Investors who trade actively and are closely in touch with the ebb and flow of opinion on Wall Street have one enormous barrier to good investment performance: They will often be seduced by what’s fashionable – whether it be in terms of sectors, countries or individual stocks.

Since sinking to a 12-year low of 676.53 on March 9, the Standard and Poor’s 500 Index had risen 24% — the best such short-term rally since 1933. But this isn’t 1933 and you shouldn’t trust the rally. Happy Days are NOT here again, at least not yet.

One of the most accurate forecasters of the global economic crisis, Nouriel Roubini, said last week that last September’s spree of bank takeovers deepened the crisis because it made the already-too-big banks even bigger.

Anyone who has ever visited Japan knows it to be a country where everything works beautifully – and with great efficiency. Right now, however, it’s clear that something has gone horribly wrong there.

For lawmakers who believe that 90% tax rates would be an effective way of punishing the financial malefactors who continue to flourish as the rest of us founder, take careful note: Not only will you punish the innocent as well as the guilty, you could also extinguish the innovative spark we’ll need to eventually make this moribund economy catch fire.

While gold had a big run-up in price during the three-month stretch that ended in late February, the yellow metal has subsequently dropped back a bit, as have the prices of the leading mining shares. If anything, however, the reasons for gold bullishness have intensified.

Although we’re still in the middle of the worst financial crisis in decades, a few select banks are positioned to make a boatload of profits. And if you pick the right ones, gains of 100% or more are easily within reach.

U.S. President Barack Obama’s speech to the joint session of Congress this week was a beautiful performance. His language was exquisite, his delivery was superb, his rhetoric – at times – truly uplifting. 

Following my report on the viability of the Top 12 U.S. banks, a number of readers have suggested that I missed Fifth Third Bancorp (FITB).

We all know about the mess the United States, Britain, Spain and some other countries have gotten themselves into thanks to overenthusiastic housing bubbles.