The means and strategy for generating consistent trading profits in ever changing markets. Rules based trading explained. Take advantage of the most sophisticated price trend filtering service previously not available to general public. Take emotion out your trading. Eliminate guess work.

Many "tried and untrue" trading myths explained and dispelled.

January 20, 2009

All right. We had a very nasty sell off. The world stock indices took a real hammering. Nasty. The commodities had a free ride up and a massive drop. The "world" seems to just love the US dollar, the "safety” of bonds. Etc. So, the big question is.......what now???? Where do we go from here?

I have chosen to be very patient and not to speak up for quite a while now....so here it is. The next set of predictions.

We are about so see a huge rally in the equities.....it will be short lived but very, very aggressive. It is highly likely that we will see a 50% move up across the board over the next 6-12 months. That's high and a lot higher then what may be suggested by a typical set of retracements or warranted by the fundamentals. Heck, the fundamentals are still grotesquely overvalued........but we have been trading paper for a long time, and paper is easy to move around.

Next, we will see a horrible melt down in the bond market. To put is in simple terms, when the governments start to default on the "safest" debt paper, it will hurt the most conservative of the investor class, and the back bone of our retirement savings. It will be nasty, and it will match the magnitude of the equities sell off.

Finally, the biggest story of the decade will be the next commodities boom (I know.......we are being fed a load of bull about deflation.......right. I read the papers too :))....however; there has been no substantial contraction in the consumption of basics like food, gas, medical supplies, etc. People are still living. And the paper money is running almost free for now. So which commodities are most likely to outperform the rest? Contact me.

Final word of caution.....we are living in the times of a true change, our fundamental social and financial paradigms are being tested and disassembled. So the "Conventional" investment and portfolio risk management designs will no longer work. There is a new investment paradigm that is being created as we speak. More on that later.

It is time to start to aggressively buy the Indices.

There are a number of reasons for that, any one who is interested in my reasons, is welcome to contact me by e-mail.

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