12 YEAR TREND
For the past 12 years, gold has been in an uptrend by closing higher every year. We have had pullbacks, but for the most part, if you had bought gold at the beginning of the year and held it to December 31st, you would have made money. The question is, can this powerful trend continue through to 2013? Predicting one year into the future is a tricky business for anyone and it is one that we do not engage in here at MarketClub. We prefer to rely on our tried, trusted, and market proven Trade Triangle Technology that has produced consistent results for the gold market over the years.
A move over the $1,738 level, basis spot gold, will indicate that all is not well fiscally in the world. Should this level be breached during this shortened trading week, you should buy gold to protect your purchasing power. This could be in the form of a futures contract, an ETF (GLD or IAU), or physical gold.
OIL FLASHES A BUY TRADE TRIANGLE
Yesterday, January crude oil flashed a buy signal at $89.67. This signal was generated using our successful weekly Trade Triangle strategy. Today's pullback in oil represents a technical buying opportunity .
EQUITIES MUSTER UP A COUNTER-TREND RALLY
Yesterday, we watched a powerful short covering rally take place in the equity markets. While the market action was positive, it should be viewed as a counter-trend rally in a bear market and not the beginning of a new bull market.
HEWLETT-PACKARD IMPLODES ON AN 8.8 BIllION DOLLAR CHARGE!
The news out of HP this morning is not positive as the company is forced to take an 8.8 billion dollar haircut on its purchase of AUTONOMY. The good news at least for MarketClub members, is our Trade Triangle technology really nailed HP this year. A monthly Trade Triangle to exit or get short, kicked in at $25.02 on March 5th and has remained in force ever since. HP is currently trading around $11.88, down over 10% from the close yesterday!
Now, let's go to the markets and see what our Trade Triangles are indicating.
Have a great trading day,
Founder & President INO.com and co-founder of MarketClub.com.