Welcome to MarketClub TV for Wednesday, the 21st of March.
Hello fellow traders everywhere! Adam Hewison here, co-founder of MarketClub, joined today by Jeremy Lutz.
Best opportunity in a lifetime, according to Goldman Sachs.
According to Peter Oppenheimer of Goldman Sachs, in a 40-page strategy paper, stocks offer the best opportunity in a generation. I guess we would have to tell Peter he's a little late to the party.
Today's Winning and Losing SECTORS:
CONSUMER GOODS: +0.41%
SERVICES: +0.54%
HEALTHCARE: +0.37%
ENERGY: -0.68%
TECHNOLOGY: +0.58%
FINANCIAL: -0.02%
INDUSTRIAL GOODS: +0.16%
MATERIALS: +0.13%
UTILITIES: +0.28%
We still like crude oil from the long side.
We show you where this market is headed in today's video.
3 Stocks on the move today:
SAIC INC (SAI), MASCO CORP (MAS), and NETFLIX INC (NFLX).
Did MarketClub's Trade Triangle technology get it right on these three stocks?
Now, let's analyze the major markets and stocks on the move using MarketClub's Trade Triangle Technology.
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S&P 500 INDEX
BIG PICTURE: Strong Trend +100
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bullish | Daily = Bullish
For the past four days, the S&P 500 index has been moving sideways above the $1,400 level. With a Score of +100, this index is in a strong upward trend. Long-term and intermediate term traders should remain positive on this index. Longer-term we expect this market to move up to the $1,550 to $1,600 level by late May, early June based on our cyclic work. With all of our Trade Triangles green, we are in full bullish mode.
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See suggested S&P 500 trading instruments HERE.
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SILVER (SPOT)
BIG PICTURE: Trading Range -60
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bearish | Daily = Bearish
We still cannot rule out a 61.8% correction back down to the $30.40 area on the spot silver market. With a Score of -60, the silver market is in a trading range. Only our long-term monthly Trade Triangle remains positive on silver. This particular indicator has done extremely well in the past. Long term traders should be holding long positions in silver with appropriate money management stops.
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See suggested SILVER trading instruments HERE.
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GOLD (SPOT)
BIG PICTURE: Emerging Trend -75
TRADE TRIANGLES: Monthly = Bearish | Weekly = Bearish | Daily = Bullish
For the past seven days, gold has been moving sideways, however we still believe that this market is headed down to test the $1,620 area. This is close to a major 61.8% Fibonacci retracement level of $1,617.34. With a Score of -75, this market is in an emerging trend to the downside. We are expecting gold to be on defensive for the balance of March. Presently we are negative on gold and we expected to trade down to lower levels. With two of our Trade Triangles negative, we expect this market to move lower. Long-term and intermediate term traders should be in short positions in gold with appropriate money management.
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See suggested GOLD trading instruments HERE.
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COPPER (MAY 2012)
BIG PICTURE: Emerging Trend -70
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bearish | Daily = Bearish
Since late January, the copper market has been moving sideways in a broad trading range defined by $3.70 on the downside and $3.95 on the upside. A move out of this range is needed to develop a strong trend. A close in copper this week over the $3.95 level sets this market up to challenge the $4.25 to $4.30 areas. We continue to view the longer-term trend in copper as positive. The market action looks as though it has created a large base to move higher in the future. Long term traders should now be holding long positions in this index with appropriate money management stops.
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See suggested COPPER trading instruments HERE.
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CRUDE OIL (MAY 2012)
BIG PICTURE: Trading Range -55
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bearish | Daily = Bullish
ATTENTION: We are now following the MAY crude oil contract. Since reaching a high of just over $110 a barrel, this market has fallen back and moved sideways. We view the current action as positive longer-term to drive crude oil prices up to the $120 -$125 levels. A close this week over the $108.20 level should be viewed as extremely positive for this commodity. We continue to like the chart formation which we believe will eventually push this market higher until early April. We are looking for crude oil to make its highs probably somewhere in the April May period. With a Score of -55, this commodity is in a trading range. With our monthly Trade Triangle in a positive mode, we expect to see further gains in crude oil. Long term traders should be long this market with appropriate money management stops.
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See suggested CRUDE OIL trading instruments HERE.
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You can't afford to miss this opportunity!
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DOLLAR INDEX
BIG PICTURE: Strong Trend +85
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bullish | Daily = Bearish
This index is beginning to find support around current levels at $79.00 to $79.50. A Score of +85 indicates that this index has once again moved into a strong trending mode to the upside. Long term and intermediate term traders using our Trade Triangles should maintain long positions with the appropriate stops in place.
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See suggested DOLLAR INDEX trading instruments HERE.
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REUTERS/JEFFERIES CRB COMMODITY INDEX
BIG PICTURE: Emerging Trend +70
TRADE TRIANGLES: Monthly = Bullish | Weekly = Bullish | Daily = Bullish
A close over the $320 level would be a strong bullish signal for this index, signaling that inflation is beginning to pick up. We believe the driver of this inflationary trend will be crude oil. As we mentioned last week, the $314-$315 area is probably a buy at this point in time. Look for pullbacks to be met by good support at that level. Long-term and intermediate term traders should hold long positions in this index with appropriate money management stops.
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See suggested REUTERS/JEFFERIES CRB COMMODITY INDEX trading instruments HERE.
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This is Adam Hewison for MarketClub wishing you every success in trading.
Adam Hewison
President INO.com and co-founder of MarketClub.com
Hi Adam,
Before the crash in 08, I use to work for Paragon Schmid cabinet division. I worked in Pulte homes & KB homes construction sites. The cabinets we installed were from Masco Corp (MAS) they make lots of housing products, cabinets is just one of the many products they have.
Well Adam I think you’re drawing on the crude oil chart from March to May 2011 showed us what to expect on crude oil if it passes last year highs of $113.40. We’re all going to get shafted again! LOL
Thanks for all the work you guys do, it’s greatly appreciated! 😉
Here is the type of thing that sometimes puts a little doubt into the accuracy of your system. It is 4:35EST, your above summary show $SPX at a score of 100. Both the chart and smart scan analysis show a score of 90. Granted with either score you buy but this type of disparity shows up all the time and sometimes more pronounced.
I just recently got out of stock market training, and I'm getting ready for the crash proof course. He taught us that in a market that's on a fixed income, or pretty damn close to it. The best thing to basically do is invest in a bunch of different stocks, foreign and domestic, check out the interet of the bonds, and if they're good, invest. So good luck with what ever you plan to do.
Lee,
At 1pm when we went live on air the S&P 500 was a +100. The scores change several times during the course of the trading day as you can see by this example. The score changed from a +100 to a +90 because the last hour close was below the 5 hour Moving Average as noted in the Chart Analysis Score. This part of the score is weighted as 10 pts. Of course we are still long on all fronts as a +90 is still a strong trend.
This is a link to our Help Section that further explains how the Chart Analysis Score works. Click here
Best,
Jeremy