Jim Parker, The Mad Day Trader, has published his targets for a broad range of asset classes for the fourth quarter of 2013. The numbers are the product of his proprietary model, which he has developed over the past 40 years, and generated one of the most outstanding track records in the business. Ignore Jim?s views at your peril!
Jim says that stocks will bottom in coming weeks and begin a run that will take the S&P 500 (SPY) up to 1,730. Break that with conviction, and the next goal will be 1,780. If NASDAQ breaks 3,240, then we could tack on another 100 points very quickly.
Jim is a died-in-the-wool bear on bonds, and sees the entire fixed income space returning to long term normalized yields. It would be wise to sell every serious rally. It is unlikely that the iShares Barclays 20+ Year Treasury ETF (TLT) will rally from today?s $106.20 to above $114.62. Try to establish shorts and sell premium as close to that number as you can get.
The Japanese yen has correctly been a major focus of the foreign exchange market this year. Jim is a bear here as well. His quarterly pivot for the (FXY) is $98.63, and if we break $97.35, much lower targets beckon. He is modestly positive on the euro (FXE), as long as we maintain above $133.50.
Gold has been hammered this year, tracking the Treasury bond market almost 1:1 to the downside, as ?RISK ON? investors flee towards higher yielding instruments. Don?t expect any relief until we definitively break $1,420 on the upside. Stay away until then.
Jim is also negative on oil as long as we don?t break $104.70-$105.30 in the spot, or $38.18 in the (USO). Jim sees copper as weak and could be hit with another selloff.
The grains have been a graveyard this year for traders, as the largest crops in history have come in better than expected. Play the dead cat bounces, and buy every 8%-10% dump for a quick snap back rally.
While the Diary of a Mad Hedge Fund Trader and its Global Trading Dispatch focus on investment over a one week to six-month time frame, Mad Day Trader will exploit moneymaking opportunities over a ten minute to three-day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points. During normal trading conditions, you should receive two to five market updates and Trade Alerts a day.
As with our existing service, you will receive ticker symbols, entry and exit points, targets, stop losses, and regular real time updates. At the end of each day, a separate short-term model portfolio will be sent to you and posted on the website.
Jim is a 40-year veteran of the financial markets and has long made a living as an independent trader in the pits at the Chicago Mercantile Exchange. He has worked his way up from a junior floor runner, to advisor to some of the world?s largest hedge funds. We are lucky to have him on our team and gain access to his experience, knowledge, and expertise.
I have been following his alerts for the past five years, and his market timing has become an important part of the ?unfair advantage? that I provide readers.
A trading service with this degree of success and sophistication normally costs $20,000 a year. As a client of The Mad Hedge Fund Trader, you can purchase Mad Day Trader alone for $699 per quarter, or $2,000 annually. Or you can buy it as a package together with Global Trading Dispatch, which we call Global Trading Dispatch PRO, for $4,000 per year, a 20% discount to the full retail price...