Is this ETF Laying the Foundation for a Rally in Crude Oil?

Picking bottoms is not something one should do if you're going to be a successful trader. But looking at market that may be forming a bottom is a good exercise, and one that you should be doing on a regular basis. I had done this before gold reversed to the upside traded over $1300 an ounce. Maybe it's time to look at crude oil and see if it's beginning to set itself up for a move to the upside.

Technically, the Trade Triangles remain negative on crude oil, so there is no reversal showing up with those technical tools. The story is a little bit different with the RSI indicator. This particular indicator is showing that there is a big positive divergence on the Energy Select Sector SPDR ETF (PACF:XLE), and it is one that spans months.

Today I'm looking at the ETF XLE and the fact that if it closes higher for the week, it will be a positive sign. The previous week saw a very important Japanese candlestick formation call a "Dragon Fly Doji" this can be interpreted as a strong indication of reversal. It all depend's on how XLE closes this Friday.

Should XLE close higher than ($76.56) the market will have created a "Bullish Engulfing Line" confirming that the previous weeks, "Dragon Fly Doji" was indeed a reversal to the upside.

Take a look at both charts, one is a daily graph showing a large positive divergence on the RSI indicator. The other graph is a weekly Candlestick chart highlighting the “Dragon Fly Doji” and the potential for a “Bullish Engulfing Line” to occur this week.

So here is my 3 step strategy for the Energy Select Sector SPDR ETF (PACF:XLE):

1. I'm going to watch this market closely and have it on my radar.

2. I want to watch the 50 line on the RSI. A close over this line will be another important clue and strong indication that this market is bottoming or has bottomed out.

3. I'm also watching the weekly Trade Triangle on crude oil, should this Trade Triangle turn green, you'll want to BUY XLE, as it closely tracks crude oil.

Now let's see how the Energy Select Sector SPDR ETF (PACF:XLE) does in the future.

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

Get all of Adams articles in your inbox and it's FREE....Just Click Here!

Last Week's Volatility Could Be A Harbinger Of Things To Come

There's a war going on right now and I don't mean overseas, I mean right here in the markets. Last week was a perfect example as the intraday swings of the S&P500 clocked in at a staggering 6.5%. Market volatility often is a precursor of things to come, and the irony of all this action was that the market closed with a loss of -0.65% for the week.

The net weekly change for the DOW was -0.53% and there was an even smaller loss of -0.42% for the NASDAQ. All three indices formed an important Japanese candlestick pattern, a weekly doji candle. Why is this important? A doji candlestick often signals indecision in the market. When the doji forms in an uptrend or downtrend, this is normally seen as significant, as it is a signal that the buyers are losing conviction when formed in an uptrend and a signal that sellers are losing conviction if seen in a downtrend.

What To Watch For This Week

A lower weekly close would indicate to me that the buyers are beginning lose control of this aging bull market. Here is the "line in the sand" for each of the indices that I am watching. Once below this line, watch for heavy liquidation to come in across the board.

DOW: 17.262 S&P500: 1,992 NASDAQ: 4.090

Gold Is Now Officially On The Move

You might remember on January 7th, I wrote a post on gold (FOREX:XAUUSDO) and the key neckline level. The key neckline in gold was broken to the upside last Friday when gold closed out the week with a very positive 2.9% gain. I now have a confirmed upside target zone of $1,340, which equates to about $132-$134 on the ETF, GLD. To follow all of the entry and exit points for gold, check in daily with the World Cup Portfolio.

How High Can The Dollar Go?

The U.S. Dollar Index (NYBOT:DX) continues to push higher against most currencies with another weekly gain of 0.85% in the Dollar Index. The question on everyone's mind is, how high can the dollar go without a correction? To this observer, it appears that there are technical storm clouds gathering that could spell trouble for the dollar. Take a look at the RSI indicator and check out the negative divergence that is building on the weekly charts. If you are long the dollar, you might want to review and tighten your stops.

How Low Can Crude Oil Go

That's a question better asked to Saudi Arabia as they continues to keep their oil spigots open to the world. Here is my analysis, the trend is down and picking bottoms or tops in markets is not a high percentage game. Before crude oil (NYMEX:CL.H15.E) changes trend, it needs to begin to base out and find a floor. I will leave picking bottoms to others. Meanwhile, the trend is your friend.

Have a Different View?

I invite your comments, pro or con. As always, we appreciate your feedback.

Just Click Here to get all of my Blog Post in your inBox

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



Get our latest FREE eBook "Understanding Options"....Just Click Here!

The Odds Are In Your Favor To Trade Gold This Quarter

Using MarketClub's weekly and daily Trade Triangles, I have found that over the last 6 1/2 years, the second quarter of the year has shown the most consistent profits in gold. These past results showed a quarterly gain on average of $7,104.83 on one futures contract.

Gold (XAUUSDO) enjoyed a nice move up earlier in the year, reaching a high of $1393.35 and has pulled back to an important Fibonacci support area. I want to watch this market very carefully and wait for the weekly Trade Triangle to turn green to get bullish on gold. That's not to say I am not longer term bullish, it only means that my timing will kick in when the weekly Trade Triangle turns into a green Trade Triangle.

Besides the Fibonacci support area, the RSI indicator is also at a very low level, similar to that of December 2013.

Trading Results

Q2 of 2008            $965.00
Q2 of 2009            $870.00
Q2 of 2010         $7,057.00
Q2 of 2011         $6,700.00
Q2 of 2012         $4,223.00
Q2 of 2013       $31,260.00
TOTAL             $42,629.00
AVE GAIN         $7,104.83

The results are based on signals using MarketClub's real time spot gold prices and margin of $8,333. This particular trading strategy and results are based on trading one futures contract, both from the long and short side. An ETF could be substituted, but I suspect the results would be quite different.

Trading Rules

How to use MarketClub's Trade Triangles to trade gold:

Use the weekly Trade Triangle to determine the major trend and initial positions. Use the daily Trade Triangles for timing purposes.

Gold entry and exit signals are generated from the spot Gold (XAUUSDO) chart.

Let me give you an example: if the last weekly Trade Triangle is GREEN, this indicates that the major trend is up for that market. You would use the initial GREEN weekly Trade Triangle as an entry point. You would then use the next RED daily Trade Triangle as an exit point. You would only reenter a long position if and when a GREEN daily Trade Triangle kicked in.

You would then use the next RED daily Trade Triangle as an exit point, provided that the GREEN weekly Trade Triangle is still in place and the trend is positive for that market. The reverse is true when you have a RED weekly Trade Triangle. You would use the initial RED weekly Trade Triangle as an entry point for a short position. You would then use the next GREEN daily Trade Triangle as an exit point.

Only Trade With Risk Capital

Even if the odds are in your favor, don't forget that there are no guarantees in trading and only funds that you can afford to lose should be used to trade with.

See you in the markets!
Adam Hewison

Make sure to catch Adam on INO TV



Sign up for one of our Free Trading Webinars....Just Click Here!

Gold still has downward pressure to look forward to.....right?

Outside of a late week Currencies surge, there were very few fireworks to report in last week’s business. This week however, may be a different story.

Thursday and Friday of last week provided some decent movement in the Dollar and Euro, but it appeared things began in the Japanese Yen, then spilled over. Throughout the last several weeks, there have been multiple attempts to push the Yen to new lows for the year, but it always seemed that somehow the plan was foiled. After the selling pressure triggered stop-orders below support, all other Currencies had to react. There was a firm rebound in the US Dollar and an inverse move in the Euro Currency. Surprisingly, the swings in the Currencies had very little impact on outside markets. In fact, most other sectors of the markets were rather stale and choppy. A Treasury Bond auction had some impact on the 30 year bonds and 10 year Notes, but there was little else in the week that provided any excitement. The same goes for the Gold Futures. Normally, traders would use the direction the Dollar or the Stock Indexes as a guide for what to expect in the Metals, but those former relationships are no longer in play on a day to day basis.

This week, there are a few decent reports in the US and Europe that should provide some decent movement. In the United States, Retail Sales, CPI, PPI, Empire State Manufacturing, and Philly Fed reports will be worth watching. In Europe, traders will be following economic data out of Germany along with European GDP figures to provide sustained market direction in at least the Currency sector, but I am unsure whether or not it will carry over into the Metals.

The Weekly Chart of June Gold shows the Futures prices consolidating around $1425. I still believe that Gold Futures may have some further pressure ahead while the US stock indexes remain stable and strong. One thing that will be interesting to watch would be if the Gold Futures ever return to being a “flight to safety” vehicle if the stock market corrects. I will keep a tight watch on that former relationship as the stock market continues its questionable rally into uncharted territory.




Posted courtesy of our trading partner Adam Hewsion at INO.Com


Get our Free Trading Videos, Lessons and eBook today!

Todays Market Update Video

Learn more about Adam Hewison and MarketClub Here!

Share

Two Stocks That Appear to be Ready to Rocket Higher

Today Adam Hewison shows us two stocks that have popped up on his radar screen thanks to our Trade Triangle technology.

In this short video you will see exactly how to best use our Trade Triangles and with just a few clicks, you'll be spotting winning trades in minutes.

Some of you may have heard of these two stocks, but the chances are that they have been flying under the radar for the other 99% of traders. The good news is that our Trade Triangle technology is programmed to spot big moves when they begin, not months later after the market has moved and you are kicking yourself for not getting in sooner.

Today's educational video shares with you how to get the most out of the markets in the least amount of time. As always our videos are free to watch and there are no registration requirements. Please feel free to leave a comment about what you think of the video and these two stocks.

Want to trade like Adam? Click here for FREE lessons.

Share

Adam Hewison: Try it … You’ll like it

From guest blogger Adam Hewison....

Dear Ray's Stock World readers,

I noticed that a lot of folks who are posting questions on our blog are not yet members of MarketClub. Since many of the Trader’s Blog posts revolve around our premium service, I feel as if you’re missing out on the full benefit of the information that is posted.

To solve this problem, I would like to invite you to take a risk-free 30 day trial to our service.

Once you are a member, I have no doubt that you will appreciate exactly how powerful and easy MarketClub is to use.

I am also including THREE bonuses just for trying out MarketClub today. These bonuses are yours to keep even if you decide that MarketClub is not for you.

You have nothing to lose and everything to gain, so why not give it a try? What could be fairer than that?

Here’s the link that you need to get started.

Every success using MarketClub,
Adam Hewison
President of INO.com
Co-founder of MarketClub



Share

What a Difference a Week Makes....Is It All Over For Gold?

A week ago everyone was cheering as gold and other commodity markets were making new highs. Last week however, things changed as everyone seemed to want to jump through the same door, at the same time, putting a great deal of downside pressure on many markets.

This phenomenon sometimes happens when people have multiple positions in multiple markets in the same direction. When they start to take profits, there is no one left to buy.

In today’s short video on gold, we show one of the clues that was given by this market all the way back in May of this year. The video runs about 4 minutes and will give you a very good idea of exactly what I’m talking about. As you know, we took profits on a 52 week rule on Tuesday around the $1,416 level and we also exited with a daily “Trade Triangle” signal on Friday at the $1,382 level.

I think traders of all skill levels will get a lot out of this short video. As always all videos are free to watch and there are no registration requirements. Enjoy the gold video.

Want to trade like Adam? Click here for FREE lessons.

Share

MarketClub: We are Back in the Gold Market

From MarketClub's Adam Hewison......

After exiting all long positions at 1217.72 on 5/18, we reinstated long positions seven days later on 5/25 at 1196.57.

As many of you know who watch my videos, we use our weekly "Trade Triangles" for trend direction and our daily "Trade Triangles" for timing entry and exit points. It was those daily "Trade Triangles" that flashed a buy signal on 5/25.

Given the chaotic state of the world and all the cross currents that are running in the banking system, we would not be surprised to see gold once again climb up and challenge the $1,250 level. All of our "Trade Triangles" are green and 100% to the upside. This indicates that a strong trend is once again in place for the gold market.

The video is available for viewing now and there is no charge or registration requirement.

Gold traders are always a very vocal segment of the trading population and so we encourage you to let your voice be heard on our Trader's Blog.

Watch....We are Back in the Gold Market

All the best,
Adam Hewison
President, INO.com
Co-creator, MarketClub


Share

New Video: How to Take Money and Emotion Out of The Gold Market

From guest blogger Adam Hewison....

Perhaps no other market in the world elicits such emotion and passion than the world's gold market. One only has to mention gold, and theories just come out of the woodwork in regards to conspiracy, market manipulation, and a host of other less than savory subjects.

So what's a trader to do?

Regardless of how you feel about gold, this market presents some great trading opportunities that you can capitalize on using our "Trade Triangle" technology.

Now, hard core gold bugs will not subscribe to this method of trading as they prefer to buy physical gold and hold onto it or bury their bars in their backyard, and to be honest with you, there is nothing wrong with that belief.

I've been asked to update our outlook on gold, so I thought that today I would make a short video to share with you some of the points I see in the current market.

As always, our videos are free to watch and have no obligation. The only thing that we ask is that you share your views on our blog. The views can be bullish on gold or bearish on gold, the choice is yours to make.

Just click here to watch How to Take Money and Emotion Out of The Gold Market

Enjoy the video,
Adam Hewison
President, INO.com
Co-creator, MarketClub.com


Here is a preview of our MarketClub Trade Triangle Chart Analysis and Smart Scan technology

Share

Just Announced Special Trial Member Webinar, Adam Hewison Answers Trial Members Questions LIVE

A few days ago we told you about the special MarketClub Trial that's running, and today we called my inside contact and told him to give MORE to my members who
are on the MarketClub Trial...here's his response:

" I've gotten your voice mails and emails and I was able to talk Adam into doing a TRIAL MEMBERS ONLY webinar where he'll answer questions, and show them exactly how
he uses MarketClub to find and tradeprofitable moves!


P.S. We're closing down the 2 week trial on the 9th as we've gotten a lot more people then expected." If you haven't started your trial yet, please do so ASAP, as I know the webinar software they use can only support 1k people at a time...so don't miss it!

The date of the special webinar hasn't been released to the public yet, as it's just for trial members but we know it's got to be pretty soon and we don't want you to miss the chance to talk directly with Adam!

Just click here to get your trial going now, for no cost, and be sure and attend the webinar...I will!


Just Announced Special Trial Member Webinar, Adam Hewison Answers Trial Members Questions LIVE


Share

Euro vs. USD....Learn Their Relationship

From guest blogger Adam Hewison....

Today, we are dissecting and examining one of my favorite markets … the Forex market. The Forex market is the biggest market in the world and is traded on a 24/7 basis.

What makes these markets so exciting is the fact that they have a very strong tendency to trend, that is, once they get started in one direction they tend to continue in that direction for some time.

I learned how to trade Forex in the trading pits of Chicago where I was a member of the IMM, a division of the Chicago Mercantile exchange. The CME has grown dramatically over the years, and I have many fond memories of trading in the old exchange in Chicago. Today, you can trade the stock of the CME (NASDAQ_CME). I digress to today’s video.

Today we are exploring the relationship between the Euro and the Dollar (EURUSD). In this short video, which we are making available without cost or registration, you’ll catch a glimpse of a conservative way to trade the Forex markets. This approach will detach you from your computer screen and show you how to enjoy your free time without having to worry about the markets.

I would not recommend this movie if you are risk adverse. Trading in Forex, the futures markets, and in any market for that matter always has an element of risk.

I hope you enjoy this educational Forex trading video and that you’re able to see the value in this approach.

Just Click Here To Watch Video

Real-time Forex Click Here

Is This A Bear Market Rally ...... Or a Serious Reversal?

Most of you know where I think this market is headed, this week's rally does nothing to change that. In this great video Adam has put together for us, he gives us some common sense analysis that puts this all into perspective. It's a free video and you don't have to sign up for anything, just check it out!

Click Here To Watch Video

Please feel free to comment, I would love to know where you think this market is headed.



-------------------------------------------------------------------------------------

Is Something In The Markets Out Of the Ordinary? It Might Be Time To Act

Imagine you’re in your favorite restaurant enjoying a nice dinner. All of a sudden a beautiful young lady jumps up on the table and starts dancing even though there is no music.

Would that get your attention?

I know it would get my attention, not because it was a beautiful lady, but because it is out of the realm of normalcy for this restaurant to have anyone dancing on their tables.

The point we are making is this… sometimes markets act a little out of the ordinary despite what everyone is saying and thinking about them. When this happens you need to pay close attention to that market.

Why? Because that market maybe getting ready to do something totally contrary to prevailing sentiment.

Just Click Here To Watch The Video

For the first time in a long time we have received a signal that many would consider out of the ordinary and going against popular sentiment.

We have prepared a short video that I would like to share with you today.

Let me know how you enjoy the video and if you found it helpful please feel free to leave a comment.

Please feel free to leave a comment and let us know what you think.

Forex Video "Trends and Market Timing in the Forex Markets"

From the desk of Adam Hewison....

In this week's video, we will be exploring the world of foreign exchange.
It is also commonly known as the forex market to industry professionals.

Watch Video

The forex market is the biggest market in the world with trillions of
dollars changing hands everyday. This truly is the most fluid and liquid
marketplace on earth. This market trades 24 hours a day, 6 1/2 days a
week and it is traded by every major bank in the world.

One of the cool things about forex is the fact that markets tend to trend
very well and therefore they are very suitable for technical analysis and
the use of trend following techniques such as MarketClub's "Trade Triangle."

Today, we will be focusing in on the EUR/USD exchange rate. As of right now,
the dollar continues to be gaining for the year against the Euro. However,
we still have about another week left to trade in 2008 and we could see the
USD end up being flat for the year.

This gets back to a point I have made before...never buy-and-hold a security
or a currency as events are constantly changing in the financial arena.

My new video runs about seven minutes. In the online video, which you can view
with my compliments, I will show you step-by-step exactly how we approach both
trends and market timing in the forex markets.

Watch Video

I think you will get a lot out of this video as it will teach you how we approach
the currency markets. If you have any questions please feel free to call our office
at 1-800-538-7424.

Every success in the coming year and every success in trading the forex markets.

Adam Hewison

Was Peter Schiff Right In 2006 or 2007?

I was clicking through my usual favorite blogs tonight when I came across this You Tube video that Atilla over at xtrends had posted. It is collection of clips from the past couple of years featuring Peter Schiff, my latest favorite American hero.

There are few traders I pay much attention to, a very short list....Adam Hewison, Atilla M. Demiray, Louise Yamata and now Peter Schiff.

I admit I watch "Cheerleader Investment TV", I think it is a valuable news source. But stock advice? Watch the video.......

Turkeys Spending Trillions and Yet There's Still Room For Thanks

From guest blogger Adam Hewison.....

Have you ever built or remodeled a house? If you have, then you know that it always takes longer and cost twice as much as you first estimated. This is exactly the position that the US government has put itself in, only this time the house is the whole country. Now we have to gut the country and totally redo everything. It's likely to take twice as much time and cost US taxpayers twice as much money to get out of this recession.

Do you know how many zeros there are in a trillion dollars? I really didn't know myself, as that is way above my pay scale. So, I looked it up on Google and there are 12 zeros behind the 1. When this mess is all over, we will be lucky if the government doesn't spend 5 trillion dollars (5,000,000,000,000) to get everything back to some form of normalcy in the US markets.

We are continually seeing new people being trotted out in front of the cameras and microphone saying that this bailout is going to cost $700 billion and something else is going to cost $350 billion. I have a deep suspicion that they have no clue and no belief in what they are saying or doing. It's also amazing to me that the people that got us into this mess in the first place on now in charge of getting us out of this mess. This does not seem like a very smart idea to me.

One of the most interesting things about the markets is that they never tell you when a bottom is in place until much later. I think that the many economic problems that are currently sitting on the back burner, will warrant this market to continue its slide to the downside. If you haven't seen my video, "How Low Can The Dow Go," I recommend that you check it out by tapping this link: Video Link

The technical outlook for the stock market remains negative in my opinion. There's a great deal of overhead resistance in this market which leads me to believe we will still see further downside erosion. Unlike a bull market that constantly needs to have positive inputs like earnings and positive outlooks, a bear market simply can fall on its own weight.

One thing we rely on to tell us when the market switches gears from a negative to a positive trend is our "Trade Triangle" technology. Presently all of our "Trade Triangles" are in a negative mode for all the indices, and show little or no signs of turning up.

So what's an investor to do?

Do you buy and hold because it looks cheap? That is not the way I believe you want to trade this market. The closest parallel we have to this market is the crash of 1929 and the bear market that lasted into the early '30s. We've only been in this crisis mode for a little over a year and I believe we have a way to go before the recovery begins.

We still have a downside projection for the DOW at 6,600 and we see little or no reason to change that technical target at this time.

Make no mistake about it, these are difficult times for many people, and many people will lose their jobs before business and the markets pick up. There's still the mess with General Motors (NYSE_GM), Ford (NYSE_F) and Chrysler to take care of. How much is that going to cost? In my opinion, the auto industry has been in decline and denial since the '70s, and any money that is given to them is like throwing money down a rat hole unless there is a major new business plan and a severe downsizing of those industries.

No matter what rough times lay ahead, keep the faith, keep your head down and the computer on, because there are some great trading opportunities that I know will be coming up soon in the marketplace.

From all of our staff both at INO.com and MarketClub, we wish you success in the future. To all of our American friends and clients, we hope you had a very Happy Thanksgiving. We still have a lot to be thankful for in this world.

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


P.S. - A little off topic but please check out my latest Video On Gold : Click Here For Gold Video

So How low Do You Think The Dow Can Go?

Watch Video

Make no mistake about it, the market action on last Wednesday (November 19th) was extremely negative for all of the indices that we track. The close below 8,000 on the DOW can only be described as negative, indicating further weakness to the downside. I am looking for this index to trade down to around the 6600-6700 level.

Looking at the charts using our "Trade Triangle" technology, it is clear that the Dow has been under pressure since our first major sell signal at 11,290. I see no reason to alter this stand, as I believe the trend will continue to be on the downside. I expect to see further weakness in the weeks and months to come.

Here are the three choices you have as an investor:

1. You can go long a market.
2. You can go short a market.
3. You can move into cash.

I'm often amused when I see people buying "defensive stocks." Why not get out of the market entirely when it's going down. Doesn't that make more sense to everyone?
However, most brokers want you to stay in the market at all times fearing that they will miss a bottom. Truth is, most investors (including brokers) missed the top, so what makes anyone so sure that they'll catch the bottom?
The key in trading is not to get out at the top, or in at the bottom. Anyone who tells you to do that isn't playing smart in the markets, and most likely claims that they are holding the "holy grail" of trading.

An investor's goal should be to capture 70% of a move. The middle is the sweet spot, and if you make enough in the middle then who cares about the tops and bottoms. Forget picking up the 15% on the top and 15% on the bottom, it doesn't work consistently to use it as a trading strategy.

Check out my new video and see exactly where we got out of the indexes and were we see them headed right now...

Enjoy the video

Click Here To Watch Video

Guest Blogger....
Adam Hewison
President, INO.com
Co-creator, MarketClub

Check Out Your Free Trial At The Market Club

If you have not checked out The Market Club, take this opportunity to try your Free Trial Membership. Adam Hewison and the guys at Market Club will have teach you a worry method of trading the trend that works!

Click Here For Your Free Trial

Dollar...Stocks...Crude...what's next?

From Adam Hewison,
President, INO.Com
Co-Creator, Market Club

When Paulson came out Wednesday and stated that his earlier plan to save the western world was not working, he offered up a plan "C" (or is it "D") to relieve pressure on consumer credit, scrapping his earlier effort to buy the value mortgage assets.

No matter what happens or what the next plan is here, are the 3 reasons I believe stocks are headed lower.

* Number one: The trend in most all stocks is down. This trend is likely to persist and last longer than most people imagine.

* Number two: There is no plan. The government is floundering and does not have a plan that is going to work anytime soon.

* Number three: We have a lame-duck president, and nothing is going to happen of any consequence until President-elect Obama is sworn in.

New Video analysis of what could really happen: Watch Video

Okay, so let's look at the first problem. Most people trading the market today have had no experience in a prolonged bear market like the one we had in the '70s. That bear market was brutal as it did not let anyone out. Over the course of the early '70s, the bear market basically wore people out to the extent they eventually just threw in the towel. We believe the market is going to make another new low and take out the recent lows that were put in place in early October. Unlike a bull market that constantly needs positive news to drive it higher, a bear market just falls under its own weight.

The second problem we have is that there is no concrete plan in place to rescue the economy. In fact, the domestic and global economic issues are so great that they are overwhelming in scope. The Paulson plan, which is being changed and will continue to change, is a major concern and creates significant uncertainty in the marketplace. Only when we see the new regime take! off ice this coming January will we see any meaningful changes.

The third problem we have is a lame-duck president. This is a major problem for the markets as President-elect Obama can not make any sweeping changes until he is sworn into office. Yes, he may hit the ground running, but the reality is, it's not for over two months from now and a lot can happen to the market in two months. The key levels that everyone is going to be watching for are the recent lows we saw in early October. If these lows are taken out, and I expect they will be, it's going to push this market and everything else down to new lows. It will exacerbate the housing situation, the unemployment situation and most of all, the morale of the country.

Having lived through the bear market of the '70s, I know firsthand how difficult the journey we face is going to be. Now this may seem like a very pessimistic outlook and in some ways it is, however there are always opportunities to make mone! y i n the marketplace. These opportunities may not be in stocks! , it may be in forex or the commodity markets.

So buckle your seatbelt. I think we are in for a bumpy ride...Just click here to check out the new video analysis

Adam Hewison,
President, INO.Com
Co-Creator, Market Club