Embrace Silver's Volatility All the Way to the Bank

Most precious-metals investors know that silver is more volatile than gold. But do they know just how big that difference really is?

We thought it would be interesting to measure how much greater silver's daily moves are – both in gains and declines – than gold.

We documented the daily price movements for both metals, and then calculated the difference using absolute values. To interpret the charts below, you need to know that: Continue reading "Embrace Silver's Volatility All the Way to the Bank"

Today's MarketClub TV: Why Commodity markets are so important and deserve a spot in your portfolio

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with MarketClub TV for Wednesday, the 20th of February.

WHY COMMODITY MARKETS ARE SO IMPORTANT
The commodity markets are incredibly important as they really drive commerce and the economy. Think of the role that commodities play in our everyday lives, they affect the cost of what we eat, what we buy and how we drive to and from work. In today's show, we will be looking at the major trends in all of the major commodity markets.

THE WORLD CUP PORTFOLIO
Five years ago, we began the World Cup portfolio using core commodity markets. Five of the six components that make up the World Cup portfolio are pure commodity plays-wheat, corn, soybeans, gold and crude oil. The sixth element is the Dollar Index. Here are the theoretical returns for the World Cup portfolio starting in 2008: Continue reading "Today's MarketClub TV: Why Commodity markets are so important and deserve a spot in your portfolio"

Energy Market Commentary

March crude oil was higher overnight as it extends the trading range of the past three-weeks. Stochastics and the RSI have turned bearish signaling that sideways to lower prices are possible near-term. Closes below last Monday's low crossing at 94.97 would confirm that a short-term top has been posted while opening the door for additional weakness near-term. If March renews the rally off November's low, the 87% retracement level of the September-November decline crossing at 99.78 is the next upside target. First resistance is this month's high crossing at 98.24. Second resistance is the 87% retracement level of the September-November decline crossing at 99.78. First support is last Monday's low crossing at 94.97. Second support is the 38% retracement level of the November-February rally crossing at 93.47. Continue reading "Energy Market Commentary"

Forget Apple, This Rival Is a Much Better Bargain

When assessing any stock, you need to weigh the risk against reward. Yet for Apple's (Nasdaq: AAPL) shareholders, it's a challenging task. To be sure, it's really hard to see how much risk there is when Apple's net cash balance stands at $137 billion -- and is on its way to $200 billion in a few years. Management has started dropping hints that shareholder-friendly moves are coming, which usually means stock buybacks or big dividend boosts.

Still, even as Apple carries relatively minor risk, it's not clear what kind of upside investors should expect either. As I noted a couple days ago, competition is gaining on Apple, which could lead to market share erosion and falling margins as price cuts ensue. Continue reading "Forget Apple, This Rival Is a Much Better Bargain"