Market Video Club members take control of their financial futures by following simple rules and avoiding get rich Ponzi schemes doomed for failure. A disciplined approach to trading the market is not as difficult as most think. Everyone knows Ponzi schemes inevitably fail because there isn't enough money in the world to sustain them.
By their nature they eventually collapse. Market Video Club members avoid the pain of gambling losses such as these by following a few simple rules:
# 1 Take control of your destiny by learning how the financial markets work. Markets are not as complicated as people think.
# 2 Once you learn how the markets work you must create a game plan to stay on track toward reaching your financial objectives.
# 3 One of the easiest ways to tell if a market is going up or down is to use simple technical analysis indicators or the “Trade Triangle” technology which literally points out the direction for you.
# 4 Following a proven approach in the markets is one of the easiest and fastest ways Market Video Club members use to accumulate wealth. Sometimes it is difficult to know who to trust. The key is to trust in yourself. There's no need to hand your money over to someone who could potentially ruin your financial future. Don’t give them that opportunity when you are capable of steering your own financial ship.
# 5 This is perhaps the most important element of solidifying your portfolio: discipline. You must be disciplined to take both profits and losses. By following a market proven system and your game plan, I think you will be happy reaching your desired results. You will also have the satisfaction of knowing that you did it yourself … you stuck with a plan and made your final decisions.
Market video club members avoid spending hours upon hours looking over and reading the financial press to find winning trades. The financial press is old news and the real news is happening through price action movement. A great place to begin is selecting stocks that are well financed, have good liquidity, and have a history of big swings.
However, you need to ensure that your portfolio is diversified into several non-correlating markets. If you trade a diverse portfolio throughout the year following your game plan with discipline, I believe you will realize the results you want.
Remember: Create and implement a game plan, use market video club's proven strategies or your own to help guide you toward the correct market direction and follow your game plan with discipline. Additionally, make sure you are investing in a diverse group of holdings (stocks, bonds, real estate, futures).
Market Video Club members have the tools to trade with a "game plan" and they don't rely on talking heads to get profitable trading ideas.
Everyone knows all too well how difficult the bank and brokerage markets have become lately. Bear Stearns now but a distant memory was trading well over $60(usd) per share before anyone knew the reality of what its situation was. Nonetheless, market video club members were well positioned to profit from this unfortunate situation.
The bail out of Bear Stearns has validated the worst fears of most economic pundits. Actions taken by the Federal Reserve have verified that it will create whatever new liquidity as necessary to prevent economic crisis from escalating into all out debt implosion.
Many believed Bear Stearns was “too big to fail” ... and now considering more recently the Twin Disasters!! "Fannie and Freddie" traders know full well that anything is possible and no institution is immune to shortfall.
Market Club members rarely are blindsided since they stay informed by having access to the pulse of various markets.
The bail out of Bear Stearns specifically was done because of something called “inter-connectivity”.
What does this mean?
It is Fed-speak which basically involves a concern about the $600 Trillion notional value of derivatives outstanding. Just about every bank in the world is connected to in some extent.
The biggest player in the derivatives market is J P Morgan.
The problem with derivatives is that these are individual transactions between 2 or more parties. Often the transactions are arbitraged onwards to several other players. Everyone in the chain relies on all the other parties to meet their obligations.
If one party in the chain goes bankrupt, it can cause a domino like collapse of all the other parties in the chain – if the bankrupt party is a large player in derivatives. They are all “inter-connected”.
Bear Stearns is known to be a big player in the derivative markets and must have been a major counter party to many transactions with JP Morgan, given Morgan’s huge derivative positions. Hence Bear Stearns had to be rescued because of “inter-connectivity”; to prevent a melt down in the derivative markets.
It can hardly be a coincidence that the bail out was routed through J P Morgan.
Let us be clear about where this will end. It will end with the Fed and/or the US Government owning or guaranteeing all the bad debts and losses from all sources in order to preserve the existing system. It has serious implications for the value of the US Dollar, the international monetary system and for inflation.
The vast quantity of new liquidity that needs to be created will almost certainly result in runaway inflation. The initial stage of this developing crisis created a change in sentiment from "what is the return ON my investment" to "how do I get the return OF my investment". Market video club members understand how to trade profitably and keep their most value assets in-tact ... 'Trading Capital'.
That change in sentiment caused a rush to buy US Government bonds and short dated Treasury Bills. Holders of these assets are assured of the eventual return of their capital in nominal terms, i.e. in current US Dollars. This would be a smart move if the crisis was developing into a deflationary debt implosion. It is not a smart move in a runaway inflationary event.
Market video club members understand that the next phase in this crisis is likely to involve a further change in sentiment to "how do I protect the value of my capital in REAL terms?"
When that change of sentiment occurs, there will be a rush out of bonds into tangible assets that offer protection in real terms. The bond markets are several multiples bigger than the stock market. Consequently when this change occurs, very large amounts of money will be chasing relatively small amounts of those assets that provide protection in real terms.
Expect very large and rapid gains in the precious metals, base metals and mining company shares as a consequence of the coming rush out of bonds.
We can now consign Government Bonds to the upper layers of John Exter’s inverted asset pyramid as referenced many times in Market Club blogs & newsletters.
"Imagine an inverted pyramid consisting of layers of various investment asset classes where the least secure (and most prolific assets) are in the very wide top layers. The inverted pyramid then narrows down through layers of increasingly more secure assets to the small point at the base which consists of the most secure (and least prolific) assets.
The theory is that in times of financial crisis investors will cause their investments to devolve downwards through the different asset layers in the inverted pyramid as they search for greater security. This move to assets representing greater security is already happening in the current crisis.
The asset in the most secure category at the tip of the inverted pyramid is gold. Platinum and silver bullion lie directly above gold. Precious metals have performed the function of protecting wealth throughout the ages. In the layer above the precious metals are base metals, uranium and the minor metals. Above them are the companies that mine and hold large deposits of metals.
The least secure assets in the envisioned environment, which form the broad layers at the top of the inverted investment pyramid, will be financial and paper money assets."
Bottom line: It is time to alleviate debt and create opportunities to enhance wealth by trading more profitably. Market video club is the place where smart traders develop habits to trade consistently according to sound trading fundamentals and principles.
"The only thing we have to fear is fear itself."Thus spoke Franklin D. Roosevelt 75 years ago.
Looking back on Roosevelt's speech in 1933, 4 years after the infamous crash of '29, he was referring to the economic conditions of the time -- better known as The Great Depression.
In essence he was saying that if we can't shake our pessimistic economic outlook, it will be tough to turn things around.
The answer is yes and no. People are still fearful of what the future holds and they have very little confidence in the economy. The big difference between the crash of '08 and the crash of '29 is that we now have India and China on the world stage. Back in '29, both of these countries where not on the radar. In fact India was under British Rule.
Both India and China's economies will suffer with the turn down here in the US. They are now going to have to generate their own domestic consumption patterns for the goods and services they formally sold to the US. This is going to be hard to do as so much of their economy is based on exports which are evaporating quickly.
The fact of the matter is that the markets are extraordinarily turbulent. Market Video Club members do not expect, even with the worldwide bailout that things will be rosy again anytime soon. However, that does not rule out some extraordinary trading opportunities in the markets. This is a time for rational thinking and a time to eliminate fear from trading.
There is no need for fear in one's trading plan if you're running with a diversified program that has proven to be successful over time. What I mean by over time is not just the last six months, or six years, but over a long period of time ~ as much as 30 years.
When you have a program such as one proven like Market Video Club - one that puts the odds in your favor, you can trade with confidence knowing that you're going to lose some small skirmishes in the market but overall you will make money based on your own trading decisions.
Many of you know that we trade using the "Trade Triangle" technology. This approach has proven to be profitable in all types of markets, including the one's we are in now.
Check out this a short 12 minute video to show you how Market Video Club technology have fared in three different markets.
A small percentage of those reading here - may see this video as an eye-opening experience while another percentage will be comprised of those who are already fearless Market Video Club members. There will also be a number who are successful traders using their own system who might believe it's unnecessary to watch our videos. Regardless what level of experience I believe there's always room to learn and improve.
Trading should be an unemotional experience striving for continuous improvement. However, if you are trading for the excitement, odds are you're likely to lose. If you are trading just to say that you trade you're probably going to lose. If you trade for any other reason than to make money, you're probably going to lose.
The possibility of successfully trading any market is out there. This video shows how our unemotional, time tested approach to the stock, futures, Forex, ETF, and mutual fund markets will put the odds in your favor - positioning you on the right side of these extraordinary trading times.