Are You Prepared For The 'Follow-Up' Crash?

A "follow-up" market crash could be coming.

I don't mean to scare you, but it's only a matter of time...

The past two happened like clockwork -- seven years apart. One happened just before 2001, after the dot-com burst. The other came with a vengeance in 2008, right after the housing collapse.

It's getting close to another seven years... so what about this time?

Are we headed for a "follow-up" market crash?

 

The very idea of losing more than half of your invested wealth in a market downturn is daunting.

Market analysts claim to know exactly where the market is going, and act like they know exactly when to buy or sell stocks. But how many analysts do you remember saying months before the 2008 financial crisis that the market was going to go down by 57%? Can you name one? Continue reading "Are You Prepared For The 'Follow-Up' Crash?"

Weekly Futures Recap With Mike Seery

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold Futures--- Gold futures in the June contract settled higher for the 2nd consecutive trading session cracking $1,300 an ounce after hitting new recent lows yesterday before the Ukrainian situation was stirred up once again this could be a problem for months to come as gold is held major support 1,280 currently I’m not recommending a position in this market as the trends choppy but keep an eye on this chart and wait for better chart structure to develop. Gold futures are trading above their 20 and 100 day moving average telling you that the trend is higher despite the fact that we are right near recent lows as the market remains choppy but with the stock market rallying recently investors sought no reasonable gold but the money flow came back into this market as political tensions are heating up. If your bullish the gold market my recommendation would be to buy a futures contract at today’s price of 1,300 while placing your stop below yesterday’s low of 1,264 risking around $3600 but the true breakout will not occur until prices break the April 14th high of 1331.
TREND: SIDEWAYS
CHART STRUCTURE: POOR

Continue reading "Weekly Futures Recap With Mike Seery"

Do You Practice Quality of Life Investing? Michael Berry Does

The Energy Report: When we last interviewed your son, Chris Berry, he advised to invest based on the reality of a growing, emerging market in China. That included both energy and agriculture sectors. Are you also bullish on quality of life-based (QOL) investing?

Michael Berry: I am bullish; I developed the QOL concept a few years ago. What I'm seeing is quite a few big institution life insurance companies, family offices and money management companies opening quality of life funds, although often with different names. They are beginning to recognize that as people move from the country to the cities in the emerging markets, and a new middle class develops, they will want more animal-based protein chicken, fish, pork, beef and eggs. By 2030, once the credit cycle is corrected, I'm very bullish that quality of life funds are going to push forward. I think both the energy and the agriculture sectors are going to be interesting investment areas.

Chris and I have been spending a fair amount of time lecturing and presenting our QOL thesis and talking to investors and companies that have big stakes in this area. When you have 2 billion (2B) new consumers who want to live longer, healthier and easier, and who want better food, education and transportation, energy and nutrition will be key sectors.

TER: Does that mean that you are not worried about reports of slowing economic growth in China? Continue reading "Do You Practice Quality of Life Investing? Michael Berry Does"

How Not To Be A Patsy During Earnings Season

By: Tim Melvin

There is an old poker proverb that has been quoted by everyone from Warren Buffett and Marty to Whitman to Amarillo Slim and Whispering Saul that applies to trading around earnings season.

If you have been at the table for a few minutes and have not yet figured out who the patsy is, get up and leave. You are the patsy in the game. Every earnings season there's dewy-eyed traders rushing out to beat the market and pile up a fat stack of profits trading stocks and options based in earnings reports.

Everyone thinks the game is winnable and there will be boasts of great winners and successful trades over the next six weeks or so. You will not hear much discussion of the losers -- but then again you will probably never meet a losing poker player in your lifetime either.

The odds are stacked against the patsy in a very big way, especially those using options to make bets. Stop to consider for a moment exactly what you are trading in earnings season. The patsy is making a bet on a guess on how much the Wall Street analyst's community guess was off in either direction. Continue reading "How Not To Be A Patsy During Earnings Season"

Why I Will NEVER Buy Another Bank Stock

My grandmother, a schoolteacher, was widowed at a relatively early age. She inherited a relatively small nest egg my grandfather, a rabbi, had built that included a couple of municipal bonds and 90 shares of stock in a small local bank started by a handful of his congregants.

At the time of her death 40 years later, the bank had grown into one of the largest regional players in the business. Those 90 shares had grown through mergers, splits and stock dividends to over 12,000 shares, with a value of close to $300,000. Not a fortune -- but not too shabby.

Was she some kind of investing genius? She was a smart cookie, but no. She held the stock for what seemed like forever. She banked there forever. She knew the business inside and out. She liked the 5% rain or shine dividend.

The bank she owned evolved into Regions Financial (NYSE: RF). Continue reading "Why I Will NEVER Buy Another Bank Stock"