Fantasy Portfolio – January 8, 2010

What a great start to the year for the stock market! The S&P 500 was up over 2.5% and gained every day last week. My fantasy portfolio more than doubled the gains seen by the S&P 500, but the markets are very overbought right now as the technical analysis shows, so a pullback might be on the horizon. It might be a smart decision to lock in some of your gains by taking a little bit of the profit, and buying again after the pullback occurs.

I am going to be taking my profits off the table this week on anything that has over a 20% gain, and letting the rest ride. Agnico Eagle Mines (AEM) will be taken out of my portfolio, and replaced with the SPDR Gold Trust ETF (GLD), because AEM has become far too volatile for my tastes. Investing in an ETF that tracks the price of gold seems to be a smarter decision than owning a gold mining stock that could be susceptible to issues that could slow the business down.

S&P 500 at Year Start- $1,115.10
S&P 500 at End of Week – $1,144.98
S&P 500 Point Gain – +$29.88
S&P 500 Percent Gain – +2.68%

Portfolio at Year Start – $141,591.98
Portfolio at Week End – $150,145.21
Portfolio Total Gain – +$8,553.23
Portfolio Percent Gain – +6.04%

Transactions

None

Dividends Paid

1/6 $126.00 from 300 Shares of T at $0.42 per Share

Important Info and Disclosure: Fantasy Portfolio traded on Wall Street Survivor using principles learned from Jim Cramer’s Action Alert Plus. I do own real shares in AT&T (T) and Nordic American Tanker (NAT).