What Do The World Stock Markets Tell Us?

Today we want to identify the market trend by comparing major world stock markets:

How do we read this and what does it tell us?

First, let us reduce the world to 4 key markets that have a lead indicator function (we take those by the order above):

• Japan: down week and overall down 7.7% to last year – continued economic crisis, we not considering until the Nikkei breaks a key level of support or resistance.

• China: up week but still down 22.1% to last year. Not yet at par in evaluation and overinvestment does not give us a good market read.

• Germany: down week and up 1.9% to last year. Interesting that one of the world export leaders for industrial goods is still up while other markets are down.

• United States (S&P 500): down week, and down by 3.4% to last year.

We will follow the development of the DAX closely to see where it might take us in the upcoming week. Within Germany being 6 hours ahead to New York, we found our guide for next week. Interesting to note that Mexico and Canada (both depending on Oil and Industrial Production) show a more positive trend than the US. .

Considering the German, Mexican, Canadian Stock market development compared to the US, we assume for the US a potential for a slight market upturn in the upcoming week, but decide if we want to be bullish by our market indicators.

“It is not us to tell the market where it is going, it is the market who takes us where we want to be.”

Check us out at : http://neverlosstrading.com/

Is It Trading Time?

This is a key question for either the day trader or the investor who wants to enter longer term into a position. Let us share two time of the day trading strategies we follow at NeverLossTrading:

1. Stay Out of the Market at Key Market Events

Huge waves of volatility (price up and downs) shake up the financial markets at that point in time and if we do not want to take a gamble with a huge risk, we stay on the sidelines for at least 5 minutes and after a new trend is build or the prior trend is confirmed we enter the desired position.

Key market Events for the week of July 28 are (key market shakers are highlighted in bold and red):

2. Consider Key Times of the Day for Trading

The most important as a trader/investor in the financial markets is to stay flexible and adopt to the market. Every preconceived strategy is as good as flexible we are to adjust it – and the financial markets will ask us constantly to do so. To be successful here is a hint of what times of the day key price action can be or not be assumed:

- At 9:30 EST the market takes a direction.

- At 9:35 EST this gets either confirmed or changed.

- 9:35 to 10:00 EST a lot of volatility usually lets the market bounce around. Often the markets makes its move for the day in this timeframe.

- 12:00 to 13:00 EST difficult to trade: choppy market, trades systems get out of control, but sometimes not and the major move of the day occurs.

- 13:00 – 14:00 EST the prior market direction gets confirmed or reverted. More often than not, markets have a bullish versus a bearish sentiment.

- 15:30 the wild time of the day, when we catch the right direction, big money can be made quick.



3. How to Apply Flexibility in the Investing/Trading Strategy

We recommend to rely more on technical than on fundamental analysis of the market. Let the price and your indicators tell you where to move to and not some complicated market assumptions that might be interpreted in a different way and manner.

Build yourself a reliable technical indicator based trading system or rely the proven NeverLossTrading.

New ETF’s: What to Choose and Why?

Every week new ETF’s (Exchange Traded Funds) come to the market and sure have their placement and meaning.


An exchange-traded fund: ETF, is an investment fund traded on stock exchanges, much like stocks.An ETF holds assets such as stocks or bonds and trades at approximately the same price as the net asset value of its underlying assets over the course of the trading day. We categorize our Focus ETF’s by: Market focus:

- Small/Large/Technology Cap’s

- Industry Segment Focus(Banking, Energy…)

- Security Focus: Stocks, Bonds, Indexes, Commodities, Currencies

- Country Focus: Brazil, China, Canada….

ETFs offer the advantage of an immediate diversification and are attractive as investments because of their low costs, tax efficiency, and stock-like features: tradable at any time of the day (mutual funds are only tradable at the end of the day).

Applying the NeverLossTrading ETF deep analysis, we only qualify ETF’s:

- That are easy to leverage (we are not talking about leveraged ETF’)

- That allow for protection.

- Have a low bid/ask spread and high liquidity to allow easy in and out.

We ran an analysis of the currently traded shy of 3,000 ETF’s and only 107 made it in the club to be qualified by our methods.

By our trading method you will learn how to prevent major downslides like today. Our indicators will trigger and you will applying adequate market actions to protect your assets. The financial markets and their possibilities are wide spread and we are an education provider with clear focus and a value added concept:

In 3 day to financial freedom.

Pick how often you want to trade, when and what type of security:

- Stocks,

- Options,

- Mutual Funds,

- Exchange Traded Funds,

- Commodities,

- Futures,

- Foreign Currencies.

Check our Website at http://NeverLossTrading.com to find out what suits you and please we want everybody who invests in the financial markets to obtain an education about the exchanges and your possible options.

In each of those securities tradable, we focus you with a specific method and concept to follow on just a few and jointly determine when they are good for trading towards the upside, downside or sideways, producing constant returns.

NeverLossTrading also provides account based investment strategies by account type you hold: Personal, Cash, Margin, Custodian, IRA, 401 (k).

We are here for you, feel free to contact us: contact@NeverLossTradin.com.

There are sure a multitude of financial market educators: check us out how we make a difference:



Best regards,

NeverLossTrading

A Division of NOBEL Living, LLC

Disaster in Front Of Us: S&P 500 – Emini Futures – Stock Market

Where will the stock market go next and what will we do to be on the right side of the trade?
Fundamentally, all arguments would say it shall go up:

- Corporate profits are up

- Employment seems to better

- Orders are in the book

- Raw materials like oil are on lower rates

- In new technologies America is taking the lead (cell phones, computers)

But what happens to the Euro?

With those arguments we are making Greece responsible for the world economy. When we compare Greece to a State in the US, it is like making the state of Pennsylvania the decision maker for the American economy. Those who want to compare, you find Greece and PA having about the same population and about the same participation in GDP (in a simplified method).

At the end of the day , would America really worry if PA (and PA is not in the best shape) stutters a little?

The publishing and news companies love to be chicken little and let the world go under for us. But such news without a base will only hold for a couple of days, till the sun rises again.

Hallelujah.

So what will the direction going to be?

First down, to scare the ….yes… out of everybody and when we are low enough, a quick whip slashing up to make nice profits and sell what was bought cheap to those who pay.

Is the stock market evil?

NO way. It is an exchange: “securities go for money” and we decide what we pay.

Challenging times for people who are long: owning stocks or other securities (and is that not what we were taught to do: buy and hold and pray it will be up when you need it).

Worse even if you have stop losses in place.

But there is another way: “learn to get a financial market investor education and you will love every day the market moves.”

What will we do if the market does not move?

We apply a neutral strategy and make money of it.

Take your financial future and freedom into your own hands, learn to be a financial market investor.

Check us out at http://NeverLossTrading.com

Gold Futures Trade ahead of the Market

We spot a good opportunity in Gold. We will go short below $1217/oz. – 15 point target, 5 points stop.

Why: a strong Dollar will put money out of Gold - People got to nervous.

What if Gold goes up: we are not in the trade, we enter at $1217/oz. and we play the new deck of cards that comes our way.

What if I do not have a Futures Account? Trade GLD Put options or a Spread.

What if I have a small account? Trade GLD Put options or a Spread: even with $150 you can be in the trade. To learn the details, check us out at: http://neverlosstrading.com/

When your trading system is that good, why don't you put it on autopilot?

The NeverLossTrading system surely works with indicators, but on the other hand we consider key trade patterns and price setups that overwrite indicators. When you know how to play chess, there is one thing for certain, you go in the game with a game plan, until the opponent makes a different move and then the real game starts. Quoting Mike Tyson: “You go in the ring with a plan until you get punched in the face.” What does this all mean: “We need to readjust on the go and consider more than just the lineup of indicators. By that, human interaction is needed and not just a computer program that executes on certain combinations of indicators.
Trading and price action is heavily depended on human psychology and action. There is one key underlying human behavior pattern: “We all tend to repeat our past actions over and over again.” When I say this most people disagree, but take a moment yourself and see how happy you feel if you can do what you did in the past and how nicely we label this “experience”. Don’t get me wrong, there is nothing wrong with it, we just acknowledge this behavior pattern and orient our trading towards its outcome: we identify key price patterns that overwrite all linear and statistical actions and when they occur on the price chart, we trade them.

Currently the market acts like a roller coaster. When we are at an amusement park, are the roller coasters not the key attraction where people line up for? Surely their ride combines key elements of fear and excitement which gives us the special kick to ride the roller coaster of the financial market. The key difference when trading the markets is: “we make money on the ride and try to prevent paying admission.”

Good Trading and learn how to trade, do not leave your financial future to a machine.

NeverLossTrading

Key Market Events Week of May 17, 2010

At NeverLossTrading we watch out for key times in the day that might change market direction. To not be surprised about turns in the world’s financial markets, we draft a key news event calendar every week: Spelling out times of the day where we want to be conscious about a potential news triggered change in market direction.

Please find the details here: http://www.neverlosstrading.com/News/MarketEvents051710.html

There are more trading times in the day where certain parts of the world control the market: Asia, Europe, USA-East, USA-West. Surely we highlight those and consider the happening in our trade direction. All NeverLossTrading students learn about key trading times in the day and how to trade those.

Wishing you successful investing,

NeverLossTrading, a division of NOBEL Living, LLC