Sure, gold dominates the headlines. But which would you rather buy right now, gold or silver?
Gold has incredible amounts of emotional baggage attached to it, while silver is in a different league, at least for the moment. This video will show you two indicators that can help you capture either market when and if the upward trend decides to resume.
With all of the world's troubles, there are plenty of reasons why one would think that both of these markets should be much higher. The question is, why aren't they? We think that the video you're about to watch will help answer some of those questions.
In today's short educational trading video, we put together comparisons between these two markets and why the obvious choice may not be the best choice.
As always our videos are free to watch and there are no registration requirements. Please feel free to leave a comment and tell us what you think of the video and also what you think of gold and silver.
Watch "Gold or Silver....Which is the Right Precious Metal for You?"
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Wednesday, March 30, 2011
Thursday, March 24, 2011
New Report Analyzes Tipping Point of Gold and Equities....Are You Ready?
Equities and Precious Metals are on the edge of another rally and it could start as early as tomorrow.
On March 13th I posted some of my analysis online showing how the market was trading at a key pivot point and that a sharp price movement was about to unfold. I also provided everyone with the direction in favor which played out perfectly catching a 4.5% in three days.
As of today we are getting the same setup I saw on March 13th, but this time it’s pointing to higher prices. Take a quick look at the charts I was looking at for both the SP500 and gold and you will notice that the SP500 and gold both moved to the support levels before starting to bounce.
While we caught the move down on the SP500 playing the SDS Double leveraged inverse fund we did not take part in falling gold prices. Reason being, there is so much fear in the market and the amount of surprise news popping up each week I don’t think shorting precious metals is a safe call. Rather I am looking for a pullback to cleanse the holders of the commodity then I will buy once price confirms the continuation pattern has completed.
Now, stepping forward to this week’s price action
SPY Daily Chart
We can see in the chart below that price is currently testing a key resistance level. Before the week is over we could see some big price movement equities. I need to see what happens tomorrow but I have a feeling we could see a breakout to the upside for a long position.
Gold Miners Fund Daily Chart
Gold stocks have be under performing the price of bullion for a few months but it looks as though they could be starting a sizable rally. If gold stocks continue to move sharply higher out of this pattern, then it’s a positive sign that gold and silver bullion will both continue to move up.
Mid-Week Trend Report:
In short, stocks and commodities may have shaken the weak positions out of the market during the recent pullback in price. Things could be ready to start another multi month rally and trade setups. Keep your eyes on the charts....
Just Click Here if you would like to get these reports sent to your inbox each Sunday & Wednesday. Check out The Gold and Oil Guy.Com
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On March 13th I posted some of my analysis online showing how the market was trading at a key pivot point and that a sharp price movement was about to unfold. I also provided everyone with the direction in favor which played out perfectly catching a 4.5% in three days.
As of today we are getting the same setup I saw on March 13th, but this time it’s pointing to higher prices. Take a quick look at the charts I was looking at for both the SP500 and gold and you will notice that the SP500 and gold both moved to the support levels before starting to bounce.
While we caught the move down on the SP500 playing the SDS Double leveraged inverse fund we did not take part in falling gold prices. Reason being, there is so much fear in the market and the amount of surprise news popping up each week I don’t think shorting precious metals is a safe call. Rather I am looking for a pullback to cleanse the holders of the commodity then I will buy once price confirms the continuation pattern has completed.
Now, stepping forward to this week’s price action
SPY Daily Chart
We can see in the chart below that price is currently testing a key resistance level. Before the week is over we could see some big price movement equities. I need to see what happens tomorrow but I have a feeling we could see a breakout to the upside for a long position.
Gold Miners Fund Daily Chart
Gold stocks have be under performing the price of bullion for a few months but it looks as though they could be starting a sizable rally. If gold stocks continue to move sharply higher out of this pattern, then it’s a positive sign that gold and silver bullion will both continue to move up.
Mid-Week Trend Report:
In short, stocks and commodities may have shaken the weak positions out of the market during the recent pullback in price. Things could be ready to start another multi month rally and trade setups. Keep your eyes on the charts....
Just Click Here if you would like to get these reports sent to your inbox each Sunday & Wednesday. Check out The Gold and Oil Guy.Com
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Wednesday, March 23, 2011
John Thomas: Guess Who’s Buying Gold?
With gold threatening to break out to a new all-time high, and silver having already done so, some interesting facts are coming out about the precious metals market.
It turns out that Iran has been a major buyer, with the Financial Times reporting that the rogue Islamic nation has bought 300 metric tonnes in recent years. The leadership of this terrorist state has made very public its disdain for the US dollar, and they have been putting their money where their mouth is.
We all knew that emerging market central banks were major drivers of the price for the barbarous relic, seeking to raise reserve weightings to much higher developed economy levels. Gold also has the additional benefit in that it can be held physically in country, putting it out of the reach of American and United Nations sanction or seizure.
Libya has also been a large gold buyer, stashing as much as $6 billion worth of the yellow metal at an undisclosed underground Sahara location. Perhaps Khadafy knew that his thaw with the West would have the life of an ice cube under the desert sun, and that it was just a matter of time before there would be a grab for the country’s assets. Hey, Muammar, if this dictator thing doesn’t work out, you can always try a second career as a gold trader.
I continue to believe that gold is overbought for the short term, but has a long term target of the old inflation adjusted high of $2,300. Keep permanently on your radar the gold ETF (GLD), silver (SLV), and a major producer, Barrack Gold (ABX).
How To Improve Your Price Prediction Skills
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It turns out that Iran has been a major buyer, with the Financial Times reporting that the rogue Islamic nation has bought 300 metric tonnes in recent years. The leadership of this terrorist state has made very public its disdain for the US dollar, and they have been putting their money where their mouth is.
We all knew that emerging market central banks were major drivers of the price for the barbarous relic, seeking to raise reserve weightings to much higher developed economy levels. Gold also has the additional benefit in that it can be held physically in country, putting it out of the reach of American and United Nations sanction or seizure.
Libya has also been a large gold buyer, stashing as much as $6 billion worth of the yellow metal at an undisclosed underground Sahara location. Perhaps Khadafy knew that his thaw with the West would have the life of an ice cube under the desert sun, and that it was just a matter of time before there would be a grab for the country’s assets. Hey, Muammar, if this dictator thing doesn’t work out, you can always try a second career as a gold trader.
I continue to believe that gold is overbought for the short term, but has a long term target of the old inflation adjusted high of $2,300. Keep permanently on your radar the gold ETF (GLD), silver (SLV), and a major producer, Barrack Gold (ABX).
How To Improve Your Price Prediction Skills
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“Day Trading Made Simple” Now Playing on Trend TV
Greenspan shares his strategy as well as best practices for successful trading on Trend TV…
“Discipline. That’s the key to success in so many aspects of life and it’s the main ingredient of any successful trading plan. But, what does discipline really mean to an intraday trader?
Discipline means taking small quick losses and letting your profits ride. That’s the key to all successful trading. Discipline means using stop loss orders on every trade to limit your losses and moving your stop loss orders to protect your profit.
That’s kinda like grooming your position. When you have a profit in a trade, you should take your stop loss order and move it first to your break even point, and then if your trade continues to trend your way, to always protect your profit along the way. Three, discipline means following all the buy and sell signals that your trading plan or system of trade has to offer you.
In all trading you must expect losses and you must accept them gracefully, because it may take only one mistake to wipe out the profits of ten winning trades…”
To watch the full video with William Greenspan, please visit Trend TV. Once you receive your password, you can visit Trend TV anytime and watch new videos as they are added.
We hope you will be able to use Greenspan’s experience to grow your profits and protect you from that one big mistake.
Just Click Here to take advantage of everything Trend TV has to offer!
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Sunday, March 20, 2011
How to Gauge the Equities Market so You Don’t Buy to Early!
From Chris Vermeulen at The Gold and Oil Guy......
Over the years I have found an indicator/trading tool which I find help spot intermediate trend reversals. I am going to quickly cover in this report. As most of you know the 20 simple moving average is a great gauge for telling you if you should be looking to buy the dips or sell the bounces. It’s an indicator I keep on the broad market charts like the SP500, Dow and NASDAQ.
The chart below shows the percentage of stocks trading above the 20 moving average. When this indicator falls below 20%, I make sure I start to protect my short positions with more aggressive protective stops and keep an eye on short term sentiment, volume ratios, options and price action as a bottom can take place at any time and very quickly. Bottoms tend to be more of an event happening quickly with a washout/panic selling day followed by a sharp rally, while intermediate market tops drag out taking weeks if not months to roll over and are very difficult to trade which is what we have been experiencing so far this year.
Mr. Jones once of my trading buddies who focuses strictly on Options Trading has been cleaning up with the current volatility making 21%, 50% and 67% returns on his last threes trades. This guy loves volatility and always seems to have an options strategy for every situation the market dishes out. Check out his service at OptionsTradingSignals.com
As you can see this indicator is currently trading in the lower reversal zone and I feel a bottom will form before March is over.
SP500 Daily Chart
The SP500 continued lower today, which is what I mentioned, would most likely take place in my pre market video this morning. The trading session was a roller coaster with news on Japans reactors causing large waves of buy and selling throughout the day. I have not seen traders follow the news so close like this in some time… Everyone has their fingers hovering over the buy and sell button these days.
Looking at the bottom indicator which is my gauge of panic selling within the market, it has yet to close above 15 which is the minimum number I typically look for before I start zooming into the intraday charts for a long entry (market bottom). We still could see much lower prices before we see that.
Gold 4 Hour Chart
This chart is the same one I showed in my Sunday night report, which explained why gold should test the $1380-1390 level in the coming days. We did see that unfold this week but now the chart is pointing to possibly even lower prices with a support range between $1360-1380 taking place this week. Keep an eye on it as it should be swift if it does occur.
Mid-Week Trend Report:
In short, we are finally getting the correction everyone has been waiting for and now that it’s started and we are short, we must start watching closely for a bottom because they can take place very quickly.
My focus is still on playing the short side but I have my antennas up just in case signs of a bottom start showing up.
If you would like to get my free weekly reports just Click Here to visit The Gold and Oil Guy.Com
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Over the years I have found an indicator/trading tool which I find help spot intermediate trend reversals. I am going to quickly cover in this report. As most of you know the 20 simple moving average is a great gauge for telling you if you should be looking to buy the dips or sell the bounces. It’s an indicator I keep on the broad market charts like the SP500, Dow and NASDAQ.
The chart below shows the percentage of stocks trading above the 20 moving average. When this indicator falls below 20%, I make sure I start to protect my short positions with more aggressive protective stops and keep an eye on short term sentiment, volume ratios, options and price action as a bottom can take place at any time and very quickly. Bottoms tend to be more of an event happening quickly with a washout/panic selling day followed by a sharp rally, while intermediate market tops drag out taking weeks if not months to roll over and are very difficult to trade which is what we have been experiencing so far this year.
Mr. Jones once of my trading buddies who focuses strictly on Options Trading has been cleaning up with the current volatility making 21%, 50% and 67% returns on his last threes trades. This guy loves volatility and always seems to have an options strategy for every situation the market dishes out. Check out his service at OptionsTradingSignals.com
As you can see this indicator is currently trading in the lower reversal zone and I feel a bottom will form before March is over.
SP500 Daily Chart
The SP500 continued lower today, which is what I mentioned, would most likely take place in my pre market video this morning. The trading session was a roller coaster with news on Japans reactors causing large waves of buy and selling throughout the day. I have not seen traders follow the news so close like this in some time… Everyone has their fingers hovering over the buy and sell button these days.
Looking at the bottom indicator which is my gauge of panic selling within the market, it has yet to close above 15 which is the minimum number I typically look for before I start zooming into the intraday charts for a long entry (market bottom). We still could see much lower prices before we see that.
Gold 4 Hour Chart
This chart is the same one I showed in my Sunday night report, which explained why gold should test the $1380-1390 level in the coming days. We did see that unfold this week but now the chart is pointing to possibly even lower prices with a support range between $1360-1380 taking place this week. Keep an eye on it as it should be swift if it does occur.
Mid-Week Trend Report:
In short, we are finally getting the correction everyone has been waiting for and now that it’s started and we are short, we must start watching closely for a bottom because they can take place very quickly.
My focus is still on playing the short side but I have my antennas up just in case signs of a bottom start showing up.
If you would like to get my free weekly reports just Click Here to visit The Gold and Oil Guy.Com
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Thursday, March 17, 2011
It's Here....Your Official Invitation to MarketClub TV
After weeks of planning and preparation, our friends at MarketClub have officially announced the launch of MarketClub TV.
And you are officially invited to join them ONLINE for the premiere episode:
Join us ONLINE for the premiere episode of MarketClub TV at 7:00pm eastern, Thursday, March 17th
Register Now It's FREE!
You are going to both love and be blown away by MarketClub TV and the LIVE, INTERACTIVE, wealth-building tips, news, insights and money making plays it gives you.
Yes, that's right, I said 'interactive'. Each week Adam Hewison and his team at MarketClub will...
* Discuss the biggest movers and shakers of the week
* Uncover the hot, new trading opportunities that are starting to take shape...
* Look at powerful, ongoing trends and the best ways for you to profit from them...
* Show you MarketClub's proprietary Trade Triangles in action and illustrate the easiest, most effective ways to use them...
* Plus much, MUCH more!
Here's the best part of all though: Throughout each show you'll be able to email... instant message ('chat')... Tweet... or call in any questions, comments, or ideas you may have and we'll go over them right then and there, live on the air.
In other words, you'll be getting the kind of tips, picks, news and insights that can launch your trading success to an all new high...
You'll be able to watch it all LIVE, each week, in the comfort of your own home for FREE.
You'll be able to talk with us, ask any questions you may have, and get the answers you need on the air, right then and there.
And, if you happen to miss an episode, there's no need to worry - you'll be able to replay any episode you like, whenever you like, as often as you like.
MarketClub TV will be broadcast LIVE, online Thursday evenings at 7:00pm eastern starting with the premiere episode is this Thursday, March 17th.
PLUS, to kick things off with a bang, one lucky viewer will win a 1 year membership to MarketClub. Everyone who registers to watch Thursday's premiere episode will automatically be entered into the drawing. And the winner will be announced LIVE during the show.
Just you wait and see, Click to check out MarketClub TV. It is going to rock your world! See you there!
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Friday, March 11, 2011
Strong Distribution Selling Leads to Possible Breakout
Do you have the kind of patience in your trading that Chris Vermeulen of The Gold and Oil Guy.Com does......
The past couple weeks we have seen strong distribution selling in the equities market followed by equally large days of buying. These buying and selling frenzies have formed a sideways consolidation.
Intraday movements have been sizable and more than enough to shake those trying to pick a direction early out of the market a few times. As fewer traders get involved the price range narrows and becomes compressed. Eventually there will be a breakout in a direction on heavy volume and with any luck it will start a new trend.
As much as I love to trade, I have been sitting on the sidelines for a few weeks giving this market some time to sort it’s self out.... As we all know there are times when you get really aggressive and other times when it’s best to stand aside.
It is very important to note that each trader sees the market in a different way and once it is aligned with what you are comfortable with trading, only then should you step in and trade. If not, then it’s best to wait for more favorable price action. It took me years to figure this out but now that I know what I am looking for and on what time frames, trading is less stressful and I know I don’t need to be trading all the time, there is always another opportunity just around the corner....
Gold has been trading sideways for almost two weeks now as it tries to break free of the December high. It is much in line with the SP500 chart above. I feel Friday or early next week that the market, dollar, metals and oil make some sizable moves either up or down....
Mid-Week Conclusion:
In short, I don’t think it is wise to jump the gun and take on any large positions until we see what happens on Friday overseas....
If nothing happens which is kind of what I am thinking, we should see the extra fear value come back out of the price of gold, silver and oil (drop in price) and possibly help boost equity prices.
To get Chris Vermeulens free weekly reports and trade ideas to your inbox, just sign up at The Gold and Oil Guy.Com
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The past couple weeks we have seen strong distribution selling in the equities market followed by equally large days of buying. These buying and selling frenzies have formed a sideways consolidation.
Intraday movements have been sizable and more than enough to shake those trying to pick a direction early out of the market a few times. As fewer traders get involved the price range narrows and becomes compressed. Eventually there will be a breakout in a direction on heavy volume and with any luck it will start a new trend.
As much as I love to trade, I have been sitting on the sidelines for a few weeks giving this market some time to sort it’s self out.... As we all know there are times when you get really aggressive and other times when it’s best to stand aside.
It is very important to note that each trader sees the market in a different way and once it is aligned with what you are comfortable with trading, only then should you step in and trade. If not, then it’s best to wait for more favorable price action. It took me years to figure this out but now that I know what I am looking for and on what time frames, trading is less stressful and I know I don’t need to be trading all the time, there is always another opportunity just around the corner....
Gold has been trading sideways for almost two weeks now as it tries to break free of the December high. It is much in line with the SP500 chart above. I feel Friday or early next week that the market, dollar, metals and oil make some sizable moves either up or down....
Mid-Week Conclusion:
In short, I don’t think it is wise to jump the gun and take on any large positions until we see what happens on Friday overseas....
If nothing happens which is kind of what I am thinking, we should see the extra fear value come back out of the price of gold, silver and oil (drop in price) and possibly help boost equity prices.
To get Chris Vermeulens free weekly reports and trade ideas to your inbox, just sign up at The Gold and Oil Guy.Com
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Thursday, March 3, 2011
Long Term Trends in Gold, Silver, Crude Oil
Here are the weekly and daily charts which I think provide a big picture view of things.....Read "Important Article on Long Term Trends in Gold, Silver, Crude Oil"
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Potential Targets For Gold and Silver Prices
Is the fear factor from the crude oil rally dominating precious metals pricing? The gold and silver markets rallied dramatically to the upside as concerns and worries over oil supplies, inflation, and general nervousness in the world markets pushed both metals into new high ground.
We have just completed a new short video where we share with you our upside target zones for gold. The video only takes a few minutes to watch and emphasizes how important technical analysis is in the gold market. Our weekly Trade Triangles have been long gold from $1,368 and it looks as though that position is going to work out well.
We also refer back to a video that we made on September 20th last year, which underscores the importance of cyclic work in the gold market and, how if these same cycles hold true, can predict with a fair degree of certainty when the next cyclic high is going to occur.
We reveal all of this in this new short video that we think you'll find both informative and educational. And as always all our videos are free to watch and there are no registration requirements.
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We have just completed a new short video where we share with you our upside target zones for gold. The video only takes a few minutes to watch and emphasizes how important technical analysis is in the gold market. Our weekly Trade Triangles have been long gold from $1,368 and it looks as though that position is going to work out well.
We also refer back to a video that we made on September 20th last year, which underscores the importance of cyclic work in the gold market and, how if these same cycles hold true, can predict with a fair degree of certainty when the next cyclic high is going to occur.
We reveal all of this in this new short video that we think you'll find both informative and educational. And as always all our videos are free to watch and there are no registration requirements.
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Tuesday, March 1, 2011
Gold, Dollar, Stocks & Sentiment at Major Pivot Point
So far 2011 has been an interesting to say the least. Stocks and commodities have been jumping around with high volatility generating mixed trading signals. This choppy price action typically indicates trends are in their late stages. The late stages of a trend is very difficult to trade because volatility rises meaning larger day to day price swings, and at any time the price could either drop like a rock or go parabolic surging higher in value. Generally the largest moves take place during the final 10% of trend, but with a sharp rise in price keep in mind the day to day gyrations are much larger than normal, hence the false buy and sell signals back to back on some investment vehicles.
Taking a look at the charts it’s clear that we are on the edge of some sizable moves in both stocks and commodities. It’s just a matter of time before a correction is confirmed or this current pullback in stocks is just a dip (buying opportunity). I am in favor of the longer term trend at work here (bull market) but it only takes a 1 or 2 bid down days and that could change.
SPY (SP500 Price Action) – 60 Minute Chart
This chart shows intraday price action with my market internals. It is signaling a short term bottom within the overall uptrend on the equities market. The big question is if this is a just an opportunity to buy into this Fed induced bull market or the start of a larger correction?
Currently I am bullish but the next couple trading sessions could confirm my bullish view or a correction could be unfolding. Until then, we must remain cautious.
Price Of Gold – Weekly Chart
Gold has staged a strong recovery in the past four weeks. But it has yet to break to a new high. I do feel as though it will head higher because of the way silver has been performing (new highs). But it is very possible we get a pause for a week or two before continuing higher.
Because of the international concerns in the Middle East both gold and silver should hold up well even if the US dollar bounces off support. But, if the US dollar breaks down below its key support level we could see stocks and commodities go parabolic and surge higher in the coming months. It’s going to be interesting year to say least…....
Dollar Weekly Chart
This long term view of the dollar shows a MAJOR level which if penetrated will cause some very large movements across the board (stocks, commodities and currencies).
In short, a breakdown will most likely cause a spike in stocks and commodities across the board which could last up to 12 months in length. On the flip side a bounce from this support zone will trigger a pullback in both stocks and commodities. This weekly chart is something we must keep our eye on each Friday as the weekly candle closes on the chart.
Weekend Trend Report:
In short, 2011 has been interesting but trading wise it’s has yet to provide any real low risk trade setups which I am willing to put much money on. There are times when trading is great and times when it’s not. It all comes down to managing money/risk by trading small during choppy times (late stages of trends), and times when we add to positions as they mature building a sizable portfolio of investments which I think will start to unfold over the next few months.
I continue to analyze the market probing it for small positions as this market flashes short term buy and sell signals. Last week we say a lot of emotional trading and that typically indicates large daily price swings should continue for some time still so keep trades small and manage you positions.
You can get our FREE Weekly Analysis here at The Gold and Oil Guy.Com
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Taking a look at the charts it’s clear that we are on the edge of some sizable moves in both stocks and commodities. It’s just a matter of time before a correction is confirmed or this current pullback in stocks is just a dip (buying opportunity). I am in favor of the longer term trend at work here (bull market) but it only takes a 1 or 2 bid down days and that could change.
SPY (SP500 Price Action) – 60 Minute Chart
This chart shows intraday price action with my market internals. It is signaling a short term bottom within the overall uptrend on the equities market. The big question is if this is a just an opportunity to buy into this Fed induced bull market or the start of a larger correction?
Currently I am bullish but the next couple trading sessions could confirm my bullish view or a correction could be unfolding. Until then, we must remain cautious.
Price Of Gold – Weekly Chart
Gold has staged a strong recovery in the past four weeks. But it has yet to break to a new high. I do feel as though it will head higher because of the way silver has been performing (new highs). But it is very possible we get a pause for a week or two before continuing higher.
Because of the international concerns in the Middle East both gold and silver should hold up well even if the US dollar bounces off support. But, if the US dollar breaks down below its key support level we could see stocks and commodities go parabolic and surge higher in the coming months. It’s going to be interesting year to say least…....
Dollar Weekly Chart
This long term view of the dollar shows a MAJOR level which if penetrated will cause some very large movements across the board (stocks, commodities and currencies).
In short, a breakdown will most likely cause a spike in stocks and commodities across the board which could last up to 12 months in length. On the flip side a bounce from this support zone will trigger a pullback in both stocks and commodities. This weekly chart is something we must keep our eye on each Friday as the weekly candle closes on the chart.
Weekend Trend Report:
In short, 2011 has been interesting but trading wise it’s has yet to provide any real low risk trade setups which I am willing to put much money on. There are times when trading is great and times when it’s not. It all comes down to managing money/risk by trading small during choppy times (late stages of trends), and times when we add to positions as they mature building a sizable portfolio of investments which I think will start to unfold over the next few months.
I continue to analyze the market probing it for small positions as this market flashes short term buy and sell signals. Last week we say a lot of emotional trading and that typically indicates large daily price swings should continue for some time still so keep trades small and manage you positions.
You can get our FREE Weekly Analysis here at The Gold and Oil Guy.Com
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