Category: General

Weekly Futures Recap With Mike Seery

Posted on by The INO.com Team

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold futures in the February contract are slightly lower this Friday afternoon in New York after settling last Friday at 1,216 currently trading at 1,260 as I’m currently recommending a long futures position while placing your stop loss below the 10 day low which is around 1,209 risking around $50 or $1,650 on a mini contract plus slippage and commission. Gold futures are trading above their 20 and 100 day moving average hitting a 5 month high as the chart structure will also start to improve on a daily basis starting next week as the market has caught fire recently due to worldwide problems as money is pouring back into the precious metals and out of the S&P 500 in the beginning of 2015.

Yesterday the Swiss government announced they will let the Swiss Franc float rocketing that currency up while sending shockwaves through the bond and currency markets and it certainly looks to me that problems are here to stay here for a while as Europe is a mess and this could push gold up to the next resistance level of 1,300 – 1,320 so take advantage of any price dip while maintaining the proper stop loss risking 2% of your account balance on any given trade as gold has finally turned into a short-term bull market once again.
TREND: HIGHER
CHART STRUCTURE: IMPROVING Continue reading "Weekly Futures Recap With Mike Seery" →

Play Defense With This Strategy In 2015

Posted on by admin
By: Adam Fischbaum of Street Authority

 

Over the holidays, I decided to drive to Orlando and give the Walt Disney Co. (NYSE: DIS) a few of my hard earned dollars. My 12 year-old son talked me into riding the Tower of Terror at Disney’s Hollywood Studios.

As a thrill ride, the Tower of Terror plays on three of humankind’s most basic fears: falling, the unknown and the dark. I wasn’t that concerned. In the investment biz, that’s just another day at the office.

But when it comes to the investing, I’ll be honest. I am a concerned about the stock market in 2015.

Here’s why: It’s all about earnings.

At the end of the day, an investor should buy a stock based on the underlying company’s ability to deliver quality, consistent earnings. Those earnings should also be purchased at a fair-to-discounted price as measured by a stock’s price-to-earnings ratio (PE).

In more bullish times, investors are sometimes a bit too optimistic about the future and will push stock prices and their attached PE’s higher. In bearish times, they often become too pessimistic and drive prices and PE’s down.

I took notice after working on this chart of peak PE ratios for the SP 500 Index.

The way the picture tells the story, we’re overly optimistic and at the same valuations as before the 2008-2009 crash.

So are we so positive? The current numbers don’t indicate a profoundly bullish market in 2015.

Consensus estimates for the SP 500's 2015 EPS are around $125. In 2014, the SP saw EPS at around $117.

If things go according to plan, the market would see EPS growth of about 6-to-7%. Curb your enthusiasm. Continue reading "Play Defense With This Strategy In 2015" →

Weekly Futures Recap With Mike Seery

Posted on by admin

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold futures in the February contract are currently trading higher by $8 in New York this Friday afternoon trading at 1,216 an ounce after settling last Friday at 1,186 up around $30 this week hitting a 3 week high as terrorism in France has occurred with Al Qaeda now taking credit for killing 12 people and possibly more sending gold prices higher as a flight to quality.

Gold prices are trading above their 20 and right at their 100 day moving average looking to breakout however the true breakout does not occur until prices close above 1,240 on a closing basis which could possibly happen next week as gold prices have been grinding higher despite the fact that the U.S dollar hit a 9 year high which is generally very pessimistic precious metal prices but with worldwide tensions currently prices are holding their own. Gold prices have been in a steady long-term downtrend after hitting 1,900 back in 2011 as the stock market seems to be relentless to the upside, however profit taking is hitting the S&P 500 today sending money back into the precious metal but be patient on this trade and wait for the true breakout to occur which could take several weeks hoping that the chart structure will be tight allowing us to place a tight stop loss minimizing the risk to 2% of your account balance on any given trade so keep an eye on the gold market as it certainly looks like something is about to develop in my opinion.
TREND: HIGHER
CHART STRUCTURE: IMPROVING Continue reading "Weekly Futures Recap With Mike Seery" →

The Internet Portfolio Hit The Jackpot In 2014

Posted on by The INO.com Team

Last year was another good year for the stock market with all the indices ending up on a positive note.

The DOW was able to make it into the positive column by 7.5%, the S&P 500 managed to outdo the DOW with a double digit return of 11.5% and standing on the top of the hill was the NASDAQ index, which put in a stellar 13.9% performance for the year.

What if there was another way to make money, one that had about the same amount of risk, but produced higher returns on your money - now that would that be interesting, don't you think?

Two years ago, we started our model Internet portfolio which consists of 5 stocks. We divided the funding for this portfolio into 5 equal amounts of $10,000 each and used that to trade as many shares as we could both from the long and short side of the market.

The stock we chose to trade in this Internet portfolio are Facebook Inc.(NASDAQ:FB), Netflix Inc. (NASDAQ:NFLX), Yahoo! Inc. (NASDAQ:YHOO), Yelp Inc. (NYSE:YELP), and finally Amazon.com Inc. (NASDAQ:AMZN). Based on the stock's price, we traded the maximum number of shares we could for each stock, rounding down if needed.

The first year tracking this portfolio (2013), we had a stand out year with a return of 65.3%. Last year (2014) this portfolio performed well, easily outperforming all the major indices and beating the top performing NASDAQ. For 2014, the Internet portfolio put in a super performance of 16.4%. While not as good as 2013, it was nevertheless a very positive one when you measure it against other stock portfolios.

The signals for this portfolio, along with our other two model portfolios, the World Cup portfolio and the Perfect ETF portfolio are provided for you.

If you are looking to start 2015 off on the right foot, with a clear direction, then one of these model portfolios could be the answer you are looking for. Each portfolio carries, like all investments, a degree of risk.

The most conservative portfolio is our Perfect ETF portfolio. The Internet portfolio has a slightly higher degree of risk. Our World Cup portfolio carries the most amount of risk and is not for everyone. However, it does have a place in large portfolios as a non-correlating asset class.

Have a question about the Internet portfolio? Please comment below this post.

Every success in 2015 with any of MarketClub model portfolios!

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

Triple Digit Returns In 2014 For The World Cup Portfolio

Posted on by The INO.com Team

MarketClub's model portfolio section showcases three portfolios using MarketClub's strategies that you can follow and see how well they are doing. We provide you with all the entry and exit points for each market in each portfolio so there is nothing to second guess.

World Cup Portfolio

The final results are in and once again the World Cup portfolio (WCP) knocked it out of the park with triple digit returns. This is the third time in 7 years that this portfolio has chalked up some of the best returns in the investment world. We have continually published the daily signals and the results for this portfolio since 2007, so this year's results are no fluke.

The big winner in 2014 was, of course, being short crude oil. This strategy produced spectacular results and was responsible for almost half of our profits for the entire portfolio. With gains of $38,130, representing a 76% return on total invested capital, this commodity was a standout, just trading one contract of crude oil. Next up was gold, which was responsible for producing a return of $7,793, equaling a 15.5% return on invested capital.

WCP Cumulative 2007 thru 2014

Total capital needed to trade the World Cup portfolio is $50,000. (Remember, we are not brokers nor do we manage money.)

Every single market showed a profit in 2014, however, not every single market showed a profit in every quarter. This is why it is so important to be diversified as it lowers your risk profile while raising you profit profile.

Here is the quarterly market breakdown per share: Continue reading "Triple Digit Returns In 2014 For The World Cup Portfolio" →