To Trade Successfully, You Must Trade With The Trend

In life, trends are all around us and you only have to look at the weather to know that’s true. It's a pretty safe bet that temperatures will be colder in December than they will be in August, at least in the Northern Hemisphere. Trends also persist in the marketplace, but unlike the weather, these are moving trends and change year to year. As a trader and investor, you want catch the trends near a top or bottom.

Learn more about trading the trend here.

Sean Rakhimov: Upward Trend a Silver Investor's Friend

The Gold Report: The Washington D.C.-based Silver Institute reports that net silver demand has exceeded net silver supply each year since 2004, with a supply deficit of 113 million ounces (113 Moz) reported in 2013. Why hasn't that trend translated into dramatically higher silver prices?

Sean Rakhimov: First, I don't put much faith in these numbers. For instance, CPM Group has somewhat different numbers. Either way, silver supply and demand have been roughly in equilibrium, in my opinion, over the past decade or so. Second, silver manifests itself as a precious metal in times of crisis or uncertainty. When it's business as usual, silver acts more like a base metal and trades more on supply and demand numbers. Silver prices will respond during a crisis as its perception changes from an industrial to precious metal. That's when you will see more of what we saw in 2011 when in the space of about six months silver went up three times. Another period like that is coming.

"Excellon Resources Inc. has a handle on its deposit's cost structure and grade."

TGR: In early June we started to see stronger precious metals prices and that has carried through. Is this a trend?

SR: It is the beginning of a trend. Precious metals characteristically start going up after a prolonged decline, yet early in the reversal they rarely inspire any confidence because the last dozen or so similar moves fizzled after a 1020% move. This could be one of those. Silver is at $21 per ounce ($21/oz) now, maybe next week it will test $18/oz again. It's anybody's guess but I believe that toward the end of the year we'll probably see higher numbersmaybe substantially higher.

TGR: Is there a telltale sign that shows investors that this upturn is real? Continue reading "Sean Rakhimov: Upward Trend a Silver Investor's Friend"

The Importance Of Stops

Some traders may question the importance of stops and be concerned about putting a stop in the market, only to be quickly stopped out for a loss. Nothing could be further from the truth! Stops allow traders to protect and grow their capital. You can use the different types of stops to your advantage, and tailor them to your strategy and the type of market you are trading.  Let stops work for you!  They only risk what you decide is worth it.

Learn more about using stops here.

After The World Cup, Nothing Can Save Brazil

By: Joseph Hogue of Street Authority

Shares of Brazilian companies listed on U.S. exchanges have made a remarkable comeback since March. The reasons given in the financial press would be comical if they were not so ridiculous.

For instance, one pundit says the World Cup, though well over budget and a spectacular failure for the home team, will mean faster economic growth in the second half of the year.

That's just a sample from a list that goes on and on... but nobody's acknowledging the economic reality that is poised to bring stocks down again.

Stocks Bounce -- But Not For Long
In November, I examined the country's deep fiscal problems and predicted lower economic growth on higher rates. Since then, analysts have downgraded estimated 2014 economic growth to just 1.2%, down from expectations well above 2% last year. In March, the country's debt was downgraded to BBB- (one level above junk) by Standard Poor's, and the government will likely miss budget targets this year.

Shortly after my article came out, Brazilian stocks plummeted, with the iShares MSCI Brazil Fund (NYSE: EWZ) falling 18% in just three months. Shares of Petrobras (NYSE: PBR), forecast to be the hardest-hit for its role as state-controlled piggy bank, fell almost 38% over the period.

While Rousseff's approval ratings have been dropping, investors are underestimating the power of her political base and the government's ability to manipulate the electorate with social programs. The government has boosted cash transfers to the poor and increased tax exemptions. Price controls have lowered electricity by 30% and bus fares by 20% over the past year. Continue reading "After The World Cup, Nothing Can Save Brazil"

Five Internet Stocks To Buy And One To Avoid

Hello traders everywhere, today will be looking at Internet stocks and what's hot and what's not. The six stocks we will be looking at today are Apple Inc. (NASDAQ:AAPL), Amazon.com Inc. (NASDAQ:AMZN), Netflix Inc. (NASDAQ:NFLX), Facebook Inc. (NASDAQ:FB), Yelp Inc. (NYSE:YELP) and finally Yahoo! Inc. (NASDAQ:YHOO).

There is no question about it we live in the Internet age or as Intel likes to say "The Internet of everything."

When trading Internet stocks momentum seems to be the rule of the day, and when an internet stock is in favor and going up you want to be long and when they're going down you want to be out. Sounds pretty straightforward doesn't it? But sometimes investors drink the Kool-Aid and stay with bad trades too long or in this case Internet stocks that go south and never return. In today's video will show you how to avoid that syndrome.

As you can see from the symbol choices, these are all well-established, liquid companies in terms of trading, you are not buying speculating in some start-up that makes no money.

So let's get started and go to the videotape and see what's cooking with these six stocks.

Every Success,
Adam Hewison
President, INO.com
Co-Creator, MarketClub