Great follow up video interview with David Tepper on CNBC. If you haven’t seen it, here is David Tepper’s former video appearance. In his latest video he talks about how the US economy has improved, how QE2 worked, why he sees Gold and Silver struggling, Spain and about his new portfolio position DF – Dean Foods the largest processor and distributor of dairy products in the US. He likes the prospects of soy milk, one of Dean Foods specialty products. He also mentions MU – Micron Technology in the semiconductor realm and STD – Banco Santander as an example for a financial stock he owns. Enjoy the video!
The Food Investment Theme is undoubtedly picking up steam. I am already running quite a few related sector overview charts related to Agriculture, China Agriculture Theme, Fertilizer Stocks and Farming Equipment on my public list. I decided to add a Food sector overview chart in order to better track the investment theme going forward. The overview chart contains the following companies: BRFS – Brasil Foods, SFD – Smithfield Foods, DMND – Diamond Foods, TSN – Tyson Foods, SAFM – Sanderson Farms, DF – Dean Foods.
Food related sector overview charts:
- Agriculture – Sector Overview Chart
- China Agri / Food – Sector Overview Chart
- Farming Equipment – Sector Overview Chart
- Fertilizer – Sector Overview Chart
From a purely technical point of view, looking at the DF – Dean Foods weekly chart clearly has to be labeled as a ‘buy low’ strategy. The weekly chart shows DF hitting support levels created more than a decade ago. The chart is now trading back above its weekly moving average 30. The recent gap down could be classic sellers exhaustion. If that’s the case the gap area might now act as a price magnet. If the stock would be to print a gap to the upside this would be a bullish island reversal. We are clearly not there yet and there is no way to gauge the odds of that scenario to happen. Buying at these levels is clearly not a momentum play but a turnaround speculation for long-term investors.
Click on the chart to maximize.
You might also want to watch the Hugh Hendry – Agriculture Investment Theme video.
An investor can do very well by only making a few good investment decisions over his or her career. The trick is to make one good investment decision every decade or so, based on trends that will last a number of years. – Marc Faber
My public list with all my charts can be viewed here: