The Market Toolbox Intelligence Report 2009
Published: Sat, 01/03/09
|
The Market Toolbox : You are receiving this e-mail as a part of your free subscription. If you would like to change your e-mail settings please follow the instructions at the bottom of this e-mail. Welcome To: The Market Toolbox Intelligence Report Download The Desktop Financial Portal <-- FREE! IN THIS ISSUE Dear Toolbox Readers, In 2008, stocks plunged, the economy shrank, oil prices spiked & tanked, the credit markets ground to a halt and major financial institutions breathed their last breath. Bernie Madoff was charged with running a $50 billion Ponzi scheme. The Government ran amuck with "stimulus plans" and "bail-outs" and now we have seen the worst holiday shopping season in decades. That was pretty bad... but it gets worse... In 2009 we are looking at a housing market still in turmoil, a whole mess of retail bankruptcies, rising unemployment and consumer confidence crashing down to ever lower lows. What is an investor to do? The first thing you need to do is STOP drinking the Kool-Aid. Wall Street is full of baloney and always has been. They will tell you things like... Buy and hold Blue Chip stocks, be diversified, you need to know the "story" of the stock, or you have to think long-term. What a bunch of bullsh*t! I know a lot of people that are in the market long-term and all the ones making money are trading the market. They are taking active control of their portfolios because they all know that Wall Street "managers" are making people poor. Retail investors lost TRILLIONS in 2008. Real estate, commodities, emerging markets, currencies... it was wholesale destruction of capital on a world-wide basis! So much for diversification. Lets see how that "blue-chip" idea worked out... not so good Here are the Dow Jones 30 for 2008! Yeah... another great strategy from Wall Street. It may take a decade or more to recover the losses in some of these "blue chip" stocks... some may never recover! Tell me this... How many of your IRA managers or 401k managers called you last year and said maybe you should be short the market? You do know how to make money when the markets are falling right? We have been telling you how since last January! It is a lot easier than you think... Wall Street wants you to think that you can't time the market. They will tell you that traders lose out and that you are better off if you "stay the course". "Stay the freakin' course"??? How broke do they think you want to be? Well, I have some news for you. You need to take control and manage your own money and you need to use the best trading strategies and tools that you can find. If you are not 100% confident in your trading skill I highly recommend that you join the Swing Trading Club and see how it is done. You do not have to be a rocket scientist, you do not have to sit in front of your screen all day. You do not have to be a "hyper trader" trying to scalp a dime off a trade. You can properly manage the entries and exits on every stock, fund or ETF in your portfolio if you just learn how to spot entry and exit points. There are good times to buy and good times to sell. You need to be able to at least tell the difference between the two. Did you know that if you were in the inverse ETFs last year you could have made staggering gains. Yes I said it... STAGGERING GAINS! Even adjusted for the last minute dividends the inverse ETFs could have made you rich last year while everyone else was crying on their statements. Here is just a small sample of the gains you missed last year... For comparison purposes... The Dow Jones Industrial Average ended 2008 with a two-day winning streak, but was still down for the year by 33.8%. It was the Dow's worst annual performance since the Great Depression. The S&P 500 this year lost 38.5%, while the Nasdaq fell 40.5%. This year, 19 of the top 20 ETFs for 2008 were of the short and ultra short variety. The other best-performing ETFs of the year were really about the state of our economy as they were focused on Treasuries and the Japanese yen. One of the strongest ETFs for 2008 was the ProShares UltraShort Semiconductor (SSG), which ended the year up 110.9%. The other top short ETFs this year include:
The other top area for ETFs were those focused on Treasury Bonds, which were a focal point for investors this year as they sought safety. The top-performing Treasury ETF was the Vanguard Extended Duration Treasury Index (EDV), which finished the year up 49.3%. Other top Treasury ETFs this year returned between 25%-35%:
The Currency Shares Japanese Yen Trust (FXY) ended 2008 with double-digit returns of more than 20%. But... hang on to your hat... Here was the best trade of the year in my opinion...
DTO,Think of it as "double short Oil" although I would suspect that it's not going to be the best play in 2009. The ETF market is becoming a bigger and bigger share of total trading volume and that is why we built the real-time ETF Dashboard in the Research Lab. The ETF Dashboard will show you all the sectors, indices, currencies, commodities and more every trading day and even better... the year to date returns. If you want to follow the ETFs and be on the right side of the trade... the Research lab can be a huge help. Moving on... Let's face it... it is a traders market. Buy and Hold has not been doing that well and even great companies with good businesses got hammered. So much for fundamentals. I say that it's a traders market because we have seen some really spectacular trades this year. Huge volatility has sent the markets soaring and tanking every couple days and there have been HUGE winners in the short-term trading world. In fact, all the volatility has created what may have been the best trading environment in years and people were cashing in big in 2008 Every trading day in the Research lab we offer the stock picks from all our in-house scans including the momentum picks, alpha picks, earnings, breakouts and even the best trades we can find for low priced stocks. For those that like to "keep it simple", we even have a "daily market bias" list where we only show market direction as seen in the double long and double short index ETFs. NEW FOR 2009! Many people are the "do-it-yourself" types.. some like a little more direction and so in 2009 we have rolled the "platinum trades" into the Research Lab. These trades are hand picked and will give you the entry, stop-loss and break-even points on all the set-ups, but it will also give you 3 price targets for each trade and we track how they do in the "closed positions recap" Here are the stats from December 2008 in the Platinum Trades.
There are a variety of selling rules, so how much you could have made on these trades is completely up to you. With 72% of the trades hitting all three targets I suspect you could have done pretty well. Three of the trades were stopped out and one hit the break-even after hitting targets one and two. Not bad! Space in the Research Lab is limited and we are currently offering the whole package at just $99 a month. Think about that for a second... We will show each and every day which stocks are on the move, we'll show you the whole market and which sectors are "gettin' the juice". We'll even set you up with some complete trade plans every month all year long. You MUST keep 2009 from damaging your portfolio like 2008 did. We are here to help and over the last ten years we have helped tens of thousands of traders and investors to avoid the mayhem and see through the lies that Wall Street and the main stream media are feeding you. This Sunday Night... On our Market Toolbox LIVE TV Show we will be talking about the year ahead and looking hard into the technicals of the market. We will be letting you know what we see for the week ahead and bringing you some news headlines that will make you say WOW! Seriously... you do not want to miss it. There are things going on in this world that the media NEVER talks about and we are going to shine a spotlight on some things that will blow your mind. Be there Sunday Night at 8pm Eastern Time and we'll let you in on a few things that every savvy trader or investor should know. Everyone here at Investing Systems wishes all our readers a happy, prosperous and healthy new year. If you have not done so already... Download the Desktop Toolbox Today & Become A Member of The Research Lab Until Next Time...
Best Wishes and Good Investing, Research Lab Premium Membership Includes : We Welcome & Appreciate Members Like You
| |
