Gareth Soloway: Measuring the Move to $2900 Gold
Tom welcomes back Gareth Soloway, President, CEO & Chief Market Strategist for InTheMoneyStocks.
Gareth discusses the importance of balancing news with chart technicals. You want to be aware of new economic data even though his focus is primarily on the charts. Be flexible and look at many sectors for opportunities.
Gold looks very promising especially considering that markets trade-off fear and greed. Gareth is very bullish on gold due to interest rates and inflationary pressures. He believes gold will move sharply higher and provides several specific price targets based on its 2011 move.
Gareth discusses Janet Yellen’s recent talk of possibly raising interest rates and why any such rise will likely be limited. The Fed will be forced to cap at two or three percent regardless; the next few years will likely be crazy.
The next breakout in silver should come soon based on recent price action. However, he would be concerned if we break below the lower trendline.
The dollar is still holding support, but it’s testing the bottom of its trend. It seems possible that it will break through that support. A breakdown in the next couple of weeks could send the dollar to the 85 levels.
Gareth argues that technicals can provide for accurate trading and risk assessments. He questions why investors want to buy when prices have just doubled instead of waiting for a sale.
He compares the bitcoin chart with the Shanghai Composite and how the charts look very similar. The Chinese market has been restricted to some extent, making him think a breakout could be coming for Chinese stocks.
The SPY has been in a closing wedge pattern, which will likely break down. He is concerned that massive tax hikes could cause institutions to unload. Institutions appear to be moving out of equities even now, with retail investors making up the difference. He sees similarities between today’s markets and 1999 and 2007.
Time Stamp References:
0:00 – Introduction
0:35 – News vs. the Chart
1:30 – Sectors & Charts
3:22 – Gold $1800 Level
7:17 – Resistance Levels
8:30 – Yellen & Rising Rates?
10:15 – Offsetting Inflation
11:50 – Silver Chart
15:34 – Metal Drivers
16:22 – Dollar Chart
18:22 – Volatility & Technicals
20:50 – Bitcoin & Shanghai
24:55 – S&P Major Pivot
27:05 – Chinese Stocks
28:48 – Wrap Up
Chief Market Strategist Gareth Soloway has been an avid swing and day trader since his days at Binghamton University, where he studied Economics. After college, Gareth quickly excelled as a financial adviser, but his heart was always in swing and day trading. He had this long-standing belief that he could help investors make more money by advising them on shorter-term investments (holding a stock for days to weeks) than the buy and hold crowd who lost 50% of their money during every market collapse. “Why not profit during the bear markets just like the bull markets,” he said. While helping others gain financial independence during the day, he spent his nights studying charts and price action, developing a unique market trading system that put his profits on a rocket ship. Some nights he would barely sleep when he found a new technique that was proven, once back-tested.
After building his wealth through trading in 2004, he left the financial industry to trade his own money and study charts and technical signals. This was when he met Nicholas Santiago. The two top traders spent days trading stocks/futures together and nights putting their collective brainpower into the pure genius that would become the PPT Methodology.
InTheMoneyStocks was launched in 2007 once the PPT Methodology was perfected. Gareth’s goal was to help average investors beat the best hedge funds and traders on Wall Street by teaching them the methodology and giving them his trades as he took them LIVE!
Since 2007, Chief Market Strategist Gareth Soloway has maintained an over 80% success rate on swing trade alerts (verified 300+ trades per year) given to members in Verified Investing Alerts (formally named the Research Center) and a confirmed 94% success rate on day trades in the Live Day Trading Chat Room. He has given lectures at colleges around the United States, been asked to train hedge fund traders in other countries, and taught thousands of investors how to invest and trade profitably, achieving their dreams of financial independence. He lives life to the fullest and puts his heart and soul into teaching his members who come willing to learn the PPT Methodology.