If you are already knowledgeable about "PSYCLE sm" tenets, and/or just want the most current "actionable" stocks, go right to section (3) first....then, to see longer lists, and potential ideas, go to sections (6) and (7)....of course, if you want to get the most, for the least, read everything....and, re-read the past NL's "commentary" items again (section (2) each time), to glean more about the "feel" for probable tops and bottoms in things....

1) "PSYCLE SENSE sm":
This, my new newsletter (NL), and Educational services, are a "Continuation" of previously recommended stocks/ideas, for the benefit of the people who are also coming over from it's Previous incarnation, to also provide Them with a "seamless" transition, "on the fly", so to speak, but more, to show YOU, as Newer subcribers, all the Recently/ Past suggested ideas, which I shared with my L.T. followers, so that YOU can then also view their recent/past 1-year/2-year charts of, to "see" what we are trying to accomplish here, to further help you learn. Remember, all my NL's are Cumulative, and can/should be saved and reviewed, especially the "commentaries" areas, to glean the most value from my output, over time, as "lessons" and "proof". IMPORTANT: I assume all my valued subscribers have read all my past NL's....and, all my "essays".

Important: Remember, I am pretty Comprehensive, herein....I follow-up every idea mentioned, for your benefit....most other NL's leave you hanging, yes ? Know, that there are 3 (three) kinds of stocks listed herein: a) Stocks that can be taken advantage of, here and now, if right near given prices, b) Stocks which , if they get back to where they were when originally suggested, remain/become tradeable again, and, c) Stocks which "seem to be setting up as potential trades, possibly soon", and might also illustrate Industry Groups potentially shaping up, as Educational ideas....Try to "view" the past 1-year-back charts of all ideas, for best learning of patterns....all ideas are followed up till "sold" or "removed", for your benefit.

FIRST: IMPORTANT--- until further notice, the online URL, to get all future NL's, will be, first, "the URL for my main web page", then add, each successive time, as a "suffix", a forward slash, then that date, then "letter.html" , ok ?, as in, " /80398letter.html ", then, " /80698letter.html ", " /81098letter.html " , etc., got that ? every Mon., and Thu., after 11 am, PST, (2 pm, EST), for now....they may on occasional be available at 10 am, pst, if I can finish earlier....Hope this helps. Obviously, only subscribers will get this 'code', and, down the road, I am examining changing this format, so non-subscribers cannot figure this out, etc. Gleaning the message, is much more important then the medium, yes ?

second: Please appreciate, how much time/effort I put in, to put ALL applicable staged stocks, long-side and put-side, which befit learnable, and actionable, "PSYCLE sm" patterns, into every single NL....Some times there will be fewer ideas, sometimes, more....whatever I find that best fits "PSYCLE sm" stages, which YOU can learn/take advantage of, for YOUR trading/educational benefit....again, the "Most Actionables, Now/Here", are in Section (3) each NL.

third, hope you notice, I have been putting more actual "learning items" into each NL....remember, even my EVB's are not "one-day bottoms"....EVB's can take days/weeks to form, and, as long as those issues do not form new Lows, those stocks remain aok....many EVB's may form "W" bottoms ahead, read section (6) below....also, note, due to recent cracks in many depresseds here, have either, cut Q, small losses in some (no harm, in a properly diversified portfolio, and , again, do NOT "worry/overemotionalize/extrapolate recent past perfomance forward forever PSY-chologically/make this a bigger occurance than it is", etc.), and took some stocks off pot. long buy list, as they broke potential patterns.... no biggie, yet is does make the potential buy lists smaller and more manageable here, yes ? Gosh,. I hope you cut long losses, and bought some PUTS, recently

fourth, Been telling you, this "Split" market, has now given us more nice Put gains, but we are still playing close to the vest, meaning, keeping close stops, and NOT getting emotional nor excited, cutting Q, small losses, nor with big Puts winners, and am continuing to hold/raise some cash....But do notice, the many depr. issues I have you, which have NOT fallen....For the umpteenth time, "the market" is neither "the indexes", nor an important "thing" to even be concerned with....Note how, recently, the daily changes in "Averages" are often meaningless --- they often tell us NOTHING about what is really going on WITHIN the markets, do they ? Only by following all the individual stocks WITHIN, visually, can one come closer to knowing what is really happenening, and what best to do, yes ?

Important: Remember, again, as I told you, early in June, that any "new highs" in the DJIA and OTC, or other "indexes", were going to be quite UN-confirmed by the internals (A/D, and H/L figures), and hence, lead to our recent drops....And, see the recent corrections, as expected, in many extended stocks, I gave you herein, yes ? (many stopping saround their 200 DMA's, yes ?) Of course, I am also upset with even the small cut losses I gave out, among some depresseds.... BUT--- and this is crucial: please do NOT "label" any corrections as possibly a "bear" market....who cares....just try to do what the "PSYCLE sm" says, and ignore "market talk"....and Re-read my booklets, as to why all "labelling" is Harmful to your psyche, and your performance....

Also, please do Not let any "Q, S, cut losses" among Longs recently, prevent you from taking advantage of present/future ideas....just a couple of bigger winners (some of which I have already given here, and will continue to give over time) will more than overcome a few very small cut losses among Puts/Longs, in the meantime....the Key, is not to quit prematurely, stay with the concept, learn the basic patterns, be patient, we have just started, and DO "something", diversified, w/close stops, which best fits your various situational accounts needs....Use this initial NL period, to LEARN as much as you can about my "PSYCLE sm", also read All my essays/ booklets, and view/learn their patterns. IMPORTANT: Key: remember, all suggested ideas REMAIN buys near lows, or puts near highs, (only) as long as their patterns do remain intact, even if weeks or months pass !!! But when/if their patterns crack/break, they are removed very quickly, as you know....

Remember, we do NO "market average/index predictions," ever....but, I expect you to notice, for instance, when I add a lot more Puttables, or more Longs, as a template, for gleaning the tambor of the "overall market". When some depresseds began to crack, and added more Puts, that should have told you what was coming, yes ? Logical, relaxed, simple....

So, "pick your potion(s)," first, from section (3) ---then sections (6) and (7), long and/or short side, for cash, or on margin, or only L.T., in-the-money options where suitable, for your different accounts/needs. If you have never done Puts, this has been the time to Learn how to do so, using my "booklet/essay" on How to Properly Exploit Puts, benefitting you for the rest of your trading/ investing life, for when/the next intermediate S.T. top, which may next exist in the early Fall, after the rallies after this decline ?

2) "What's Been Said, and What I've Read":

a) Other recent Industry Group Comments: note Banks, Insur., Brokers, down, as predicted for you here....have you bought a few "PSYCLE sm" Puttables ? Gee, I thought the whole idea was to learn how to do that at times like March, and June, etc. Goodness knows I have given out enough of them, the vast majority of which have worked, for quick large % Gains, yes ? Sure, we have had some depresseds with small cut losses, but a properly structured portfolio should have had at least "some" puts all along, yes ? Also, note drops in extended Drugs....theirs were ""hook" top patterns, as I teach, not "rolling tops"....but they still work fine most of the time....LEARN THIS: as I teach in my booklet on mastering Industry Group Rotation, they represented the last extended group which had not yet fallen, dig ? So I added them recently, for you, as probable "catch up" decliners, as I illustrate in that booklet. Re-read it. Last, note the continued weakness in most "Energy/Oil" stocks....If I had $ for every person who has called me the last several months since I called their top, who have rideen these declines all the way down, well, only when those people give up, will they form EVB"s and/or exploitable bases, yes ? Obviously we are closer to that, but not yet.

Important Note: among "long Puts sold for large % Gains" recently: Housing, Utilities, Financials, Drugs, Consumer, Commun., are/were Ind. Groups where their "eps" are rising, yet their "stocks" Fell big....see it ? and, as I specifically mentioned here recently, in addition to the last list of these I gave you here, also note, how, INTU, MAST, GPSI., CBSL, BOCB, CPL, TOL, UN, BJ, UL, HH, also all specifically given you as Puttables right near their recent highs herein, also all stopped falling, S.T., right around their still-rising 200 DMA's as S.T. support.. see it ? view all their charts to LEARN this/the patterns....If you do not view the patterns, how are you going to learn ? also, if you did get Puts in the Internets, like, SEEK, LCOS, XCIT, which I gave you here, but missed myself, you may as well sell them down here, near at least S.T. support....

b) respected technician Ralph Acampora, Tue. 10 a.m., pst, on CNBC, a perennial bull (mostly correct with blue-chips, wrong with secondaries at times), is "now" calling for "a 15-20 % decline from the highs" (to, he says, "DJIA 7400 to 7900 by the Fall, as an 'interruption' in the L.T. bull market")....of course, he said this, now, Tuesday, AFTER the DJIA has/had already fallen, from 9350 to 8600....down 8 % already (and with many stocks down much more already, dig ?). Note, how, now, after a bunch of issues are already down, now, more people are "just beginning" to notice the negative divergences from 3-6 months ago....late, as usual, dig ? This was/is Stage 5 or Stage 6, S.T., behavior, yes ? Also, another analyst, suggested one "reason" for the recent drops, was "Asian" problems ....excuse me ? That "supposed reason" (read my booklet on "scenarios/reasons") existed, also from last winter, yes ? Yet, many stocks ROSE, "into" that supposed "reason", from back then, yes ? So how can it be, that, that same, supposed reason be responsible for Both, a rise, and a fall, in the same items ? Can't be. See the folly of most all "scenarios/reasons/linkages" ? Please re-read my two booklets, on "How (not) to use Media", and, "Scenarios/Linkages"). Again, the vast majority of suggested "links" are USELESS (how many times have I proven that one ?) also, massive verbal ramblings about "indexes" is also USELESS, and even damaging, to your psyche....

c) Note, once again, as I teach to look for, and as I have mentioned in previous NL's, often, after a decent S.T. drop, we get a V.S.T. bottom, or at least a diminution of the angle of the declines, "after the first hour", on Tues. or Wed., which we have done by Wed. 5th 8 am, pst....read (h) below....

d) More, incorrect, misleading "reported words/items": Thu. 6th, CNBC, 7:20 am, pst, trying to "create" a negative story on consumer stocks, said "Sara Lee stock is really getting pounded here, down 2 1/2, to under $ 50." huh ? pounded ? only down 5 %....Then he reports Tupperware stock as weak, as a supposed illustration of his supposed "point", yet, it was only down 1/8 when he reported that today....it never changes.

e) Tue. 4th, CNBC: 11:30 a.m., pst, reported bigger drops in "nutritional supplement stocks"....late, as usual....As I specifically gave you GNCI., and RXSD, in previous NL's herein, right near their highs, weeks ago, in their beautiful "PSYCLE sm" rolling tops/double-tops....please view their patterns, and memorize/ learn them, for the next time any other stock/group sets up that way....neat.

f) continuing teaching you which "supposed linkages that are NOT true", note, recently, the U.S. Dollar has been rising, the Yen down, yet "blue chip stocks" have been falling, dig ? "the 95 %" have always "linked" those items, but, as I show at length in my "Scenarios/Linkages" booklet, that is just Not true, to enough of an extent, to warrant even considering, ever, dig ? The U.S. dollar Fell, 40 %, from 1984, to 1990, while the S & P Rose, 150 %....'nuff said.

g) last quick follow-up on "Coffee" futures: finally, as I teach you to look for, Tues. a.m., CNBC had a woman analyst commenting of reported recent rise in its price....she, intelligently, suggested the vast majority of the "good news" was already reflected in the recent S.T. price rise, and, saw little likelihood of a continuation of from very recent highs, as I say normally occurs in the stage 2 breakout from the stage 1 base, see it ? LEARN, that, most often, Once the recent rise is "noticed/reported", the S.T. rise is OVER, and NOT "just beginning"...one must buy long, BEFORE the rise, BEFORE the "better stuff" is noticed/reported.... how many times have I said THAT before ?

h) from (a) and (c) above: just a note, you know I do NOT "do" indexes: but please just view the still-rising, 200 DMA's, of the DJIA around 8500, DJUA around 275, NASDAQ comp. around 1750, where the current declines approached and stopped Wed. see it ? Late Tuesday, with most markets down 12 or 13 straight days now, one must look to sell some long puts, as when issues approach their 200 DMA, as I have been teaching you for weeks now (see below), and, possibly begin to look for "dead cat bounces" in many oversold EVB stocks. These are V.S.T. things, only, and, after the first hour on Wed. 5th, we likely saw that V.S.T. low, dig ? also, remember, I recently told you here, that many indicators were approaching "as oversold as they had been, in several recent past S.T. bottoms"....

i) August issue, TICKER magazine, wasted space reporting about an 88 year old broker, but within the article, in a subject I cover in my booklets, they lionized him, because he bought, and has held all along, Dupont stock, since the year 1923, and is now "up 200 times in value, including dividends" since....fine....BUT--- think about it....that means, a) he never sold it, not near the 1929 nor 1966 nor 1987 tops and huge declines, after which he never bought more, either, even when it based, b) he might have diversified more at some point, into any of hundreds of other stocks that vastly outperformed Dupont, c) the DJIA, at 9,000, recently, was Also up, 200 times in value, without dividends, anyway, and, d) while not chump-change, a 200 times rise, over 65 years, is still "just" % a year, compunded ....certainly great, but just "average", for that period....right ?

Also from that issue/mag: an article actually heartily recommending BMCS, otc, at $ 55. (up from $ 6., just three years ago), said, "some 18 or the 20 major analysts who follow BMCS rate it a "buy" here"....wow....a pretty good "PSYCLE sm" contrary top signal aid, yes ? While BMCS still has Not formed a perfect top formation, is certainly is NOT a good buy, there, compared to hundreds of others.

3) Most recent Hypothetical "PSYCLE sm" transactions, to be mimicked, and referred back to:
(always remember to view 1-year-at-least past charts of everything you can view) (Q = quick; i.e, less than 2 months holding period....VQ = very quick; i.e., less than 3 weeks holding period....re-read "the Guide" for how I derive the estimated % percentage Gains I show herein, on assumed Hypothetically closed-out trades, (always assumed to have been in Options, where applicable/suitable, and on margin where avaliable/ suitable, and on a cash basis where not, as per "PSYCLE sm" rules), and also try to view their 1-year-past price charts, to see the patterns, and where/when they were Hypothetically, originally "bought", longs near lows, puts near highs)