The Internet Portfolio Hit The Jackpot In 2014

Last year was another good year for the stock market with all the indices ending up on a positive note.

The DOW was able to make it into the positive column by 7.5%, the S&P 500 managed to outdo the DOW with a double digit return of 11.5% and standing on the top of the hill was the NASDAQ index, which put in a stellar 13.9% performance for the year.

What if there was another way to make money, one that had about the same amount of risk, but produced higher returns on your money - now that would that be interesting, don't you think?

Two years ago, we started our model Internet portfolio which consists of 5 stocks. We divided the funding for this portfolio into 5 equal amounts of $10,000 each and used that to trade as many shares as we could both from the long and short side of the market.

The stock we chose to trade in this Internet portfolio are Facebook Inc.(NASDAQ:FB), Netflix Inc. (NASDAQ:NFLX), Yahoo! Inc. (NASDAQ:YHOO), Yelp Inc. (NYSE:YELP), and finally Amazon.com Inc. (NASDAQ:AMZN). Based on the stock's price, we traded the maximum number of shares we could for each stock, rounding down if needed.

The first year tracking this portfolio (2013), we had a stand out year with a return of 65.3%. Last year (2014) this portfolio performed well, easily outperforming all the major indices and beating the top performing NASDAQ. For 2014, the Internet portfolio put in a super performance of 16.4%. While not as good as 2013, it was nevertheless a very positive one when you measure it against other stock portfolios.

The signals for this portfolio, along with our other two model portfolios, the World Cup portfolio and the Perfect ETF portfolio are provided for you.

If you are looking to start 2015 off on the right foot, with a clear direction, then one of these model portfolios could be the answer you are looking for. Each portfolio carries, like all investments, a degree of risk.

The most conservative portfolio is our Perfect ETF portfolio. The Internet portfolio has a slightly higher degree of risk. Our World Cup portfolio carries the most amount of risk and is not for everyone. However, it does have a place in large portfolios as a non-correlating asset class.

Have a question about the Internet portfolio? Please comment below this post.

Every success in 2015 with any of MarketClub model portfolios!

Adam Hewison
President, INO.com
Co-Creator, MarketClub

When Someone Is Desperate To Sell $750 Million Of Stocks

There was a rumor yesterday that one fund or individual decided to dump three-quarters of a billion dollars of U.S. equity market exposure in 1 second. This action created a complete collapse of all liquidity in the S&P 500 e-mini futures contract - the world's most liquid equity exposure vehicle.

That was yesterday's news ….

That negative action in all the equity markets pushed the Dow down 252 points for the year with the S&P 500 and NASDAQ barely changed since last December.

As many of you know who read this blog, we have been on the sidelines for quite some time in most of the markets. And this stems from having a game plan and a sound winning approach to the markets.

So many investors trade based on emotion. Emotional trading is the fastest account killer I know, yet it still reeks havoc on investor's portfolios every year.

One of the easiest ways to avoid emotional trading is to use a well designed and tested portfolio approach. Now, just to be clear, we are not swinging for the fences with some get-rich-quick scheme. No, what I am referring to is MarketClub's Internet portfolio which produced gains in 2013 of 65%.

So far through the third quarter of 2014, this portfolio is in the positive column with a return of 14.6%. This puts MarketClub's Internet portfolio returns for the year ahead of the likes of Carl Icahn, with 10.98%. Warren Buffet with 10.43% and Julian Robertson with a 10.13% return and a host of other well-known billionaire money managers including Edward Lampert whose fund is down -37.5% for the year.

When you compare the returns of our Internet portfolio, to the market and the Billionaire fund managers I think you would agree that our returns have been excellent.

Our Internet portfolio is very easy to track and implement into your trading as there are only five stocks to follow. We share with you the key levels that will make any of the five stocks we track reverse … it's better than real-time! We also share with you sound money management stops we use to protect capital.

Here are those five stocks in our Internet portfolio:

Amazon.com Inc. (NASDAQ:AMZN)
Facebook Inc. (NASDAQ:FB)
Yelp Inc. (NYSE:YELP)
Yahoo! Inc. (NASDAQ:YHOO)
Netflix Inc. (NASDAQ:NFLX)

The great part about this approach is that you can place the orders yourself with a broker and then go about whatever you enjoy doing most. Whether it is playing golf, tennis, cycling or going to work, you now are afforded the time to do what ever you want. You do not have to watch the market every second of the day and become emotionally invested.

If you'd like to learn more about our Internet portfolio just click here. Here you'll find all the rules you will ever need to be successful using this portfolio.

Q4 promises to be a very interesting quarter lots of opportunities. I sincerely hope that you can take advantage of MarketClub's Internet portfolio signals and see just how it relieves stress of trading from your mind and body.

Every success,
Adam Hewison
President, INO.com
Co-Creator, MarketClub

How To Be Positioned In A Volatile Market

The last few weeks have been very volatile in the markets, with triple digit swings seeming to be the norm in the Dow. The question is, how can you position your portfolio and reduce your risk in a market like this?

Well in some ways, it's easier than you can imagine. Here at MarketClub, we always advocate diversification and spreading the risk. An example of that would be MarketClub's Internet portfolio that we make available to all members on a daily basis.

Presently, this portfolio has only a one position in the market. This means that we have 80% of our capital safely on the sidelines. With 20% of our capital working in the marketplace, it is easy to sleep at night and not have to worry about these giant up and down swings. Using the Trade Triangles, much of the guess work is taken out of the equation.

Here are the 5 stocks in the Internet portfolio: Continue reading "How To Be Positioned In A Volatile Market"

Was Yesterday A Harbinger Of Things To Come?

There's no doubt about it, yesterday was a very ugly day in the stock market. Is this a harbinger of things to come?

Now that the market has the Alibaba Group Holding Limited (NYSE:BABA) IPO out of the way, there really seems to be no more magic to propel this market higher, at least in the short term.

Yesterday CNBC reported that the Russell 2000 index had flashed the "death cross". A "death cross" occurs when the 50-day moving average crosses below the 200-day moving average. Previously this has not been a big deal with this particular index, as it has always recovered a short time later. In light of what's going on and geopolitical concerns, this time may be different and may represent a harbinger of things to come.

The Middle East is another negative for stocks, as late yesterday Saudi Arabia, Jordan, the United Arab Emirates, Qatar and Bahrain joined the US in a series of airstrikes against Islamic State positions in Syria along the Iraqi border. How long will it be before the US has boots on the ground?

As the markets chop around and seem to lack direction, sometimes the best thing to do is just be patient and wait for something to really make the markets move. Yesterday I discussed negative divergences, as we saw many of the formations setting up which can be an early warning signal of things to come. Continue reading "Was Yesterday A Harbinger Of Things To Come?"

Ouch, Yesterday Was An Expensive Day For Many Investors

Has the market topped out?

For the last couple weeks, I have been somewhat skeptical of this market and whether it could keep on moving higher. Yesterday, we witnessed a collapse of several major stocks that were pushing this market higher particularly in the NASDAQ sector.

According to our Trade Triangles, you should get out of the NASDAQ and S&P 500 as they both are showing weekly intermediate-term trends that have turned negative. The DOW is the only index that is holding up so far. The red line for the DOW this week is 16,937 and should the DOW break below that area, it would put all three major indices in an intermediate downtrend.

The following stocks show intermediate downtrends (red weekly Trade Triangles) and unless you are a long-term investor, you should be on the sidelines in these stocks.

Apple Inc. (NASDAQ:AAPL)
Amazon.com Inc. (NASDAQ:AMZN)
eBay Inc. (NASDAQ:EBAY)
Yelp Inc. (NYSE:YELP)
Tesla Motors Inc. (NASDAQ:TSLA)
Netflix Inc. (NASDAQ:NFLX)

To find out if your stock is in trouble, check out the talking chart symbol on the top of every chart. Learn more here.

Now is the time for caution and not bold moves, in my opinion.

Every success with MarketClub,
Adam Hewison
President, INO.com
Co-Creator, MarketClub