Sector Profit Alert: Materials

July 2, 2009

Let’s Profit From the Best Materials Stocks

I already gave you some detail about Corriente Resources (ETQ) and why I’m so bullish on this pick. My other two “Strong Buys” this week include Keegan Resources (KGN) and Rubicon Minerals (RBY), two companies that should satisfy all you gold bugs out there looking for a way to profit from this precious metal’s surge.

Here’s this week’s complete list of trades:

Materials Stocks Rated “Strong Buy”

Corriente Resources (ETQ): Metals & Mining Industry
Keegan Resources (KGN): Metals & Mining Industry
Rubicon Minerals (RBY): Metals & Mining Industry

Materials Stocks Rated “Strong Sell”

American Pacific Corp. (APFC): Chemicals Industry
Core Molding Technologies (CMT): Chemicals Industry
U.S. Concrete (RMIX): Construction Materials

In addition to three specific stocks I want you to buy this week, as an added bonus I also want to highlight one of my favorite exchange traded funds right now: the iShares S&P Global Materials Sector Index Fund (MXI). Since materials stocks in general are very strong, this is a good investment for anyone who wants to play the entire sector without buying a large number of individual stocks.

With sectors rotating in and out of favor, using ETFs to capture gains is an excellent strategy right now. That’s why I recently added ETFs to my Blue Chip Growth strategy. Here’s how it works: First, we invest in the hottest sector-related ETFs to stay ahead of the broader market. Then, as the elite stocks in that sector emerge, we roll our ETF profits into those new market leaders and outpace every other company in that red-hot industry! This double-barreled approach ensures that our stocks are truly the best of the best—and are putting up big profits to prove it.

You can “test drive” my brand new Advanced Sector Alert strategy RISK FREE if you want to learn more about my powerful ETF recommendations like MXI.

Next Up: Industrials

Remember, we could sell some of our profitable stocks very soon, so look for our next installment of Sector Profit Alerts on Thursday, July 9. And remember, if you’re looking to play the hottest sectors but still stay diversified to reduce your risk, ETFs are an excellent way to invest. You can try out my exciting new sector-focused method of ETF investing RISK-FREE for just $99. That’s right; you can cancel anytime during the next six months—for any reason—and receive a full refund. And if you act now, I will even throw in two free reports:

3 Big Sector Moves to Grab Now, plus
5 Top Breakout Stocks for July

I hope that our picks so far in this free Sector Profit Alert series have proven to you how profitable it can be to zero in on the emerging sector trends. Take that strategy to the next level with my exclusive Advanced Sector Alert strategy!

Sincerely,

Louis Navellier