In Europe it's getting personal...Weekend Update Video

Hello fellow traders everywhere. Adam Hewison here co-founder of MarketClub with your weekend update for the trading week ending on 10/21/11. This week we have two parts to our weekend update. Watch them both here.

Equities mixed as metals fade …

In Europe it's getting personal.

A poll that we conducted on Friday shows that 75% of all traders are closely watching  events in Europe. Here's the reason why.

Here we have Chancellor Merkel of Germany, telling Berlusconi the Prime Minister of Italy, who just happens to be a billionaire, a proud Italian male what to do. For sure there is no love lost between these two, but I'm not sure talking that way to an Italian billionaire, is going to result, in any kind of positive vote. That's why, I have always thought that the European union between different sovereignties, with different values and social structures, was an accident just waiting to happen.

Daily rumors from Europe continue to weigh heavily on the markets around the world. Everyone's euphoric one moment, thinking that a possible agreement is at hand only to find out hours later that everything is in complete disarray. It's just a question of how many lifeboats are available,  when the boat sinks? Continue reading "In Europe it's getting personal...Weekend Update Video"

How To Avoid Slice-O-Matic Markets

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Friday, the 21st of October.
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As we are coming to the end of the trading week I want you to ask yourself this question: IS PERSONAL COACHING RIGHT FOR ME?

Watch my free personal invitation to you about one-on-one coaching:

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How to avoid Slice-O-Matic markets

One of the biggest challenges many traders face is avoiding "Slice-O-Matic" markets. What is a "Slice-O-Matic" market? Well, it's a market that lacks any real direction. We can call these markets "Slice-O-Matic" markets as they cut trader's equity into ever smaller pieces.

For the past seven days, the S&P 500 has not closed in any one direction from more than one day. This is the choppy scenario that many traders would like to avoid.

So how is that done?

One of the simplest ways that I know is to use our Trade Triangle technology. The major Trade Triangle to watch trading stocks is the monthly Trade Triangle, as this determines the trend. We use the weekly Trade Triangles for timing purposes. Let me give you an example, if the last monthly Trade Triangle is green, this indicates the major trend is up for that stock. You would then use the initial monthly Trade Triangle as an entry point and the weekly red Trade Triangle as an exit point. You would only reenter a long position if and when a green weekly Trade Triangle reappeared, providing the monthly green Triangle is still in place. You would again use the next weekly red Trade Triangle as an exit point.

The reverse is true if a red monthly Trade Triangle shows that the trend is down. You would then use the weekly green Trade Triangles for covering short positions and the weekly red Trade Triangles for reentering short positions.

When you have two opposing Trade Triangles, like the red monthly Triangle and green weekly Triangle in the S&P 500, it indicates that you should be on the sidelines and in cash. You would be amazed at just how well this simple formula works in the stock market.

So there you have it, a simple, easy way to protect your equity and avoid Slice-O-Matic markets.

Now, let's go to the 6 major markets we track every day and see how we can create and maintain your wealth in 2011. Continue reading "How To Avoid Slice-O-Matic Markets"

Will Europe Ever Make Up Its Mind?

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Thursday, the 20th of October.
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Will Europe ever make up it's mind?

The continuing back and forth squabbling going on in Europe continues to be a real problem for the markets.

The risk on, risk off trade is becoming a daily ritual for many traders. We want to refer to our long term Trade Triangles to continue to keep us on the right course.

If you didn't have a chance to watch our MarketClub TV show last night, you may want to take some time and look at what we were saying and what the markets are doing today.

We want to be very watchful of the S&P 500 Index, as a move and close below the 1200 level should be viewed as topping action for this index.

It is all going to come down to tomorrow, and how we close in the markets. I believe that the politicians in Europe are really no different from the politicians on this side of the pond. They do not want to make a decision that would cost them their job. We have said from the beginning that we thought Europe was a disaster, as you have many different countries pulled together in alliance called the euro. Every country in Europe is going to hunker down in their own sovereignty.

Greece is going to default and probably fall into chaos. It is unavoidable at this stage of the game. Let's hope things remain a little calmer here in the United States.

Now, let's go to the 6 major markets we track every day and see how we can create and maintain your wealth in 2011. Continue reading "Will Europe Ever Make Up Its Mind?"

For the First Time Since 2002....

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Wednesday, the 19th of October.
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First time since 2002, and the last time since 1987.

For the first time since 2002, Apple missed its projected earnings. This came as a shock to many traders, as Apple has notoriously underplayed its estimates for earnings. So what does this all mean? Is the Android platform going to marginalize Apple, just like the Windows platform did to Apple in the 80s and 90s? That may be too complicated to answer for this blogger, but as always we will rely on Trade Triangle technology to get it right for us.

Many traders who were trading in 1987 can still remember the days between October 14th and October 19th, when major indices in the United States dropped 30 percent or more. Let's hope we don't see a replay of that today.

The major indices lack any real direction for the moment. However, there are a number of markets that look good to us. Tune in to MarketClub TV tonight at 5pm EDT and we will be uncovering some of these markets that have clear-cut trends both on the upside and the downside.

The problems in Greece continue to escalate with more violent behavior. We predict the protests in Greece are going to get a lot worse before they get better. The question now is, when will the "Occupy Wall Street" crowd turn to violence?

Now, let's go to the 6 major markets we track every day and see how we can create and maintain your wealth in 2011. Continue reading "For the First Time Since 2002...."

Is the Market A Buy or Short Sale?

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Tuesday, the 18th of October.
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Is the market a buy or short sale?

That's the question that is going through many trader's minds this week. Should I buy this market, or should I go short this market? At the moment, this market is being driven by perception and sentiment. Eventually that will change and the market will become driven by the direction of the major trend.

Our major trend indicators remain negative on the equity markets. We are also looking at the S&P 500 at the top of the Donchian trading channel. I believe that was the reason for yesterday's sharp move down.

In order for this market to really get going on the upside it needs to clear the highs of 1230 on the S&P 500 in a convincing fashion.

There is so much confusion in the marketplace right now... Interest rates, mortgage foreclosures, contagion in Europe and the occupation of Wall Street. The markets always have numerous conflicting thoughts, but eventually the market figures it out and goes the way it wants to go. Our job here at MarketClub is to recognize those changes and alert you to what we are witnessing.

Now, let's go to the 6 major markets we track every day and see how we can create and maintain your wealth in 2011. Continue reading "Is the Market A Buy or Short Sale?"