September 26, 2015: The Song Remains The Same

We are definitely in a down move at this point. Good news is bad news and bad news is bad news. I don’t see anything that is going to change that in the near term, so be prepared for a continued move lower. Of course the market can do anything it wants, but right now, it wants to fall. Once again, I would be looking to sell (buy puts) on moves up, not buy on moves down.

In the show we talked more about the macro scene, looking at markets around the world, as well as what the Fed is likely to do. At this point, I don’t see how the Fed can raise rates before 2017. Again, anything can happen, but an increase seems highly unlikely before then at this point. Recession seems much more likely and it is hard to see what will happen next to “stop” it, but zero interest rates will likely continue and negative rates are very possible.

As a note, the refugee crisis could lead to the breakup of the European Union over the next couple of years, this will have a dramatic impact on stocks and the world economy.

Knowing how to invest in this type of environment will be key. If you would like to learn more about what to do now, I am going to be teaching a special one day class: “How to invest in a zero interest world”. If you would like free tickets, call 84-48-Income (844.846.2663) and tell them that you read about the class on the Next Week In Stocks website. Hope to see you there!

Click here to check it out:

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If you would like to submit a question to the show, or to give us feedback, please send an email to:  phoenix@tradingacademy.com. Also, check out our sister show, “The Right Side Of The Trade” on the following stations:

◾Money Radio 1510 and 99.3: Thursday’s and Saturday’s at noon

◾1100 KFNX: Sunday’s and Tuesday’s at noon

◾Of course, you can always find “Next Week In Stocks” on:

◾550 KFYI: Saturday at 1pm and Sunday at 4am

September 19, 2015:

This show was recorded Thursday, September 17th, between about 10 and 11pm, after the Fed announced that they would not raise rates in September. Not only that, for the first time that I noticed, there was some discussion of the Fed moving to negative interest rates, although that was not “seriously considered at this meeting”. However, one Fed governor did mark on the bubble chart that they thought that rates should be negative this and next year.

What does all this mean? Many things:

  • The US economy isn’t getting better (we got into specifics on inflation and jobs on the show)
  • The world economy is getting worse
  • If the Fed doesn’t raise in October (and I don’t think they will) I don’t see how they can raise before 2017. I don’t think they will raise during December (Christmas is likely to be weak again and they won’t want any blame for it) and they can’t raise during an election year without being accused of trying to influence the election.

The market still looks weak, but we will need to watch the action over the next few days. That said, I struggle to see what will take it higher.

This means that interest rates will likely stay low for years. This will make it exceptionally difficult for seniors who want to get good rates of returns on their investments to do so without taking significant market risk; risk that will come back to haunt them. Because of this, I am going to be teaching a special one day class: “How to prepare for and survive retirement in a zero interest world”. If you would like free tickets, call 84-48-Income (844.846.2663) and tell them that you read about the class on the Next Week In Stocks website. Hope to see you there!

Click here to check it out:

Click Here For Free CD Offer!

If you would like to submit a question to the show, or to give us feedback, please send an email to:  phoenix@tradingacademy.com. Also, check out our sister show, “The Right Side Of The Trade” on the following stations:

◾Money Radio 1510 and 99.3: Thursday’s and Saturday’s at noon

◾1100 KFNX: Sunday’s and Tuesday’s at noon

◾Of course, you can always find “Next Week In Stocks” on:

◾550 KFYI: Saturday at 1pm and Sunday at 4am

September 12, 2015: A Perfect Storm

Despite some big up days, the market continues to weaken. We are now faced with a perfect storm:  high stock prices/valuations, weakening fundamentals, institutional withdrawal from the markets and massive retail margin debt. This cannot end well for the average retail investor, but there is a huge opportunity for the educated to make money on the downside. As we said last week, look for opportunities to short rallies, not opportunities to buy dips.

This show was recorded on Tuesday at about 10pm when the S&P was at about 1979, in the middle of a supply zone. We suggested on the show that the S&P would have a very difficult time getting above about 1993. In fact, the market moved right up to 1993 and then reversed down. Until we have a convincing close above 1993, the market will likely to continue to deteriorate.

On the radio it can be difficult to explain these ideas clearly so I am going to personally be doing a couple more special classes on this topic. If you would like free tickets, call 84-48-Income (844.846.2663) and tell them that you read about the class on the Next Week In Stocks website. Hope to see you there!

Check out this week’s show here:

Click Here For Free CD Offer!

If you would like to submit a question to the show, or to give us feedback, please send an email to:  phoenix@tradingacademy.com. Also, check out our sister show, “The Right Side Of The Trade” on the following stations:

◾960 The Patriot: Sunday at 10am

◾Money Radio 1510 and 99.3: Thursday’s and Saturday’s at noon

◾1100 KFNX: Sunday’s and Tuesday’s at noon

◾Of course, you can always find “Next Week In Stocks” on:

◾550 KFYI: Saturday at 1pm and Sunday at 4am

September 5, 2015: Psyched Out…

This show was recorded on Wednesday night, September 2nd, at about 10pm. The market was up, both during the day and after hours, and there was talk of us having “reached the bottom”. I don’t think so. It appears that the psychology of the market has changed and that the selling will continue.

In the show we talked about how to interpret the market’s reaction to Friday’s jobs report (two days after this was recorded). The suspicion was that the market would likely move down (which it did), regardless of whether the report was good or bad, but that the key was to watch for the follow through next week. I suspect it will continue to be weak. That said, there could be quite a bit of volatility between now and the Fed meeting and perhaps even some strong rallies. I would look for rallies as opportunities to buy puts and to short, rather than looking for dips to buy. Learn more here:

On the radio it can be difficult to explain these ideas clearly so I am going to personally be doing a couple more special classes on this topic. If you would like free tickets, call 84-48-Income (844.846.2663) and tell them that you read about the class on the Next Week In Stocks website. Hope to see you there!

Click Here For Free CD Offer!

If you would like to submit a question to the show, or to give us feedback, please send an email to:  phoenix@tradingacademy.com. Also, check out our sister show, “The Right Side Of The Trade” on the following stations:

◾960 The Patriot: Sunday at 10am

◾Money Radio 1510 and 99.3: Thursday’s and Saturday’s at noon

◾1100 KFNX: Sunday’s and Tuesday’s at noon

◾Of course, you can always find “Next Week In Stocks” on:

◾550 KFYI: Saturday at 1pm and Sunday at 4am