S&P 500
1315.99
+20.77 +1.58%
Dow Indu
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Crude Oil
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Gold
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CRB Index
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US Dollar
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Strong

It’s more important to the market than Italy, Greece, Portugal, and Spain combined

The trials and tribulations of these four countries (that have run up huge deficits) have been well known for quite some time. What is more important in my opinion is not the size of the debt, which is staggering, but rather what is going on with market perception.

Market perception trumps everything else out there. Market perception trumps market fundamentals every time. Market perception is the one card that the government cannot control. It is the card that can potentially give the individual trader an edge.
[Read more...]

How my worst trade turned out to be my best trade ever!

Today I’d like to share a hard, but important lesson I learned in my trading career. At the time I considered it my worst trade ever; in retrospect it turned out to be my best trade.

Here’s why…

I started in the commodities business as a broker for a company called Conti Commodity Services. Conti was a division of Continental Grain Co. one of the largest and oldest grain companies in the world. Back in the 70s, Conti was just starting a new division to handle customers in the brokerage business. I was lucky enough to have them hire me as I had no experience and very little education. But, I was enthusiastic and willing to learn.

So there I was at Conti Commodity Services dialing and smiling and looking to get business for myself and the company. All this was back in the 70s when grain prices were skyrocketing. After a brief time on the job I guess I thought I knew better than everybody else.

So here’s my worst trade… [Read more...]

Weekend Update: SUPERCOMMITTEE, EUROPE, and other big problems for the markets.

Hello fellow traders everywhere. Adam Hewison here co-founder of MarketClub with your weekend update for the trading week ending on 11/18/11.

MarketClub members, this video is automatically inserted on your home page on the bottom right hand side.

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SUPERCOMMITTEE, EUROPE, and other big problems for the markets

This week I want to give credit where credit is due. One thing that Washington does really well, is they know how to name things, have you noticed that? Remember these names? The American Recovery and Reinvestment Act of 2009, Shovel Ready Jobs, or my favorite, “Cash for Clunkers” remember that one?

Now comes the SUPERCOMMITTEE, it’s not just a committee, it’s a SUPERCOMMITTEE with no space. I keep thinking to myself, what is a SUPERCOMMITTEE, how is it different from a committee? In fact, I was so intrigued that I looked up SUPERCOMMITTEE in the dictionary, the word doesn’t even exist. Like a lot of things in Washington these days, it’s all about smoke and mirrors, followed by no substance.

On the 23rd of this month, just before Thanksgiving, the so-called SUPERCOMMITTEE is going to come out with their recommendations, it’s not going to happen. Chances are, the report/recommendations will be delayed until the following week. If anyone’s good at kicking the can down the road, it’s Washington.

Another fly in the ointment for the markets this coming week, is the [Read more...]

What is happening to the world?

Hello traders everywhere!  Adam Hewison here, co-founder of MarketClub with your mid-day market update for Friday, the 18th of November.
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It’s Friday and we know what that means!

As we move into the trading day, the equity markets are all lower for the week.  Many of the markets came under pressure this past week, including crude oil which looks like it is going to close lower for the week after reaching a six month high earlier in the week.  This is not a particularly positive sign for this market. [Read more...]

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Adam Hewison
President INO.com
Co-Creator of MarketClub.com

What the FITCH!

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Thursday, the 17th of November.
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Let me begin by thanking everyone who watched our show last night at 5 PM. Jeremy and I had a great time and we covered many of the markets that are moving today. If you did not see the show, you can watch it here.

The overall market action yesterday was not good with the warning from FITCH about European bank losses. The bank stocks were a disaster and appear as though they are anticipating further problems in Europe.

Europe, of course, is on the minds of every trader to the point where it’s overshadowing all other thoughts on the market. As said earlier this week, “reality is slowly sinking into the markets.” [Read more...]

How the Open Can Make or Break Your Day

If you follow our blog, then you are definitely familiar with trader Larry Levin, President of Trading Advantage LLC. We have gotten such a great response from some of his past posts that he has agreed to share one more of his favorite trading tips as a special treat to our viewers. Determining the direction of the market can be tricky and just plain confusing at times, but Larry’s expert opinion keeps it simple and straight-to-the-point.

If you like this article, Larry’s also agreed to give you free access to one of his top trading secrets.

Today he’s going to talk about how the open of the market can make or break your trading day. [Read more...]

A Bigger Problem Than Contagion, Is the Human Problem

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Wednesday, the 16th of November.
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Tonight at 5 PM EST we broadcast our one hour show on the markets. We will be taking your questions and calls so be sure to watch MarketClub TV!

Call us at 410-867-2100 extension 129 or email us at marketclubtv@ino.com and leave a question for the show!
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A bigger problem than contagion: The human problem.

I was thinking about this last night… There isn’t anyone I know that has the slightest clue what’s going on! With all due respect to some very smart people, no one who is living today has lived through the type of problems we have right now in Europe.

So far, it has been all about changing the governments in Italy and in Greece, but the performance benchmarks and the austerity measures that need to be put in place present a huge challenge for the populations of those countries.

I want you to give up 20% of everything you have, right now. Would you be happy with that? Of course not, nobody would, but that is exactly what is going to be the BIG PROBLEM. I call it the human equation. [Read more...]

The Reality of the Market

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Tuesday, the 15th of November.
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What I love about the markets is that unlike most politicians, they don’t lie.

Is reality finally beginning to settle into the markets?

Things aren’t going to get better right away. The magnitude of the problem in Europe and Spain’s failure today to sell €3.5 billion of notes, underscores just how fragile the Euro economic system is right now. Europe is a big market for US and Asian products. If Europe is weak, it can’t help but spread to other parts of the world.

As an example, one only has to look at Citigroup (symbol C) to know that things are not good.

We do not expect things to get better any time soon. If you look at a chart of capitalism over the last 100 years, you get a sense of how these longer-term economic cycles work. It is going to take us years, not months, to get these economic problems worked out. [Read more...]

Italy and Greece Pass the Baton

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Monday, the 14th of November.
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Italy and Greece pass the baton to the technocrats, but does it really matter at this point?

As we start this trading week, we’ve seen a change in the governments of both Greece and Italy, as the rule of the technocrats is now upon us. They can make the hard decisions that politicians can’t seem to, but it is a bitter pill for the citizens of those countries to swallow. The bigger problem, and one that is complex and not easy to solve, will be social unrest.

No matter how things are sliced and diced in Europe, there is still a mega amount of money owed to banks that needs to be reconciled. The way the markets are opening today, it would appear as though no one is easy with the current changes. It may just be a case of “buy the rumor and sell the news.” [Read more...]

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