SPX, U.S. Dollar, Crude Oil and Gold Analysis

Last week was volatile thanks to China raising their interest rates a quarter basis point. This rate hike caused the Dollar to spike in value which in turn forced equities and metals to sell off sharply. This one day event caused equities to break below a short term support level causing a large number of protective stops to be triggered. This added more selling pressure causing the market to be down nearly 2.5% at one point but a late day bounce recouped a good chunk of the drop.

Wednesday & Thursday the market had a nice rally making back all of losses and then some. But Thursday afternoon we saw the market slip below a key short term support level and triggered another wave of stops. The market continues to resilience because it recovered into the close saving the day.

After Thursday’s end of day rally, we had expected a typical light volume session which typically chops around in a sideways or slow grind higher.

SPY – SP500 ETF 10 Minute Intraday Chart

Chris Vermeulen
The Gold And Oil Guy.Com – ETF Swing Trading Signals



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What is Next for the Dollar, SP500 and Gold

The equities market reversed to the upside Wednesday posting a light volume broad based rally. Remember light volume tends to have a neutral to upward bias on stocks, But it was mainly the sharp drop in the dollar which spurred stocks and commodities higher.

Today’s bounce was not much of a surprise for several reasons…
• Overall trend is up, one day sell offs are generally profit taking
• Panic selling on the NYSE tipped us off that the market was oversold
• I don’t think they will let the market fall before the November election
• Intermediate cycle is turning up this week, 3 weeks of upward momentum…

US Dollar Index – 4 Hour Chart
The dollar put in a big bounce this week filling its gap window… Remember most gaps get filled with virtually every investment vehicle so when you see them remember this chart....

SPY ETF – Daily Chart
SP500 has been riding the key moving average up and Tuesday’s sell off tagged the 14MA along with extreme market internal readings telling intraday traders that a bounce is about to take place.

Gold Futures – Daily Chart
You can see gold has done much the same… A sharp profit/stop running sell off, which took the price back down to support. We took a long position to catch this bounce and hopefully a larger move going forward.

Market Sentiment Readings
Tuesday’s pullback was a great reminder of just how over extended the equities market was. These heavy volume sell offs are typical in a bull market. Without regular pauses in price, traders tend to place trailing stops moving them up each day. With traders chasing stocks higher bidding them up instead of waiting for a pullback we get a very large number to stop orders following the price up each day. Then, it’s only a matter of time before a key short term support level is broken at which point the flood gates open and everyone’s stops turn to market orders flooding the stock exchanges with sell orders causing a rapid decline and panic selling. This is exactly what happened on Tuesday which I show in the chart below.

Understanding how to read market internals provides great insight for short term traders looking to make quick high probability trades every week… Market internals are just part of the equation but very powerful on their own with proper money/position management. Both of these intraday extremes were bought on Tuesday in the advanced chatroom (FuturesTradingSignals.com).. We quickly booked profits and moved our stops up in order to protect our capital as the market surged higher.

Mid-Week Market Trend Analysis:
In short, the US Dollar is still in a down trend overall. The Fed’s I would think will continue to hold the market up into the election. It works well for them… they print money which devalues the dollar, and in return boosts stocks and commodities, plus they get trillions of dollars to spend… I’m sure its like kids in a candy store over there.

While everyone is trying to pick a top in this over extended market I think it is crucial to stick with the overall trend and to not fight the Fed. Using the key moving averages on the daily chart as shown in the charts above, continue to buy on dips until the market closes below the 20 day moving average at which point you should abandon ship.

Get My Reports and Trade Ideas Here for Free at The Gold and Oil Guy

Chris Vermeulen


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Top Forex Profit Multiplier Questions Addressed

Ever since we posted Bill Poulos's new Forex Profit Multiplier training videos earlier this week, there has been a LOT of interest and flat out EXCITEMENT...but there's also been a LOT of questions.

If you've been to his training website lately, then you've probably noticed there have been well over 400 comments and questions posted from traders hungry to get their hands on Bill's new software & training program.

He's been answering as many questions as he can directly on the website, but he just recorded a special short video that addresses the top 3:

* How is the Forex Profit Multiplier different from a trading robot?

* What exactly will I get when I order the Forex Profit Multiplier?

* How much will it cost?

Just click here to see this short video

I hope this addresses some of the questions you have about Bill's new "predictive" Forex software.

Good Trading,
The Forex Market Club

P.S. Underneath this video, you'll see a form that will let you get on Bill's "Cut In Line" list which will let you get his software a full HOUR before everybody else. I suggest you add your email to this list because it looks like he's going to sell out pretty quickly when it opens next Tuesday.


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Protect Your Nest Egg, Bulletproof Your Retirement Account

If you are looking to retire in the next 10, 15, or even 20 years, it's time to have a strategy in place before it's too late. Now is the time to plan and protect your family's future by turning your portfolio into the financial fortress that you're counting on in the years to come.

In today's short video, we share with you a way to bulletproof your retirement portfolio.

You may remember when we launched the "Perfect Portfolio" some months ago. This portfolio was very popular, but many of you told me that it would not work within your retirement accounts. With this in mind, I specifically designed the "Perfect 'R' Portfolio" to work with your 401(k) or IRA account.

The "Perfect 'R' Portfolio" uses an easy to follow MarketClub strategy that I developed using my many years of investing experience as a former floor trader and member of four major exchanges.
For most investors, this report will come as a real wake-up call. For your own sake, I hope that you are one of them.

In this report, I share with you all the rules and results which explain how the "Perfect 'R' Portfolio" was created, how it actually works, and how it can work for you. As a bonus, I have included a special certificate that will give you instant access to MarketClub for the next
30 days.

With complete access to MarketClub and my foolproof strategy, you can see and verify for yourself that everything in the report is 100% accurate. Download this report today and see how you can easily use this information to bulletproof your retirement account ... no matter what
happens to the economy.

Want to trade like Adam? Click here for FREE lessons.

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The $20,000 Forex "Secret Weapon"?

For the past year, one of the Forex trading community's most seasoned trading "veterans" has been working diligently in his "trading lab" trying to solve the #1 request his Forex trading students from all around the world have been asking him for:

* "How can I make MORE money in LESS time, even if I'm not a technical Forex 'geek'?"

To do this properly, he had 2 big challenges:



1. How to shorten the time needed to actively find & manage the highest probability, lowest risk trades...

2. How to give you total control to manage these trades to completion, so your portfolio is protected at all times...

After a LOT of research and testing, he's finally ready to show you what he came up with, a way to MULTIPLY your profit potential in these highly lucrative markets in 60 seconds or less of active trading, so he recorded a brand new presentation that reveals his discovery here:

The $20,000 Secret Weapon

The "secret weapon" behind his discovery is a custom piece of intelligent software that he paid over $20,000 to develop that can predict with a high level of accuracy which way any of the 6 major Forex pairs are headed in the next 8 hours...

It does all the "hard work" of finding the best trade setups, saving you hours of analysis......but then gives you total control to place and manage the trades yourself so your portfolio is always shielded from risk.

And from what I've seen, no one is trading like this (yet)...

No, it's NOT a "robot"... it's NOT an "expert advisor"... it's NOT even a "plug-in"...

It's a complete, step-by-step approach to trading that's probably unlike anything you've seen before.

He reveals it all in his new trading lab discovery presentation here:

It's awesome, and it's something anyone can do, regardless of your experience. Plus, it easily fits into your busy schedule because you really only need 60 seconds here and there throughout the day to place and manage your trades.

Just Click Here to watch The $20,000 Forex "Secret Weapon"

Good Trading,
The Forex Market Club

p.s. This presentation will only be online for a short time in order to get your feedback on this discovery, so if any of this interests you, make sure you watch it here ASAP


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New Video: This Reliable S&P Formation Could Make You Money

In this new video we explain in detail a particular chart formation that has proven to be very reliable in the past. If we are right, we could see a further move and run in the S&P500 to the upside. The video is free to watch and there are no registration requirements.

Want to trade like Adam? Click here for FREE lessons.

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