Alpesh Patel's Top 5 Trading Ideas for 2014

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1 Alpesh Patel's Top 5 Trading Ideas for 2014

2 Dear Investor, Thank you for acquiring my "Top 5 Trading Ideas for 2014" guide and I am sure you will enjoy reading interesting trading suggestions in this short note to everyone interested. My intention is to provide insightful ideas that I believe that will be the major investment themes for the year to come and I want you to profit from them as well. Last year my investment portfolio was up 34% as measured independently by Sharescope and I would like you to achieve such returns this year round. This note contains a brief description of my trading focus for this year, in order for you to be able to take full advantage of my analysis and trading suggestions I would suggest that you visit my newly launched investment website and register for my NewsletterPro service. I hope you enjoy this guide and I wish you a year full of profitable endeavors. Alpesh

3 EUR/USD: Short for the new year The Euro seems to be overvalued versus the US Dollar if you take a look into the respective regions' fundamentals. Europe finds it hard to overcome the recession and even though Germany and the North are looking good in terms of finances and growth prospects the periphery is dragging the Euro-zone's outlook downwards. On the other hand, the US is recovering strong and continuously beats the market's expectations, unemployment is consistently dropping and the Fed has started reducing its asset purchases program as the domestic economy seems competent enough to handle less stimulus. My view for 2014 is to short the Euro versus the Dollar, I believe that the currency should retreat and the 1.32 to 1.35 region looks more rational for me.

4 GBP/USD: Mean reversion on ranges' extremes The Cable will be one of the most traded and volatile currency pairs in 2014 and I am looking to take advantage of its swings during the coming year. The UK is recovering well and the domestic economy is growing back to the pre-recession levels. The job data are coming in above expectations and the accommodative BoE policy is helping the manufacturing and services sectors' growth. At the same time, the US is also in a good path of progress and following the Fed's intention to slow down its MBS and Treasury assets' purchases the Dollar will be back on the front seat. It will be a interesting struggle to see what currency will emerge stronger and I am looking forward to play the ranges. Mean reversion tactics at extreme levels will be my tactic for this year.

5 EUR/GBP: Short due to Euro weakness, UK progress The EUR/GBP pair will also be on my radar for the coming year. The difficulties faced by the Euro-zone to harmonize its recovery results between the strong Central Europe and the weak periphery will most probably make it hard for the Euro to compete with the rising Pound. The currency pair has been on a downtrend since the middle of 2013 and I believe that this trend will continue moving into The key level to watch here is the 0.83 and should this be broken then a rate of 0.81 seems to be my next target as I am aiming to short the currency pair for the new year.

6 Gold: Short due to Dollar strength Gold has lost its luster in 2013 and prices have fallen nearly $500 since the beginning of the year. However, I don't see this sell-off stopping as we move into 2014, the rising Dollar will put even more pressure on the yellow metal's price and as demand for the commodity is receding I believe that Gold will fall even lower. Furthermore, the stronger Dollar will attract more flows in 2014 as it will be considered once more the safest refuge for investors looking to deposit funds. Thus I will be a seller on Gold for the new year and I am looking for Gold to devaluate even further down to $1,000 per ounce.

7 Stock Picks On the stocks' front I am browsing through my proprietary Alpesh Patel Special Edition filters in Sharescope and two UK stocks are attracting my attention: Bellway Plc and DS Smith Plc. Bellway PLC. The Bellway Plc. is a United Kingdom-based holding company, owning subsidiary undertakings, which is engaged principally in house building in the United Kingdom. The Company's subsidiaries include Bellway Homes Limited, Bellway Properties Limited, Bellway (Services) Limited, Litrose Investments Limited, Bellway Financial Services Limited, Bellway Housing Trust Limited and The Victoria Dock Company Limited. The company has strong fundamental figures, with strong earnings and turnover up on a year-to-year basis and the technical outlook looks very favorable. I am bullish on the Bellway stock and I am looking for it to climb even higher over the next 6 to 12 months.

8 DS Smith PLC. The DS Smith plc. is a holding company engaged in the supply of recycled packaging for consumer goods. It provides corrugated packaging solutions throughout Europe as well as plastic packaging solutions worldwide. Its businesses include DS Smith Packaging, DS Smith Paper, DS Smith Plastics and DS Smith Recycling. DS Smith Packaging offers a range of corrugated packaging solutions to a range of customers, throughout Europe. DS Smith Paper manufactures testliner and other paper grades in the United Kingdom, and in Netherlands, Germany, France and Italy. Similar to the previous stock, key fundamentals support the growth potential of this particular stock and technically the stock looks very good as well. I will definitely be interested in acquiring a number of shares and keep them possibly until the end of the year.

9 Blackstone Group/Carlyle Group from the US From the US market I also find 2 stocks very attractive: the Blackstone Group and the Carlyle Group. Both of them are looking good in terms of fundamental values with strong earnings and good growth potential each. They are both doing business in the financial services sector and with proven track records through tough times. With the US economy going from strength to strength I am looking for the financial sector to pick up pace as well and I will be looking to get myself a into these two stocks for the 6-12 months. To receive my free daily newsletter or to subscribe to my premium NewsletterPro service please visit Important Information The filters and settings in the Special Edition of the Sharescope software use Alpesh Patel's proprietary criteria to generate suggestions of securities worthy of further investigation. They DO NOT CONSTITUTE INVESTMENT ADVICE. Disclaimer Notice Past performance is not indicative of future results. Trading forex, CFDs and equites carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade any such leveraged products you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading on margin, and seek advice from an independent financial advisor if you have any doubts. The information provided by should not be relied upon as a substitute for extensive independent research which should be performed before making your investment decisions. are merely providing this information for your general information. The information and opinions presented do not take into account any particular individual's investment objectives, financial situation, or needs. All investors should obtain advice based on their unique situation before making any investment decision and should tailor the trade size and leverage of their trading to their personal risk appetite. and/or its owners will not be responsible for any losses incurred on investments made by readers and clients as a result of any information contained on. does not render investment, legal, accounting, tax, or other professional advice. If investment, legal, tax, or other expert assistance is required, the services of a competent professional should be sought.