Many of my long time blog readers understand my point of view, and it's more of a long term view of things. I'm not your stock picker, I've always felt my goal was to educate, enlighten and open the minds of investors so they would want to learn more and maybe be more prepared to forge their own road to financial freedom. Most don't want to spend the time it takes to gain the knowledge to assist themselves in making financial decisions. And in most cases an individuals investment decisions are made for them. Financial advisors are heard followers, they are never prepared for Bear markets.
One of my most trusted long term indicators is flashing RED, warning a Bear MARKET may be upon us. We have been through some corrections before, but is it different this time? And how can anyone know? Nothing is 100% for sure, but here is what I see and what concerns me. I know I have not been posting much lately, but 3 years ago I started my own business, and put all my efforts in supporting my family and trying to grow my business. I will not abandon this blog however, and will try to post at least once a week going forward.
Market was overdue for a correction, but the small caps seen through the RUT, have fallen For over a month. And lately the Transports have been leading the charge, you never like to see that.
Bull markets don't last forever , this one is 5 plus years old. Unless this is a Secular trend , it is long in the tooth.
Gold has fallen into a Bear mkt, and is flashing worries about Deflation, I believe this is more than just a strong dollar worry for gold.
Bond market is nearing its low in yields , showing a strong move for defense and preservation .
The FED minutes came out and sounded like easy days will continue for ever, so the market romped for triple digits. But the very next day the market gave it back, so mere words seem to also have diminishing returns.
Our markets and economy are reliant on ever larger expanding credit growth, and we are not getting enough. At some point, this game will be over, the FED and other Central Banks have fought hard against historical trends and the inevitable .
It feels better, it may be better,,but the party has been ongoing on laughing has. When the music stops, not many will be laughing.