Morning all,

Running a little late today as I had a presentation for the last hour…there’s an hour I won’t get back, still that’s life..

Good economic news from the US overnight and some good rises in ‘Zombieland’ will ensure a positive day today especially after the sell off yesterday which did appear overdone.

The Chinese numbers were positive yesterday so not sure why we took it all so badly..first day of the month, disappointment with NAB, bit of a chart breakdown maybe..whatever it was its a problem with thin markets..exaggerated moves..so much for my 10 down day..wrong again!!!

Expect a 20-25 up day today with no real conviction yet but it has been a strange week so anything could happen…We need to ensure that yesterday’s action was not a breakdown in the uptrend…did look a bit head and shoulders to me..and I don’t mean the shampoo…so we need to push back up convincingly to avoid further falls back to the 4400 level!

My idea for ARI looks one for the even braver!!However I have written  on these sorts of takeovers before..I remember pushing Austar for months at 1.00 before it got finally taken out..

Idea of the Day: Open an option account..ask me how and why!!!

In a market that is bouncing continually around like we have now with some upward bias, I recommend you look at selling calls against blue chip positions to increase your income..it gives you a little bit of downside protection and some upside if things get exercised whilst putting dollars in your pocket..that cannot be a bad thing after all…to open an option account at BBY when you have a normal account is very simple and the contract size has been reduced to 100 shares so it’s easier for retail investors to get a parcel of shares to sell calls against..

Things to make me go all Obama!!

1.Major Bloomberg has endorsed Obama..Romney is toast I am afraid..Hurricane Sandy and the latest economic numbers have killed his run as POTUS..sorry Mitt..it’s all over red rover!!!

2.Nathan ‘No Friends” fails in his bid at the AGM to roll the board and Tony comes out swinging in defence of the company…tells Nath where to stick it!!

3.TEN…seriously…about 11% of the Network has changed hands in the last few days with Perpetual rumoured to be one of the sellers..but who is the buyer?

4.Chinese PMI out yesterday shows the Oil Tanker is turning back up after a period of slowing…expect to see more improvement when the leadership change is bedded down.

5.The Greek Tragedy continues…The country’s benchmark ASE Index (ASE) dropped 5 percent today, taking its decline so far this week to 13 percent after the government unveiled debt forecasts falling further behind its targets. Shares extended declines after a Greek court ruled that planned pension cuts may be unconstitutional.

6.New Jersey coast comparisons..before and after!!!

7.Melbourne Cup next week is shaping up to a gambling tsunami with a $100m lotto pool to add to the fun..someone is gonna have a big day!!!Me ..please!!

8.Websites that link to offensive material may no longer be able to hide behind the defence that they are not technically publishers, after an Australian man successfully sued Google for defamation.Michael Trkulja won a landmark defamation case against the technology giant over search results that linked him to underworld figure Tony Mokbel.

9.Apple continues to struggle below $600..long way back to 700…this one looks to me like a follower these days not the leader!!

10.US regulators once again getting stuck into UK banks..Barclays in the firing line as usual!!

And finally………..in the Spirit of Sandy!!

A Scottish grandma and her grandson are at the beach.

He’s playing in the water, she is standing on the shore not wanting to get her feet wet, when all of a sudden, a huge wave appears from nowhere and crashes directly onto the spot where her grandson was wading.

The water recedes and the boy is no longer there, he had been swept away.

The grandma holds her hands to the sky, screams and cries: Lord, my GOD, how could you? Haven’t I been a wonderful grandmother? Haven’t I been a wonderful mother? Haven’t I given to charity? Haven’t I lit candles every Friday night? Haven’t I tried my very best to live a life that you would be proud of?

A voice booms from the sky, “All right already!”

A moment later another huge wave appears out of nowhere and crashes on the beach.

As the water recedes, the boy is standing there He is smiling and splashing around as if nothing had ever happened.

The voice booms again. “I have returned your grandson. Are you satisfied?”

She responds, “He had a hat.”

Back on Sky TV this afternoon at 5.30….
Have a great Weekend

Clarence

XXXX

Any financial product advice contained in this email is general financial product advice only and does not take into account any one person’s objectives, financial situation or needs. Therefore, before acting on any financial product advice in this email, you should consider, with or without the assistance of an independent adviser, the appropriateness of the advice, having regard to your objectives, financial situation and needs.