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Chris Vermeulen
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Chris Vermeulen the founder of 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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  • Americans Have No Idea That The United States Is On The Brink

    Americans have no idea that the United States is on the brink of an economic crash. It is really not conceivable to the majority of Americans. We have been told by President Obama that we are experiencing economic growth and that the economy has been stable for a number of years now. The stock market continues to surge to new heights. The NASDAQ is at a brand new all-time record high.

    So how in the world can anyone be talking about an economic collapse? Many Americans will agree that we did have a big bump in the road back in 2008, but things have pretty much returned to normal now. Unfortunately, this brief period of stability that we have been enjoying is an "illusion".

    The fundamental problems that caused the financial crisis of 2008 have yet to be addressed. Our long-term economic problems have actually gotten worse. In the 8 years that the Fed has been doing QE, our leaders in Congress and the White House have made no progress towards the required Fiscal Policy changes that have to be addressed. Of course, it has just been business as usual back in Washington DC.

    Today, the entire economic system in the United States is based on debt. Without debt there is little to no economy. Thus, debt comes from the banks and the concept of the "too big to fail banks" is at the heart of this debt-based system.

    RELATED: If You Money In A US Bank Be Aware!

    If the economy was expanding and is as healthy as we have been led to believe, there would be lots of buying and selling, and money would be moving around rapidly. The U.S. economy is behaving exactly contrary to that right now. The velocity of M2 has fallen to an all-time record low. This is a very powerful indicator that we have entered a deflationary era and that the Federal Reserve has been attempting to combat this by flooding the financial system with more money through more QE.

    The main problem with this economy is that it has not been repaired. The only fiscal change taking place in the high echelons of Congress has to do with the way that money is being spent without having any money. This is what is fundamentally wrong with our economy.

    In the past 7 years, it was imperative for the government to have focused on a much more balanced budget. On a very basic level, the amount of economic activity that we have been witnessing is not anywhere near where it should be, and the flow of money through our economy is very stagnant. They can try to mask it for a certain period of time, but it will come unraveled.

    Why would McDonald's plan to permanently close 700 poorly performing restaurants over the course of 2015? Why would they be doing this if the economy is "getting better"? Procter & Gamble announced that it will be cutting up to 6,000 more jobs from their payroll. JP Morgan just announced 5,000 layoffs last week. Why would they be doing this if the economy is "getting better"?

    Because the economy is NOT getting better, it has just been getting worse. Our Government has persistently manipulated the formula in order to create a facade that they want us to see. They are changing the calculations on GDP for the 2ND Quarter of 2015 so they will not result in a negative number. That is truly how bad the economy really is. As recently as today, the Fed has made a 3rd revision of the GDP which is more negative.

    the global collapse of 2015"The American Dream" is now dead. We live in a country where almost everyone is drowning in debt and where a vast number of people are simply broke. This is the reason that both parents are working in most families today. In fact, both parents are working multiple jobs in a desperate attempt to make ends meet.

    Over the years, the cost of living has risen steadily, but American paychecks have remained the same over the last 40 years. The erosion of the middle class will continue until it will just not exist anymore. Our dream in America has always been that we could afford a home, a car or two, and a nice annual vacation. "The American Dream" is out of reach for more Americans than it ever has been before. As it stands now, the middle class is dying right in front of our eyes.

    It is empowering to know what is coming in the future and especially to understand why it is coming. It is vitally important to get prepared in advance for turbulent times. It is totally necessary to have a plan for the years ahead. My intention is to inform and educate before it all falls out from under us.

    Everyone should be prepared well ahead of time, especially now. Have you ever visited a "food bank" near you? You should go see how much longer the lines are getting and nothing really explosive has happened yet. Americans are so poor that many of them can't even afford to shop at Wal-Mart and Dollar Stores anymore. They are now going to their local charities and churches in order to get through the day. They are asking for help from food banks and churches, plus going to used second-hand clothes stores and emergency assistance in order to keep their electricity on.

    How prosperous are Americans in the United States today? Let's take a look at what the BIG BOYS are doing. Bank of America and Merrill Lynch wrote that the client's net sales of US stocks amounted to $4.1 billion last week, the largest total since January 2008. Most of the selling is being led by the institutional investors. Hedge funds were net sellers for the ninth consecutive week, while private clients bought stocks last week following the previous week's net sales. Most of the money came out of healthcare and financial stocks. Last week outflows from healthcare were the largest on record.

    Chris Vermeulen

    Tags: economy
    Jun 25 9:22 AM | Link | Comment!
  • Sweet Spot For Gold Stock Investors

    There is no question that precious metals along with gold and silver mining stocks are clearly out of favor with investors. Most of these stocks are 50, 70, even 85% since the 2011 top. It has been a painful ride to the bottom for those who invest with the buy, hold and hope strategy.

    The good news is that I see light at the end of the tunnel, meaning gold, silver and miners are showing serious signs of bottoming. While the fundamentals have been bullish on metals for years which is a positive, we also know that fundamentals don't really play into immediate price action of any specific asset when it comes to trying to time a market.

    But the level of M&A (mergers and acquisitions in sector) along with technical analysis are now showing signs that intelligent gold and silver investors are accumulating specific companies and exploration properties at rock bottom prices in anticipation of the next bull market in silver and the price of gold.

    At this stage of the game the shotgun approach for owning mining stocks will not work well. If you want the best bang for your buck you need to get specific companies which have true potential of making money.

    The Sweet Spots:

    Savvy investors have been flocking to two types of mining stocks recently accumulating positions in anticipation of some big events.

    These two business opportunity types are:
    1. Exploration companies with proven properties containing a sizable amount of valuable resources.

    2. Mines starting production.

    What do both of these types of stocks have in common that make them attractive?

    They both are one event away from generating big value to its shareholders. This proven resource rich properties will either be acquired by a larger firm. This type of event can provide returns of up to 10x ROI on the share price in a blink of an eye in some cases.

    Or these resource rich exploration stocks decide to go into production for themselves and provide potentially even more value long term for its shareholders much like what CMC Metals Corp. (TSX.V: CMB) or (Pink Sheets: OTC:CMCXF) is doing.

    I'm not going to reinvent the wheel here in talking about what CMC Metals Corp. does and the stage that it's at.

    Read this exciting report by: RockStone - Click Here


    See My Live Analysis of Chart:

    Concluding Thoughts:

    It has been years since I have been excited about precious metals and mining stocks. Subscribers of my trading newsletter know we have avoided owning gold and silver stocks since late 2011.

    While I still believe metals and miners will struggle as a sector. It is clear that there are some amazing opportunities available for those who know what to look for, and have the guts to step forward when most investors are stepping back.

    The markets go in cycles also known as of expansion and contraction in price and sentiment. Assets classes which are most out of favor eventually become the next market darling. But before that can happen the asset class/sector must be completely out of favor and hated by most… which gold miners are.

    Recently I met with the president of the company in Toronto to learn more about its financials, management and project. I now personally own share of CMC Metals Corp. with an average price of 6 cents and I plan to hold these shares for a long time until I think the next gold bull market is almost over.

    Get My Next Sweet Spot Silver Miner Stock Pick:

    Chris Vermeulen

    Disclaimer: Nothing in this report should be construed as a solicitation to buy or sell any securities mentioned. Technical Traders Ltd., its owners and the author of this report are not registered broker-dealers or financial advisors. Before investing in any securities, you should consult with your financial advisor and a registered broker-dealer. Never make an investment based solely on what you read in an online or printed report, including this report, especially if the investment involves a small, thinly-traded company that isn't well known. Technical Traders Ltd. and the author of this report has been paid by CMC Metals Corp. In addition, the author owns shares of CMC Metals Corp. and would also benefit from volume and price appreciation of its stock. The information provided here within should not be construed as a financial analysis but rather as an advertisement. The author's views and opinions regarding the companies featured in reports are his own views and are based on information that he has researched independently and has received, which the author assumes to be reliable. Technical Traders Ltd. and the author of this report do not guarantee the accuracy, completeness, or usefulness of any content of this report, nor its fitness for any particular purpose. Lastly, the author does not guarantee that any of the companies mentioned in the reports will perform as expected, and any comparisons made to other companies may not be valid or come into effect.

    Jun 23 3:13 PM | Link | Comment!
  • New World Currency Backed By Gold Or Silver?

    History has proven that 100% of fiat currencies have failed the test of time. The average life span of a fiat currency is 40-50 years. With the US dollar now in it's 44th year it makes you wonder if the end of the greenback is near.

    The only money that has held the test of time has been asset-backed currencies using gold. Or through owning gold and silver bullion.

    But without getting into the details to save us all time let's take a quick look at what gold and silver are doing.

    Both gold and silver have been dropping in value for 4 years with investors keeping their eye and capital tied up in the equities market. QE1, QE2, Operation Twist, and QE3 have helped to take investors capital out of metals and into equities (US Dollar-based investments) and will be left holding the bag when the dollar is devalued and stocks plummet 70% or more.

    The manipulation in gold and silver pricing the past few years which continues to drag prices lower to this day gives the sinking feeling of hopelessness for investors of physical metals scaring them out of the market. The reality of it in my opinion is that this is the great buying opportunity in our lifetime before the global economic crash.

    SD BullionThese hard assets being gold and silver will likely be used as the asset to back the coming world currency, after the global economic crash. The ensuing worldwide chaos it could cause when currencies fail, trade fails, and people struggle for quality food is something I hope is avoided.

    While I do not think there is not enough gold to support a currency maybe silver will be the next asset to back a currency?

    Something big is going to be happening with silver I feel. After a 16 month period of "dormancy" from the silver giant JP Morgan have returned with a vengeance to take delivery of record amounts of physical silver in the Comex vaults yet again.

    In the first two weeks, April of 2015 alone JP Morgan purchased a whopping 8,300,000 ounces of silver.

    JP Morgan currently holds over 55,690,000 ounces of silver and that number continues to grow.

    What does this mean? No one knows for sure, but my guess it's going to support something new, big and important down the road and I think riding their coat tails it not a bad idea.

    Protect And Grow Your Portfolio With ETF's:

    Chris Vermeulen

    May 21 10:18 AM | Link | Comment!
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