Crash Market Stocks - Financial Tips On Making Money In The Stock Market

The debate continues. Which is stronger? Which has more upside, especially if global uncertainty continues?

Gold has incredible amounts of emotional baggage attached to it, while silver is in a different league - at least for the moment. The video link below will show you two indicators that can help you capture either market when and if the upward trend decides to resume.

With all of the world's troubles, there are plenty of reasons why one would think that both of these markets should be much higher. The question is, why aren't they? This great MarketClub video answers a lot of these questions.

As always their videos are free to watch and there are no registration requirements. Enjoy.

Watch the Gold vs Silver Video Here

There has been a lot of recent anxiety with gold and questions of whether it is pulling back at this point. Up until now, Gold has been a very bright spot for a portfolio and has shown a lot of strength throughout much of the uncertainty of markets. However now, it is dealing with some selling pressures.

Below is a great video which discusses the latest gold trend and why we may be in store for some more downward pressure. Adam and the guys at INO do a great job at these technical chart analysis and offer videos for free! Just click the link below the video to sign up for their free videos. Tomorrow I will discuss some penny stocks that are catching my eye as of now. Happy Trading.

Nice solid movement coming from the Gold Spot (Forex XAUUSDO). Good regression line and also a pretty solid crossover on the MACD. Definitely a beginning of a good uptrend. Markets rallying pretty good today, which should continue the last hour. I would not be surprised to see half of the profits returned tomorrow as many got a nice little pop today.

Gold is once again returning to investor's radar as uncertainty in the economy continues to grow. Also, worries for inflation can create a sharp demand for gold in a short period of time. So many are asking should I be buying gold?

Inflation no doubt is a coming concern. Just how close we are to inflation is a subject many are currently debating. I believe the severe concern is a couple years out. However, some feel that we could see it as early as the beginning of next year. When inflation does indeed begin to show, then buying into gold stock or even if buying gold coins, you will most likely see big gains. As of now, gold seems to be bouncing back and forth, much like oil, trying to find its position in the current market. As markets strengthen, commodities tend to get left behind as investors begin chasing the large returns.

One great way to bring gold into your portfolio is by establishing gold in your IRA accounts. Gold and other precious metals make a great addition to an IRA account as they show great resilience over time. I always like to have a small portion of my retirement accounts in precious metals.

For current investment purchases, I am refraining from buying gold in my active portfolio. The recent moves have not breached any major support levels, so it is quite grey on both the buy and sell side. I do feel that in the future, gold will bring some record setting gains to portfolios in a very quick amount of time. We're not there yet, but it's on the up and coming radar.

Due to inflation worries, we have seen new highs for gold in recent trading. Today, gold reached the $1045 mark, which is a new high for the metal. An increase in gold is something I've seen happening, however, I believe it will become even higher in a year or two. Sure, massive government spending and new currency printing brings severe worry for inflation, but I believe this worry is a bit pre-mature. What makes me very nervous about inflation in the future, is that there is such a delay in DEFLATION at this point. No doubt, deflationary signals are here and increasing, but with the recent economic turmoil we have seen the past two years, a deflationary down spiral should have indeed come by now. Government bailouts have slowed this down spiral, but in my opinion, its full existence is inevitable.

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From this massive spending has come speculation of the value of the dollar, which has caused oil and gold to soar. However, in my opinion, our economy remains in deflationary state. Housing prices are continuing to fall, unemployment is on the rise, and production costs are lowering. The only "inflationary" signal we are seeing is massive government spending (which is spawning high gold prices and a low dollar value). History has shown that there is a "lag time" for inflation to begin following the initial influx of money.

GDX and GLD are funds that have performed very well the past few months, however, I believe they have temporarily peaked. I do see gold levels at $13-1400 at some point, but much further down the road, when we see the scary face of hyperinflation. Writing a put on GDX and GLD is becoming very tempting as is picking up shares of DRV or SRS. REITs are feeling more and more pressure as the lack of liquidity remains.

As anticipated, this week (at least the beginning of it) does not look to be a good week to anticipate market movement. Today, we saw the Dow Jones trade at low 179.25 M volume, the average being 335.66 M. Clearly, we see that Wall Street has taken the back seat to the upcoming election which takes place tomorrow. It was a pretty slow day all around for the market and not much movement was found in most sectors. Circuit City announced today that they will be closing 155 stores and cutting around 7,300 jobs, as we expected. This is just a tease until the big closure comes after the holidays.

On the bright side, China had a relatively strong opening of the week, bringing FXP down to $85 during points of the day. I was able to bulk up my position more at this discounted price. If I can continue to pick up shares at this discount, I am all about, because a storm is coming, and it's just a matter of time. It will be interesting to see how Asian markets respond this evening to the relatively weak opening of Wall Street today. I believe many countries predicted a nice rally this week.

Like I said last week, I am not planning on being too active this week. With the volume so low, it makes it a real volatile market vulnerable to several conditions. A couple positions that have been catching my eye are GOLD (GDX) and AIG. Everyone keeps saying we are in a "deflationary" market, hence the continual rate cut. Many predict us to eventually have The Fed rate at 0. At this point, inflation is inevitable. It doesn't matter how quick The Fed responds, we will experience inflation. At that point, gold becomes a commodity of high demand. I think GDX is a Strong Buy under $20. You can't go wrong.

Also, AIG is picked up strength the past few days. With the FDIC controlling it currently, I think its a pretty solid buy in the short term. Mind you, there will continue to be negative news with credit markets for the next year, so I look at it for the very short term.

As for now, I am mostly playing FXP. If SRS and SKF can get below $100, I feel very confident about getting back in those as well. This Friday, November 7, Employment Report comes out and you can count on this number being disappointing. I would not be surprised to see the Unemployment rate over 7% and the new jobs down huge from the previous quarter. This is bound to take a negative punch on the market. However, we still could be feeling the short squeeze up until Nov 14th, so be aware we may not see too much movement until Mid November. But be advised, this credit crisis is not going anywhere for a while. Get out and vote tomorrow and keep tabs on FXP. I'm guessing we should get a little bounce from it tomorrow. Happy Trading and we'll see you tomorrow.