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	<title>TradingFives</title>
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	<link>http://www.tradingfives.com/blog</link>
	<description>A Discussion of Exotic Stock, Commodities, and Forex Trading Techniques</description>
	<pubDate>Fri, 16 May 2008 14:43:39 +0000</pubDate>
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		<title>How to spot those winning trades</title>
		<link>http://www.tradingfives.com/blog/trading-mentor/how-to-spot-those-winning-trades/</link>
		<comments>http://www.tradingfives.com/blog/trading-mentor/how-to-spot-those-winning-trades/#comments</comments>
		<pubDate>Fri, 16 May 2008 14:43:39 +0000</pubDate>
		<dc:creator>Adam Hewison</dc:creator>
		
		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1645</guid>
		<description><![CDATA[

I am often asked how I find winning trades in the market. I can easily answer that question in one word: MarketClub. Just like the thousands of other MarketClub members, I use our &#8220;Trade Triangle&#8221; technology every day to spot stocks, futures, precious metals and foreign exchange markets that are ready to move.
In this new [...]]]></description>
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<p>I am often asked how I find winning trades in the market. I can easily answer that question in one word: MarketClub. Just like the thousands of other MarketClub members, I use our &#8220;Trade Triangle&#8221; technology every day to spot stocks, futures, precious metals and foreign exchange markets that are ready to move.</p>
<p>In this new video, I&#8217;m going to show you exactly how to find potential winning trades using our &#8220;Trade Triangle&#8221; technology.</p>
<p><a href="http://www.ino.com/info/212/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">This short video will get to the point quickly</a>. That&#8217;s what I most like about MarketClub, it&#8217;s fast, and our &#8220;Trade Triangle&#8221; technology is definitely a winner with investors. The website shows me quickly and easily what markets are ready to move with only a few clicks of a mouse.</p>
<p>Take the time, watch the video, and if you have any questions you can call us or find more information and videos at MarketClub.com. Enjoy the above video and give us your feedback when you have a chance.</p>
<p>Also here&#8217;s a very special <a href="http:/www.ino.com/info/213/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3">personal message</a> from me that&#8217;s 32 seconds long&#8230;but really shows how I feel about my viewers.</p>
<p>Enjoy,</p>
<p>Adam Hewison Co-founder MarketClub.com</p>
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		<item>
		<title>New Sell Signal in Gold Video</title>
		<link>http://www.tradingfives.com/blog/gold/new-sell-signal-in-gold-video/</link>
		<comments>http://www.tradingfives.com/blog/gold/new-sell-signal-in-gold-video/#comments</comments>
		<pubDate>Wed, 14 May 2008 15:03:08 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Gold]]></category>

		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/gold/new-sell-signal-in-gold-video/</guid>
		<description><![CDATA[ 


A short (1:09) MarketClub video highlighting the most recent sell signal in gold. The previous sell signal was quite profitable. An opportunity for a quick look-see at their Trading Triangle method.
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<p><a href="http://www.ino.com/info/199/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');"><img src="http://www.tradingfives.com/img/gold-sell.jpg"></a></p>
<p>A short (1:09) MarketClub video highlighting the most recent <a href="http://www.ino.com/info/199/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">sell signal in gold</a>. The previous sell signal was quite profitable. An opportunity for a quick look-see at their Trading Triangle method.</p>
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		<title>Get used to higher prices&#8230;</title>
		<link>http://www.tradingfives.com/blog/trading-technique/get-used-to-higher-prices/</link>
		<comments>http://www.tradingfives.com/blog/trading-technique/get-used-to-higher-prices/#comments</comments>
		<pubDate>Mon, 12 May 2008 12:30:00 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Trading Technique]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/trading-technique/get-used-to-higher-prices/</guid>
		<description><![CDATA[ 

 An interesting and informative article about inflation pressure by Bill Fleckstein at MSN Money. Here&#8217;s the mony line. 
&#8220;I believe inflation will be with us for quite some time. Only when money printing leads to a collapse in the dollar or in the U.S. Treasury market will there be any possibility of the asset-market [...] ]]></description>
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<p> An interesting and informative article about inflation pressure by <a href="http://articles.moneycentral.msn.com/Investing/ContrarianChronicles/WhyAllRoadsLeadToInflation.aspx" onclick="javascript:urchinTracker ('/outbound/article/articles.moneycentral.msn.com');">Bill Fleckstein</a> at MSN Money. Here&#8217;s the mony line. </p>
<p>&#8220;I believe inflation will be with us for quite some time. Only when money printing leads to a collapse in the dollar or in the U.S. Treasury market will there be any possibility of the asset-market declines we face actually turning into the deflation that so many people still seem to expect.&#8221;</p>
<p>The inflation/deflation flap is a complex subject with deflation being the far worst outcome - should it occur. For us technical analysis types we most often don&#8217;t think much about the macro relationships between fiat currency, comodities prices, and the seemingly irresitible urge to keep the run button pressed on the government printing press. </p>
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		<title>Video Update on &#8220;Trade Triangle&#8221; for Oil</title>
		<link>http://www.tradingfives.com/blog/crude-oil/video-update-on-trade-triangle-for-oil/</link>
		<comments>http://www.tradingfives.com/blog/crude-oil/video-update-on-trade-triangle-for-oil/#comments</comments>
		<pubDate>Thu, 08 May 2008 19:28:47 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Crude Oil]]></category>

		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1642</guid>
		<description><![CDATA[ 

 With crude oil hitting historic highs today, MarketClub mentors thought it would be a good idea to do a short video updating you on our &#8220;Trade Triangle&#8221; technology and the signals we have generated in the June crude oil contract.
This five-minute video will give you an insight into how you can approach the crude [...] ]]></description>
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<p> With crude oil hitting historic highs today, MarketClub mentors thought it would be a good idea to do a short video updating you on our &#8220;Trade Triangle&#8221; technology and the signals we have generated in the <a href="http://www.ino.com/info/198/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">June crude oil contract</a>.</p>
<p>This five-minute video will give you an insight into how you can approach the crude oil market using MarketClub&#8217;s &#8220;Trade Triangle&#8221; technology. This approach takes a great deal of the emotion out of trading which is crucial for any successful trader.</p>
<p>I hope you enjoy the video and learn how to employ our technology into your own trading.</p>
<p>Every success in life and in trading,<br />
Adam Hewison Co-founder, MarketClub.com</p>
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		<title>Where&#8217;s the Dollar Rally?</title>
		<link>http://www.tradingfives.com/blog/trading-technique/wheres-the-dollar-rally/</link>
		<comments>http://www.tradingfives.com/blog/trading-technique/wheres-the-dollar-rally/#comments</comments>
		<pubDate>Wed, 07 May 2008 22:26:18 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Trading Technique]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1638</guid>
		<description><![CDATA[ 

 
We need to see the greenback crack the 50% retracement in a convincing manner before we can even begin to look for the wall for the crude market. 
Crude is at powerful Fibonacci resistance. A quick peek above this resistance level is OK but without doing any further analysis we wouldn&#8217;t anticipate a change [...] ]]></description>
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<p> <img border="0" hspace="20" src="http://www.tradingfives.com/img/dx.jpg"><img border="0" hspace="20" src="http://www.tradingfives.com/img/oil.jpg"></p>
<p>We need to see the greenback crack the 50% retracement in a convincing manner before we can even begin to look for the wall for the crude market. </p>
<p>Crude is at powerful <a href="http://www.tradingfives.com/Fibonacci-Analysis/Fibonacci-Analysis.htm" >Fibonacci resistance</a>. A quick peek above this resistance level is OK but without doing any further analysis we wouldn&#8217;t anticipate a change in trend in either market without both meeting these minimal objectives.</p>
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		<title>The Tail That Wags The Oil Price Dogs</title>
		<link>http://www.tradingfives.com/blog/crude-oil/the-tail-that-wags-the-oil-price-dogs/</link>
		<comments>http://www.tradingfives.com/blog/crude-oil/the-tail-that-wags-the-oil-price-dogs/#comments</comments>
		<pubDate>Tue, 06 May 2008 12:57:48 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Crude Oil]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1637</guid>
		<description><![CDATA[ 

 &#8230;how today&#8217;s oil prices are really determined is done by a process so opaque only a handful of major oil trading banks, such as Goldman Sachs or Morgan Stanley, have any idea who is buying and who is selling oil futures or derivative contracts that set physical oil prices in this strange new world [...] ]]></description>
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<p> &#8230;how today&#8217;s oil prices are really determined is done by a process so opaque only a handful of major oil trading banks, such as Goldman Sachs or Morgan Stanley, have any idea who is buying and who is selling oil futures or derivative contracts that set physical oil prices in this strange new world of &#8220;paper oil&#8221;.</p>
<p>With the development of unregulated international derivatives trading in oil futures over the past decade or more, the way has opened for the present speculative bubble in oil prices.</p>
<p>Since the advent of oil futures trading and the two major London and New York oil futures contracts, control of oil prices has left the Organization of the Petroleum Exporting Countries (OPEC) and gone to Wall Street. It is a classic case of the &#8220;tail that wags the dog&#8221;. </p>
<p>http://www.atimes.com/atimes/Global_Economy/JE06Dj07.html</p>
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		<title>Crude Oil, Gold and Perception. It&#8217;s what drives the markets</title>
		<link>http://www.tradingfives.com/blog/trading-mentor/crude-oil-gold-and-perception-its-what-drives-the-markets/</link>
		<comments>http://www.tradingfives.com/blog/trading-mentor/crude-oil-gold-and-perception-its-what-drives-the-markets/#comments</comments>
		<pubDate>Fri, 02 May 2008 13:36:44 +0000</pubDate>
		<dc:creator>Adam Hewison</dc:creator>
		
		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1636</guid>
		<description><![CDATA[

Did they pull the plug on crude oil?
If they did pull the plug on crude oil, we pulled it faster using our Trade Triangle technology. We had a signal to exit all long crude oil positions on the 30th of April at 114.95 basis the June contract. It now appears that oil is on the [...]]]></description>
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<p>Did they pull the plug on crude oil?</p>
<p>If they did pull the plug on crude oil, we pulled it faster using our Trade Triangle technology. We had a signal to exit all long crude oil positions on the 30th of April at 114.95 basis the June contract. It now appears that oil is on the retreat and we could see further downside erosion in this market. The 108 to 110 level is an important area for this market to regroup, if it is going to resume its upward trend.</p>
<p>Has gold lost its luster?</p>
<p>When we first announced that we had a major sell signal for gold it was if we were going against the Holy Grail. We had what literally amounts to hate email coming in from all the gold bugs saying, how could we think of selling gold given the economic uncertainties that the world faces today. But as we have stated before, we only look at what&#8217;s going on in the market according to our Trade Triangle technology. What&#8217;s going on right now indicates that we could see gold continue to move lower. We&#8217;ve already reached several of our downside target zones. Our longer-term target zone for gold is around $800. A move to the to $792 level represents a 62% pullback from golds all-time high of $1,032.58.</p>
<p><a href="http://www.ino.com/info/197/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">Watch the new video here.</a></p>
<p>I hope you find the video both entertaining and educational.</p>
<p>Adam Hewison</p>
<p>P.S. If you missed any of the Traders Whiteboard series <a href="http://www.ino.com/info/196/CD272/club.ino.com%252Ftrading%252Ftraders-whiteboard-series/%252F" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">watch them ALL here</a>:</p>
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		<title>Free Forex Video Lesson</title>
		<link>http://www.tradingfives.com/blog/elliott-wave/free-forex-video-lesson/</link>
		<comments>http://www.tradingfives.com/blog/elliott-wave/free-forex-video-lesson/#comments</comments>
		<pubDate>Thu, 01 May 2008 20:49:41 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Elliott Wave]]></category>

		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1635</guid>
		<description><![CDATA[ 

 Watch Jim Martens, Senior Currency Strategist at Elliott Wave International, the world&#8217;s largest market forecasting firm, give tips on how to trade forex with Elliott wave analysis – free.
The U.S. dollar is the current center of the global financial community&#8217;s attention, and it will likely stay in the spotlight for a while. That could [...] ]]></description>
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<p> Watch Jim Martens, Senior Currency Strategist at Elliott Wave International, the world&#8217;s largest market forecasting firm, give tips on <a href="http://www.elliottwave.com/a.asp?url=/wave/HowToTradeForex&#038;cn=trd5" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">how to trade forex with Elliott wave analysis</a> – free.</p>
<p>The U.S. dollar is the current center of the global financial community&#8217;s attention, and it will likely stay in the spotlight for a while. That could be good for the forex market – and you, a forex trader.</p>
<p>Already the largest and most liquid market on the planet – with the daily volume ten times larger than the combined daily turnover on all of the world&#8217;s stock exchanges – recent focus on the dollar is likely to attract even more currency speculators. And that means even more volume and liquidity – a nimble trader&#8217;s paradise.</p>
<p>Winning in forex is not easy. You need skill, discipline – and sometimes, just pure luck. You also need a method. You may have heard that Elliott wave analysis is something many forex traders use. It&#8217;s true; wave analysis is not a crystal ball, but it helps you accomplish three crucial goals: Identify the trend, stay with it, and get out when the trend is likely over.</p>
<p>Elliott Wave International&#8217;s website gives you multiple resources that teach you Elliott. Of course, nothing helps you learn faster than watching a good teacher. That&#8217;s why you don&#8217;t want to miss this free opportunity to learn from one of the best forex Elliotticians out there.*</p>
<p>Your FREE Video Lesson: <a href="http://www.elliottwave.com/a.asp?url=/wave/HowToTradeForex&#038;cn=trd5" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">How To Trade Forex With Elliott Wave</a><br />
What you are about to see is a condensed, 20-plus-minute version of Jim Martens&#8217; live course on trading with Elliott to an audience of independent investors in Denver, CO, recorded in early November 2007. Here&#8217;s what you&#8217;ll learn:</p>
<p>At its core, Elliott wave analysis is simple. Watch Jim explain why.</p>
<p><em>What Elliott waves are best for trading forex?<br />
How do I identify trade setups?<br />
At what point in a wave pattern do I enter a trade?<br />
How do I manage risk with Elliott? Etc.<br />
Your FREE Report: Take Advantage of News Using Elliott Wave Analysis</em></p>
<p>If you&#8217;ve ever felt you could be better at trading forex around economic report releases, this is a must-read. The Forex Journal, one of the premiere forex trading magazines, recently selected this report by Jim Martens as the main feature and cover page.</p>
<p><a href="http://www.elliottwave.com/a.asp?url=/wave/HowToTradeForex&#038;cn=trd5" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">Join Club EWI</a> to gain access to your Forex video and report, FREE! It takes just 30 seconds. Club EWI is the world&#8217;s largest Elliott Wave Community with more than 125,000 members. It only takes a minute to sign up and it&#8217;s absolutely free.</p>
<p>*Who is Jim Martens?<br />
Jim Martens was first introduced to the Wave Principle in 1985. Since then, he&#8217;s built an impressive resume, having worked for such firms as Bank of New York and Nexus Capital Limited, a George Soros-affiliated hedge fund. Since 2005, Jim has been Elliott Wave International&#8217;s senior forex analyst – and one of the best teachers of the method.</p>
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		<title>A Pox on CROX</title>
		<link>http://www.tradingfives.com/blog/trading-mentor/a-pox-on-crox/</link>
		<comments>http://www.tradingfives.com/blog/trading-mentor/a-pox-on-crox/#comments</comments>
		<pubDate>Wed, 16 Apr 2008 14:05:38 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/trading-mentor/a-pox-on-crox/</guid>
		<description><![CDATA[ 

 We have been negative on Crocs (CROX) since November 2, 2007 when our &#8220;Trade Triangle&#8221; technology signaled a change in trend at 44.10. The downward trend for this stock in the past six months has been relentless.
__________________________________________________________
This from AP - April 15, 2008:
NEW YORK (AP) &#8212; Shares of shoe makers sank Tuesday, after Crocs [...] ]]></description>
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<p> We have been negative on Crocs (CROX) since November 2, 2007 when our &#8220;Trade Triangle&#8221; technology signaled a change in trend at 44.10. The downward trend for this stock in the past six months has been relentless.<br />
__________________________________________________________<br />
This from AP - April 15, 2008:</p>
<p>NEW YORK (AP) &#8212; Shares of shoe makers sank Tuesday, after Crocs Inc. announced guidance cuts that one analyst termed &#8220;stunning,&#8221; amid lower-than-expected demand. Crocs reduced its first-quarter outlook far below analyst expectations late Monday, citing weak sales and costs related to closing a Canadian manufacturing plant.<br />
__________________________________________________________</p>
<p>It looks like there&#8217;s going to be continued erosion in this market. So how did we do trading Crocs?  Well, we have had two major signals in this stock.</p>
<p>The first signal was way back in &#8216;06 when a major &#8220;Trade Triangle&#8221; signaled for a positive trend for Crocs starting at 16.25 on 5/31/06.  From that point on, this stock moved steadily higher and reached a high of $75.21 on 10/31/07. Since that time this market has been in a melting ice cube mode as it steadily melted down even though everybody seems to be wearing their shoes.</p>
<p>One of the great things about MarketClub&#8217;s &#8220;Trade Triangle&#8221; technology is how it keeps you out of stocks when the market is headed south. Most investors tend to trade from the long side of the market, so their greatest risk and their Achilles heel has got to be when a stock they&#8217;re holding turns down. Normally when this happens the fundamentals still look very strong. However, when you use our &#8220;Trade Triangle&#8221; technology you don&#8217;t have to guess at the trend anymore. You are going to see on your computer screen MarketClub&#8217;s &#8220;Trade Triangles&#8221; dynamically signal when you should exit from a market that has decisively turned south.</p>
<p>Take a few minutes and <a href="http://www.ino.com/info/185/CD272/&#038;dp=0&#038;l=0&#038;campaignid=3" onclick="javascript:urchinTracker ('/outbound/article/www.ino.com');">watch our new video on Crocs (CROX) </a>and see exactly how you would have fared using MarketClub&#8217;s &#8220;Trade Triangle&#8221; technology.</p>
<p>Adam Hewison, Co-founder of MarketClub</p>
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		<title>Gold, the Dow, T-Notes: Which Does Best During Recessions?</title>
		<link>http://www.tradingfives.com/blog/elliott-wave/gold-the-dow-t-notes-which-does-best-during-recessions/</link>
		<comments>http://www.tradingfives.com/blog/elliott-wave/gold-the-dow-t-notes-which-does-best-during-recessions/#comments</comments>
		<pubDate>Fri, 11 Apr 2008 21:25:42 +0000</pubDate>
		<dc:creator>tradingfives</dc:creator>
		
		<category><![CDATA[Elliott Wave]]></category>

		<category><![CDATA[Trading Mentor]]></category>

		<guid isPermaLink="false">http://www.tradingfives.com/blog/?p=1633</guid>
		<description><![CDATA[ 

 By Susan C. Walker, Elliott Wave International
April 11, 2008
Each year, the NCAA college basketball tournament winnows its starting field of 64 teams to the Final Four teams who play for a chance to become the national champion. Congratulations to the University of Kansas and the University of Tennessee, this year&#8217;s men&#8217;s and women&#8217;s basketball [...] ]]></description>
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<p> By Susan C. Walker, <a href="http://www.elliottwave.com/r.asp?acn=trd5&#038;rcn=aa7&#038;dy=aa41108&#038;url=/" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">Elliott Wave International</a><br />
April 11, 2008</p>
<p>Each year, the NCAA college basketball tournament winnows its starting field of 64 teams to the Final Four teams who play for a chance to become the national champion. Congratulations to the University of Kansas and the University of Tennessee, this year&#8217;s men&#8217;s and women&#8217;s basketball champions.</p>
<p>The structure of the NCAA tournament got me to thinking. Wouldn&#8217;t it be great if we could set up brackets for our own investments the same way – start with 64 equities, bonds, mutual funds, commodity futures, metals, etc. Then let them duke it out against one another to see which ones emerge as the &#8220;Investment Final Four&#8221;?<br />
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<a href="http://www.elliottwave.com/r.asp?acn=trd5&#038;rcn=aa7&#038;dy=aa41108&#038;url=http://www.elliottwave.com/club/gold-and-recessions/default.aspx" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">Click here to download a free 5-page report</a> from Elliott Wave International with even more information on which investment does best during recessions. The report, excerpted from Bob Prechter&#8217;s Elliott Wave Theorist, includes in-depth historical analysis and six eye-opening tables.<br />
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Since most of us have neither the time nor the money to act as our own version of the NCAA (which might stand for the &#8220;National Coordinator of Asset Allocation&#8221;), it&#8217;s worth knowing that Bob Prechter of Elliott Wave International has already set his mind to the task. He has specifically explored which investments do best in times of recession and which do best during economic expansions. But instead of starting with a field of 64 investments, he researched the three most popular investments – gold, the Dow, and Treasury bonds. We can call them the Treasured Three, rather than the Final Four.</p>
<p>Gold and Recessions</p>
<p>Since economists and even Ben Bernanke, chairman of the Federal Reserve, now admit that it looks like the U.S. economy has entered a recession, many people may wonder whether they need to change the mix of their investments. In particular, as some prices keep going up – notably for food and gas – the threat of inflation makes people more interested in gold as an investment, since it&#8217;s usually seen as a bulwark against monetary inflation.</p>
<p>It is this conventional wisdom that piqued Prechter&#8217;s curiosity. He wanted to find out whether it would hold up to a reality test. As he writes in The Elliott Wave Theorist, &#8220;I have often read, &#8216;Gold always goes up in recessions and depressions.&#8217; Is it true? Should you own gold because you think the economy is tanking? Whenever we hear some claim like this, we always do the same thing: We look at the data.&#8221;</p>
<p>So he and another Elliott wave analyst ran the numbers, reviewing the behavior of these three key investments during recessions following World War II, from February 1945 through November 2001. This is what they learned:</p>
<p>Gold was not the best investment during recessions in terms of total return.</p>
<p>The winner of this tournament was actually Treasury Notes, which had a total return of 9.96%. In contrast, gold had a total return of 8.80%, and the Dow came in at 6.89%. But that&#8217;s not all – once they figured in the transaction costs for each investment (at a 2008 level), gold fell from second to third place as a worthwhile investment during recessions. The total returns with transaction costs came out this way:</p>
<p>1. T-Notes	9.82%<br />
2. Dow	6.85%<br />
3. Gold	4.80%<br />
This result turns conventional wisdom on its head. It&#8217;s also worth being aware of as you invest in 2008. Here&#8217;s how Prechter sums up the results:</p>
<p>The Best Investment During Recessions</p>
<p>The most important question, however, is not whether the Dow beat gold or vice versa but whether making either investment would have been better than taking no risk at all. Table 3 [see free report provided by Elliott Wave International] shows that ten-year Treasury notes beat both gold and the Dow during recessions since 1945, and they did so far more reliably. T-notes provided a capital gain in 10 of the 11 recessions, and of course they provided interest income during all of them. And the transaction costs are low….</p>
<p>So if you want to make money reliably and safely during recessions and depression, you should own bonds whose issuers will remain fully reliable debtors throughout the contraction. Of course, as Conquer the Crash [Editor&#8217;s note: Bob Prechter&#8217;s best-selling business book] makes abundantly clear, finding such bonds in this depression, which will be the deepest in 300 years, will not be easy. Conquer the Crash forecast that in this depression most bonds will go down and many will go to zero. This process has already begun. This time around, you have to follow the suggestions in that book to make your debt investment work. [The Elliott Wave Theorist, March 2008]</p>
<p><em>Susan C. Walker writes for <a href="http://www.elliottwave.com/r.asp?acn=trd5&#038;rcn=aa7&#038;dy=aa41108&#038;url=/" onclick="javascript:urchinTracker ('/outbound/article/www.elliottwave.com');">Elliott Wave International</a>, a market forecasting and technical analysis company. She has been an associate editor with Inc. magazine, a newspaper writer and editor, an investor relations executive and a speechwriter for the Federal Reserve Bank of Atlanta. Her columns also appear regularly on FoxNews.com.</em></p>
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