Does the following give a pretty good picture of your current marketing activity?You have a website but you’re not really satisfied with it. You go to networking events once in awhile. If someone asks you to give a talk, you’re happy to do it. You post on Facebook and/or LinkedIn semi-regularly. When you find the time, you send an article to those on your relatively small email list. You occasionally set up meetings with colleagues to explore opportunities.Now there’s nothing wrong with any of those marketing activities. And usually, they will result in landing some new clients.But this is not the approach that works to get a steady, predictable stream of new clients.Please don’t tune me out here, thinking, “Well, I really can’t do more than this. I’m already stretched thin. If you give me too much to do I’ll get overwhelmed.”I agree. It’s not that you need to do more marketing, it’s that you need to shift your marketing paradigm from one of “Randomness” to one that is “Focused.”Random marketing is just that; it’s all over the place. You do a little bit here and a little bit there on an inconsistent basis. You are trying to keep your face, name, and message in front of your prospective clients but the results are unpredictable.The Random marketing paradigm is not very effective because it doesn’t gain a lot of momentum. You don’t do enough of one marketing activity to grab the attention of your prospective clients and move them to take action.The Focused Marketing Paradigm is very different. It’s based on repeatedly communicating very directly to your target market with a very definite end in mind. It gets the attention of your prospective clients and they ultimately take action.The Focused Marketing Paradigm has Five PillarsUnderstand and implement these five pillars and I promise you’ll see a shift in your marketing results.Pillar One: Focused GoalsA Random goal is saying something like, “I’d like to attract a few more clients to my business.” Not very compelling is it?A Focused goal is much more specific. “My goal is to land 3 new clients in the high-tech plastics business in the Houston area with an average project size of $30,000 each by the end of the year.”The more detail, depth, and specificity about the goal, the better. You’ve really thought through what you want to achieve and also have confidence that you could deliver if you did reach your goal. It’s so real to you that you can taste it.What is the Focused Goal for your marketing?Pillar Two: Focused Program or Service Random programs or services are generalized consulting, coaching or training programs. “I offer management consulting and training to corporations.” Kind of vague, right? But this is what I hear all the time.A Focused Program or Service is more tangible. “I offer the high-tech plastics industry Management Acceleration Programs for emerging leaders in the industry.”In my business, I’ve always offered programs: The Marketing Mastery Program, the Marketing Action Group, and the More Clients Club. And each program has very specific parameters, deliverables, and objectives. It sure makes intangible services easier to market and sell.What is the Focused Program or Service you’re offering?Pillar Three: Focused Target MarketIn the above example, the target was the “high-tech plastics industry.” But it’s more common to hear things like, “I work with large companies who want to increase productivity.” This is too general and it makes it hard for clients to know if you understand them and can help them.A Focused target market is where you are absolutely clear what kinds of people or companies can most benefit from your expertise. And then you articulate that clearly.I worked with a financial planning company last year that targeted middle class families in the Buffalo New York area. Guess who they attracted to their practice? When people read about who they worked with on their website, they said, “That’s Us!” and called them.Who exactly is your Focused Target Market?Pillar Four: Focused Message and Value PropositionA Random message or value proposition tends to be too general and can be hard to pin down. It avoids making a promise that is meaningful to the prospective client.Messages such as, “We offer the best service in the industry,” or “Smart insights into great management,” are meaningless to your prospective clients. The value is not immediately obvious.A Focused message or value proposition zeros in on exactly what your clients get and what it means to them. I admit that this can be the marketing pillar that is hardest to pin down. Ultimately you have to test a number of different things.For the re-launch of the More Clients Club, my current value proposition is: “Everything Self-Employed Professionals Need in One Place to Attract More Clients.” And now, of course, I’m bending over backward to deliver on that promise.And a marketing message or value proposition is much more than a sound bite. Your message must permeate every aspect of your marketing, from your website to the emails you send out. Your prospects need to be constantly reminded of the value you offer.What is your Focused Message or Value Proposition?Pillar Five: Focused Marketing StrategyA Random marketing strategy is much like the collection of marketing activities I outlined at the top of the article. You’re just all over the place, throwing something at the wall, hoping it will stick, with no organized system or plan.A Focused marketing strategy is more like a putting on a theatrical production. You have the script, the actors, rehearsals, and opening night, all executed on a strict timeline.Two examples:For my Marketing Mastery Program, I held a series of introductory teleconferences, invited those interested to apply for the program, interviewed each applicant, and then converted 50% into participants. Over a 6-week period, I filled my business for a full year – four years in a row.A career coach in one of my programs recently filled her practice in three months with a focused campaign of personalized emails designed to get appointments with her ideal clients. Then she converted a large percentage into paying clients.That’s the power of a focused marketing strategy.You need to identify the right marketing strategy for your business, but even more important is the way you organize and implement the strategy.Developing a focused strategy is the most complex and challenging of the Five Pillars. You can’t just put together something haphazardly and hope you get the equivalent of a professional Shakespearian production.What is your Focused Marketing Strategy?If you work to build a focused plan with these five solid pillars, your marketing will work better and faster, attracting more of your ideal clients, usually at a higher rate.I recommend you work on one pillar at a time. Write them out and fine-tune them until you feel confident and excited about them. Yes, you will need to do some research and study to make sure your plan is viable. But this is certainly better than spinning your wheels with a random strategy that is going nowhere.Cheers, Robert

SEO outsourcing helps improve search engine visibility with SEO companies coordinating the various elements that go into creating a successful and evolving search engine optimization strategy.Search engine optimization is a tricky thing to master. There are many aspects involved in SEO. It’s about getting on top of the search rankings for sure, but it requires the coordination of various disciplines to bring about the desired results. In other words, businesses need to maintain a separate department for SEO which could prove resource straining for small and medium sized businesses. For such companies it would make more sense to outsource SEO.Various Elements of SEO Outsourcing ServicesSEO outsourcing is offered by professional SEO companies that have vast experience in SEO and have helped many organizations scale the heights of success. Professional SEO services offered by reliable and efficient SEO companies cover many areas including the following:• Search engine ranking
• Social media optimization
• PPC marketing
• Email campaigns
• Other comprehensive Internet marketing means
• Link building
• Conversion optimization
• E-commerce
• Bounce rate reductionDepending on your specific business requirements, your business needs all these solutions in order to have a website that helps you gain more earnings and fulfill your long term goals. Comprehensive SEO outsourcing can ensure efficient handling of these tasks.User search trends evolve and so do search engine algorithms. A successful SEO strategy is one that evolves according to these changes. The experts at the SEO company are prepared for these, sometimes gradual or sometimes sudden, changes. A small slip-up in the overall rankings could give your rivals a significant advantage.Examples of the SEO Company’s ExpertiseKeyword SelectionThe major factor that affects rankings is still keywords. Choosing the keywords to optimize the content of your website requires research. Professional SEO services are provided on the basis of constant research carried out by the SEO experts using innovative technologies. Keyword tracking tools are one of them. Not only should keywords be selected that are instinctively searched by users, but also those that have not been exploited much by competitors.Once the competitive keywords are decided upon, which will really help improve your search rankings performance, they are judiciously added to the content for which trained SEO copywriters are employed by the SEO company.Social Media PresenceLikewise, SEO outsourcing helps in giving your business a significant presence in the social media platforms. The SEO company can plan the necessary strategies to help increase your followers and friend circles in Facebook, Google+, Twitter, Linked In and other networks. The more the followers, the greater is the likelihood of people knowing about your business and clicking the links to your site. Social media experts of SEO companies know how to keep the interest in your social media profile high. The same applies for blogs on Blogger and other blog sites as well as article submissions.These are some of the ways how affordable search engine optimization services make the difference for your business. SEO outsourcing helps improve search engine visibility through various means.

I have been involved in franchising dozens of businesses, at last count over 60. Some from concept and some where we converted an existing business to the franchised model and I am really happy to deal with either pathway with one really important proviso.The business owner must have a reasonable understanding on what it takes to run a business successfully – franchised or not.And unfortunately I have concluded this is easier said than done.Done well, franchising does help to structure a business so that it has the best chance of success because franchising helps to put some great business practices in place. Systems and money management being at the top of the list. But overall, I have found that in most businesses, there are some aspects about business success which need to be reviewed and without sound business experience, creating a franchise is not likely to succeed.Understanding how business works is especially important, because you, as franchisor, will often be training less business savvy-franchisees on successful business practice.The most useful way I have found to think about business success is to look at the stages of business growth because it is through this journey that many learn the value of different business skills needed as they grow.The 5 Stages of Business GrowthWay back in the early 1980′s, the concept that businesses grow through defined stages was first discussed in an article published in Forbes by Neil C. Churchill and Virginia L. Lewis. This work is still cited to explain the importance of basic business elements to success.Before I go into the 5 stages, there is one important point to make.Businesses do not necessarily need to go through each stage. It is possible to speed through stages into whichever is your goal. The way to do this is to understand what is required. This is how the likes of Richard Branson create new businesses everyday – Richard will have all his business ducks in a row before he starts. But even his businesses will need to go through some of these stages on the way to creating an empire.In a nutshell these are the stagesStage 1 – ExistenceThis is generally the start-up stage for any business. With no revenue, the focus of the business owner is obtaining customers and delivering the product or service. Inevitably, the owner is definitely working in the business, often alone filling every role. A major concern is having enough money to cover this start-up phase. The strategy here is simply to stay alive.Stage 2 – SurvivalBy now, the business has proven it is workable and can be profitable but it is still simple in structure. There may be a limited number of employees supervised by a sales manager or a general foreman but neither will make any major decisions independently. They carry out the rather well-defined orders of the owner.Systems development is still minimal. Formal planning is, at best, cash forecasting. The major goal is still survival, and the owner is still the business and working in the business. The main aim is to get a return on investment and making the business profitable.However if the business is to grow, it is important to begin to understand the need to systemise and understand how business operates.Some small businesses choose to stay here, hardly making a profit, others choose to move into the Success Stage.Stage 3 – SuccessAt this point, the company is stable and profitable and cash is not a problem. Most telling, basic financial, marketing, and production systems are in place to power effective delegation.Organizationally, the company has grown large enough, in many cases, to have functional managers to take over some duties previously performed by the owner and some planning through operational budgets support this delegation.There should also be some strategic planning in place and the owner and, to a lesser extent, the company’s managers, should be monitoring this in accordance with goals.While cash is plentiful, the main concern is to avoid a cash drain in prosperous periods to the detriment of the company’s ability to withstand the inevitable rough times.Some choose to stay in this phase while others choose to move into a phase of growth.Stage 4 – Rapid GrowthIf the decision is made to grow beyond the Success Stage, then key problems will be how to achieve growth and how to finance it. Growth will return to a phase where cash management becomes critical.Churchill and Lewis report they found the keys to success here are having a sound understanding of delegation and how to manage risk in cash flow.As staff numbers grow, systems need to become more refined to ensure delegation is efficient and both operational and strategic planning are crucial to make sure everyone is on the same page.At this stage, the owner no longer works in the business but does have a strong presence over the way it is run and over things such as stock control.Churchill and Lewis state:’This is a pivotal period in a company’s life. If the owner rises to the challenges of a growing company, both financially and managerially, it can become a big business. If not, it can usually be sold-at a profit-provided the owner recognizes his or her limitations soon enough’Stage 5 – MaturityThe company has now arrived. It has the advantages of size, financial resources, and managerial talent. If it can preserve its entrepreneurial spirit, it will be a formidable force in the market.If not, it may enter a sixth stage of sorts: ossification and death.Franchises often do it betterYes, even in the 1980′s when the Churchill and Lewis first published their article, it was acknowledged that franchised businesses moved through the stages to Success and Rapid Growth better than those not franchised.Why?Because franchises often have the following advantages:First of all, they have, in most cases, a franchisor who really understands, through experience, the essentials of business, making sure clear structures are in place from the beginning to move through Existence and Survival fast.At the very least they will have:
A marketing plan developed from extensive research

Promotion and other start-up support such as brand identification

Sophisticated information and control systems so the whole franchise can be monitored

Operating procedures that are standardized and very well developed so delegation is consistent and efficient
I would add that, if the franchisor has really done the homework, there will also be:
Strong leadership for the group and an understanding of managing teams of equal partners

Good strategic and operational planning which has input from all franchise partners

And a very clear understanding of money management in the franchise group, making sure that all levels of the franchise can be profitable
I have to say, not many business I see have all these business aspects in place when they start to think about franchising. And the franchise process will help to put some in place. Things such as systems will be built and it will be essential to have a sound understanding of money management as the franchise structure is developed. If you are still working in the business though, putting in 60 or 80 hours a week, I think you will find the extra work and emotional energy to do the conversion can be more than a little overwhelming.The Pillars for Successful Business GrowthSo what’s the answer?It’s really quite simple…In discussing the five stages of business growth, Lewis and Churchill identified some skills needed and show that these skills are what are built up through the business growth process.
Money management
Systems development
Delegation, leadership and people management which results in leveraging you out of the day to day of the business
Strategic and operational planning
In my mind, today, there is at least one other skill to be added.
Marketing and your brand
The thing is, I know very few of us, if any, have the individual skill to deal with every business ability to a satisfactory level, so creating a team is an essential component as soon as it is possible. The key is to understand each area and to know who to put into your team to move you and your business forward.So here is some detail.Marketing and Your BrandHaving a good understanding of your target market, what is wanted of you and what your brand should look and feel like is essential from the earliest days of business.If you do not understand how important this is, you need to think about getting help from the beginning.Fundamental today is knowing that people respond to the power of Why. If you do not know of Simon Sinek’s amazing Ted Talk on this then visit Start With Why and listen to what he has to say.Once your brand is sorted, you need to think about how to get your message out into the very different market place of today. Central to this is your internet presence. Businesses without will generally not have the ability to grow beyond their local area if they even manage to reach that level.The foundation of marketing today is the ability to communicate to your people in today’s vernacular and the bitter truth is that’s the killer for 80% of businesses.Money Availability and Its ManagementManaging business through the various growth stages from inception to maturity needs a good understanding of money. How to manage cash flow, what level of risk is good (some is inevitable), expense management and the need to spend to get growth.The other requirement is the need for capital to fund different growth stages. Existence, Survival and Rapid Growth all need capital in one form or another and not having the cash can seriously hinder the process.SystemsSystems are the foundation of a growing business. In the early stages, not so much but moving beyond Survival requires the ability to delegate for which systems are essential.systems, no growth. It’ as simple as that!Delegation and LeadershipDelegation needs more than just good systems. The biggest problem faced by many entrepreneurs is letting go. Ego and thinking no one can do it as well as you is a trap.In today’s business environment, delegation needs to be done in accordance with the three Laws of Type I management – motivating people through their own intrinsic wish to do their best.Outlined by Daniel Pink in his book Drive: The Surprising Truth About What Motivates Us, Pink looks at how the best organisations motivate today in a way that gives their people the drive to take the organisation far.First is Autonomy. Select people who love the job they will be responsible for and then give them the autonomy or ability to do it their way with as few essential boundaries as are necessary.Second is Mastery. Select people with an open mind, who do not see their abilities as finite but rather know they will grow with practice and pain and who love a challenge. Put them into a job where they will always be looking to do things better but not one which will overwhelm. They will then go into the flow and give back to the organisation many fold.Third is Purpose. Human beings seek purpose, a cause greater and more enduring than themselves. Simon Sinek and his ‘Start With Why’ YouTube video will help to see this point.If you can combine profit maximisation with purpose maximisation then this will take you far. As Simon Sinek shows, think of Apple as an example.And finally, remember, leadership requires humility. Yes you need the vision. But the ability to give clear directions at the appropriate level, listen to your troupes, change direction when needed, and really understand what team work is all about is key.Again, Simon Sinek puts it so well in his latest book ‘Leaders Eat Last’. Simon’s central tenet comes from the US Marines where leaders always stand at the back of the line when it comes time to be fed. If there is no food left, it is their bad luck and that is when they rely on their troupes to provide from their share. Would your troupes willingly feed you?Strategic And Operational Planning and Keeping an Eye on Those All-Important KPI’sFinally, this is your job. Especially as the business becomes more sophisticated and grows larger.Making sure you have an eye on the strategic direction of the business and know where it is going. Every leader has a clear picture of this and can give this picture to the team.In ConclusionYes, at the beginning every business owner is in the business doing every task. But as you grow remember, the more you can put in systems and delegate and have some sort of business direction in place, the faster you will achieve the goals you are looking for.Goals are great. Planning how those goals are going to be achieved is better. Keeping an eye on how the organisation is travelling against those goals is best.The more successful your existing business or even a past business, the more likely you have what it takes to create a successful franchise group.Plan and check out how you are travelling with your team regularly.

Televisions come in a variety of sizes ranging from the corner stand TVs to the complete range of home theater systems. While finding a place to store a normal size TV proves no problem, finding space for your big screen entertainment center may require some elaborate planning.For setting up a big screen entertainment center, you need to first make a list of components and equipment that will be needed. A typical list of components will include the TV, VCR, laser disc player or DVD player, stereo system, and console-based game station.Given the varied assortment of the components involved and their sizes, big screen entertainment centers take up a lot of space in any room – living or bedroom. That means they need to be aligned to any one wall in a room. Apart from the electronic equipment, these big screen solutions also have provisions for books and a computer.This means that these centers can fulfill the relaxation and recreational needs of several people at once and therefore, these entertainment centers become the converging point for entire family. The position of a big screen entertainment center also determines the setting of the entire room.An entertainment center aligned to a wall can become the anchor of the entire room, around which the rest of the furniture such as the sofa, is arranged. The entertainment center and the rest of the furniture of the room should blend aesthetically with the décor and color scheme of the room.In fact, a host of contemporary and traditional designs allow for the TV, DVD player, PC and other peripheral components to blend gracefully together with each other as also with the décor of the rest of the room.All said, television is only one of the many elements of a big screen entertainment center. In addition, you can also place your PC in the entertainment center and use it to download music or video. Yet the TV continues to rule supreme as the biggest home entertainment provider. To get the complete theater sound effect, you can connect surround-sound speaker systems. The sound of these systems varies depending on where you place them.

Investment is important from many points of view. Before doing investment, it is essential to understand what is investment and its importance?”Investment is an act of investing money to earn the profit. It is the first step towards the future security of your money.”Need of InvestmentThe investment can help you in the future if invested wisely and properly. As per human nature, we plan for a few days or think to plan for investment, but do not put the plan into action. Every individual must plan for investment and keep aside some amount of money for the future. No doubt, the future is uncertain and it is required to invest smartly with some certain plan of actions that can avoid financial crisis at point of time. It can help you to bring a bright and secure future. It not only gives you secure future, but also controls your spending pattern.Important Factors of InvestmentsPlanning for Financial investment – Planning plays a pivotal role in all fields. For the financial investment, one must have a pertinent plan by taking all rise and fall situations of the market. You should have a good knowledge of investment before planning for financial investment. Keen observation and focused approach are the basic needs for successful financial investment.Invest according to your Needs and Capability- The purpose behind the investment should be clear by which you can fulfil your needs from the investment. In investment, financial ability is also a component that can bring you satisfaction and whatever results you want. You can start investment from a small amount as per your capability. You should care about your income and stability to choose the best plan for you.Explore the market for available investment options – The investment market is full of opportunities, you can explore the market by applying proper approach. You can take help from financial planners, managers who have thorough knowledge about investment in the market. Explore the possibility of investment markets and touch the sublime height of success by the sensible investment decisions.By taking help from an experienced, proficient financial planner and traders can also give you confidence to do well in the field of investment. Now the question strikes the mind that what are the types of investments?Types of InvestmentsMutual Funds- Basically the mutual fund is a managed investment fund in which money is pulled from the investors to buy the securities.Commodity Market- In India, it is a popular place of traders to invest their money. The commodity market comprises of MCX (Multi Commodity Exchange) and NCDEX (National Commodity and Derivatives Exchange) both. In Multi Commodity Exchange market, you can invest in crude oil, precious metals as gold, silver and base metals as copper, aluminium, nickel, zinc and many more. While in National Commodity and Derivatives Exchange market, you can invest in all agricultural commodities as guar, soya bean, cotton, sugar cane and many more.Stock Market- It is the place where various people trade globally and earn the maximum return on investment. However, it is essential to know the bull and bear of the stock market for investing in it. The Stock market for investment also includes the equity market and nifty market. You can invest in equities and nifty market and get good amount profit by focused approach and keen analysis of market trend.Bonds – It is the best ways to gain interest on your principal amount. The interest and period of time depends on the agreement. In this, a holder lends a particular amount to the issuer (borrower) for a fixed period of time. At this time, you will get the interest from the borrower and after completing that fixed period of time borrower will return back your money. A long term tool for financial investment.Fixed Deposits – The Fixed Deposit (FD) service is provided by various banks that offers investors a higher rate of interest on their deposits as compared to a regular savings account. Fixed deposits have the maturity date to gain the return on investment.Real Estate- One can also invest in the real estate and deal with the residential and commercial property. This is also a trending way to earn a good return on investment.There are various financial planners, financial managers, trading tips provider who can give you numerous options for investment in the market. But it is essential to choose the options wisely.

Student health care programs offer health benefits at a greatly reduced cost, allowing students to pay for it themselves or allowing their parents to include their children’s health care plans with little additional cost to them. Student plans provide a great option to ensuring the good health of your children without having to take on a significant amount of extra financial burden, and also provide a way for students putting themselves through school (and supporting themselves financially) to maintain a level of health insurance. Here, we’ll go over how student health care plans work, as well as why you might want to consider them either for yourself if you are a student, or for your children.Student health care plans can be acquired from a number of different sources. Some private insurance companies provide parents with health care options for their children, specifically geared towards keeping students healthy. There are also publicly and privately funded state and federal programs for helping students pay for health insurance. Some of these programs provide different benefits by working with individual schools to help set up unique types of plans for each student. This means it’s important to do a little research on your current health care provider, as well as the school you or your child is attending in order to find the best deal on student plans.Student plans are used primarily to keep students in good health in order to allow them to go to school without missing attendance, as well as ensure their good mental health throughout their education. Students who are in better physical health exhibit higher test scores because they tend to miss fewer classes, and need to repeat classes much less frequently than those who have consistently poor health. A healthy student will also tend to be less stressed about school, and will be able to maintain a more active lifestyle both physically and socially.The benefits of student plans are far reaching and very important to any young person going through an education. If you are a student or the parent of a student, looking into student health care is a great way not only to save money, but also to ensure that you or your child is in consistently good health. Student plans can range from typical care such as doctor’s visits, emergency care, and so on, to catastrophic coverage, dental, and other types of health benefits.If you need assistance in locating particular coverages at a pre-determined price, we can help save 50% on health insurance

Whether it’s planned or it happens suddenly, losing a leader in your home health care agency can disrupt business and leave you feeling rudderless. With the industry more competitive than ever, lack of leadership for even a short period of time makes a huge impact. Interim home health care management prevents these disruptions from harming your business and puts you back on the path to growth.Working with interim managers lets you take advantage of the skills of an experienced home care professional and helps you better meet the needs of your clients. They can operate as your CEO, CFO, COO, or fill any other management position to refocus your agency and implement change. But for an interim home health care manager to be successful, you and your employees need to take a few steps to make the most out of the experience.Why Hire an Interim Manager?
In addition to the obvious benefits of bringing in executives with the right experience, you also know you can trust their motives. After all, they have no history with your agency and no axe to grind. All politics aside, they’re just there to put their talents to good use and put your agency back on track. They help you develop short- and long-term goals and recommend cost-effective solutions to make your agency competitive. An interim home health care manager can also be flexible to work around your schedule and take on multiple roles.Use an Organizational Assessment
You will want to work with an interim manager who begins by performing a thorough organizational assessment. This audit takes a close look at all of your systems, people, and processes to uncover problem areas and understand your operations. It also ensures the interim management services are aligned with your agency’s needs and goals. After getting a clear picture of your agency’s strengths and weaknesses, an interim home health care manager can then develop a plan to achieve your specific goals. Keep in mind that this may require organizational restructuring too.Be Open and Ready to Change
You bring in interim home health care managers for a reason. While it may be hard to hear some of the things that need to change in your agency, remember that they have no personal stake or attachment to your agency. Your agency’s growth and development are at the center of every decision, so the advice they provide is for the greater good of the company. All you have to do is be ready to change and follow their lead.What’s Your Opportunity?
Whether your agency is in transition or has an immediate need, approach this time as an opportunity to develop your agency into a leader in your market. Put an interim home health care manager to work for your business to solve your short-term challenges and achieve long-term goals. By providing valuable insight into your company that a traditional manager may not be able to offer, an interim manager can help guide your growth and sustain your success well into the future.

#EANF#

Key Insights
The strong pullback in the U.S. dollar provided significant support to stocks.
Treasury yields have pulled back after touching new highs, which served as an additional positive catalyst for S&P 500.
A move above 3730 will push S&P 500 towards the resistance level at 3760.
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Pfizer Rallies After Announcing A Huge Price Hike For Its COVID-19 Vaccines
S&P 500 is currently trying to settle above 3730 as traders’ appetite for risk is growing. The U.S. dollar has recently gained strong downside momentum as the BoJ intervened to stop the rally in USD/JPY. Weaker U.S. dollar is bullish for stocks as it increases profits of multinational companies and makes U.S. equities cheaper for foreign investors.

The leading oil services company Schlumberger is up by 9% after beating analyst estimates on both earnings and revenue. Schlumberger’s peers Baker Hughes and Halliburton have also enjoyed strong support today.

Vaccine makers Pfizer and Moderna gained strong upside momentum after Pfizer announced that it will raise the price of its coronavirus vaccine to $110 – $130 per shot.

Biggest losers today include Verizon and Twitter. Verizon is down by 5% despite beating analyst estimates on both earnings and revenue. Subscriber numbers missed estimates, and traders pushed the stock to multi-year lows.

Twitter stock moved towards the $50 level as the U.S. may conduct a security review of Musk’s purchase of the company.

From a big picture point of view, today’s rebound is broad, and most market segments are moving higher. Treasury yields have started to move lower after testing new highs, providing additional support to S&P 500. It looks that some traders are ready to bet that Fed will be less hawkish than previously expected.

S&P 500 Tests Resistance At 3730

S&P 500 has recently managed to get above the 20 EMA and is trying to settle above the resistance at 3730. RSI is in the moderate territory, and there is plenty of room to gain additional upside momentum in case the right catalysts emerge.

If S&P 500 manages to settle above 3730, it will head towards the next resistance level at 3760. A successful test of this level will push S&P 500 towards the next resistance at October highs at 3805. The 50 EMA is located in the nearby, so S&P 500 will likely face strong resistance above the 3800 level.

On the support side, the previous resistance at 3700 will likely serve as the first support level for S&P 500. In case S&P 500 declines below this level, it will move towards the next support level at 3675. A move below 3675 will push S&P 500 towards the support at 3640.

Summary
SPDN is not the largest or oldest way to short the S&P 500, but it’s a solid choice.
This ETF uses a variety of financial instruments to target a return opposite that of the S&P 500 Index.
SPDN’s 0.49% Expense Ratio is nearly half that of the larger, longer-tenured -1x Inverse S&P 500 ETF.
Details aside, the potential continuation of the equity bear market makes single-inverse ETFs an investment segment investor should be familiar with.
We rate SPDN a Strong Buy because we believe the risks of a continued bear market greatly outweigh the possibility of a quick return to a bull market.
Put a gear stick into R position, (Reverse).
Birdlkportfolio

By Rob Isbitts

Summary
The S&P 500 is in a bear market, and we don’t see a quick-fix. Many investors assume the only way to navigate a potentially long-term bear market is to hide in cash, day-trade or “just hang in there” while the bear takes their retirement nest egg.

The Direxion Daily S&P 500® Bear 1X ETF (NYSEARCA:SPDN) is one of a class of single-inverse ETFs that allow investors to profit from down moves in the stock market.

SPDN is an unleveraged, liquid, low-cost way to either try to hedge an equity portfolio, profit from a decline in the S&P 500, or both. We rate it a Strong Buy, given our concern about the intermediate-term outlook for the global equity market.

Strategy
SPDN keeps it simple. If the S&P 500 goes up by X%, it should go down by X%. The opposite is also expected.

Proprietary ETF Grades
Offense/Defense: Defense

Segment: Inverse Equity

Sub-Segment: Inverse S&P 500

Correlation (vs. S&P 500): Very High (inverse)

Expected Volatility (vs. S&P 500): Similar (but opposite)

Holding Analysis
SPDN does not rely on shorting individual stocks in the S&P 500. Instead, the managers typically use a combination of futures, swaps and other derivative instruments to create a portfolio that consistently aims to deliver the opposite of what the S&P 500 does.

Strengths
SPDN is a fairly “no-frills” way to do what many investors probably wished they could do during the first 9 months of 2022 and in past bear markets: find something that goes up when the “market” goes down. After all, bonds are not the answer they used to be, commodities like gold have, shall we say, lost their luster. And moving to cash creates the issue of making two correct timing decisions, when to get in and when to get out. SPDN and its single-inverse ETF brethren offer a liquid tool to use in a variety of ways, depending on what a particular investor wants to achieve.

Weaknesses
The weakness of any inverse ETF is that it does the opposite of what the market does, when the market goes up. So, even in bear markets when the broader market trend is down, sharp bear market rallies (or any rallies for that matter) in the S&P 500 will cause SPDN to drop as much as the market goes up.

Opportunities
While inverse ETFs have a reputation in some circles as nothing more than day-trading vehicles, our own experience with them is, pardon the pun, exactly the opposite! We encourage investors to try to better-understand single inverse ETFs like SPDN. While traders tend to gravitate to leveraged inverse ETFs (which actually are day-trading tools), we believe that in an extended bear market, SPDN and its ilk could be a game-saver for many portfolios.

Threats
SPDN and most other single inverse ETFs are vulnerable to a sustained rise in the price of the index it aims to deliver the inverse of. But that threat of loss in a rising market means that when an investor considers SPDN, they should also have a game plan for how and when they will deploy this unique portfolio weapon.

Proprietary Technical Ratings
Short-Term Rating (next 3 months): Strong Buy

Long-Term Rating (next 12 months): Buy

Conclusions
ETF Quality Opinion
SPDN does what it aims to do, and has done so for over 6 years now. For a while, it was largely-ignored, given the existence of a similar ETF that has been around much longer. But the more tenured SPDN has become, the more attractive it looks as an alternative.

ETF Investment Opinion

SPDN is rated Strong Buy because the S&P 500 continues to look as vulnerable to further decline. And, while the market bottomed in mid-June, rallied, then waffled since that time, our proprietary macro market indicators all point to much greater risk of a major decline from this level than a fast return to bull market glory. Thus, SPDN is at best a way to exploit and attack the bear, and at worst a hedge on an otherwise equity-laden portfolio.