Investors & Friends:

Here's a summary of our investment actions from the past week.

Long Stocks

1) We bought ProShares UltraShort Russell 2000 (NYSE: TWM) on 5/7 @ $20.76.

We continue adding bricks to our wall of shorts. Rather than put more eggs in the short-China basket we're diversifying our short positions. We believe small cap companies will encounter increased pressure given their dependence on credit versus large blue chip companies that have a stash of cash on their balance sheets. The next wave of the credit crisis will unfold, and small cap companies will be pinched. We're considering shorting financial companies but it's not yet ripe. However it's just a matter of time before it becomes clear to put the short on the financial companies again.

2) We bought iShares Barclays 20+ Year Treasury Bond Fund (NYSE: TLT) on 5/7 @ $97.38. We bought TLT to hedge, short-term, some of our exposure to TBT. TBT recently broke through a significant support level.

Click here for the Investrio Stock Selector Fund Bull and Bear Market Indicators Report for the week ending May 7, 2010.

Click here for the Investrio Stock Selector Fund Watchlist.

Click here for upcoming IPOs.

Lead Fund Manager
Investrio