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Chris Vermeulen
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Chris Vermeulen the founder of AlgoTrades.net Algorithmic Trading Systems. This automated investing system is designed for individual investors and traders. He is also the editor of the TheGoldAndOilGuy newsletter which is designed for gold market traders providing quality ETF Trade Alerts,... More
My company:
AlgoTrades Algorithmic Trading Systems
My blog:
TheGoldAndOilGuy - Gold Market Traders
My book:
Technical Trading Mastery - 7 Steps To Win With Logic
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  • Gold Forecast – This Is Going To Be Exciting

    Gold Forecast: During the past year there has been very little talk about gold, silver or gold stocks in the media. Yet the year before it was all the media could talk about and they even had the price of gold streaming live all day in the corner of the tv monitor.

    I am always amazed how the masses and media can be so off in their timing of the stock market and commodities in general. For example when Greece was having issues in 2012 and everyone was avoiding investments in that country like it was the plague. Looking back now, Greece is up huge and only recently investors are confident enough to put money into the Greek stock market again.

    But the truth is that big move has already happend, and the US and global markets are in rotation (changing trends). Money is slowly shifting from what has been hot during the past year or two, to new investments which have a lot more room to rise in value. And this is leads us back to my gold forecast.

    If you are at all familiar with Stan Weinstein's work, then you understand the four market stages. If not, you can learn these four stages on my Stan Weinstein page. Through stage analysis we can predict the type of price action we should expected and have a rough idea just how long a move (new trend) is likely to last. It is important to know that Stan Weinstein's stage analysis works on any time frame from a one minute chart to a monthly chart. If you do not know this then you are trading almost blind without a doubt.

    Current stage analysis looks as though the US stock market may be starting to form a stage three top. There are several indicators and market behaviors which are screaming, telling us to trade with caution to the long side. But the masses do not see this or hear what is unfolding in front of their very own eyes, and that I fine. It actually reminds me of a funny old movie called "hear no evil, see no evil".

    In short, the market is showing some signs of distribution selling in stocks, and the once market leaders are now getting completely crushed with heavy selling volume like the biotech stocks, social media stocks and other momentum stocks and this is bad.

    Gold on the other had has been forming a stage one basing pattern. This provides a very bullish long term gold forecast that investors could ride for several years.

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    Q: Where Will Investment Capital Go During The Next Bear Market In stocks?

    A: One of the places will be precious metals. Click here for my gold forecast which shows the main reason why

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    Gold Forecast Coles Notes:

    1. The US dollar index has setup a massive stage 3 topping pattern on the weekly chart. A falling dollar will send the price of gold higher naturally.

    2. Bullish gold forecasts by the media have dropped substantially, meaning everyone is bearish on gold.

    3. Gold stocks are already showing signs of massive accumulation. I always use the price and volume action of gold stocks to help create and time my gold forecasts which it starting to look bullish.

    Gold Forecast Conclusion:

    Gold market traders should understand that precious metals in general are still months away from breaking out to the upside and starting a new bull market. Do not be in a rush to buy gold or gold stocks yet. There will be plenty of time folks.

    Get My Daily Video Gold Forecast & Gold Trading Alerts at:www.TheGoldAndOilGuy.com

    Chris Vermeulen

    Apr 16 10:59 PM | Link | 1 Comment
  • The Market Leaders Are Being Distributed!

    I just posted a timely article talking about how the market leaders (groups/sectors) which lead the stock market higher have been met with strong selling. All of March we saw some distribution selling but the past few weeks it is clear that the big guys are unloading massive amounts of shares to the general public as they no longer want to hold this growth and momentum stocks. QQQ, IWM, SPY, DIA, IBB

    This is of great concern to me and anyone long stocks in their portfolio need to read my article about this.

    Read Report Now: http://www.gold-eagle.com/article/bull-market-leaders-are-now-leading-way-lower

    Chris Vermeulen

    P.S. Need help timing the market and trading? Join my ETF Trading Newsletter

    Apr 04 1:20 PM | Link | Comment!
  • SP500 ETF Trading Strategies & Plan Of Attack For This Week

    Index ETF Trading Strategies: Stocks have kick started this week with a 0.85% pop in price but the big question is if the market can hold up. Last week stocks repeatedly gap higher and sold off with strong volume telling us that institutions are slowing phasing out of stocks (distribution selling) unloading shares into strength and passing them onto the a average investor to be left holding bag.

    I want to show you a couple charts which show the price action, volume and money flow of the SP500 so you have a visual of what I am talking about.

    30 Minute Intraday SP500 Chart - ETF Trading Strategies

    In the chart below you can see the price gaps followed by selling. Why is this important? It is important because during a down trend the market makers and big money plays who have the money and tools to manipulate the markets will allow the market drift higher or they will run price up in overnight or premarket trading when volume is light. Once the 9:30am ET opening bell rings volume and liquidity spike which allows the big money player to sell remaining long positions and or add to short positions they have.

    If you look at the blue on balance volume line at the bottom of the chart you can clearly see that more contracts are being sold than bought which is typically an early warning sign that the market is about to fall farther. SPY, SSO, SPXU, SH

    (click to enlarge)

    Automated Trading System - 30 Minute ES Futures Chart

    Below is a marked up screen shot of my automated trading system which I use for timing both futures and ETF trading strategies. The color coded bars tell you the market trend along with the strength of buyers and sellers.

    When you couple market cycles, trends, volume/money flow, along with chart patterns we can forecast and trade markets with a high degree of accuracy in terms of market direction and timing. Ross Clark & I talk about cycle analysis, market stages etc… which you can listen to live here: http://talkdigitalnetwork.com/2014/03/this-week-in-money-129/

    (click to enlarge)

    My Index ETF Trading Strategies Conclusion:

    Just to be clear on the current market trend and my overall outlook let me explain a little more. Overall, the broad stock market remains in an uptrend. Thursday and Friday of last week we started getting orange bars on the chart telling us that cycles, volume, and momentum are now neutral. It's 50/50 on which way the market will go from here, so until the market internals (cycles, volume, breadth) push the odds in our favor enough for a short sell trade or a new long entry we will not add new positions to our portfolio.

    It is important to understand that nearly 75% of stocks/investments move with the broad market. So we don't want to add more long positions when the odds are not in favor of higher prices. Trading in general is not hard to do, but creating, following, executing properly money and position management is. If you have trouble with following or creating an ETF trading strategy you can have my ETF trading system for rising, falling and sideways markets traded automatically in your trading account.

    Learn more here about my Automated Trading Systems

    Chris Vermeulen
    TheGoldAndOilGuy.com

    AlgoTrades.net

    Mar 31 4:47 PM | Link | Comment!
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