Harris & Harris Investment Club

I started an "Investment Club" with my Granddad in January of 2007. We each contributed a 50% stake in the "Club". We decided to dissolve the Club back in February.

I decided to plot the Club's equity curve versus the S&P 500 to get a feel for how we did. From start to finish we made 15%, whereas the S&P lost 45%. I went to all cash in July 2008, which saved us a lot of pain.

CHART EXPLOSION!

With everyone and their brother calling a market bottom (tonight Cramer announced "The Depression Is Over"), it's a good time to take a look at some charts. In the S&P 500, we're up about 25% from the 666 low set on March 6. That being said, I'm hesitant to throw money in at these levels - ideally I'd like a pullback. I think a pullback to 750 could still be in the cards. However, I'm also afraid the market will continue higher as people chase it up. I think if you start getting long up here, you ought to be able to stomach a visit back down to 750.

First: Stocks that have broken out of downtrends. These are looking good to me. I may be starting positions in some of these soon.

RIO trading above the 50DMA, has formed a nice uptrend since the November low:



GOOG also above the 50DMA. Just broke through a downtrend line last week.



FLS popping higher out of a tightening triangle:

CSX, "Chessie", breaks through:

AAPL broke trough resistance at $103, retested, and is now powering higher. I tried to pick some up around $112 today but it ran away on me. I think it has $120 written all over it.

Next, charts that aren't quite there yet. They are flirting with a breakout but haven't sealed the deal yet.

GE, still toying with the 50DMA and not quite above the downtrend.

FLR, solid support at $30, but still trending lower.

CHK, in a pretty tight channel.

BA, still trending lower and fighting with the 50DMA.

ADM, can't seem to overcome $29.