By Andrew Snyder, TodaysFinancialNews.com

Baltimore — (TFN): I have lived “off the grid.” That means I know what it feels like not to get an electric, phone, cable, Internet, water, gas or sewer bill every fourth week.

It’s natural. It’s liberating. And in a not-so-subtle way, it feels like you’re giving a single-finger salute directly to “The Man.”

But now that I’m back in the lower 48 and have presumed the life of “normalcy,” I am as wired as ever. Except, that is, for one thing. I refuse to buy into the monthly cable bill trap.

Why should I pay for something that wastes my time, numbs my brain and promotes a culture that none of us should be proud to live in? It is an especially dumb move when you realize you can get almost all of the programming for free.

If you have been a frequent Notes reader during the past two months, you know I am certain 2010 will be the year that changes the scene in the nation’s media industry. This time next year, who you pay and how much you pay for your boob-tube entertainment is going to change… drastically.

We are already seeing the first wave of industry movement. When Comcast announced its decision to get a majority stake in NBC, we heard the opening bell for round one of the fight.

Now that Rupert Murdoch and his troops at Fox are fighting to get paid for their now-free content, we are entering round two of what appears to be a no-holds-barred fight.

In case you didn’t hear, Time Warner is diligently fighting off an attack from Fox that would force it to pay the over-the-air broadcaster as much as one dollar for each of its cable customers.

That notion alone throws a wrench into the heart of the broadcasting industry. It means advertising revenues will no longer be the driving fiscal force. Subscriber levels will be. It also means folks like me, with an outdated TV and some rabbit ears may be forced to pay real soon.

But then again, this is a dynamic industry. What goes in one side the prism often comes out a different color.

In the other corner of this fight are online offerings like Netflix and even Murdoch’s Hulu. The former is doing its best to shake the industry’s foundations in hopes of climbing atop the ensuing pile of ruble.

In a nod to Murdoch’s a la carte programming idea, Netflix allows subscribers to stream fresh shows and movies to their desktop or Internet-enabled TV sets. If it can gain traction, your days of paying for a slew of unwanted, offbeat channels are over.

You will be able to pick want you want and pay what you want.

For contrarian investors, this is good news. When you ditch your cable bill, you can join me in the single-finger salute, avoid all those government-created taxes and fees and still find the entertainment you crave.

But best of all, the investment potential over the next year will be off the charts. Merger and acquisition action will hit new industry highs. And the stocks that few investors are willing to touch today will surge in value.

If you are a fan of buying when nobody else will, just as I am, now is the time to make your move.

*** Speaking of making a move, herds of investors are taking advantage of a horrible situation by investing in a handful of companies speculated to be winners as the nation’s airports beef up their security.

Because Christmas Day’s failed attempt involved a man getting an explosive device beyond multiple layers of airport security, domestic critics are calling for increased image-based screening.

The technology needed to peak beneath an air traveler’s clothes is already available and in use in some markets. Right now, the high-tech screenings are voluntary, just the way civil liberty advocates want it.

But that may be changing thanks to last week’s attack attempt.

Shares of L-3 Communication (NYSE:LLL) are up by about 4% since the attack as investors ponder the news that Uncle Sam intends to purchase another 150 of its backscatter imaging units at a cost of up to $160,000 each.

But for the big gains, you have to look beyond a massive $10 billion company. Shares of OSI Systems (NASDAQ:OSIS) are up by 17% on the week. And Icx Technologies (NASDAQ:ICXT) has surged by 60%.

Both companies develop and manufacture detection devices that could see hugely increased demand with just one stroke of Obama’s pen.

If you are a true contrarian investor, you’ve got to be thinking the situation is way overblown. After all, groups like the ACLU aren’t going to let screeners freely look under American blouses anytime soon.

There is a very good chance today’s share price momentum will turn around in the New Year. That means there is strong investment potential, especially for savvy options investors.

Earlier today, I told TFN Strategic Trader members to expect this week’s options play to be based on the situation playing out in the world’s currency markets. But given today’s action, we may just have to swoop in and take advantage of the cards we were dealt.

I am never one to fold when I’m holding four aces.

*** Currency trades have got to be drooling over the recent action. Even though many investors were betting against the dollar, a greenback that has rebounded this quickly and this strongly has created lots of investment potential.

One currency investors tend to be overlooking is the anemic British pound. As speculation of rising interest rates boost the dollar and eventually the euro, England’s central bank is likely to be the last low-rate holdout.

For currency traders, a sticky currency like this one opens arbitrage opportunities that should have any carry trade investors cracking a smile.

Finally, for you gold bugs, you know what I’m about to say. The precious metal is down once again. Today, an ounce of gold will cost you $5 less than yesterday, coming in with a price tag of $1,092 per ounce.

In the last month, gold has shed nearly 10% of its value. Get ready to move back into a buying mode.

Original source for this article: Contrarian Profits