Archive for the ‘Educational Material’ Category:
What Is Backing Your Deposits in the Bank?
By Elliott Wave International
Is the bank really the safest place to keep your money? Robert Prechter joins the Mind of Money host Douglass Lodmell to discuss what backs bank deposits and how you can keep your hard-earned money safe.
We invite you to watch the interview below. Then read Robert Prechter’s free report, Discover the Top 100 Safest U.S. Banks.
 | What is the best course of action to safeguard your money? Read our free 10-page report, Discover the Top 100 Safest U.S. Banks, to learn:
Download your free report, Discover the Top 100 Safest U.S. Banks, now. |
This article was syndicated by Elliott Wave International and was originally published under the headline What Is Backing Your Deposits in the Bank?. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
The Light Bulb Moment for the Eurozone
EWI’s free EU debt report sheds some light on what’s in store
By Elliott Wave International
How many European bankers does it take to change a light bulb? That’s a joke in search of an answer, but EWI’s European analyst Brian Whitmer explained five months ago that the “light bulb moment” was coming — that’s the time when most people would clearly recognize the severity of the European debt crisis. He offered this spot-on analysis back in July 2011, before the larger world came to know recently how bad things really are in the eurozone.
This chart shows how markets in Greece, Ireland and Portugal have behaved over the past five years, including the bailouts. Whitmer says that the turmoil in Greece is due mostly to both social mood and Greek markets having plummeted for more than a year and a half, while the larger EU stock markets have levitated. Once they turn down, he forecasts that what you saw in Greece will be replayed in the eurozone.
To help his subscribers see the light and get the full picture, he compared EU member nations under financial scrutiny to those that are usually viewed as being safe — and showed that they weren’t as safe as most people thought.
Specifically, Whitmer warned that the debt per person in Greece looked eerily similar to the debt per person in highly regarded countries, such as Germany and France — and even to non-eurozone countries, such as the United Kingdom.
In 2010, Britain proposed a five-year, 25% budget reduction that affects nearly every area of the government. While it sounds like a drastic measure, it has played out differently during the past year. According to member of European Parliament Daniel Hannan, statistics show that not only is government spending and borrowing significantly higher than this time last year, but taxes, too, are way up. Whitmer notes that the budget cuts rely heavily on the future and lack near-term bite.
Why has the worst of Europe’s violence taken place on the streets of Athens rather than London? Athenians did not suddenly grow more violent in 2011. What has changed since 2007 is their stock market. Whitmer’s words of advice: “…should your country’s stock market begin to look like Greece’s, watch out. Trouble will be on the way.”
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European Financial Forecast Editor Brian Whitmer has covered Europe’s debt crisis since March 2010 — and his forecasts kept subscribers ahead of the downward spiral every step of the way. Read more of his analysis in our free report, “The European Debt Crisis and Your Investments.”
 | Free Report The European Debt Crisis and Your Investments Continue reading more articles like this one by Brian Whitmer in our European Debt Crisis report. This free report offers commentary from February 2010 through November 2011 that will help you to better understand what could be in store in the coming months and years. |
This article was syndicated by Elliott Wave International and was originally published under the headline The Light Bulb Moment for the Eurozone. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
Prechter: “The Trend Is Exhausted”
Robert Prechter explains what’s the real problem with today’s market
By Elliott Wave International
What is the real problem with today’s market? Watch this excerpt from Robert Prechter’s special, video issue of the August 2011 Elliott Wave Theorist. Prechter shows you how the buildup of dollar-denominated debt has brought us to what he calls a critical market juncture.
Get even more information about current market trends and how to prepare for what’s ahead with our new 14-page investing report. See details below.
 | The Most Important Investment Report You’ll Read for 2012 Every year or two Elliott Wave International (EWI) publishes analysis with a message so critical that they decide to share it, FREE. They have just released The Most Important Investment Report You’ll Read for 2012, a free report to help you navigate the markets and prepare for what’s ahead. You’ll get hard facts, 25 eye-opening charts and 14 pages of straightforward commentary that will put the volatile market action of the past months into perspective within the “big picture” to help you position for the years to come. |
This article was syndicated by Elliott Wave International and was originally published under the headline Prechter: “The Trend Is Exhausted”. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
A ‘sneak peek’ of this private trading group
I just got this message from 35+ year market expert Bill Poulos
that I think you’re going to want to see RIGHT AWAY.
It was intended to be seen ONLY by a small group of his private
students, but he let a few others see it, and I’m doing the
same.
Here’s his original message to me:
———————–
A group of my private students and I have encountered something
extraordinary taking place in the markets this year…
-and ESPECIALLY in the past week.
I recorded a special ‘report card’ video just for this private
group, but I wanted to share it with you because I think you
need to see what’s been going on.
Your portfolio could depend on it.
Good Trading,
Bill Poulos
p.s. What you’re about to see in this video is something the
average “mainstream” person will, unfortunately, NEVER
understand nor get to enjoy in their lifetime.
My 20 Rules for Trading
Asset Protection and Wealth Creation Strategies – Trading 101
I usually try to catch three or four trend changes a year, which might generate 50-100 trades, and often come in frenzied bursts.
Since I am one of the greatest tightwads that ever walked the planet, I only like to buy positions when we are at the height of despair and despondency, and traders are raining off the Golden Gate Bridge. Similarly, I only like to sell when the markets are tripping on steroids and ecstasy, and are convinced that they can live forever.
Some 99% of the time, the markets are in the middle, and there is nothing to do but deep research, looking for the next trade. That is the purpose of this letter. Over the four decades that I have been trading, I have learned a number of tried and true rules which have saved my bacon countless times. I will share them with you.
Don’t over trade. This is the number one reason why individual investors lose money. Look at your trades of the past year and apply the 90/10 rule. Dump the least profitable 90% and watch your performance skyrocket. Then aim for that 10%. Over trading is a great early retirement plan for your broker, not you.
Always use stops. Risk control is the measure of the good hedge fund trader. If you lose all your capital on the lemons, you can’t play when the great trades set up. Consider cash as having an option value.
Don’t forget to sell. Date, don’t marry your positions. Remember, pigs get slaughtered. Always leave the last 10% of a move for the next guy.
You don’t have to be a genius to play this came. If that was required, Wall Street would have run out of players a long time ago. If you employ risk control and stops, then you can be wrong 40% of the time, and still make a living. That’s little better than a coin toss. It you are wrong only 30% of the time, you can make millions. If you are wrong a scant 20% of the time, you are heading a trading desk at Goldman Sachs. If you are wrong a scant 10% of the time, you are running a $20 billion hedge fund that the public only hears about when you pay $100 million for a pickled shark at a modern art auction. If someone says they are never wrong, as is often claimed on the Internet, run a mile, because it is impossible.
This is hard work. Trading attracts a lot of wide eyed, naïve, but lazy people because it appears so easy from the outside. You buy a stock, watch it go up, and make money. How hard is that? The reality is that successful investing requires twice as much work as a normal job. The more research you put into a trade, the more comfortable you will become, and the more profitable it will be. That’s what this letter is for.
Don’t chase the market. If you do, it will turn back and bite you. Wait for it to come to you. If your miss the train, there will be another one along in hours, days, weeks, or months. Patience is a virtue.
When I put on a position, I calculate how much I am willing to lose to keep it. I then put a stop just below there. If I get triggered, I just walk away. Only enter a trade when the risk/ reward is in your favor. You can start at 3:1. That means only risk a dollar to potentially make three.
Don’t confuse a bull market with brilliance. I am not smart, just old as dirt.
Tape this quote from the great economist and early hedge fund trader of the thirties, John Maynard Keynes, to you computer monitor: “Markets can remain illogical longer than you can remain solvent.” Hang around long enough, and you will see this proven time and again (ten year Treasuries at 2.4%?!).
Don’t believe the media. I know, I used to be one of them. Look for the hard data, the numbers, and you’ll see that often the talking heads, the paid industry apologists, and politicians don’t know what they are talking about (the Gulf oil spill will create a dead zone for decades?).
When you are running a long/short portfolio, 80% of your time is spent managing the shorts. If you don’t want to do the work, then cash beats a short any day of the week.
Sometimes the conventional wisdom is right.
Invest like a fundamentalist, execute like a technical analyst.
Use technical analysis only, and you will buy every rally, sell every dip, and end up broke. That said, learn what an “outside reversal” is, and who the hell is Leonardo Fibonacci.
The simpler a market approach, the better it works. Everyone talks about “buy low and sell high”, but few actually do it. All black boxes eventually blow up, if they were ever there in the first place.
Markets are made up of people. Understand and anticipate how they think, and you will make a lot of money.
Understand what information is in the market and what isn’t and you will make more money.
Do the hard trade, the one that everyone tells you that you are “Mad” to do. If you add a position and then throw up afterwards, then you know you’ve done the right thing. This is why people started calling me “Mad” 40 years ago.
If you are trying to get out of a hole, the first thing to do is quit digging and throw away the shovel. A blank position sheet can be invigorating.
Making money in the market is an unnatural act. We humans are predators and hunters evolved to track game on the horizon of an African savanna. Modern humans are maybe 5 million years old, but civilization has been around for only 10,000 years. Our brains have not had time to make the adjustment. In the market, this means that if a stock has gone up, you believe it will continue. This is why market tops and bottoms see volume spikes. To make money, you have to go against these innate instincts. Some people are born with this ability, while others can only learn it through decades of training. I am in the latter group.
by John Thomas, The Mad Hedge Fund Trader
It’s FreeWeek at EWI: Get Complimentary Commodity Forecasts, Video Analysis, Trading Lessons and More!
Greetings,
Elliott Wave International has just announced the beginning of their popular commodity FreeWeek event, where non-subscribers can test-drive some of their most popular premium services.
Now through noon Thursday, October 27 (Eastern time), you’ll get complete access to all of EWI’s most-promising daily, weekly and monthly opportunities in the world’s leading commodities, plus all the charts, world-class analysis, video forecasts along with a treasure chest of trading lessons and more! (Subscribers normally pay $49/month for these services.)
FreeWeek is one of EWI’s most popular programs, and it’s perfect for anyone curious about EWI’s subscription services. Please don’t hesitate to tell your friends about the exciting opportunity FreeWeek provides.
Regards,
Alan
About the Publisher, Elliott Wave International
Founded in 1979 by Robert R. Prechter Jr., Elliott Wave International (EWI) is the world’s largest market forecasting firm. Its staff of full-time analysts provides 24-hour-a-day market analysis to institutional and private investors around the world.
A Four-Chart Lesson in Spotting Trade Setups
By Elliott Wave International
You can find low-risk, high-probability trading opportunities by trading with the trend. The trick is to find the end of market corrections, so you can position yourself for the next move in the direction of the trend.
This excerpt from Jeffrey Kennedy’s free 47-page eBook How to Spot Trading Opportunities explains where to find bullish and bearish trade setups in your charts and how to zero-in on these opportunities. If this lesson interests you, the full 47-page eBook is free through July 6.
On the left-hand side of the illustration below, there are two bullish trade setups. As traders, we want to wait for the wave (2) correction to be complete so we can catch the move up in wave (3) – this is the trade. What we are trying to do in this bullish trade setup is anticipate the potential for profits on the buy-side as prices move up in wave (3). Another bullish trade setup is at the end of wave (4).
As traders, we are looking to buy the pullback and position ourselves within the direction of the larger up-trend. Remember, three-wave moves are corrections, which means that they are countertrend structures. On the other hand, five-wave moves define the larger trend. As traders, we want to determine what the trend is and trade in the direction of the trend. Our buying opportunity to rejoin the trend is whenever the trend pauses and forms a correction.
Now, let’s look at the right-hand side of the illustration where we see two bearish setups. When a five-wave move is complete, it is retraced in three waves as a correction. The end of the five-wave move presents the first trading opportunity that we can take advantage of the short side (or the sell side) as the wave (A) down begins.
Notice the second bearish trade setup gives us another shorting opportunity as wave (B) tops.
So, within the classic wave pattern of five waves up and three waves down, we have four high-probability trading opportunities in which we are either positioning ourselves in the direction of the trend or identifying termination points of a trend. I want to share with you some tricks I have picked up over the years about how to analyze corrective waves and their termination points. The single most important thing I’ve learned from analyzing corrections is that corrective or countertrend price action is usually contained by parallel lines.
As shown above, draw the parallel lines by beginning at the origin of wave A and going to the extreme of wave B. You draw a parallel of that line off the extreme of wave A. So basically you have a small, slightly angled downward price channel. This will show you the containment region for wave C. It also shows you an area toward the bottom of the lower trend line where you can expect a reversal in price.
Here is another example. Again, you draw the parallel lines off the origin of wave A, the extreme of wave A and the extreme of wave B.
Toward the upper end of the upper trend line, you will usually see a reversal in price.
This example shows how countertrend price action is contained by parallel lines in the British pound, 60-minute, all sessions. Why is it important to know parallel lines contain the corrective or countertrend price action? Number one, it will increase your confidence that you are indeed labeling a countertrend move properly. Number two, it identifies areas where you will likely see prices reverse. For example, we see this reversal up near the top.
 | This brief trading lesson is just a small example of the opportunities you can find once you learn to identify key market patterns. Learn more in your free 47-page eBook, How to Spot Trading Opportunities. This valuable eBook is regularly $79, but you can get it free through July 6. Download your free copy of How to Spot Trading Opportunities now. |
This article was syndicated by Elliott Wave International. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
Download 14 Critical Lessons Every Trader Should Know
Dear Trader,
You know how difficult it can be to successfully trade the markets. And although the volatility that we’re seeing lately offers great opportunities, it can also add to a trader’s frustration. That’s why our friends at Elliott Wave International are releasing one of their most popular trading eBooks, The Best of Trader’s Classroom, free through May 16.
Since 1999, EWI Senior Analyst and trading instructor Jeffrey Kennedy has produced dozens of Trader’s Classroom lessons exclusively for his subscribers. EWI reviewed over 100 lessons and selected these 14 that offer the most critical information that every trader should know.
Now you can download these valuable lessons in their 45-page Best of Trader’s Classroom eBook, free.
You’ll learn:
- Why Emotional Discipline Is Key to Success
- When to Place a Trade
- How to Set Protective Stops
- What It Takes to be a Consistently Successful Trader
- And 10 more!
Download Your Free The Best of Trader’s Classroom eBook Today
(Don’t hesitate! This offer expires May 16.)
Regards,
Alan
About the Publisher, Elliott Wave International
Founded in 1979 by Robert R. Prechter Jr., Elliott Wave International (EWI) is the world’s largest market forecasting firm. Its staff of full-time analysts provides 24-hour-a-day market analysis to institutional and private around the world.
How To Use Fibonacci Ratios in the Real World
By Elliott Wave International
What tools help you with the difficult task of identifying the market trend, riding it, and getting out before it reverses?
Consider Fibonacci ratios: Mathematical proportions by which moves on a market chart relate to each other. Fibonacci mathematics is an integral part of Elliott wave analysis; Frost & Prechter’s classic “Elliott Wave Principle — Key to Market Behavior” has an entire chapter on it.
And here’s an excerpt from a free Club EWI report on the subject. Enjoy — and for details on how to read the entire report free, look below.
How To Apply Fibonacci Math to Real-World Trading
(excerpt; full copy here)
By Jeffrey Kennedy
EWI Senior Tutorial Instructor
EWI Senior Commodity Analyst
It’s hard to imagine a wrong way to apply Fibonacci ratios or multiples to financial markets, and new ways are being tested every day. Let’s look at just some of the ways that I apply Fibonacci math in my own analysis. …
Elliotticians often calculate Fibonacci extensions to project the length of Elliott waves. For example, third waves are most commonly a 1.618 Fibonacci multiple of wave one, and waves C and A of corrective wave patterns often reach equality (Figures 7-3 and 7-4).
One approach I like and have used for a number of years is a “reverse Fibonacci” application… (Continue reading this free report now with a free Club EWI password.)
This article was syndicated by Elliott Wave International and was originally published under the headline How To Use Fibonacci Ratios in the Real World. EWI is the world’s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.
The Ultimate Money Guide for Bubbles, Busts, Recession and Depression
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Just released:
New blockbuster book
by Martin D. Weiss!
Dr. Weiss has just released his new book — The Ultimate Money Guide for Bubbles, Busts, Recession and Depression — and already it has soared to the top of the charts on Amazon.
In this fully updated and expanded edition of his latest New York Times bestseller, Dr. Weiss shows you …
- Why even the shocking trillions in bailouts and guarantees Washington has handed out have not been enough to prevent a new debt crisis (page 31) …
- Why Wall Street cheerleaders, top economists and our leaders have been so wrong at every stage of this crisis — and why listening to them now could cost you up to half your wealth in 2011-2012 (page 38) …
- What REALLY can happen if your bank fails — what the FDIC insurance covers and what it does NOT cover … why many depositors could be very disappointed (Chapter 6) …
- How to find safe insurance companies, the best life insurance policies and the best annuities. What insurance agents never tell you … policies nobody needs but almost everybody buys … plus much more (Chapters 7, 8 and 9) …
- The ultimate alternative ETFs for reaping wealth in the worst of times. Follow these steps to help protect your portfolio and reap far larger potential gains (Chapter 11) …
- 3 shocking reasons why Wall Street ratings on stocks and bonds are dangerous. Hidden conflicts of interest, bias, payola, cover-ups and scams that could lure you into deadly investments (page 41) …
- Your home loses another 20% of its value — but THIS investment wipes out your loss or even hands you a profit. The five-step hedging strategy every homeowner should be using now (page 173) …
- 5 easy ways to spot the REAL bottom in stocks and bonds — and use it to help pile up massive wealth in a recovery (page 193) …
- How to maximize your bond market and Treasury yields with safety: Six simple steps (page 209) …
- Dividends: Your next great income opportunity. Four simple steps to find stocks with steadily rising dividends (page 217) …
- The best time to buy gold — 700% profits possible! Get your timing wrong, and you’re likely to lose a bundle. Get it right and Katie, bar the door! How to invest in gold, gold ETFs and mining shares during a depression (page 229).
The table of contents — plus sample pages — are available here at Amazon.
Hard copies are available online and in bookstores.
Plus, you can download the book instantly for the Kindle and for the Nook.
