Friday, September 18, 2009

Making money from garbage.

Most of us probably have sold a few bottles and cans and got a couple dollars, but could you believe that some people have made millions or even billions of dollars from trash?
There is big money to be made in garbage. Such is the growing consensus on the world stage, as governments, international agencies and companies pour investment capital into “green” projects.
Environmental regulations are driving the industry. Two main philosophies predominate: the first focuses on waste reduction, which aims to reduce trash whether household or industrial trash; the second involves waste management, which concentrates on turning existing garbage into useful byproducts that can be sold for a profit.
Environmental regulators argue that both approaches are valid and should be used in tandem to manage waste effectively. For industry, this creates two-fold opportunities for profitmaking—at the front end of the waste stream, as well as at the tail end.
Hundreds of garbage dumps across the country already capture the natural methane gas generated by the mountainous piles of solid waste.
You probably have never heard of Zhang Yin, but this Queen of Trash from China is probably richer than every other woman in the world. She has a personal wealth of more than $1.5 billion and she got it all through recycling and manufacturing paper. She moved to America from Hong Kong in the 1990s and she remembered that China does not have many trees for manufacturing paper. So she scoured the garbage dumps of America with her husband and exported all of the paper she could get to China. Eventually her company Nine Dragons Paper made deals with American scrap yards and shipped huge amounts of paper back to China. Her company went public in 2006 and it is still growing because China has a insatiable demand for paper products.
The bottom line is that garbage is big business and some people are even risking fines and jailtime to collect it .There are thousands of companies and people around the world that deal with the processing, disposal, and transportation of garbage. Even so, the EPA estimates that only 32% of the United States' solid waste is recycled. Could there be a business opportunity for you in the millions of tons of trash we throw away every year?
Dow Futures Expiry:Friday.
Asian Futures Expiry:10 market days.

9:30am:--Weak gap down open.
Initial jobless claims for the week ending September 12 totaled 545,000, consensus 557,000.
10:30am:--First hour high pulled back to near open.
Crude oil is currently at $72.60 per
barrel.
11:30am:--A Double Top.
Release of the Philadelphia Fed Index, which was better than expected, but participants quickly moved to sell the news.
12:30noon:--A shooting star hoovering near the low.
The U.S. dollar continues to dwindle and take the Dollar Index to new lows for 2009. The Dollar Index is just above its 52-week low of 75.9.
1:30pm:--A new day's low saw the bullish harami checking the downslide.
Players unwinding ahead of the quarterly S&P rebalance tomorrow.
2:30pm:--Retracement to the bear pivot with dragonfly doji.
Nobel Prize-winning economist Paul Krugman said that unemployment in the U.S. will peak in early 2011 because of a slow and painful recovery from the global economic crisis.
3:30pm:--Headed for the MAV resistance counteracted by the bearish hammer.
Data showed business activity in the Mid-Atlantic states jumped more than expected in September and advanced to its highest level since June 2007, underscoring hopes that the economic recovery was on track.
4:00pm:--A hangman at the bear pivot ended the day.
The bulls might need a temporary pause having reached the 52 weeks bull resistance line.Any pullback will be within Wednesday's body.In the event it pierced the bull support,the final landing spot will be the MAV support.
Adding to evidence the recession has ended, housing construction rose in August and fewer laid-off workers sought jobless aid last week.