Hello traders everywhere! Adam Hewison here, President of INO.com and Co-creator of MarketClub, with your mid-day market update for Wednesday, the 1st of May.
Fed Reports at 2pm ET
Today at 2pm, the Fed will announce its intentions with its bond buying program. I am expecting the Fed's decision will remain pretty much unchanged.
What's Going To Kill This Bull Market?
I would not expect to see any groundbreaking news coming out of today's Fed announcement. However, the Fed is going to be the one that kills this improbable bull market. It would appear that most people are still not sure the economy is good and corporate America is certainly on that same band wagon. Corporate America has cut expenses to the bone and we don't believe they're going to have any more room to cut costs. Any future growth is going to have to come through growing profits, which is at the moment, a difficult proposition. Thank goodness for technical analysis and our Trade Triangle technology, which has captured most of the move in the indices and major stocks.
Watch Today's Video Update Here
Has The Recovery Rally In Gold Run Out Of Gas?
One of the key levels that we are looking at today in the gold market is the $1,460 level on spot gold. A move below this level will signal a resumption of the downward trend. Look for resistance to come into this market starting at $1,480 to $1,495.
Time To Short Crude Oil?
Our Trade Triangles have turned decidedly bearish on crude and we expect that the recent recovery has run out of steam. The June contract has heavy resistance starting at just over $94 a barrel. The $80 a barrel level should act as major long-term support for crude oil.
Watch Today's Video Update Here
On Investor's Minds:
United States - homegrown terrorists
North Korea - an agent for China?
Europe - ITALY has a government. YEAH!
The FED - OMG do they know what they are doing?
May 19th – Debt ceiling suspension expire
Have a great trading day,
Adam Hewison
President, INO.com
Co-Creator, MarketClub
Adam appears frequently on the following financial news channels as a guest expert. Click on any cable logo to watch Adam's latest appearance.
"What's Going To Kill This Bull Market?"
The ONLY event that would kill this artificial FED-created-bubble bull market is a rise in interest rates that would cut off the carry-trade Great Wall Street Casino gamblers from their borrowed free money (below the Inflation Rate) to keep pumping the bubble.
This is one of the best email's i get.
Forget about the news which will cloud your mind and go by the charts and/or triangles. Every time I put my Red Blooded Conservative Bias into my trades I lose money and I refuse to think like a Liberal/Socialist. So, all I have is my charts. LOL Oh, and I am doing much better.