Greenbackers.com | 10 Questions with Greenbackers.com

Greenbackers
A Nationally Recognized Leader of Tracking
The Fastest Growing Stocks Under 5

.: About Greenbackers :.

10 Questions With Greenbackers.com
About Greenbackers & Founder / CEO, V. Mark Chacon
(as interviewed by colleague and reknowned stock picker Timothy Sykes)
09 July 2008

TIMalerts isn’t the only newsletter that focuses on low priced stocks ... I’ve been following Greenbackers.com on and off for several years ...check out this interview I did with their founder, Mark Chacon:

Greenbackers Is a Stock Market website entity
dedicated to Finding / Tracking the fastest growing stocks under 5
We have been around since 1999, but we where somewhat dormant from 2004 to 2007 due in part to managing several pieces of real estate.
During that period we still managed the newsletter, but it became secondary.
Late 2007, it became apparent in my heart in needed to get full blown again with Greenbackers and the website, aka my passion for the stock mkt.

1. What’s your background?

After getting a Bachelor's of Science degree in Business Administration (emphasis: Marketing) from University of Southern Colorado in 1984, I went on to specialize in banking software, beginning with United Banks of Colorado (now Wells Fargo) ... I actually participated in one of the first development teams to create/implement the first ATM / minibank (Wells Fargo California) ... Spent the next 15yrs mainly developing customized JDEdwards accounting software for financial institutions and mid sized companies ... Made the switch in 1999 during the internet bubble (as I had run my portfolio up substantially), and founded Greenbackers.com.

2. What’s your trading style?

      I Generally like to manage a portfolio of about 6 stocks. Tend to favor 2-10 day swing trades with quality stocks under 5 on the long side with a couple of the positions. In and outs on solid trending patterns. Also like tracking recent debacle stocks for pivoting, first day movers on very strong earnings for developing into ongoing strength…….

     Also like buy/holding for a month or so on anticipation plays……..pay particular attention to stocks who get upgrades ahead of earnings. Major upcoming product launches.

     Rely about half and half with fundamental/technical analysis…becoming increasingly up to speed with technical charting in 2008. Volume pickups are also taking on a greater role with trades I make.

     Recently, I read your ‘An American Hedge Fund‘ and was inspired to make my first short trades. Finally after all these years.. Even though the concept is rather simple, it takes some getting use to.

     I Generally like to manage a portfolio of about 6 stocks. Tend to favor 2-10 day swing trades with quality stocks under 5 on the long side with a couple of the positions. In and outs on solid trending patterns. Also like tracking recent debacle stocks for pivoting, first day movers on very strong earnings for developing into ongoing strength…….

     Also like buy/holding for a month or so on anticipation plays……..pay particular attention to stocks who get upgrades ahead of earnings. Major upcoming product launches.

     Rely about half and half with fundamental/technical analysis…becoming increasingly up to speed with technical charting in 2008. Volume pickups are also taking on a greater role with trades I make.

     Recently, I read your ‘An American Hedge Fund‘ and was inspired to make my first short trades. Finally after all these years.. Even though the concept is rather simple, it takes some getting use to.

3. What’s you best trade?

Some of my more interesting trades in 2008: doubled a large position on BCS when it collapsed back to 3 back in march ... ran up New Century Energy Corp. (NCEY) from .30 to .68 a week ago ... ran up Tengasco, Inc. (TGC) from 2.20 to 3.70 recently ... Regarding my single best all time trade: Probably was running up Akamai Technologies, Inc. (AKAM) from 20 to 200 back in 1999-2000

4. What’s your worst trade?

A string of them when the internet bubble burst. Immature, and kept getting suckered too long into relief rallies ...finally pulled out completely with about 65% of my runup in August 2000

5. What the #1 lesson/rule you’ve learned over the years?

Lock in those runups!! pay off debt / buy a house / buy a toy, but lock it in ... I bought a bunch of land when I pulled most out (of the mkts) in the summer of 2000 and went on to invest heavily in land in Colorado, which rewarded me quite nicely.

6. Why do you think most traders lose money, what can they do differently?

If you’re going to trade long on most of your strategies (as I do, or have done mainly in the past), you gotta learn / develop the patience to sit on the sidelines from time to time. Staying on sector rallies long beyond their height hurt me. Learned that lesson

7. How have you spent your winnings? Inspire us!

Back during the internet bubble, I ran up 5,600 to nearly 260,000 ... Ultimately, I lost about 1/3rd when the bubble burst, however I had enough sense to lock most of it in buying several pieces of mountain land in Colorado that were being foreclosed during the RTC meltdown (recall Neil Bush (George Bushes’ Brother was part of that meltdown). The land appreciated nicely following purchases

8. Tell us about your newsletter

Has evolved into a hybrid of sorts, with about 1/2 of the input being my own input and the other half coming from best reads from rival newsletter writers / analysts

9. favorite stocks right now, long or short

Liking TGC now that it has fallen back to upper 1 range ... Is one of the best financials we cover under 3 ... Plenty of debacle stocks back in may/june are staging some interesting comebacks .. IDEV NEXC ATSG to name a few. Alternative energy stocks may be out of favor presently, but this is no passing fad. look a rebound in the sector into the fall ... Liking HYGS at 1.40, now that it has pulled back a buck plus ... about the strongest alt energy stock we're covering under 2.

10. How have u done this year?

Up fractionally. I’ve actually made a lot of good calls for my subscribers the last three months, but Greenbackers' portfolio hasn't acted on many of those calls. Been much more conservative this year vs last you could say.