Tag: Gold

Get ready for the Veg-O-Matic Markets

Posted on by The INO.com Team

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.

An Extraordinary Admission Of Failure!

Posted on by The INO.com Team

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Wednesday, the 10th of August.

We have had an extraordinary admission of failure!

Yesterday, the chairman of the Federal Reserve, Ben Bernanke, acknowledged in what was perhaps the most stunning statement ever by a sitting chairman of the Fed... That the economy was not doing as well as they had predicted.

Duh Ben, welcome to the real world!

In our comments yesterday before the chairman spoke, we hoped that the Fed wouldn't do anything stupid like announce QE3 or that they will be dropping money from helicopters. Instead, the United States has just played its cards out to the world, saying that we are not going to be raising interest rates until.........let me guess 2013, after the elections. Continue reading "An Extraordinary Admission Of Failure!" →

Everything Is Possible

Posted on by The INO.com Team

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Tuesday, the 9th of August.

Will the Fed come to the rescue of the market?

Everything is possible, it just depends on how stupid the Fed wants to be. In the study of economic history and capitalism in America there are periods of maximum euphoria and maximum depression. You almost can't have one without the other, that is one of the ways capitalism works. We've gone through a period of time that we've seen unprecedented euphoria and debt put on America's chalkboard. And we have witnessed millions of Americans faking their way to happiness using credit cards.

As hard as it is for everyone to accept that the good times are over, it is now time for what everyone doesn't want... Economic pain. You may want to look at an earlier posting, that I posted in 2008 on cycles in American capitalism. It holds true now just as it held true 100 years ago.

The next shoe to drop will be interest rates. Interest rates have only one direction to go, and that is to the upside. This a fact of the marketplace and probably more pain than most people want to endure.

The potential for the equity markets to continue to erode and drift lower is very high, in my opinion. To temper that thought I'm going to say up front that I'm a trader, not an investor. Right now, the days of buy and hold are over and will not resume for many years to come.(See 100 years of capitalism). If I am right, the equity trends will remain negative with minor counter trend rallies. We could see the equity markets on the defensive until right before the 2012 elections. Only time will tell... Continue reading "Everything Is Possible" →

Time To Pay The Piper

Posted on by The INO.com Team

Due to Technical issues we do not have a video at this time. However we are working to  add a video from Adam later this afternoon.

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your 1 p.m. market update for Monday, the 8th of August.

Just when you thought it was safe to go back into the water, Standard & Poor's downgrades the US debt for the first time since 1917, back when the US gained its AAA status. Psychologically this is a huge blow for the US, it would appear that we have just been marked down like some product in Macy's bargain basement in New York.

Even though we have the largest debt market in the world, the psychology is such that the move to AA+ was not a good thing for the fragile psyche of the world economy.

Rather than shoot the messenger, in this case Standard & Poor's is saying we should commend the messenger for calling the politician's bluff. We have all heard the expression "no pain, no gain."

Well it's time for pain, and to pay the piper for the excesses of the last 20 or 30 years, which is the last time the US had a positive saving picture. We have a whole generation that basically lives on credit cards.

Last week, we saw trillions of dollars evaporate in the world markets as fear returned and confidence evaporated in a big way.

Technically, as you are aware if you've been following this report, you know that all of our Trade Triangles are negative on the equity markets and have been for some time. You also know that we have been steadfastly bullish, based on our Trade Triangle technology on the precious metals.

So what's ahead? There are going to be lots of opportunities in the markets we track and we expect to get our fair share of profits. We expect we will see some form of short covering and profit taking coming into the markets in the next few days, from the sharp downward move we have experienced at the beginning of this week.

Certainly there is no guarantee that this will happen, however most markets do not go straight down. We only have to look back to 2008 and see that we did have rallies in the equity markets. Those rallies were opportunities to short the market. I think any rallies in the current market environment will be opportunities to once again short the equity markets.

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 "Time To Pay The Piper" →

America has been marked down!!

Posted on by The INO.com Team

Hello fellow traders everywhere. Adam Hewison here co-founder of MarketClub with your weekend update for the trading week ending on 8/05/11.

What a weekend!! S&P  marks America down to to AA+. That bombshell comes on top of everything else that is happening like the markets crashing and Italy imploding. But you know what, it is also a time of great opportunity if you follow our Trade Triangle technology.

Let's see how the markets performed last week. Out of the six markets we track every trading day, four markets were in negative territory for the week. The two markets that did not end up in the minus column were gold up 2.25% and the dollar index which was up 1.06%

The percentage loser for the week was crude oil which lost a massive 9.21% and is now officially in a bear trend according to our Trade Triangle technology. The S&P500 was close behind with another negative week which saw this index shed 7.18%.

Let's take a look at the charts, because unlike politicians, pundits and gurus, they tell you what is really going on in the world.

So here's what happened last week in the major markets…. Continue reading "America has been marked down!!" →