Tag: Guest Bloggers

How to Play Your Gold Stocks Now

Posted on by The INO.com Team

After a year or more of depressed prices, gold and silver stocks reversed with a vengeance. GDX (the ETF proxy for the Gold Miners Index) was up in just two months (August and September). Those who followed our lead and bought or averaged down this summer have profited handsomely. It's been a fun ride, and I'm convinced we'll see many more surges like this before it's all over.

What was perhaps more important about the surge in gold stocks, though, was the leverage they demonstrated, which is one of the primary reasons we invest in them. Here's a comparison of GDX to GLD from August 1 to November 1.

This chart shows the advantage of building your position on dips. It lowers your cost basis and takes leverage to a higher gear. Continue reading "How to Play Your Gold Stocks Now" →

Short & Intermediate View of the Market

Posted on by The INO.com Team

The US indexes predictably rallied during the happy holiday week, with Friday putting a nice punctuation on the bullish proceedings.  In fact, I caught myself looking at the TECL, NUGT and individual gold miner positions in my trading account with a big dumb smile on my face.  Then I sold them all.  Sidetracking for a moment, I have found that I need to get back to more active trading so I am going to further fund this account and ruthlessly trade this market in a discreet account for pure trading.

Back on the post’s theme, the holiday volume was suspect to say the least.  I have a preferred macro theme for the intermediate term however, and it is bullish for an extended rally pending a confirmation of, or more likely a cleaning out of last week’s bullish enthusiasm. Continue reading "Short & Intermediate View of the Market" →

USD/JPY: Lemons into Lemonade

Posted on by The INO.com Team

How Elliott wave analysis helps you as a forex trader with built-in, risk-defining safeguards

Elliott wave analysis is not a crystal ball. (No market-forecasting method is.)

But here's what is remarkable: Even when your Elliott wave forecast doesn't pan out, you have built-in safeguards to alert you -- and help you manage risk. Here's a real-life example.

Going into the November 14 low, USD/JPY charts had been showing an impulsive downward Elliott wave pattern. Impulses are 5-wave moves, but on November 13-14, the pattern looked incomplete: the fifth wave down seemed to be missing.

Here's a chart our Currency Specialty Service subscribers saw early on November 13: Continue reading "USD/JPY: Lemons into Lemonade" →

Is a Carbon Tax a Done Deal for the US?

Posted on by The INO.com Team

We know Obamarama is going to tax the rich, but I bet many didn't think he would weasel in the carbon tax as quickly as he is going to now. A Romney win would have been bullish for coal producers in the US – but Romney lost, and now so has coal, at least in the near term. The biggest winner from Obamarama? Natural gas.

Exxon Mobil Corp (XOM) is now supporting Obama in bringing a carbon tax to the US.

Why would Exxon – and other big energy companies – join forces to bring on the carbon tax?

The answer is simple: profits. Continue reading "Is a Carbon Tax a Done Deal for the US?" →

Gold Chart of the Week

Posted on by The INO.com Team

Each week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

WEEKLY GOLD REPORT (November 26 through November 30)

After a strong finish last week in most major global markets, we begin this week flat after the festivities.

Following the Thanksgiving Holiday in the United States, traders were lined up to buy anything that they could get their hands on during Friday’s shortened trading day. It seemed that markets were still reacting from news earlier in the week, and probably taking advantage of the light volume opportunity.

Throughout the shortened week, markets like Gold were moving sideways to higher following news in the United States that Democrats and Republicans were enthusiastic about the upcoming “Fiscal Cliff” negotiations. Across the pond, European news suggested that while no final decisions were made regarding Greece yet, a good old fashioned can-kicking would suffice. The Eurogroup/IMF Meeting will continue today to decide on Greek Debt and the next tranche of cash. Prior to the meeting, it was reported that “considerable progress” has been made. Apparently, these delayed decisions were enough for investors like George Soros and John Paulson to report they had added to their already hefty long Gold positions. Continue reading "Gold Chart of the Week" →