** Current Market Outlook **

It was a fairly quiet week with volume and volatility decreasing as traders await the Fed decision due this Thursday.  While conditions have improved some, the outlook hasn’t changed much.  One significant positive move occurred in the Dow on Wednesday as it cleared first level resistance with volume higher than the day before (but below average).  However, both the S&P and Nasdaq remain submerged below first level resistance levels.  The Fed decision on Thursday may provide important clues as to where this market is headed in the coming weeks.  Just how much of the inflation and rate hike fears are priced into this market?  It’s quite possible that most of those fears have been priced in and we get some sort of relief rally following the Fed decision.  At this point I’m dabbling on both sides of the fence with a bias towards the long side.  It’s important to be prepared for a rally at the end of this week by dabbling in long positions or at the very least have your watchlists at the ready and prepared to make a couple moves.

In the Model Portfolio,  I’m still holding a lone short position which continues to provide a small gain.  If you’ve read the premium Stock Watch report you received last week, you know I’m watching a few long positions for entry.  I’ll be releasing a few more to premium members in the coming days.

** Best/Worst Performers **

– Top 10 Performing Industries For the Week –

1. Silver                                             8.05%
2. Gold                                               7.55%
3. Independent Oil/Gas                      7.10%
4. Trucking                                         6.30%
5. Copper                                           6.20%
6. Internet Service Providers             5.65%
7. Steel & Iron                                    5.35%
8. Shipping                                         5.30%
9. Oil/Gas Pipelines                            5.20%
10. Industrial Metals & Minerals         5.10%

– Top 10 Worst Performig Industries For the Week –

1. Banks – Pacific                            -5.15%
2. Drugs – Generic                          -3.75%
3. Toy & Hobby Stores                   -3.60%
4. Home Furnishing Stores             -2.40%
5. Catv Systems                             -2.40%
6. Publishing Books                        -1.90%
7. Hospitals                                    -1.85%
8. Sporting Goods                          -1.80%
9. Education & Training Services   -1.70%
10. Communication Equip                -1.65%

– Top 5 Best Performing ETFs For the Week –
 
1. Morgan Stanley E. Europe (RNE)             13.25%
2. ASA Gold Mining  (ASA)                        8.65%
3. Latin American Discovery (LDF)            8.50%
4. Market Vectors Gold Miners (GDX)        8.00%
5. Templeton Russia & E. Europe (TRF)      7.75%

– Worst 5 Performing ETF’s –

1. Turkey  (TKF)                             -5.90%
2. HLDRS Broadband (BDH)          -3.26%
3. Chile Fund (CH)                          -2.60%
4. Korea Fund (TLT)                       -2.45%
5. Ishares Realty (ICF)                  – 1.35%

**  IPO’s Set to Launch This Week **

1.  Aventine Renewable Energy (AVR): Sold 13.5% of the total ethanol volume in 2005 and rapidly growing.  Revenues and profits have nearly doubled over the past year.  Starts trading Thursday.

2.  Bidz.com (BIDZ): Online auctioneer of jewelry fast becoming profitable.  Set to start trading on Thursday.

3.  Gmarket (GMKT): South Korea’s #2 online retailer is now profitable and growing rapidly.  Starts trading on Friday.

4.  Gordon Biersch Brewery (BIER): Tennessee based operator of 26 upscale brewery restaurants in 13 states isn’t all that impressive financially over the past year.  Starts trading Wednesday.

5.  J. Crew (JCG):  New York specialty retailer with 164 outlets as well as an online presence.  Has posted very good growth over the past year and set to start trading on Wednesday.

6.  Omniture (OMTR):  Utah based provider of online business optimization software.  Customers use the company’s products to manage online, off-line, and multichannel business initiatives.  Customers include AOL, Apple, eBay, Expedia, Ford, Gannett, HP, Major League Baseball and Microsoft.  The company is growing quickly but not yet profitable.  Starts trading Wednesday.

5.  PGT (PGTI):  Florida based manufacturer of residential impact resistant windows and doors.  Poor financial results over the past year.  Starts trading Wednesday.

6.  Replidyne (RDYN):  produces antibiotic Orapem, which is comarketed and developed with Forest Laboratories.  Company is not yet profitable and doesn’t appear to be close.  Starts trading Wednesday.

5.  Wintegra (WNTG):  Texas based semiconductor company that makes chips used to deliver new services for the evolving communications network infrastructure.  The company is newly profitable and growing quickly.  Shares start trading Wednesday.

** Upcoming Economic Reports (6/26/06 – 6/30/06) **

Monday:        New Housing Sales
Tuesday:       Consumer Confidence, Retail Sales, Existing Home Sales
Wednesday:  FOMC Meeting, Petroleum Status Report, Mortgage Apps
Thursday:      Fed Rate Decision, Money Supply, GDP, Jobless Claims
Friday:           Personal Income, Chicago PMI, Consumer Sentiment

** Current Market Outlook **

After taking out previous lows of this recent correction with heavy volume, the market continued its whipsaw ways by staging a big advance on Thursday.  On CNBC, the fact it was one of the biggest moves in the last couple years made a nice little headline for the day, but that’s about it at this point.  It’s easy to get wrapped up in a move like that and want to jump in and make some money on the long side.  Avoid the temptation.   Volume behind the move was surprisingly absent for such a large move.  More importantly, key resistance levels loom.  What I’m continuing to look for is decreasing sell volume as an indication that the tide is turning.  We’re not seeing that quite yet, but may be close.  As the market faces resistance in the coming days, nice short opportunities will once again emerge, but the best option right now is to remain patient and on the sidelines.

In the Model Portfolio,  (only available to premiuim members) I was forced to cover my long position in Baidu.com (BIDU) for a small loss.  Later in the week a new short position was initiated and is currently the only position in the portfolio.

** Best/Worst Performers **

– Top 10 Performing Industries For the Week –

1. Semiconductor Integrated Circuit  6.60%
2. Steel & Iron                                    6.54%
3. General Entertainment                   6.53%
4. Semiconductors – Memory            6.24%
5. Recreational Vehicles                   6.00%
6. Farm & Construction Machinery    5.75%
7. Diversified Computer Systems      5.52%
8. Industrial Electrical Equip               5.40%
9. Copper                                           5.11%
10. Aerospace/Defense                    5.00%

– Top 10 Worst Performig Industries For the Week –

1. General Building Materials          -4.60%
2. Printed Circuit Boards                 -4.55%
3. Manufactured Housing               -2.60%
4. Appliances                                 -2.15%
5. Waste Management                   -2.00%
6. Office Supplies                          -1.85%
7. Banks – Midwest                        -1.75%
8. Music & Video Stores                -1.60%
9. Education & Training Stores      -1.60%
10. Banks – Pacific                        -1.55%

– Top 5 Best Performing ETFs For the Week –
 
1. India Fund (IFN)                                      15.63%
2. Morgan Stanley India Investment (IIF)    10.45%
3. Templeton Russia and E. Europe (TRF)   9.75%
4. Morgan Stanley E. Europ (RNE)               7.75%
5. Central Europe & Russia (CEE)                7.30%

– Worst 5 Performing ETF’s –

1. Ishares Gold (IAG)                     -4.00%
2. StreetTracks Gold (GLD)           -3.91%
3. Regional Bank Holders (RKH)    -1.85%
4. Ishares Treasury (TLT)             -1.73%
5. SPDR Financial  (XLF)               – 1.58%

**  IPO’s Set to Launch This Week **

1.  Hexion Specialty Chemicals (HXN): A profitable, world leading producer of thermosetting resins used in paints, coatings and glues.  Starts trading Thursday.

2.  Home Bancshares (HOMB): fast growing Arkansas based financial holding company that’s set to start trading on Friday.

3.  Techwell (TWLL): a small, but profitable and rapidly growing semiconductor designer of mixed signal integrated circuits for video applicaitons in the consumer, security surveillance and automotive markets.  Starts trading on Thursday.

** Upcoming Economic Reports (6/19/06 – 6/23/06) **

Tuesday:       Housing Starts, Retail Sales
Wednesday: Petroleum Status Report, Mortgage Applications
Thursday:     Money Supply, Leading Indicators, Jobless Claims
Friday:          Durable Goods Orders

** Latest Blog Entries – In Case You Missed Them!**

– SelfInvestors Blog –

1. Rise To Resistance
http://investing.typepad.com/tradingstocks/2006/06/rise_to_resista.html

– ETF Central –

No new entries.

Here is your first edition of the Weekly Roundup Market Report.  As a member of SelfInvestors.com you’ll receive these reports each week to your inbox as soon as they are released, which will summarize current market conditions, state current market strategy, provide best and worst performing indusries and etf’s as well as take a look at upcoming market moving events and IPO’s set to trade.   

Part of my goal over the next couple of months, in addition to a complete design overhaul of the SelfInvestors.com website is to provide more valuable content to my f*ree members.  Enjoy and feel free to make comments and suggestions by replying to this email.  I’m always open to member suggestions to improve the service.

** Current Market Outlook **

The market remains in correction mode, but has been showing signs of finding a bottom.  Thursday’s big reversal is often times the kind of move you see at a bottom.  What I’m looking for now is quiet consolidation followed by some confirmation move (a 2% move up with heavy volume).  That would signal the go ahead to pursue long positions.  On Tuesday (PPI) and Wednesday (CPI), inflation data will no doubt move the market as the Fed remains data dependent.

In the Model Portfolio,  (only available to premiuim members) I covered short positions on Thursday and Friday and am only holding one long position.  It’s too late in the game to be in on the short side and a bit too early to be in substantially on the long side.  Essentially we’re in no man’s land waiting for more market clues as to direction.

** Best/Worst Performers **

Strenght in more defensive industries such as banks, utilities, healthcare and REITs while commodities and emerging markets continued to get hammered last week.

– Top 10 Performing Industries –
1. Healthcare Information Services  2.90%
2. Banks – Southwest                      2.60%
3. Tobacco Products                        2.20%
4. Education & Training Services     1.75%
5. Banks – Mid Atlantic                     1.70%
6. Music & Video Stores                  1.69%
7. Banks – Pacific                             1.58%
8. Banks – Midwest                          1.55%
9. Internet Info Providers                  1.53%
10. Cleaning Products                      1.47%

– Top 10 Worst Performig Industries –

1. Gold                                             -8.29%
2. Cement                                        -7.30%
3. Computer Based Systems          -7.20%
4. Silver                                           -6.98%
5. Copper                                        -6.97%
6. Heavy Construction                    -6.96%
7. Oil & Gas Drilling/Expl                  -6.92%
8. Home Health Care                       -6.59%
9. Industrial Metals & Minerals         -6.53%
10. General Building Materials         -6.50%

– Top 5 ETFs –
 
1. Ishares 20 Yr Treasury (TLT)                   1.23%
2. PowerShares High Yield Dividend  (PEY) 1.00%
3. SPDR Utilities (XLU)                                    1.00%
4. ING Global Equity Dividend (IGD)                  .91%
5. SPDR Consumer Staples (XLP)                    .68%

– Bottom 5 ETFs –

1. Templeton Russia/Eastern Europe  (TRF)     -15.31%
2. Morgan Stanley Eastern Europe  (RNE)        -13.85%
3. Central Europe & Russia (CEE)                     -13.25%
4. Templeton Dragon Fund (TDF)                      -10.38%
5. Germany New Fund (GF)                             – 10.09%

** IPO’s Set to Launch This Week **

1.  VeraSun Energy (VSE): country’s number 2 ethanol producer by produciton and THE one to watch for next week.  Profitable and growing quickly.  Starts trading Wednesday.

2.  GolfSmith International (GOLF): sells golf equiopment, apparrel and accessories; growing but still unprofitable.  Starts trading Friday..

3.  Houston Wire & Cable (HWCC): supplier of specialty wire and cable and related service; profitable and growing; starts trading Thursday.

4. Synchronoss Technologies (SNCR):  provides ecommerce transaction management solutions to the communications services market, including VOIP.  Customers include Cingular, Vonage, Verizon, Time Warner, Comcast and AT&T.  Profits and sales slipped over the last year; starts trading Thursday.

5. Verigy (VRGY):  Singapore based designer of advanced test systems and solutions for the semiconductor industry; company is growing quickly but remains unprofitable; trading starts on Wednesday.

6.  Volcano Corp (VOLC):  developer of a broad suite of intravascular ultrasound and functional measurement products, which enhances the diagnosis and treatment of vascular and structural heart desease; company net yet profitable; trading starts Thursday.

** Upcoming Economic Reports (6/13/06 – 6/16/06) **

Tuesday:       PPI, Business Inventories, Retail Sales
Wednesday: CPI, Beige Book, Oil Inventories, Mortgage Applications
Thursday:     Money Supply, Industrial Production, Manufacturing Index, Philly Fed Survey
                     Jobless Claims
Friday:           Consumer Sentiment

** Latest Blog Entries – In Case You Missed Them!**

– SelfInvestors Blog –

1. Ebay to Launch AdContext http://investing.typepad.com/tradingstocks/2006/06/ebay_to_launch_.html
2. Saved by the Bull – Convincing Reversal
http://investing.typepad.com/tradingstocks/2006/06/saved_by_the_bu.html
3.  Hansen Natural (HANS) Lacking Energy
http://investing.typepad.com/tradingstocks/2006/06/hansen_natural_.html
4.  Unconvincing Reversal
http://investing.typepad.com/tradingstocks/2006/06/unconvincing_re.html

– ETF Central –

1. Bombay Bottom? Not Quite
http://etf-fund-investing.com/technical_analysis_charts/etf-articles/bombay-bottom-not-quite/

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Want to try it out for yourself for 30 days?  Sign in to your account here: http://www.selfinvestors.com/amember/member.php and take advantage of the no risk trial.

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Have a great week!