s all about timing. I bet it is.

        Comments, anyone???

      • Dan and my audience:

        When I read these e-mails from “John Bell”, I just smile and think about how he has long-since lost any credibility that he once might of had.

        Nathan A. Busch

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