Hello fellow traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-week market update for Wednesday, the 8th of February.
Exchange rates spur car sales around the world.
The surprising rebirth of GENERAL MOTORS CO (GM) thanks to killer exchange rates.
Looking stylish...
POLO RALPH LAUREN (RL) is looking good on the street.
Do you want fries with that?
MCDONALDS CORP (MCD) is at record highs. Did MarketClub's Trade Triangle technology get it right?
Remember …
DON'T FIGHT THE MARKET … MOVE WITH THE MARKET
Now, let's go to the charts and MarketClub's Trade Triangle Technology.
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S&P 500 INDEX
BIG PICTURE: Strong Trend +90
TRADE TRIANGLES: Long-Term = Bullish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
After a strong run-up, we would not be surprised to see this market begin some form of consolidation before we move up to the next target level. Support should come in to this market around the $1332 to $1335 areas. Longer-term we expect this market to move up to the $1370 to $1400 level as early as May based on cyclic work. With all three of our Trade Triangles green, a bull market is underway. Long and Intermediate term traders should now be holding long positions in this index with appropriate money management stops.
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Watch today’s S&P 500 Video Here.
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Suggested S&P 500 Trading Instruments:
Non Leveraged ETF’s: (Long SPY) (Short SH)
2 x Leveraged ETF’s: (Long SSO)(Short SDS)
Futures: Contracts are available to trade this market. Contact your broker
Options: Options Contracts are available to trade this market.Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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PERSONAL MARKETCLUB COACHING
Free consultation, Free call.
Give us a call at: 1-877-219-1482
International: 1-801-341-3981
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SILVER (SPOT)
BIG PICTURE: Trading Range +60
TRADE TRIANGLES: Long-Term = Bearish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
The silver market continues to oscillate between support at $33 an ounce and resistance at just over the $34.50 level. Should this support level give way, we can see a fast move down to the next support levels of $31 and $32 an ounce. With a Score of +60, this market remains in a trading range. We think this market is at the top of a trading range cycle, but has nor provided conclusive proof that the cycle has indeed topped out. With our long-term monthly Trade Triangle in a red negative mode, we expect to see this market run out of steam around current levels. This particular indicator has done extremely well in the past. Long-term term traders should be in short positions in silver with appropriate money management stops. Intermediate term traders should be on the sidelines.
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Watch today’s Silver Video Here.
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Suggested SILVER Trading Instruments:
Non Leveraged ETF’s: (Long SLV) (Short the ETF SLV)
Leveraged ETF’s: (Long AGQ) (Short ZSL)
Futures & Options: Contracts are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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GOLD (SPOT)
BIG PICTURE: Trading Range +60
TRADE TRIANGLES: Long-Term = Bearish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
Today's market action in gold negated yesterday's strong upward move. It is becoming increasingly likely that we are in a topping cycle for gold and we will see this market correct back down to lower levels. However, we need more chart evidence for this to be confirmed. Like silver, gold has a Score of +60 indicating that it is in a trading range. The gold market has major resistance at $1760 and support at the $1710 levels. With our long-term monthly Trade Triangle still negative, we cannot get excited about this market at the moment. We are not super bearish on this metal, we just need further confirmation with the tools we know are successful in trading gold. Long-term term traders should be in short positions in gold with appropriate money management stops. Intermediate term traders should be on the sidelines.
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Watch today’s Gold Video Here.
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Suggested GOLD Trading Instruments:
Non Leveraged ETF’s: (Long GLD) (Short the ETF GLD)
Leveraged ETF’s:(Long UGL) (Short GLL)
Futures & Options: Contracts are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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COPPER (MAY)
BIG PICTURE: Strong Trend +90
TRADE TRIANGLES: Long-Term = Bullish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
ATTENTION: We are now tracking the MAY copper contract. A move and close in the May contract over $3.92 should be viewed as extremely bullish. With a Score of +90, we are in a strong trend to the upside and continue to be positive on this market. As we have said in the past, copper generally reflects economic conditions, and as such is influenced by equity prices. Look for support at the $3.80 level. The market action looks as though it has created a large base to move higher in the future. Next upside target zone for copper is $4.00. Long and Intermediate term traders should now be holding long positions in this index with appropriate money management stops.
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Watch today’s Copper Video Here.
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Suggested Copper Trading Instruments:
Non Leveraged ETF’s: (Long JJC)
Futures & Options: Contracts are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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CRUDE OIL (APRIL)
BIG PICTURE: Trading Range -55
TRADE TRIANGLES: Long-Term = Bullish | Intermediate Term = Bearish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
ATTENTION: We are now tracking the APRIL crude oil contract. On a close-only basis, it would appear as though the April contract has broken out to the upside. However the sharp reversal today from over $100 a barrel should be taken into consideration that we are not there yet. We want to pay close attention to this market as we believe that the recent market action is reflecting an important cyclic low period. If this is true, this market could be headed substantially higher. With a Score of -55, this market is in a trading range. We remain longer term positive on this market, however it needs to move and close over resistance at $100 to get its upside momentum into high gear. With our monthly and daily Trade Triangles in a positive mode, we expect we will see further market consolidation in crude oil. Long-term traders should be long this market with appropriate money management stops.
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Watch today’s Crude Oil Video Here.
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Suggested Crude Oil Trading Instruments:
Non Leveraged ETF’s: (Long USO) (Short the ETF USO)
Leveraged ETF’s: (Long UCO) (Short DTO)
Futures & Options: Contracts are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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PERSONAL MARKETCLUB COACHING
Free consultation, Free call.
Give us a call at: 1-877-219-1482
International: 1-801-341-3981
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DOLLAR INDEX
BIG PICTURE: Emerging Trend -70
TRADE TRIANGLES: Long-Term = Bullish | Intermediate Term = Bearish | Short-Term = Bearish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
We are waiting for this market to hit some of the Fibonacci levels we've outlined, and will see how it acts at those levels. Only our longer-term monthly Trade Triangle remains positive on this market. With a Score of -70, this market is in an emerging trend to the downside. We expect that we will be seeing some of the Fibonacci retracement levels that we discussed come into play in the days and weeks ahead. The mixed picture could also mean we will see a pullback to the $78.29 level and the $77.46 level. Both of these levels represent Fibonacci retracement points of 50% and 61.8%. Long term traders should maintain long positions with the appropriate stops in place.
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Watch today’s Dollar Index Video Here.
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Suggested DOLLAR INDEX Trading Instruments:
Non Leveraged ETF’s: (Long UUP) (Short UDN)
Leveraged ETF’s: (Long) (Short)
Futures: Contracts are available to trade this market. Contact your broker
Options: Options Contracts are available to trade this market.Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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REUTERS/JEFFERIES CRB COMMODITY INDEX
BIG PICTURE: Trading Range +70
TRADE TRIANGLES: Long-Term = Bearish | Intermediate Term = Bullish | Short-Term = Bullish
MARKETCLUB SCORING SYSTEM: Trading Range 50 – 65 | Emerging Trend 70 – 80 | Strong Trend 85 – 100
With a Score of +70 this market is trying to develop into an emerging trend. It would appear as though this market is beginning to create a large energy field to push prices and inflation much higher in the future. Major resistance is at the $320 area on the upside and support comes in at the $310 level. Our short term daily Trade Triangle has turned green indicating short term strength, however that is in conflict with our negative longer-term Trade Triangle. Long-term traders should hold short positions in this index with appropriate money management stops.
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Watch today’s REUTERS/JEFFERIES CRB COMMODITY INDEX Video Here.
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Suggested REUTERS/JEFFERIES CRB COMMODITY INDEX Trading Instruments:
Non Leveraged ETF’s: (Long CRBQ) (Short the ETF CRBQ)
Leveraged ETF’s: (Long) (Short CMD)
Futures & Options: Contracts are available to trade this market. Contact your broker
WARNING: Liquidity in some ETFs is very thin. Contact your broker for more information.
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PERSONAL MARKETCLUB COACHING
Free consultation, Free call.
Give us a call at: 1-877-219-1482
International: 1-801-341-3981
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This is Adam Hewison for MarketClub and I'll see you tomorrow with my mid-day update. Have a profitable trading day.
Take care everyone,
Adam Hewison
President INO.com and co-founder of MarketClub.com
Hey, Adam,
This was a much better presentation. Enjoyed the additional info you provided.
Adam, I was disappointed that you attribute GM's revival to the dollar/yen relationship.. Shame! GM's existance first of all, is by grace of the Administration's courageous bail out, which allowed it to avoid bankruptcy.. You just could not credit Obama admin with even that! Yes, the dollar/yen shift helped GM prices in Japan, but the bulk of GM sales are not there but in US and Europe.. they've turned the company around, and make decent cars now.. This is the second instance I've seen of your letting your political ideology get in the way of straight financial reporting.. your previous one, a few weeks back, produced a hailstorm of criticism from which you beat a hasty retreat..
I am willing to pay for useful financial news and opinion, not for politicing..
Paul, Adam did an excellent job. I didn't notice any political agenda in his presentation.
This administration used tax payers dollars to bail out a company and its union members and left the bond holders hanging. This is not a socialist country. We are a Republic. Giving credit to a president who takes our money to make sure union members stay employed (and keeps their benefits), fires the CEO, and doesn't care about the bond holders is not to be admired. There is your political take on it.
Paul,
Thank you for your feedback and for your business.
When I referenced the amazing move in the Yen over the past 4 years from ¥130 to the dollar to ¥77 which automatically gives dollar based companies a huge price advantage in the global marketplace. It is also a huge disadvantage for Japanese priced products in the same global marketplace.
If you look at Caterpillar who has a very strong competitor in Japan call Komatsu you will see that their business benefited dramatically from a lower dollar. That was the point I was making on the show, it was not a political one.
Lastly, every administration whether it be republican or democrat have been debasing the dollar for last 50 years.
All the best,
Adam
LOOKS LIKE INTC HAD A GOOD PRESENTATION BUT WHY IT IS SELLING OF
I'm thinking I am wrong in what you offer. I though I could sumit symbols of stocks I own/am interested in buying and get your feelings on.
such as:BDX, TGT, MELI, CL.
You did give me info on PCLN and I looked for the "ADD"to ask about others it was not gound?
Don,
Give this member tutorial video a shot. Adam explains how to find, filter and scan for trades.
Cheers,
Jeremy
Thanks for posting, Jeremy. I need this too. I think I need more education on the use of trade triangles.
I just had another thought. What's the possibility of Adam spending one Wednesday giving nothing but specific instructions on the use of trading triangles and use specific stock for the training. I believe there are a bunch of us that are very confused. In listening to the 1pm televised sessions, I continually get the idea that we shouldn't trade an equity that doesn't have a plus or minus 100%. I have enlisted a personal trainer and still need more clarification.
Here is a good article on ETf's vaucuuming up cash...India absorbing lots of money into those ETF's:
http://blogs.marketwatch.com/thetell/2012/02/08/global-equity-etfs-are-vacuuming-up-cash/
Thanks for the info. I've been reading articles as well about emerging market etfs that are growing.
I thought market club TV was at 4pm ET?
George,
We had to change the time today. But the full 56 min episode is there for you to watch along with the 1pm update.
Enjoy,
Jeremy