3 ETFs Every Investor Should Consider Owning

Matt Thalman - INO.com Contributor - ETFs


Every investor, no matter age, investing experience or portfolio balance should consider putting a large amount of their investable assets in one of these exchange traded funds.

For the majority of investors, the time and energy required to pick individual stocks for their own portfolio's is too much, not to mention the fact that individual stock picking can just be downright overwhelming. The amount of available information and decoding what it all means is very time-consuming and confusing. Plus, the idea that all your hard earned money is tied up in just a few stocks, which at any moment could dramatically lose value, is very frightening.

The best way to avoid the majority of these problems is by simply buying one or more quality exchange traded funds. ETF's offer investors with a very low cost, diverse portfolio and they don't require investors to follow them on a daily, weekly, or even quarterly basis. The right ETF's are really the closest things an investor can find to a "buy and forget about" investment.

Today I would like to talk about three of my favorite ETF's that any investor, no matter their age, income level, size of investment portfolio or investing experience, should consider owning. So let's take a look at what they are. Continue reading "3 ETFs Every Investor Should Consider Owning"

A Path Toward Inflation

Yes, it’s another inflation post going up even as inflation expectations are in the dumper and casino patrons just cannot get enough of Treasury and Government bonds yielding 0%, near 0% and below 0%.

Feel free to tune out the lunatic inflation theories you’ve found at nftrh.com over the last few weeks.  But if by chance you do want to look, here’s a visual path we have taken to arrive at the barn door, behind which are all those inflated chickens, roosting and waiting.  All sorts of animals will get out of the barn if macro signals activate.

Gold led silver ever since the last inflationary blow off and blow out in early 2011.  The gold-silver ratio rose through global deflation, US Goldilocks, good times and bad.  There was no inflation problem, anywhere.  Then early this year silver jerked leadership away from gold and now for the second time the ratio of gold to silver has broken below the moving average that has defined its trend (it did so in 2012 as well).

gsr

Why is this significant?  Well, try on 2010 for size (see chart below).  I for one happily managed the gold-silver ratio up spike in 2008, buying gold miners as they crashed.  As gold (monetary, risk ‘off’) topped vs. silver (commodity/monetary, relatively risk ‘on’) we expanded the bullish view to commodities as well.  But then came the bottoming pattern that was not a bottoming pattern.  To this day I believe that the macro was preparing for a next leg up and some serious new destruction before Ben Bernanke, the “Hero”, sprung into action and ruined the beautiful Inverted H&S pattern that long-time NFTRH subscribers will remember me making a big deal about at the time. Continue reading "A Path Toward Inflation"

We May Have To Adjust Some Positions In Here

Doing some tape reading today we notice a clear theme of energy, material, and metals leading us higher, but what's happening with tech and consumer discretionary? We then dive into the Elliott Wave and Fibonacci analysis of the S&P, which further suggests it might be time to move.

Learn more about TradingAnalysis.com here.

Plan Your Trade, and Trade Your Plan,
Todd Gordon

Precious Metals Every Bit as Explosive as Secretariat at the Belmont Stakes

The charts tell the story, says precious metals expert Michael Ballanger, adding that the mining and metals market have the forward momentum of Secretariat as he clinched the Triple Crown.

Today's missive is going to be exceedingly "chart-infected," because many times a picture is worth one thousand words, especially in the case of the precious metals markets these days. I put on a 2% hedge prior to the FOMC meetings and the Wednesday press release and have since removed it, taking a small hit versus the mindboggling leap in my GDXJ position and associated advances in the juniors (KAM.V over $2). That's the beauty of a "hedge" versus a "short," and that is precisely what I have been thinking since the COT moved above 200,000 Commercial net shorts a few weeks back, with the gold and silver prices refusing to retrace.

One look at the chart below and you are immediately struck by the "shock and awe" campaign of "no corrections," where the market doesn't allow traders to buy back their favorite mining positions at prices representing only the meagerest of percentage pullbacks. In fact, after nearly 40 years of trading the miners, I have never ever seen a market with such awesome power behind it that is truly such a wonder to behold. The HUI has exploded out of the post-FOMC gate like Secretariat at the Belmont Stakes in 1973. (If you ever want to see an incredible feat by a horse, watch the Youtube clip of the race that clinched the first Triple Crown in 25 years AND was won by an incredible 25 lengths.) Just as that horse left the pack at the halfway point of the race, precious metals are massively outperforming the SP by a vast margin, and are forcing the money managers to be dragged into the market, teeth clenched and fingers clawing the ground. Continue reading "Precious Metals Every Bit as Explosive as Secretariat at the Belmont Stakes"

Leaning Into This Bear Market Rally With Call Credit Spreads

The rally since the lows has been like a runaway freight train, or maybe more like a charging bear. Speaking of, this is starting to smell like a bear market rally and today was the ideal spot to lay out some call credit spreads into Fibonacci and Elliott Wave resistance.

Learn more about TradingAnalysis.com here.

Plan Your Trade, and Trade Your Plan,
Todd Gordon