2 Troubling Trends For Investors

Hello traders everywhere! Adam Hewison here, President of INO.com and co-creator of MarketClub, with your video update for Thursday, the 20th of March.

If you have read my posts for any length of time, you will see that I frequently refer to the saying, "the trend is your friend." However in this case, there appear to be two developing trends that will offer some amazing opportunities, but at the same time create some very dangerous times for the planet.

I'm sure like many investors, you are tracking what is going on in the Ukraine and Crimea. I do not view this as a positive, in fact, I think this is a once-in-every-two-generations kind of event and a very negative trend not just for the US and Europe, but for the global community in general. Continue reading "2 Troubling Trends For Investors"

Which Companies Will Bring in the Green?

The Gold Report: In a call with Sprott clients last week, you said that the junior resource market is at an intermediate-term top right now and there will be good summer entry points. Why is the market at a top now instead of May, which is more typical? Should investors wait until the summer entry points to get into good juniors?

Rick Rule: The top could continue through mid-May. If investors have positions in their portfolios that they aren't thrilled with, they should use this market to sell. One of the things I've noticed is that if an investor paid $1 for a stock and the stock is at $0.35even if the stock was valuelessthey are unwilling to sell it for $0.35. In many cases, the stocks that fell from $1 to $0.25 or $0.35 are now selling at $0.50 or $0.60. My suggestion is that this is a great time to take advantage of it.

"Tahoe Resources Inc. has one of the finest silver deposits in the world."

I want to draw people's attention to the fact that the market is up 40% in some cases from its bottom. Amazingly, people are more attracted to that than a market that exhibited bargain basement prices.

Although I believe that the market has bottomed, we're going to be in an upward channel with higher highs and higher lows, but we are certainly going to exhibit the volatility that the market is famous for. It's my suspicion that the summer doldrums will see lows that, while higher than last summer, are substantially lower than the prices that we're enjoying today.

TGR: Gold has been above $1,300/ounce ($1,300/oz) for several weeks. Is that influencing the market? Continue reading "Which Companies Will Bring in the Green?"

Gold's Grinding Message

Precious metals boosters will see gold's nominal price break upward and probably get excited.  They will marshal the troops for what could one day turn out to be a full fledged tout, as if the 40% decline of the last 2.5 years had never happened.

gold

But it is gold’s ratios to positively correlated assets that tells the interesting story.  Vs. Crude Oil, the story could be shaping up to be a positive one for the gold mining industry, which is counter cyclical and obviously energy and fuel intensive. Continue reading "Gold's Grinding Message"

Bulls or Bears - Who Will Win?

Hello traders everywhere! Adam Hewison here, President of INO.com and co-creator of MarketClub, with your video update for Tuesday, the 11th of March.

The Dow Is Balanced

Looking at the Dow Jones Industrial Average (INDEX:DJI), you have half of the stocks in a bull trend and the other half in a bear trend, giving a very mixed picture and somewhat neutral look to the Dow 30. The question is, which side is going to win out, the bulls or the bears? As with any market, I will be watching the Trade Triangles for an indication of this index's next move.

Gold Adjusting To New Levels

After rallying over $150 from the lows that were seen in late December, the gold market has gone into a sideways pattern as it begins to readjust to its new trading levels of $1,320 to $1,360. At the moment, it would look like short-term traders should be out of this market and that long-term traders could hold on to long gold positions. I'm still see the Gold (FOREX:XAUUSDO) moving higher longer-term. Continue reading "Bulls or Bears - Who Will Win?"

Ukraine or No Ukraine - Are Stocks At A Tipping Point?

Hello traders everywhere! Adam Hewison here, President of INO.com and co-creator of MarketClub, with your video update for Wednesday, the 5th of March.

There's no question about it, Ukraine and Putin have been causing havoc in the world’s markets. While it's easy to get emotional and jump on one side of the market or the other because of the news, that really is no way to trade. The Trade Triangles are free of human emotion and tend to keep you in the big trends and alert you to new trends as they develop.

From an intellectual level, I don't think that Russia is finished with the Crimea or Ukraine. There's going to be a lot of diplomatic talk, but the bottom line is going to be what Putin wants, he is going to get, no matter what the cost. The Chinese have a saying, "May you live in interesting times" and certainly these are more than interesting times.

So what's ahead? It seems that we are almost at a tipping point in some markets and in other markets it would appear as though we are heading into a multi-year bull market. Gold (FOREX:XAUUSDO) I believe has made a major reversal and has embarked on a multi-year bull market. Continue reading "Ukraine or No Ukraine - Are Stocks At A Tipping Point?"