The chart (click on it to enlarge) marks in black each Friday since July 17th 1998 that the deafening scream of the alarm siren has gone off in our office. No – not the fire alarm! It’s the “get out of the market NOW if you’re a long term investor” alarm. We’ve not gone back in history any further as we think this is more than enough proof that the system is quite possibly the World’s best at picking major tops in the market. There have been other times when it’s gone off such as the recent one on July 1st 2011 but we were already out due to the previous alarm still ringing in our ears since April.

Please look closely at the dates shown in black and what followed on the chart over the next several months or years. Remember this is a weekly chart. These dates are when the Share Star System said to long term investors “sell out of shares NOW”. Remember too that we have an equally brilliant system for identifying entry points that even long term investors can use. The two most significant “buy NOW” signals are shown in red on the chart above. Think how much of a difference this would make to any investors results if they had this information.

Notice that a ‘get out NOW” alarm sent us scrambling on the 28th of September 2007 and another one rattled us on the 16th of May 2008. Now look around you at the shocking losses suffered by millions of people in that horrific year. Our simple system got us out just 4 weeks BEFORE the 2007 top and just in case we were caught napping and missed the first alarm it gave us another full dose on PRECISELY the day when the real crash began.

The headline above comes from an independently wealthy private professional share and currency trader and investor from overseas. He’s been looking over our shoulders as we drive the system each day. He had heard about us and was sceptical and wanted to see for himself. He reckons he’s never seen anything like it. He says nothing he’s ever seen in all his years (decades) of trading and investing comes close to the Share Star System for simplicity and accuracy and suitability for beginners. “Stunning”, Extraordinary” and “Magnificent” were the words he used to sum up what he had seen as he bid farewell at the airport.

He also made a very interesting suggestion. Being aware of the palpable lack of knowledge of financial matters and the crying need for it throughout the community, he suggested we promote Share Star membership as a Christmas present that parents should consider giving to their teenage children.

“That’s when they need to learn this stuff more than any other time in their lives. Just think! This would change the world if we could get it into the hands of every teenager” he enthused. “If just some of them took it on like a high school subject they’d have a huge advantage for the rest of their lives!”

We couldn’t agree more. The membership investment has been slashed as an incentive for you and because we’ve been able to drastically reduce the costs we incur to run the business. It used to cost us a 6 figure sum every month to run the “old” Share Star (advertising and seminars and workshops in hotels). Now, using the internet as we do today, most of those costs have been eliminated and so we’re passing those savings on to you. The vastly reduced workload has also enabled us to ramp up Technicalities which comes out approx. twice per week now.

Please visit www.sharestar.com.au and click on the big blue “Join Now” button on the home page (scroll down to the lower right corner). You’ll find there are several membership options. Obviously the full package (Platinum) is most suitable for beginners as you get all the pieces of the complete package at the best value. The other membership options are made available for more experienced traders who already know enough to understand us and want to try before they commit.

Remember the charting software is not supplied by us and if you invest in our recommended software (Market Analyst) and you purchase direct from the Share Star website (just follow the links) you will automatically receive a 10% discount. You’ll be able to download Market Analyst Version 6 (MA6) and you’ll be able to upgrade for free to MA7 in the near future. It is due to be released very early in 2012. If you already have charting software it should be adequate as the Share Star System purposely uses only a few simple tools.

The following should provide you with food for thought:

In a recent www.sharestar.com.au blog post we warned of the danger of obtaining “expert” advice. We see many “experts” suggesting shares are cheap and that we should be selectively buying. Just how you “select” is not explained but the inference is that we should do our Fundamentals homework. We used to keep a record of brokers recommendations but we gave that away when it became apparent that they had no idea. Recently we found a couple hidden away in an old workbook.

They recommended Paladin Energy on the 25th of March 2011 based on Fundamentals and the fact that it had fallen sharply and was therefore “a bargain”. The chart was hopeless apart from the fact that the fall had taken the price below the lower BB line and so a short, sharp rise was on the cards. However the broker’s recommendation was for investors, not traders. Now, 9 months later, it’s down a further 57% and still falling. To recover that loss now requires a rise of 136%.

The same broker advised investors to buy Energy Resources of Australia on the 21st of February 2011 based on Fundamentals and the fact that it had fallen more than 60% since May 2009 and was therefore a wonderful bargain. Again the chart looked hopeless and now, 10 months later, it’s down a further 82% and still falling. To recover from that loss now requires a rise of 470%.

If you invested $5,000 in each of these stocks on the expert’s advice, you’ve lost $6,950 so far. 10 seconds work using the Share Star System would have saved you $6,950. Put another way, that’s $6,950 after tax in your pocket for 10 seconds work. How much is that per hour?