20-some odd years ago Microsoft - MSFT took consumers by storm. They popularized the personal computer in the home, with their easy to adapt software (Windows). Over the years, Microsoft had made updates and changes to try and keep up with the times.

Soon Apple - AAPL “revolutionized” and Google set up shop in Silicon Valley. Since then, Microsoft has only had been dealt bad blow after bad blow.

With computers being such a vital part to any household or business, it is obvious that the dominant company would be the one with the most consumers. Not having many options to choose from, Microsoft has been such a huge part of the global economy for so long.

For a large part of their run, the closest competition was Apple, who specialized in computers and software; however, they weren’t much threat till post-y2k.

In Comes Google

What makes Google so unique from companies such as Microsoft and Apple is that there flagship product came through the use of the internet. Whereas Microsoft and Apple created software/hardware, Google has created internet applications.

Their Google search functions dramatically altered the way people use their computers. It allowed users to reach parts of the internet they never knew existed. They threw hotshots like Yahoo - YHOO to the curb and made multi-millionaires out of tons of their employees. Where a company like Microsoft is building from a platform towards online programs, Google is working in the complete opposite.

For some time now, Google has dipped its fingers into anything its employees could create; email software, online desktop platforms, maps, and much more. They already dominate the internet with ad revenue and search market share. There are even rumors of a Google phone to compete with the Apple’s iPhone.

Google’s browser, Chrome, only acts as another nail in Microsoft’s coffin and a step closer to world domination. In a world with so many different type of devices, platforms, and software, many people are looking to bring them all together. Google works on anything with an internet connection. That adaptability make their services very intriguing, and we can’t forget that most of their services are free.

Whats Holding Them Back

The need for an internet connection definitely hurts its ability to be taken serious as a “use-only” service. Not everybody as access to the internet everywhere they go. If you are on an airplane, out and about, or just don’t have service, then you really can’t use Google’s service. Although there are some form of offline versions, they just become to complicated and time consuming to sync everything.

Lack of physical software - What made Microsoft and Apple so popular is that these operating systems come bundled with the hardware. The being said, the average user will use what is given to them. Sure they might dabble into Google services, but only has a secondary option. Unless they can securely cut out these other platforms, Google will fail to completely take over.

Final Outcome

When a stock is already sitting in the 400’s it seems hard to say there is so much growth left to go in the stock. If Google is able to keep up their pace, then their is no reason why Google could not get to $900 in the next four years.

It is important for Google to no over-saturate the market with different “so-so” products but if they are able to somehow further knock out Microsoft, keep control of the internet market share, and gain in the offline area, then just sit back and enjoy the ride.

INO - Check out a free trend analysis for Google

Many have already dumped their energy holdings, but, for those that haven’t, you just might want to hold on for a little bit longer.

Sure we had Gustav and then soon Hana, Ignacio, abc.. (who remembers the name). The point is winter is just around the corner.

We know it WILL get cold. People will have to put on the heat and whatever else keeps them warm. It WILL get darker sooner, and people will be spending more time inside. The weather will make more people drive, rather than walk, bike, or whatever.

Regardless of the price, hurricanes, or other horrible factors, we can’t avoid mother nature and more energy WILL have to be consumed.

This is why I am not yet giving up on energy. Now I am not going out and buying any stock in the sector. I would still stay with “best of breed” names. Obviously we have to use more energy every winter, so its not like the up-coming season will be any different. In fact, the demand might be a little less than other winters because people trying to conserve, but the demand WILL still be there.

When demand is greater than supply, prices increase. When supply gets low, producers look for alternative sources to help cut costs. It is basically a revolving circle.

Stocks to stay focused on

There are probably many different energy stocks that could be on the rise come winter. The ones I am looking at are Haliburton (HAL) and Chesapeake Energy (CHK). Both these stocks saw great runs for the first half of the year followed by great retreat.

These two stocks shouldn’t be sitting at this level. Once energy becomes the hot topic again this winter, look for both of them to rise. They both have a great business plan and have their hands deep in producing.

We all want to hibernate in the winter and watch some football, at least most of us. Pick up some Hal and/or CHK and come back after the Super Bowl (February) to pick up your profit.

In a market where there are so many uncertainties I will finally be happy to feel the cold air.

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By looking at the chart above, we can see how VOCS just bounced off its latest support at $34.20. Now we have the stock sitting in between our trading zone.

Buy target is $36.60. Price Target is $39.00.

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Hopefully you already know why support and resistance are, in terms of the stock’s price. Essentially the support is a price where there seems to be something holding the stock from going down any lower. The resistance is exactly the opposite. Think of it like a ceiling. You may keep pounding away at it, but eventually with some force (or good volume in the stocks case) the stock will push through.

Support and resistance is a very common and easy tool to determine if you should even gain interest in a stock. It can generally be seen without any actual annotations on the chart.

Fibonacci

I am assuming this tool was named after the creator or something, but I really don’t care. Most people correlate fibonacci with retracement. By simply selecting the start and end point of the latest dominant trend, one can see if the stock has pulled back 31%, 50%, or 61%.

Lets quickly look at a couple examples:

A recently featured J.B. Hunt Transport Services, Inc (JBHT). I said it was on the verge of passing the 61% retracement line (marked as the top black dot in chart below). As we can see, the stock did not make it past that price point. So our buy point of $37.20 wasn’t reached and we didn’t lose any money!

Now lets look at something that has panned out a little longer:

Google (GOOG) has been on a little roller coaster over the past year or so. Once the stock hit its high in the 700’s and then came tumbling down, it should of been time for people to pull out the fibonacci. As the stock seemed to have “bottomed out,” many thought the stock’s next rally was going to rocket right past $730.

Unfortunately it hit around the 61% retracement, which should of signalfied a warning. Google has yet to push past that level ever since.

There are several different ways to use Fibonacci or any type of technical analysis. It is up to you to see which one works best for you.

INO - Check out a free trend analysis for J.B. Hunt Transport Services, Inc and/or Google

It is a pretty simple read. Just follow the upward trend as clarified by the red line. Buy target is highlighted in green. This stocks tends to move pretty slowly, so don’t get impatient. Wait for the proper setup before taking any action.

Buy Target is above $8.30. Price Target is $9.50.

INO - Check out a free trend analysis for Optimer Pharmaceuticals

Once it hit the lowest support line, the pattern held its form. Now we see the different potential price target circled in green.

INO - Check out a free trend analysis for Tween Brands

From looking at the chart below, we want to see the stock comfortably hit $37.20 for our buy target. By waiting for that price, we can safely say that the 68% retracement has been passed.

Buy target is $37.20. Price Target is $40.00.

INO - Check out a free trend analysis for J.B. Hunt Transport Services

Basically it is MarketClub’s trading practice. In their built in chart system, there are options that allow you to show the different triangle signals. A green means upward trend, while red equals downward trend, and it is pretty accurate.

Here is an example of how the triangle trade benefited me:

As you can see ALL the triangles on the chart above were pretty accurate. The price distance between some may have not been that large, but something is better than nothing.

If you want to know more about the triangle trade, then check out this video from the President of INO (the company behind the triangle trade).

If you also want to learn more about MarketClub and their investment community then sign up for all the latest trader’s blog postings (It’s free).

Helmerich & Payne (HP) looks to be making a clean turnaround. The stock as bounced off a 50% retracement level, which happened to also be a 6 month support for the stock. Together it seems like a strong candidate for a move up; however, to reduce some risk, I would wait to see if HP breaks through its 68% retracement level ($58.27).

Buy target is at $59. Price target is at $73.

INO - Check out a free trend analysis for the Helmerich & Payne

For much of the year, CIG has hit some great growth; however, it has come back down a little over the past couple of months.

By using the fibonacci tool on the recent uptrend, we can see the stock currently sits at its 68% retracement level (as seen in the chart above) at round $22 level. A bounce either way should dictate your trade.

A bounce upwards should indicate a price target of $26. If the stocks continues to head downwards, then we can look at potential break points at the other retracement levels (around $20.75 and $19.50).

INO - Check out a free trend analysis for the Companhia Energetica Minas Gerais