Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Nearing Bull Breakout
By: Adam Hamilton, CPA

GoldSeek Radio Nugget: John Williams and Chris Waltzek
By: radio.GoldSeek.com

Turkey Takes Possession of 220 Tons of Gold Repatriated from Federal Reserve
By: Rory Hall

Black Monday II - Repricing of Risk Begins
By: Gordon T Long

New All Time Record Highs For Gold In 2019
By: GoldCore

Gold Seeker Closing Report: Gold Edges Lower While Silver Gains
By: Chris Mullen, Gold Seeker Report

GoldSeek Radio Nugget: Erik Voorhees and Chris Waltzek
By: radio.GoldSeek.com

Ira Epstein's Metals Video 4 19 2018
By: Ira Epstein

More Signs Of Inflation: Home Prices Jump Again And “$3 Gas Is Coming”
By: John Rubino

2018's 'Short' of the Year
By: Michael Ballanger

 
Search

GoldSeek Web

 
The Best Metric For Gauging When to Get in and Out of the Market


 -- Published: Thursday, 20 November 2014 | Print  | Disqus 

A reader recently wrote in asking about how we pick stocks despite our concerns with the markets. He was wondering how we are long the market despite our concerns.

 

The answer is very simple. Making money in the markets is all about knowing when to ride the trend and when to get out. Right now, we’re in a Central Bank induced bubble. One day it will burst. When it does, many investors will get crushed. But until it does, we’re going to make money from it.

 

How do you know when to get in and get out?

 

We like the 52-week moving average. This represents a great line of support for bull markets. As you can see, the S&P 500 bounced off of this line numerous times during the housing bubble.

 

http://news.goldseek.com/2014/20.11.14/1.png

 

In simple terms, when stocks remained above this line or bounced off of it, you were in a bull market. So you would want exposure to solid stock picking.

 

However, once stocks took out this line, it was time to get OUT and start looking for short opportunities.

 

Here’s the same metric for the Tech Bubble:

 

http://news.goldseek.com/2014/20.11.14/2.png

 

 

And here it is today.

 

http://news.goldseek.com/2014/20.11.14/3.png

 

We started getting into trouble in 2011, but the Fed stepped in with Operation Twist and we were off to the races again. As long as we remain above this line, we’re going to buy picking stocks and making major returns.

 

Do we see many bearish problems emerging?

 

Yes.

 

Will we get out of the way before it hits?

 

Absolutely.

 

Will we make money from the collapse?

 

YEP.

 

Best Regards,

Phoenix Capital Research 


| Digg This Article
 -- Published: Thursday, 20 November 2014 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2017



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.