Tag: CRB

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Monday, the 19th of September.

I want a divorce…

Perhaps this is a little bit of a teaser headline, but the reality is Angela Merkel, the German chancellor, must be thinking that she would love a divorce from these other euro countries. Politically, it would solve a great many problems for her.

Here you have Germany, who is Europe's economic powerhouse, being pulled down by the likes of Greece, Spain, Portugal and Ireland. If you were in Angela Merkel's shoes right now, wouldn't you want to divorce these countries?

Now the politicians can't blame this one on the banks. They were the ones that overspent, they were the ones who recklessly put programs into place that just cost too much money. So there you have it! It's not the banks, it is the politicians who are the problem...

Does anybody believe that Greece is going to pay back what they owe? Their debt now stands at 165% of GDP. There is no way that Greece can get themselves out of this. Will Ireland, Spain, and Portugal be able to hold on if Greece goes under?

Lastly, everyone loved the market on the upside last week. Today that sentiment has changed as the problems in Europe are once again in the forefront of every investors mind. Europe is the tail that is wagging the world economy.

Now, 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 ""I want a DIVORCE... "" →

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Friday, the 16th of September.

Seventy years ago, the United States went over to Europe to save Europe from an imminent Nazi invasion. It was a different world back then and America was a different country. At that time, America was a strong growing nation having just come out of the depression years.

Here we are seventy years later, once again going over to save Europe. Let me rephrase that, Timmy Geithner is going to help save Europe again. Somehow, I just don't buy it.

The EuroZone is in deep, deep financial trouble.  America is not the America of the past, when it was the driving force of the world's economy. That was when people used to work hard and we made things in America. American's used to be able to save money. Continue reading "Is America Planning on Rescuing Europe Again?" →

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Thursday, the 15th of September.

A rogue trader loses two billion dollars for UBS! Are you kidding me?! Here's a major bank that wants your money and one guy blows $2 billion! Where was the supervision? Where were the risk controls for the bank?

Where I trade, you could never get away with that kind of economic garbage. I guess the question is, who was minding the store when all this happened? The next question would be, is this the tip of the iceberg? This huge loss of $2 billion is miniscule compared to the losses the banks have on their books with foreclosures and sub-prime mortgages.

Well, it would seem as though this is the week for losses.

The company, Solyndra, that was backed by the current administration to the tune of $523 million, just declared bankruptcy twelve months after they were given the government loan. That equates to a burn rate of over $40 million a month. That's faster and more than the .com companies were burning through in 2000.

Does anybody really think the problems with Greece are over? None of the politicians will ever have the courage to admit that they are up a creek without a paddle. The answer it seems from every politician is to tax, tax, and tax more. In the case of Greece, we are going to see the people that have any wealth whatsoever leave the country. Taxes don't solve problems. People, businesses and entrepreneurs solve problems.

There is not one government program that I can think of that is (1) efficient and (2) successful.

All this talk about massive losses and taxes is quite depressing, so let's lighten the mood and go to the 6 major markets we track every day and see how we can create and maintain your wealth in 2011. Continue reading "LOSSES EVERYWHERE!" →

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Wednesday, the 14th of September.

Can you handle the truth?

Like a lot of folks, I love good movies. One of my favorite movies is, "A Few Good Men" starring Jack Nicholson and Tom Cruise. I was thinking this morning about Jack Nicholson's famous line from the movie, which goes like this: "You can't handle the truth!”

Now here is the reality... A politician can spin the truth about his or her record, WHY? To get reelected, of course. A CEO of a company can spin sales projections to pump his stock up, WHY? So he can receive a bigger year end bonus. The pundits who appear on CNBC and Fox business news can spin markets any way they want, WHY? To benefit their own vested interests in a market.

WANT TO KNOW THE TRUTH?

This is what I really like about the marketplace: It tells you the truth! It literally is a no spin zone. When you examine the recent downturn in the equity markets, the market was telling you that it did not believe in the policies of this current administration. Similarly, when Ken Lay and Jeff Schilling at Enron were telling everybody how good business was, the market exposed the truth on that bunch of crooks by sending their stock into bankruptcy.

So can you, as a trader, handle the truth? Does your political bias or a particular view of a market get in the way of your trading?

When you use a non-biased, objective approach like MarketClub's Trade Triangles as your trading foundation, you will find you can sweep aside all of the spin and BS. All you have to do as a trader is listen to the real truth, and that is which direction is the trend in the market.

Now, 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 "Can You Handle The Truth?" →

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Tuesday, the 13th of September.

Let's take a look at the big picture and what it means today. There are a number times when the markets trade erratically. When this happens, you get out of the market with some quick move either up or down against you. Then, the market immediately goes your way the next day and afterwards you say to yourself, "I should've stayed in!"

That's why it's important to look at the big picture, and the big trends. What looked like a possible reversal yesterday, did not change the big trends in the markets. It just doesn't happen in one day.

So let's look at the big trends in the various markets we cover. Equity markets, the big trend is down. Metal markets, the big trend is up. Crude oil, the big trend is down. The dollar index, the big trend is up. And lastly, the CRB index, the big trend is down.

Providing you are trading in the direction of the major trend, you have the odds in your favor. Always remember to keep your trading logs and game plan up-to-date. They will help you become a better trader.

Now, 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 "The Big Picture" →