What A Week!

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Friday, the 12th of August.

Well, I must say it has been quite a week! (And I think that's an understatement...) It is very seldom you see 400+ swing days in the Dow in different directions four days in a row. This past week will go down in the history books as one that will be remembered for a long time.

So 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 "What A Week!"

Using Real-time News to Profit in Today's Unreal Market Conditions

Its no secret that here at MarketClub we are technical traders. We look to the charts to reveal setups and trends that we expect to act a certain way. Technical trading is not for everyone though, that's why we have invited our friends from Benzinga to tell you a bit about trading the news. Enjoy and be sure to visit the Pro's at Benzinga for more insight on trading news.

Every day, investors from all over the world discuss the prospect of trading on technicals or fundamentals. It is much less common, however, that investors discuss the idea of trading the news. But by doing so, it can provide them with an opportunity for quick intraday gains, as market-moving headlines can make a stock soar or send it plummeting to its death.

Without question, the key to successful headline trading is to receive the news in real-time before the stock has made its move. The news regarding M&As, FDA approvals, increased guidance, or new contracts frequently (and immediately) send shares higher the moment the news is released. On the other hand, key personnel resignations, secondary offerings, and disappointing economic data generally provide profitable short opportunities. The moves can vary anywhere from a few percent points to more than 50% gains or 50% reductions.

Let’s take a closer look at some of the key investing opportunities that can be brought on by breaking news: Continue reading "Using Real-time News to Profit in Today's Unreal Market Conditions"

Hello From Maine

Have you missed Adam as much as we have? Unfortunately technical issues have kept Adam from being able to post his usual 1pm updates, but you can guarantee that he is watching the markets like a hawk and will have lots to talk about when he returns.

Click here to watch Adam's Update from Maine and find out when he'll be back.

Every success,

The MarketClub Team

 

Where Are The Markets Heading?

Hello traders everywhere!  Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Thursday, the 11th of August.

VEG-O-MATIC

Please see our earlier post today!

I think that many of the markets have reached an inflection point.  The equity markets appear to have put in an interim low that was seen last Tuesday.  Crude oil and the Reuters/Jefferies CRB index also appear to be following that trend.

Gold has more than likely put in a top when it traded over $1800.  We don't believe this is the final top, but just in interim top, as a lot of traders got into this market very late.  Silver on the other hand continues to be lackluster compared to gold, and remains on the defensive.  Intermediate term traders should be out of silver and on the sidelines.
So 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 "Where Are The Markets Heading?"

Get ready for the Veg-O-Matic Markets

First Posted  almost 2 years ago and still relevant

September 29, 2009 by Adam

“This is Veg-O-Matic, the world-famous food appliance! . . . the only appliance in the world that slices whole, firm tomatoes in one stroke, with every seed in place. . . . French fries? Make hundreds in one minute! . . . Isn’t that amazing?!”

Let’s face it, the really big money is made in the big trending markets. What happens after a big trend comes to an end? Well, that is when you enter into a period of uncertainty.

Some traders like to characterize this as a trading range. I would refer to it as a Veg-O-Matic market, as it cuts and slices most traders to pieces.

No matter what you call it, trading range or Veg-O-Matic market, it is important to remember that you remain patient and wait for another defined trend to begin.

So how do you tell if a market is in a trading range?

The easiest way is to use MarketClub’s Trade Triangle technology. When you see a Chart Analysis Score of around 55-65 on the chart, it indicates that there is no discernible trend present. Trading range markets, or Veg-O-Matic markets, are best left to the professionals.

If you do feel the urge to trade in a market like I described above, you are better off using some sort of oscillator like the Williams %R indicator or a fast stochastic indicator. These indicators allow nimble traders to catch the swings, up and down. For the average trader, this is a time to be on the sidelines and looking at other opportunities in other markets.

Make no mistake about it, trading range markets are generally difficult to trade and generally do not give up profits easily.

So remember, if it’s a big Veg-O-Matic market, you’re better off waiting on the sidelines until you see a clear trend develop.

All the best,

Adam Hewison
President, INO.com
Co-creator of MarketClub.com

P.S. Samuel J. Popeil invented the Veg-O-Matic. He also created the frenzied ads that made his product a late-night television sensation in the late 1960s and 1970s.