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.
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S&P 500
Monthly Trade Triangles for Long-Term Trends = Negative
Weekly Trade Triangles for Intermediate Term Trends = Negative
Daily Trade Triangles for Short-Term Trends = Negative
Combined Strength of Trend Score = - 100
Watch Video for update.
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SILVER (SPOT)
Monthly Trade Triangles for Long-Term Trends = Positive
Weekly Trade Triangles for Intermediate Term Trends = Positive
Daily Trade Triangles for Short-Term Trends = Negative
Combined Strength of Trend Score = + 65
Watch Video for update.
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GOLD (SPOT)
Monthly Trade Triangles for Long-Term Trends = Positive
Weekly Trade Triangles for Intermediate Term Trends = Positive
Daily Trade Triangles for Short-Term Trends = Positive
Combined Strength of Trend Score = + 100
Watch Video for update.
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CRUDE OIL (SEPTEMBER)
Monthly Trade Triangles for Long-Term Trends = Negative
Weekly Trade Triangles for Intermediate Term Trends = Negative
Daily Trade Triangles for Short-Term Trends = Negative
Combined Strength of Trend Score = - 100
Watch Video for update.
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DOLLAR INDEX
Monthly Trade Triangles for Long-Term Trends = Positive
Weekly Trade Triangles for Intermediate Term Trends = Negative
Daily Trade Triangles for Short-Term Trends = Positive
Combined Strength of Trend Score = + 75
Watch Video for update.
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REUTERS/JEFFERIES CRB COMMODITY INDEX
Monthly Trade Triangles for Long-Term Trends = Negative
Weekly Trade Triangles for Intermediate Term Trends = Negative
Daily Trade Triangles for Short-Term Trends = Negative
Combined Strength of Trend Score = - 100
Watch Video for update.
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As always, we rely on our market proven Trade Triangle technology for catching the big moves.
Here’s some good news that you can benefit from today: MarketClub has teamed up with PMI, a leader in the education field, to offer personal coaching for MarketClub. That’s right! Now you can have your own personal coach and learn the many market secrets of MarketClub.
Give us a call today at 877–219–1482 and see if personal coaching is right for you.
This is Adam Hewison for MarketClub and I’ll see you tomorrow right here, at 1pm. Have a great trading day.
As always, we rely on our market proven Trade Triangle technology for catching the big moves.
Every success,
Adam Hewison
President of INO.com
Co-founder of MarketClub.com
Falling global consumption eventually makes the Fed impotent, a divergence is emerging, the see-saw is breaking, the USD is heading to fall with equities.
The question are we going to more than 20% down in this correction?
Thank you, Adam.
What a day!
I'm not sure why some people were so optimistic Sunday, thinking this downgrade is just mislead and, therefore, will not have an impact. C'mon... emotion is steering this market lower.