Investment Grin Of The Day Google
Stock Market Secret Revealed: Join the FED, stop worrying so much and buy every stock under the sun.
As yields continue to collapse (suggesting a bear market ahead), mainstream financial media continues to view this as a net positive. No matter how outlandish and out of touch their premise is. Stock rally not done because it’s ‘game on’ for the Fed.
To spare you the details of reading the article above, the FED will not raise rates until and unless the job market improves and real wages accelerate higher. Until that happens, this liquidity driven stock market party will continue indefinitely. Perhaps.
Yet, as I have maintained for the last two years, interest rates are likely to collapse into their double bottom not because of the stronger economy, but due to a massive recession or a bear market that we are about to experience. Click Here To Learn More.
Make no mistake, the stock market is in a massive bubble and the bond market is flashing a clear red light. That is to say, whatever you do, just make sure you don’t follow mainstream financial media. Their advice? Just as at 2000 and 2007 tops, …….join the FED, stop worrying so much and buy every stock under the sun.
Worst-case scenario? An asset bubble bursts and the Fed, which has maintained zero rates for a record six years, has no policies left to influence the economy. Though, perhaps it’s best to stop worrying and follow the age-old wisdom that if you can’t beat (the Fed) you might as well join it. At least for now.
A sound strategy until a bear market kicks in and ones portfolio losses 30-50%
Are We Now In The Most Expensive & Speculative Stock Market Ever? The Answer Will Shock You
11/28/2014 – A flat day with the Dow Jones up 0 points (+0.00%) and the Nasdaq up 4 points (+0.09%)
While most people believe we are in the early stages of a secular bull market, I strongly disagree. In fact, if I had to describe today’s stock market in 2 statements and/or charts it would be……..
Grossly Overvalued: By most historic measures. As described two days ago, today’s valuation levels are now above 2007 levels. With only 2000 blow off top being higher. Yet, I would argue that such a view is not entirely accurate either. It does not account for massive amounts of credit that are in our financial system. If this factor is accounted for, I believe it would push today’s market above 2000 valuation levels. Making it the most overvalued market EVER.
Highly Speculative Powder Keg Ready To Explode: As the chart below suggests, everyone is long, fully committed and on margin. With the margin interest being 35% higher than at 2000 and 2007 tops, it is just a matter of time before a typical sell off turns into a massive bear market or worse…..an all out crash.
In Conclusion: Investors and central bankers often complain that it is impossible to spot bubbles and/or anticipate bear markets. If you can’t spot today’s bubble after looking at the charts above, well, I am afraid your head is firmly planted up your **s. Make no mistake, this will end in crocodile tears, just as it did after 2000 and 2007 tops.
This conclusion is further supported by my mathematical and timing work. It clearly shows a severe bear market between 2014-2017. In fact, when it starts it will very quickly retrace most of the gains accrued over the last few years. If you would be interested in learning when the bear market of 2014-2017 will start (to the day) and its internal composition, please CLICK HERE
(***Please Note: Due to my obligations to my Subscribers I am unable to provide you with more exact forecasts. In fact, I am being “Wishy Washy” at best with my FREE daily updates here. If you would be interested in exact forecasts, dates, times and precise daily coverage, please Click Here). Daily Stock Market Update. November 28th, 2014 InvestWithAlex.com
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Are We Now In Most Expensive & Speculative Stock Market Ever? The Answer Will Shock You Google
Happy Black Friday Merica….I Guess (Grin Of The Day)
Warren Buffett: Valuations Are Now At 2000/2007 Blow Off Levels
11/26/2014 – An up day with the Dow Jones up 12 points (+0.07%) and the Nasdaq up 29 points (+0.61%).
Over the last year or so I have been whining that there is nothing to invest in. Not to speculate in, but to invest in over the long-term. That everything is extremely speculative and that most stocks are selling at exuberant valuation levels. It’s nice to see that Warren Buffett’s tends to agree.
If you are serious about investing I highly encourage you to read the article above in full. Here is the bottom line. Today’s valuation metrics are extreme and as the chart above suggests we are now approaching 2000 bubble levels. Not a good sign as we all know what happened thereafter.
Yet, there is one primary difference between today’s valuation levels and the year 2000. The blow off top in 2000 was, more or less, driven by sound underlying economics, credit policies and wild speculation. Today’s valuation levels are driven by the same wild speculative factors plus massive credit infusion and no sound economic principals.
Yes, the corporate earnings are fairly good, but it goes without saying that most of such earnings have been driven by massive credit infusion, QE and buybacks. That is to say, take the FED stimulus away and we might find ourselves in the most expensive/speculative market EVER.
Make no mistake, this is not going to end well.
This conclusion is further supported by my mathematical and timing work. It clearly shows a severe bear market between 2014-2017. In fact, when it starts it will very quickly retrace most of the gains accrued over the last few years. If you would be interested in learning when the bear market of 2014-2017 will start (to the day) and its internal composition, please CLICK HERE
(***Please Note: Due to my obligations to my Subscribers I am unable to provide you with more exact forecasts. In fact, I am being “Wishy Washy” at best with my FREE daily updates here. If you would be interested in exact forecasts, dates, times and precise daily coverage, please Click Here). Daily Stock Market Update. November 26th, 2014 InvestWithAlex.com
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Warren Buffett: Valuations Are Now At 2000/2007 Blow Off Levels Google
Let’s Blame Putin For…Well…Everything (Grin Of The Day)
Putin’s tiger the main suspect in mystery China goat deaths – Xinhua
BEIJING (Reuters) – A Siberian tiger released into the wild by Russian President Vladimir Putin is the main suspect in a series of goat deaths in China’s northeast, state media reported Chinese local authorities as saying on Tuesday.
Siberian tiger experts have pegged Ustin, one of three tigers freed by Putin, as the killer of two goats, the official Xinhua news agency said.
Three goats are still missing.
According to a Xinhua witness, the dead goats’ skulls had been crushed with puncture holes “the size of a human finger clearly visible”.
Ustin crossed into China in October with another of Putin’s tigers, both of which carry tracking devices, Xinhua said, adding a warning from a wildlife protection expert not to throw food at the tiger if spotted.
Let’s Blame Putin For, Well, Everything (Grin Of The Day) Google
Bonds Vs. Stocks…….Who Is Right?
11/25/2014 -A positive day with the Dow Jones up 2 points (+0.01%) and the Nasdaq up 3 points (+0.07%).
Something doesn’t smell right. I am talking about a massive divergence between the stock market and the bond market. The stock market is sitting at an all time high and according to most market pundits, this economic miracle is just getting going.
Yet, the bond market is predicting a massive recession. The yield curve continues to compress and the 10-Year note is once again below 2.3%. This can only mean two things. Either the stock market is right and the yields will snap back (what most people are anticipating) – OR- the stock market is in a massive bubble that is about to blow up. I don’t know about you, but my money is on the bond market.
Plus…. consider the following.
- The stock market is incredibly overpriced. By most valuation metrics. With some valuations pushing 2007 and 2000 (nasdaq) tops.
- The 5 year bull market cycle is now over.
- We are still in a 17 year secular bear market that started in 2000. The last 2-3 years are always down.
- There are no bears left. Everyone has capitulated.
- Bulls see every 5-10% correction as a buying opportunity of a lifetime.
- The FED is tightening and any remaining QE velocity is collapsing.
- Massive divergences. Particularly with the bond market.
- Smart investors like Icahn, Soros, Faber, Rogers are shorting this market.
- Etc….I can list another 20 points, but you get the idea.
Still think the Dow is going much higher in 2015? Yeah……good luck with that.
This conclusion is further supported by my mathematical and timing work. It clearly shows a severe bear market between 2014-2017. In fact, when it starts it will very quickly retrace most of the gains accrued over the last few years. If you would be interested in learning when the bear market of 2014-2017 will start (to the day) and its internal composition, please CLICK HERE
(***Please Note: Due to my obligations to my Subscribers I am unable to provide you with more exact forecasts. In fact, I am being “Wishy Washy” at best with my FREE daily updates here. If you would be interested in exact forecasts, dates, times and precise daily coverage, please Click Here). Daily Stock Market Update. November 25th, 2014 InvestWithAlex.com
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Investment Wisdom Of The Day
“My experience with novice traders is that they trade three to five times too big. They are taking 5 to 10 percent risks on a trade when they should be taking 1 to 2 percent risks. The emotional burden of trading is substantial; on any given day, I could lose millions of dollars. If you personalize these losses, you can’t trade.”– Bruce Kovner
Too Soon To Celebrate?
11/24/2014 – A positive day with the Dow Jones up 7 points (+0.04%) and the Nasdaq up 42 points (+0.89%)
As far as most people and financial professionals are concerned 2014 is a done deal. The gains are in the bag and the fiscal 2015 should be at least just as profitable. Yet, with the S&P already approaching its Goldman Sachs’s 2015 target of 2,100 one important question remains.
Is everyone celebrating too early?
After all, we have about 25 trading days left in the year and it would take the Dow half this long to fall below its year open or worse, to test its October lows. Impossible? Nothing is impossible when it comes to financial markets. And even thought Decembers are typically net favorable, there are no rules to prevent a substantial decline here.
Particularly, when you take today’s extreme overvaluation and bullish sentiment levels into consideration. That is to say, no one should consider this year over until the closing bell rings on December 31st.
This conclusion is further supported by my mathematical and timing work. It clearly shows a severe bear market between 2014-2017. In fact, when it starts it will very quickly retrace most of the gains accrued over the last few years. If you would be interested in learning when the bear market of 2014-2017 will start (to the day) and its internal composition, please CLICK HERE
(***Please Note: Due to my obligations to my Subscribers I am unable to provide you with more exact forecasts. In fact, I am being “Wishy Washy” at best with my FREE daily updates here. If you would be interested in exact forecasts, dates, times and precise daily coverage, please Click Here). Daily Stock Market Update. November 24th, 2014 InvestWithAlex.com
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