Do You Fear Death?
That was the famous line that Captain Davy Jones said in the second "Pirates of the Caribbean". I suspect that the market sell-off has you a little rattled thinking of days of old when the Fed wasn't in the markets and the funds would liquidate their positions causing the markets to tank to ridiculous lows causing mom and pop to take huge losses. If you are expecting a similar scenario to unfold like in the past you needn't fear. I keep telling you to buy the dips. Keep doing that. It may not be at the ideal time yet but we are reaching the point.
Oil headed to 46 today. That is just beautiful. I hope it falls even lower. I will be buying in this area. This is a gift in a sideways market. Remember 40 is the magic level. It won't stay there very long if it reaches this level. Yes, it could go lower but you just use proper leverage. Time is the one element that is on your side when levels are here. It is a matter of time before it reaches the 50 and 60 levels again over the next two to three years. I know it is a long time but that is how you do things ok.
So what about the Yield curve? Panic time?
No. The ten-year bond (the most liquid bond in the world) has been at these levels before. I called the low back a couple of years ago and if you listened to me you would have made out very well before anyone else caught on. I am telling you that it will turn very soon.
So why are the markets so volatile lately?
Large turning points cause a lot of volatility and that is what you are looking at now. Volatility is caused by the market participants getting in and out. Liquidating shorts and taking longs or vice versa.
You have to understand how buying and selling takes place in order to know why the volatility is so intense right now.
I know, the talking heads are screaming the sky is falling and this is a point that you need to take into account. Generally, this is always when a turning point happens. When fear or euphoria are at their very lowest or highest. Well, fear is at a point now where we haven't seen it like this since 2008. Get ready for a change.
If you do what everyone else does you will get the same results as them. Remember you heard it here first as you always do. Cheers!
Oil headed to 46 today. That is just beautiful. I hope it falls even lower. I will be buying in this area. This is a gift in a sideways market. Remember 40 is the magic level. It won't stay there very long if it reaches this level. Yes, it could go lower but you just use proper leverage. Time is the one element that is on your side when levels are here. It is a matter of time before it reaches the 50 and 60 levels again over the next two to three years. I know it is a long time but that is how you do things ok.
So what about the Yield curve? Panic time?
No. The ten-year bond (the most liquid bond in the world) has been at these levels before. I called the low back a couple of years ago and if you listened to me you would have made out very well before anyone else caught on. I am telling you that it will turn very soon.
So why are the markets so volatile lately?
Large turning points cause a lot of volatility and that is what you are looking at now. Volatility is caused by the market participants getting in and out. Liquidating shorts and taking longs or vice versa.
You have to understand how buying and selling takes place in order to know why the volatility is so intense right now.
I know, the talking heads are screaming the sky is falling and this is a point that you need to take into account. Generally, this is always when a turning point happens. When fear or euphoria are at their very lowest or highest. Well, fear is at a point now where we haven't seen it like this since 2008. Get ready for a change.
If you do what everyone else does you will get the same results as them. Remember you heard it here first as you always do. Cheers!
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