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NOTE TO EDITORS: The Following Is an Investment Opinion Being Issued by Smallcap-Investors.com.

-- Net Sales Increased 3.8% to $82.4 Million Led by Consumer Direct and International Sales Gains --

Since listing five reasons to sell Abercrombie & Fitch (ANF) back in August the retail stock has risen another 32%. Year to date the stock is up over 75%. And what really takes the cake is Goldman Sachs (GS) and Credit Suisse (CS) both upgraded Abercrombie earlier this month. I’m far from ashamed of my recommendation. Abercrombie is a teeny-bopping train wreck. Posting third-quarter results that were once again much worse than its peers Abercrombie has problems unrelated to the recession. The downturn has just exasperated it. And I want to reiterate my extreme bearishness toward the retailer. Abercrombie ...

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I’ve been beefing up our bullish plays on the Watch List.

If we’re going to get more bullish I thought it would be a good time to look for some bullish premises so we don’t feel totally silly paying 20-year high p/e’s for the S&P 500.  Obviously, our main hope is that the stocks we buy will grow into their earnings so the next month’s worth of reports will be key.  The bar for corporate earnings is still set at very easy to beat levels yet, like this limbo playing child, when they announce their beats of very low expectations we’re going to get all excited and tell them how great they are doing.

The problem is, these are not kids who we hope may grow up one day to be President or CEOs of major companies. these ARE CEOs of major companies and they are being paid top salaries for top performance and we, the stock purchasing public, are paying top dollar for what should be SPECTACULAR performance, not beating 75% off last year by a nickel! 

When I am being asked to buy IBM back at it’s all-time high or AMZN or BIDU or AM, PALM, NFLX, PCLN, URBN, UHS, CERN, CREE, GMCR, CY, SWM, TRLG, BKE, etc - then their performance better look like this:  

Nothing against those particular companies, any individual company can be exceptional and beat the market but are the companies we’re buying really doing exceptional things or are have we just developed such ridiculously low expectations that we have been psychologically conditioned (and Wall Street firms employ armies of behavioral psychologists for a reason) to treat these stocks and the CEOs who run them like our children.  If your child was the child in the above picture and I asked you for $20 to see here show - you might pay it.  If it’s not your child though, would you even consider making an afternoon of it?  No, of course not, you want to see the cool fire guy at the top of his game and that is what you should expect from companies trading at or near all-time highs - NO LESS!

I love President Obama but he was just given a Nobel Prize simply for not being President Bush.  On Sept 17th, PALM announced that it lost 10 cents a share, not losing the 25 cents expected and gave lowered guidance for Q3.  The non-adjusted loss for PALM was their 9th consecutive…

Looking at tons of charts this weekend, there is similar patterns on various charts. The majority of stocks have declined the past 3 days and are nearing support of their previous break out highs. The patterns look to SPX as it has the potential to move to test its August highs, but has resistance above it from its breakout highs which it broke below.[More...]

It's never too early to get your children interested in stock investing. But for most kids, the stock market is dull and just a bunch of numbers flashing across the bottom of the television screen. So how do you pique their interest?[More...]

Week after week, it’s the same story.. market continues to push forward as the rally continues to show it’s beginning to crack with subtle clues. Although on Thursday the market revealed the most glaring indication yet that this rally will soon take a breather.  The Nasdaq hit its 200 day moving average right around 1750 [...]

Chart courtesy of www.stockcharts.com ( click to enlarge ) True Religion Apparel (TRLG) - The stock needs to close again above its 200-day moving average on a daily basis in order to mitigate the negative near term view. If the stock fails to move above this level, it can decline to 15 or ...

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Market Close Live for Monday 10/30/06 Kick off the week with a 15-minute radio show hosted by Matt McCall of "Market Close Live" as he looks ahead at the week and breaks down the markets. Resilience is the word of the day as the market shrugs off poor consumer news. Find out what sector is breaking out and is a beneficiary of falling oil prices. Several stocks that have pulled back from highs and are now offering High Reward-To-Risk BUY SETUPS! Listen to the weekly kickoff to find out what Matt has to say about these topics and more.

Louis Victor comments on Sears Holdings, True Religion, American Eagle Outiftters and more