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The PM bulls are running wild again today, and that does feel good. Am undecided if its appropriate or timely to post this article. It arrived in my mailbox yesterday and I was waiting for a public posting to bring it to attention of the board. For what its worth, here is is.
Chris Vermeulen has been amazingly accurate with his market calls so far this year.
He has a few sobering words (and charts) for stock market bulls.
Will October 2019 rhyme with 2008? What then for the PMs?
My personal outlook is that in 2008 corporations and banks were in trouble. This time around its the governments (central bank money printers) that are in trouble. Therefore the metals, not the dollar, will be the safe haven.
Interesting reading. Thanks SF.
Yes, Chris V. seems to have an ability to time market turns very well.
The relentless strength in the U.S. stock market (10 years running) has been very troubling.
Couple that with a bull market in 30-year U.S. treasury bonds that has been ongoing for nearly 40 years.
Meanwhile, the real economy on Main Street in the U.S. has been a basket case of sorts since 1980.
At some point the music has to stop. My sense is that the day of reckoning is quickly approaching.
The Wizard of Oz will run out of tricks to prevent Wile E. Coyote from looking down.
This is not investment advice.
Homer
You do realize that Gold People have been saying this since at least 1975.
Every time The Stock markets stall a bit we hear its OVER..
Why anticipate the top…..its been a fools game for a long time now.
One day it will be THE top but right now we have some very bullish set ups.
If these reverse then maybe its good to go short…but be prepared for wild rallies as shorts seem to spook easy.
Rambus is ( as always) …Going with the flow for now.
Rambus is one of the Lonely Stock market bulls outside of CNBC.
🙂
Even Plunger has reason to be uber bearish
Rambus members will see this work soon I’m told.
Fully,
Yes, I am aware, and there have been some very serious stock market downdrafts/corrections along the way since then. There is an opportunity to profit from these downdrafts with leveraged short funds.
Perhaps I have jumped the gun here a bit (ignoring expert TA opinion), however, I currently have only a very small short position in SDS (2X short S&P 500 Index) which is down less than 4 percent.
I plan to add to this position for the duration of this year at times when the market appears to be topping out. If I wait until the very last minute to do this, I will likely miss the opportunity.
For example, if we experience a stock market decline of 40 percent this Fall, a 2X leveraged short position will produce a gain roughly 133 percent with compounding, excluding decay effects. A 60 percent decline in the stock market would produce a 300 percent gain with compounding, excluding decay effects.
I have been swimming upstream against the current for most of my life. I suspect many gold investors have too. If only more people would chose to do this, we could change the world for the better, no?
“My personal outlook is that in 2008 corporations and banks were in trouble. This time around its the governments (central bank money printers) that are in trouble. Therefore the metals, not the dollar, will be the safe haven.”
You go Foxy !
Thats a great CONCISE SUMMARY OF THE SITUATION