Such was the headline this morning from Bloomberg News, after Switzerland’s Central Bank took the absolutely unprecedented step of imposing a ceiling on the exchange rate of the Swiss franc, saying it would defend its rate target with “utmost determination”.

The result?

The possibility of another 2008-style crash is very real indeed.

And through it all, we here at The Wizard have been [...]]]> The markets are in turmoil yet again – and people are really worried this time. We’ve seen this before – and we know what happens. Portfolios hemorrhaging money. Retirement accounts collapsing. Nest eggs disintegrating.

The possibility of another 2008-style crash is very real indeed.

And through it all, we here at The Wizard have been bombarded with pleas for advice. From the newest trader all the way to professionals managing hundreds of millions of dollars, the question is always the same: “Where is the market going and what do I do now?”

The media simply cannot answer these questions. Despite horrific declines and overwhelming evidence that the sellers are now in control of this market, all the media can offer is the same failed advice: buy more stocks and hope (pray, actually) that the markets will rebound.

This doesn’t sound like advice. It sounds like a shot in the dark from a bunch of desperate people who have no clue what to do.

But not The Wizard. There’s a reason why professional money managers and traders of all kinds call us. Because we stand alone. Even in the very worst of markets, we have proven our mettle. We proved it during the Crash of 2008. And this past month, The Wizard has proven it again.

Take the Dow Industrials – the grandaddy of all stock indexes. While most of the investment community has been telling anyone who would listen to buy more blue chip Dow stocks, The Wizard was selling them short. With lethal effectiveness.

24 trades. 23 winners. A 14.2% average profit.

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How about some highlights – 2 stocks that have been all over CNBC. The commentators have been endlessly debating the fates of both. But for The Wizard, there was no debate. We simply sold them short:

Hewlett Packard (HPQ): 32.74% profit in 19 days

Bank of America (BAC): 32.26% profit in 39 days

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Try this: Of the 9,634 stocks The Wizard covers, our open signals have profits on over 84% of them – with an average profit of 15.34%. Most money managers would kill to get returns like this in a year. We did it in an average of just over 26 days.

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To learn how you can get the most out of The Wizard, watch our step-by-step video to see how we did it >

The Wizard had a target for the S&P of 1357.00

The high of the S&P was 1371.10

When we entered the long term trade at 1133 our targets were 1278 and 1357.  We hit both targets. We started that trade on [...]]]> To tell you how amazing The Wizard is, take a look at the following:

The Wizard had a target for the S&P of 1357.00

The high of the S&P was 1371.10

When we entered the long term trade at 1133 our targets were 1278 and 1357.  We hit both targets. We started that trade on September 17, 2010.  This is surely a glowing testament to the advantage of trading with the trend, using the Wizard.

We now have a red arrow on the Short and Long Term calendars. However, we did not get stopped out on our long entry.  The question is, will we get the Pre-Sell for the long term entry next week?  We penetrated the stop and many of you, that prefer hard stops, may have exited your long term positions. The Wizard did not.  The rule that we use with The Wizard is that we wait for the close to be beyond the stop price.  That did not happen this week.  If you are familiar with my Price Action Seminars you may also realize that we could test the top again. If we get good volume and close below 1300 on the S&P we are looking for the next target of 1268 and then 1132.

S&P

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If you take a look at the sector chart below you will will find many of the sectors have already turned red and are giving sell signals.

Even though the S&P index  has not changed to a Pre-Sell signal, there are plenty of sectors giving Pre-Sells for stocks and ETFs.

Sectors

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If you have not tried the Wizard this is a great time to catch the next trend.

Have a Great week and God Bless.

Gene Stunkel

President

TheWizard.com LLC

THAT MEANS DON’T BUY UNTIL WE GET THE BUY SIGNALS.

We have a trend change this week. This is the first trend change since May 7th 2010.

We never know how long a trend will last or if it is simply [...]]]> WE HAVE A TREND CHANGE IN THE MARKET….but no buy signals in the indices.

THAT MEANS DON’T BUY UNTIL WE GET THE BUY SIGNALS.

We have a trend change this week. This is the first trend change since May 7^th 2010.

We never know how long a trend will last or if it is simply a fake out as many call it.

Here are my thoughts as we look at the main four indices.

First of all we do not have a stop out of any of the short or sell positions of the DIA, (Dow Jones Industrials) SPY (Standard and Poor’s 500), QQQQ, (Nasdaq 100) or the IWN (Russell 2000). We will need a stop out of the shorts and a Buy Signal in these indices, before we get the confirmation to go long.  Looking at the long-term signals, we know that won’t occur for another week.

So what do we do now?

My thoughts are to stay put and follow the trades that you are in. If you were short you should have some profits locked in.  This last short signal, on May 7th gave us some profits in the short term, but it developed into a trading range that may have also caused some small losses.  Don’t be aggressive in this kind of market.  There are too many political influences (election season), and Fed interferences to be aggressive. I will find it amazing if we don’t see some more down side in this market. Looking at charts from the 1929 era, and taking a look at my price action techniques, I think we will see lower prices.

If we do get the Buy Signals next week, we may be considering another story.  We take the signals that we are given and trust the Wizard, that has always been with the trend for the last 15 years.

There may be some strength building, if the markets see a change coming in the up coming elections, to a more market friendly congress.  The influence of the political change could even be an influential prodding, to have some type of pro business legislation that will move the markets higher.

With all of that said, we will watch the technical aspects of the market to make our trades.  We will always make more money watching the signals from the Wizard than trying to speculate when people will buy and sell the markets.  If they do buy the markets, we will pick it up with our confirmations and be along for the ride.

I wish you all a great trading week, and God Bless.

Gene Stunkel

Creator of the Wizard

Take a look at how well the Wizard has done in calling the SPY ( a financial ETF).

June 13,2008 – April 10, 2009  short for a profit of                                  $50.30 a share.

April 10, 2009 [...]]]> We have another long term short signal.  If you missed it in May here is another opportunity,

Take a look at how well the Wizard has done in calling the SPY ( a financial ETF).

June 13,2008 – April 10, 2009  short for a profit of                                  $50.30 a share.

April 10, 2009 -January 29, long for a profits of                                        $21.60 a share.

January 29, 2010 -February 19, 2010 long for a loss of                        -$3.80 a share.

February 19, 2010 – May 7,2010 long for a loss of                                 -$2.00 a share

May 7, 2010- July 2,2010 short for a profit so far of                                $7.87 a share

Total Profit on the Wizard call for 2 year on the SPY   $73.97 a share or a 37% annual return

My friends, this is trading only the (SPY) etf. The SPY is the ETF representing the S&P 500 stocks,. This is a wide spectrum of the best stocks as selected by Standard & Poors the rating agency.

I also want to show you how the Wizard picked all of the indexes since the short that we received on May 7th 2010.

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We have an 8% plus profit in a little over a month.  The Wizard can lead you to water, but it can’t make you drink is the old saying.  How true it is for many of you who are afraid to do anything with the volatility of the world and the markets.

You may have some losses, but just like the SPY above they are small and controlled with our stops.

NEW FOR THE WIZARD

Here is a video on the Alerts that we now have on theWizardPro http://www.screencast.com/t/Yzg4YzAx

New Alerts on the WizardPro. This sends emails to you for any changes on your watchlists that you wish to see.

The IWizardPro and the TheWizardMutualFunds are days away from being announced. The TheWizardMutualFunds is an awesome package of 22,000 Mutual Funds.  The Wizard will tell you when to buy the funds and when to be in cash.  You will never have the 2008 crash happen to your IRA or 401K if you use this program.  It will get you out.

Have a great Holiday and God Bless,

Gene Stunkel

Creator of the Wizard

Trend Change…Bright red is the signal to go Short

We have a confirmed sell signal in all of the major indexes except the Russel 3000. We never know how long this trend down will last,  In the last 3 years, there were two  times when the change of trend lasted for only 2 weeks.

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What do we do?

This is where you want to be aggressive and get into the sell signals early.  Last year when we got the buy signal, the first few weeks had signals that were the biggest winners. The same thing happened when we got the short signal in September 2008 for the sell signals.  Take a look at the power scans that are sell signals and put more volume on your scan to get the best of the scans.  When Shorting the market,  l look for stocks over $20.00 and 20 million shares a week or 4 to 5 million shares a day if I am using the daily scan. The more volume, indicates that there are a lot more institutions involved. They have to be in liquid stocks and ETFs.

ETFs

Type the word “ultra” in the search for symbol box  and check the name button in the search for symbol box when you run the scan.  This will give you the way to short the market by buying the ultra etfs.  These are inverse ETFs.  You can also search by the inverse selection box as well.  Put some volume into your scans to find out where the institutional money is going to hedge their long positions.  The inverse ETFs are  the favored  way many of the mutual funds hedge their long positions.  Also try the name scan of 3x Shares.  This is 3 times the indicated ETF. There are many different sectors that have the 3x(times) allocation. Watch it closely and only use it on the daily scan.  Only take the weekly signals if you have a larger account and can manage the risk.

Risk Management.

This is what you might call  the primary tenet that controls investing.  We will never know which one of our trades is going to be the biggest winner or how much we could possibly lose on a trade.   That leaves us with one tenet of trading that we can control…Risk.   We can control how much we are going to lose.  That is why it is important that you use the stop signal to get you out of a  losing trade.

Most people who trade, or invest, are thinking about how much money they are going to make on a trade. They should be focused on how much they could lose.  That doesn’t mean that you should stay out of the markets.  If you are not in the market and don’t take the higher probability trades, you are not going to have the chance to catch the trade that will trend.  I have seen many who don’t take a particular trade because they just lost too much money from the last trade. Many trades are made with high emotions, and the higher the stakes in a trade, the higher the emotions. That is why I have always said to take the higher probability trades.  With the Wizard we have set up a platform that is designed to take as much emotion as possible out of your trades.  Still there are many of you who have called in to support and I can tell in your voice that you are scared to death, that the next trade is going to wipe you out.  If you have experienced this, you are trading too large of a position.

In the new Wizard we will be introducing the money management system that will not allow you to show a trade of more than 5% of your portfolio in any one trade. I like the position size of 2% myself.  This is the wisest way of making your emotions less of a problem in trading.  Many of you are violating these basic risk management principles and destroying your confidence and portfolio.

Remember, we react to the market and take what it gives us and realize that is all we are going to get. When building a portfolio to a greater size, you will have better results with walking up the mountain instead of trying to run up the mountain.  Just remember that you do trade your personality. That means 99.9% of us have to take the emotions out of the trades. Believe you me I learned the hard way and hope you can learn from the Wizard that there is an easier way.

I hope you will focus on your position size with all of your trades, and keep your portfolio’s safe from a major swing in value. Always recalculate your position size every month at a minimum to guarantee growth and protect yourself from major losses.  If you make money you will increase your position size. If on the other hand your portfolio is down this month, you should decrease your position size.

The Wizard Network

Don’t forget to sign up for the opportunity at theWizardNetwork.com.  The engine is running and the take off is imminent.  Also, make sure you sign up for the webinars this week. They are on the events tab.

As always, have a great week trading and God Bless,

Gene Stunkel

Creator of the Wizard

This has been a longer than expected trend.  It looks like the S&P will go to 1150 if the trend continues. That is my target. I am looking for the turn to take place some where between October the 9th and 12th.  If it goes beyond the [...]]]> This is from the blog in September 20,2009.

This has been a longer than expected trend.  It looks like the S&P will go to 1150 if the trend continues. That is my target. I am looking for the turn to take place some where between October the 9th and 12th.  If it goes beyond the number or date, other factors, probably international or national are involved. As you know targets are not always hit, but it is good to have one.

Well, we hit the target and went to 1150.45 and backed off from it.  That is how the markets react when they hit these targets.  Many of you have seen that happen time and time again.

I am looking for the Wizard to tell us to go short soon.  I think it is important for you to take profits if you haven’t done so.  The target long term on the down side is 875.00 on the S&P once we get the Sell signal.

I was on the Gabriel Wisdom show on Business talk Network this week, and Gabriel asked me what I thought the market was going to do.  I told him I do not predict the markets. What I did not get a chance to tell him was that the Wizard has targets as we demonstrate every day.  I thought it would come a lot sooner than it did, but the Wizard is smarter than I am.  Isn’t that the way it is with investing?  Your emotions (or the news media) tell you something that you can’t use when making or managing a trade. One more time….let the Wizard tell you what to do and take your emotions and all of the other sources, out of it.  Every trade will not be a winner, but you will wind up ahead in the end with more profitable trades.

If you are looking to get short, start looking at stocks over $20.00 with volume of 25 Million shares a week and double reds.  The alternative to that is to take daily signals stocks over $20.00 with 2-5 Million shares a day.

Take a look at the sectors and you can see that short term arrows are red and all but four long term arrows have turned dark green.  Dark Green means we are still in an up trend and it is telling us that we are in a consolidation, trading range, or that we are starting to change direction.  With the way Washington is messing up everything they touch, the prospects of the market retreating are pretty good.  But as I always say,  we will react to the market and let it tell us what to do. We can always get back in the market if it takes off again.

If you have not signed up yet to be a part of theWizardNetwork.com you need to as soon as possible.  We are getting ready to launch the Network real soon.  Go to theWizardNetwork.com and register.  Also you can check out the whole site. There is a lot of information about the WizardNetwork a video and my interview with Gabriel Wisdom.

There is a lot going on and I am way too busy, but I love it.

As always God’s blessings to all of you.

Gene Stunkel

Creator of the Wizard