The major indexes have crossed-over
- This is called a death cross
- People behaved like the party would never stop
- Amidst all this concern…
- Things are not okay in the markets
The major indexes have crossed-over into territory that suggest the long-term downturn has begun. We are talking about when the…
50-day moving average crosses down over the 200-day moving average. This is called a death cross and hasn’t happened in the DOW for almost four years. Although analysis on the news will call this a “temporary pullback” it’s much more than that. It’s a reflection of the belief that markets can sustain themselves forever – they can’t.
It’s been a long time coming and although people have been talking about a major correction in the markets, people behaved like the party would never stop. One of the few indexes still holding on by a thread is the NASDAQ due to high performance of many of its components. However, the NASDAQ will soon also experience a death cross.
Amidst all this concern and reported bad news there are many ads from brokers saying it’s time to “fine-tune” your trading strategy. This means they are losing customers rapidly and by saying this they believe they can stem the tide of outgoing clients.
Things are not okay in the markets. The markets cannot keep going up without a major correction. The hype put out by brokerage houses and analysts is to be completely disregarded at this time as the markets are beginning a long-term decent which will last a very long time. If you hear reports that you are not supposed to worry about any of these “temporary” pullbacks you should believe the opposite and immediately get your money out of the markets, out of funds, out of anything that’s denominated in dollars for your profits and sit by the sidelines with your cash and watch the death cross take effect.
QUESTION: What should readers take away from this message today?
ANSWER: That the party is coming to a close.
QUESTION: Why is this information timely?
ANSWER: This information is timely because people, without being able to get any decent interest return on their money, have seen the markets as their last chance to make it big.
QUESTION: How can readers best apply this information to their lives right now?
ANSWER: If you can’t bring yourself to getting all your money out, you should seriously think about shorting all the indexes.
COMMENTARY: Is the party coming to an end? Will you be like one of those guests who don’t know when to go home and end up passed out on the couch clutching their last drink? Will you wake up to margin calls from your broker? Your friends, thinking it to be hilarious, will take Facebook photos of you passed out on the couch in your own greed and alcohol-induced stupor while the markets you saw as your last hope to make a killing drop like a rock, taking everything along with them. You’ll then realize that your refusal to see the markets for what they really are – a game rigged to benefit program traders – was just another illusion in your life. All the illusions are now coming to an end and the “big reset” is coming for those who refused to give up their old ways of living. However, it’s still not too late to make that connection to your spirit guides, the ones who watched you lose your way, but can see you through the tough times ahead.