Alert: Platinum long

I wrote about this new platinum long alert this morning and wrote:

You can take the following position: platinum long. stop loss around 1200 or lower to be more on the safe side. I will add the chart later. Current price 1299

When you can make use of a turbo, please take the turbo with leverage 5 or 9.

This morning I just wanted to get the trade out fast. I saw yesterday that platinum seemed to be turning back up and waited till today to be sure. Well I'm back and here is the chart that I promised.

We can see that:

• MACD is almost making a cross over. The blue line getting on top of the red line. 
• the current price is above the moving averages of 10, 50 and 200 days. 
• the daily trend is back up. 

We closed the previous position on platinum just around the top and will try that also this time. Gold today is making an all time high and also silver is doing extremely well. So you better have a look at some silver trades (mines) also.

As I said this morning you can kick in a platinum long. For the traders who can trade Turbos please take the platinum long stop loss 1205. This has a leverage around 9.

The current price is 1312 so a profit of 1% without, or 9% with the leverage.

If you are not familiar with trading Turbos I will write an article about it, and maybe you will like it more than trading ETFs.

Closing Quest Uranium Corporation QUC.V

I said on the 19th of August that I would keep a core position in Quest Uranium Corporation QUC.V and enjoy the free ride. And this stock rocketed and showed a profit of 224%. Around 170% I bailed out and stopped following this stock so this percentage last will be added to the results on the right for September.

Some traders don't know when to exit a trade so when for example the stock runs up to 224% and then everyday it looses a bit, first it goes to 200% then 180% and so on, before you know it, you are back to square one.

So at a certain point when you have a nice profit and when it goes down for more then a few days, breaks resistance, and/or trend lines or maybe the news is bad please exit the trade. That way you free up your money, take the profit and can look for another trade. When a few days or weeks later the stock still goes up, well never mind you did good and took your profit.

Two Major Technical Forces Are About to Collide in the S&P 500

Since March the S&P 500 is 58% up, but isn't this remarkable recovery coming to an end soon? I would advice to be very aware that a correction will soon follow this up trend. Approaching October it will get more and more dangerous to be (long) in the markets.

Some contrarian traders have been shouting for weeks or months to short the S&P 500 or the Dow Jones and they have lost a lot of money. Do you remember what I posted earlier about following the trend? If you don't please reread that article again.

Please look at this video for a technical analysis of the S&P 500.

To follow the trend or not?

You can follow the trend or be a contrarian and go against the trend.

A market can either go up (the price of stocks increase) or go down (prices of stocks decrease). The best way to make a profit is to follow the trend and on the long run you will make money when you use proper money management methods.

You have more than 50% chance that you are right when you follow the trend, the trend is your friend so stick with it.

Please look at the picture at the right and tell me what the trend is? It goes a bit up and down and so on, but clearly the trend is up.

When you want to see the trend visually, you can take a look at MarketClub, I've put a banner under this article, so if you want to check it out, they have a 30 day risk free trial.

How much money should I use to start trading?

Keep these simple rules in mind when you start trading.

• Invest whatever cash you have that you don't really need for anything else.
• The best is to keep at least one year of salary at the bank so you don't get in trouble.
• If you are just beginning with trading then don't start too big.
• Since there are transaction costs involved in buying and selling you'd better start with at least 5,000$.

How to start trading?

Because this site is brand new, we want to start from the beginning and want to add some articles how we started and improved our trading written from our own experience. Now and then more articles will be added to further improve your trading.

For starters

• How much money should I use to start trading?
• Following the trend or not?
• Predict a top or bottom
  

How to choose a position?
There is more then one method but for starters I would like to introduce the following method. The article covers a longer term investment strategy for trading the DOW but can also be used to trade stocks.

• Four stage Analysis method
  

Free trading videos
Please take a look at these 7 free trading lessons that will teach you a lot that you need to know before you start trading. I will say it again and again, please first educate yourself so you know what you are doing before entering the markets or you will loose a lot of your hard earned money.

Free Email Trading Course

You can now get a free series of educational emails from MarketClub.

I follow most of their trading videos to learn more about trading or to get some new ideas. When you start trading it is best to soak up as much info you can about trading so you´re not left alone in the woods. Most people loose money because they are not prepared, so prepare yourself before trading with your hard earned cash.

I will post the videos that I find helpfull here on this blog.

Buy and Hold…is it back?

We kind of grew up with Buy and Hold in the back of our minds but at the beginning of the year I started wondering whether the classic Buy and Hold still works. And now I see more and more articles appearing that underline the very same doubts I am having.

Sure you can Buy and Hold stocks for a year or so, like gold, silver and uranium stocks and so on. But you have to actively monitor your portfolio and now and then kick something out.

Please watch this video about another way of trading.

Platinum long update

Chart courtesy of:Market club tools for the trader 

At the start platinum moved a bit down to around 1295 and after that went slowly back up to end around 1,311. Also gold and silver made a correction. Gold is now up again almost at 1,000.

I put some arrows on the chart. The blue one points in the direction of the trend and that is clearly up. The MACD has made nice cross over (upper red arrow) and the histogram is in the positive (lower red arrow). We made today the same high as yesterday but a lower low (2$ lower). Let's see what tomorrow brings.

Alert platinum long

Platinum is getting back in the trading range, the MACD is back in the positive and the trend is clearly up.

So you can consider taking a platinum long stop loss 1115. For the Dutch reader you can take a turbo long stop loss 1115.

Current price 1291.

Chart courtesy of: Market club tools for the trader