Metals and Energies – An Alternative Investment Strategy

Metals and Energies – An Alternative Investment Strategy

I am pleased to introduce a new chart package called the Metal and Energy Package. We trade futures and futures options along with FAANG stocks and key market sectors. Many of our subscribers do not trade futures and would like alternative instruments that correlate with our work in the futures market. This package is a collection of ETFs and stocks that correlate well with the metal and energies sector work we provide.

Here is what is included in the package:

— Weekly commentary on the Metals and Energies markets with an explanation on what fundamentals are moving the markets.

— Technical analysis of the Metals Sector ($metals) and Energies Sector ($energies)

— Technical analysis of ETF and Stocks with potentials move identified. These include First Majestic Silver (AG), McEwen Mining (MUX), Sibanye-Stillwater (SBGL), United States Oil Fund (USO), United States Natural Gas Fund (UNG), Barrick Gold (GOLD) and
Kirkland Lake (KL). This includes hort term and longer term charts for day and swing traders. We will be adding a few more instruments to this package as requested by subscribers.

Updates are provided twice per week and the subscription included access to our private twitter feed. We provide our technical analysis using our proprietary systems which use Classical Analysis, Pattern Recognition, Elliott Wave, Fibonacci principles and Pivots to analyze market action and predict future market swings.

CLICK HERE for a 14 day free trial of our Metals and Energies Chart Package.

Subscribers, be sure to use the discount code on your current subscription page. We are having a Memorial Day sale on this new package of charts, use discount code metalsenergysale for a 20% discount on your purchase.

We are also having a sale on our FAANG and Sector ETF package, The Big Five. Use the discount code bigfivesale for 20% off and a 30 day free trial.

Why Trade Metals

The most frequently traded precious metals are gold, platinum, palladium and silver,and the high trading volume on these commodities is attributed to their retained intrinsic value, regardless of economic conditions. The preference for the online purchase, and even physical ownership of precious metals as long-term investment has tremendously increased in recent decades. Trading precious metals also presents opportunities for those interested in short-term investment since derivatives and exchange-traded contracts are a less capital intensive and simpler way to take a position on their price movements.

Unlike most commodities that are mainly dependent on production and consumption levels, gold trading prices are not related which is why you want some exposure in your portfolio. They follow the pulse of political changes and make it possible for gold to function as a hedge against other markets in times of uncertainty. Along with gold, platinum, palladium and silver are also valuable assets and traded by investors who regard them as stores of value in times of monetary uncertainty.

There are several factors that affect price fluctuation and can cause volatility in the precious metals market. One of the most important factors are global financial institutions, whose investments are speculative in nature and can cause upward or downward price movements. Another factor that influences the market is the end-user trends, mainly triggered by jewellery buyers : the demand in jewellery makes precious metal markets prices to rise. Economy also has an impact on market prices. In a globally well-performing economy the level of wealth is directly correlated to the demand for gold and other precious metal jewellery.

Why Trade Energies

The most typical feature of energy prices is high volatility and high premiums when trading options. This is a result of the numerous political and environmental factors that influence this sector. This makes it an excellent vehicle for profits and collecting premium using options.

Many supply and demand factors also affect energy prices, the strongest of which is global economic growth or the lack there of. In times of economic prosperity the demand for energies increases, while a decrease in consumption occurs when economy stagnates. Beside economic changes, extreme weather conditions can also have a great impact on energies, leading to supply disruptions of crude oil, natural gas, or heating oil. Global energy prices are highly affected by the political instability in some of the world’s biggest fields.

Oil trading is a globalized, 24-hour market, with its prices in constant motion. This makes it  an ideal instrument for traders and investors looking for alternative investments to Indexes.

Looking for alternative investments, look no further as we specialize in trading commodities and can help diversify your investment strategy with our product offerings.

About the Author

Stan Nabozny
Stan is a 20 year retail trading veteran and Co-Founder of The Art of Chart. His specialties include using futures and options to trade Energies, Precious Metals, Equities, Currencies, Bonds, Softs, Grains and other commodities. Stan believes that Risk Management and Trader Psychology are more important that technical analysis and spends his time teaching and coaching other traders on these topics . Stan uses various trading systems and technical analysis approaches that integrate time and price in his work. See his latest articles here and www.huffingtonpost.com.

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