How the Best Analyst In the World Nailed Netflix …

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Tuesday, the 25th of October.
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Don't miss MarketClub TV this Wednesday at 5pm EDT.
E-mail us your questions at marketclubtv@ino.com or call 410 867-2100 extension 129.
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How the best analyst in the world nailed Netflix … And why Tuesdays are so important.

Most every day we interact with the best market analyst in the world. The problem is most traders don't even know it, or think about it. Continue reading "How the Best Analyst In the World Nailed Netflix …"

Is It Reversal Time For the Markets?

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Monday, the 24th of October.
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As we begin the trading week, I want you to ask yourself this question. IS PERSONAL COACHING RIGHT FOR ME?
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Is it reversal time for the markets?

At the start of a new week, have we turned around or is this just a correction in a larger bear market?

I think you'll find today's video interesting as the S&P 500 has made a remarkable recovery. However, it is back at a crucial Fibonacci retracement level which could present major problems for this index.

In our recent survey we asked traders if they were concerned about what is going on in Europe. A remarkable majority, over 75% said they were, and they do watch events in Europe very closely.

At this point, Europe is really the tail that wags the dog and we are not optimistic that things are going to work out in a positive fashion. They have had a total of 13 summits in a period of 20 months trying to solve this problem. With the likes of Berlusconi, can you imagine telling him what to do? And other players like Nicholas Sarkozy shouting to Brian Cameron of Great Britain to shut up and butt out. And that's the stuff we hear about!

Imagine the stuff we don't heard about.

Now, let's go to the charts and see some of those important retracement levels, and let's see how we can create and maintain your wealth in 2011. Continue reading "Is It Reversal Time For the Markets?"

A simple (humorous) look at bank derivatives

A Banking Primer: Understanding 'Derivatives'

Heidi is the proprietor of a bar in Detroit. She realizes that virtually all of her customers are unemployed alcoholics and, as such, can no longer afford to patronize her bar.

To solve this problem, she comes up with a new marketing strategy that allows her customers to drink now and pay later; keeping track of the drinks consumed on a ledger (thereby granting the customers 'loans'). Continue reading "A simple (humorous) look at bank derivatives"

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"