SKIP DANGER'S
Market Opinion
Nov. 25, 2011
[Stocks]
SHORT TERM: (3 days - 3 weeks) - Buy - I
don't have the purest of short term signals. But, I
do have enough evidence to think it's 'GO-Time'. Use
stops.
MEDIUM TERM: (1 month - 5 months) - Buy -
This is my first 'buy' signal in a year. I could have
issued a signal the first of October, that was the
obvious bottom, but decided to wait for
conformations. Those conformations are abundant. My
most persuading indicator is my 'market strength'
indicator. It has been reaching for the moon, we're
lucky to have this excellent entry point.
If you're inclined to agree with me, the prudent way
to approach this is to commit about 25%-35% of your
capital to the long side, maybe index funds.
Obviously, use stops. Once we gather some momentum,
commit more capital. This rally should run until late
spring.
LONG TERM: (More than 6 months) - Sell - If
I am correct about the debt market, then the economy
is going to get hammered. And when the economy gets
hammered, stocks get hammered. I have an eerie
feeling that we are headed for the worst depression
in the history of man-kind.
[Bonds]
LONG TERM: - Sell - 'Government Bonds' are
in the biggest bubble this world has ever seen. At
some point, it will be a massacre. It may not mean a
lot to small investors, like you and me. But, when
wealthy people lose lots of money, they want to
fight, they start wars.
[Gold]
LONG TERM: - Neutral - Gold is still in it's
corrective phase. It should turn to a price decline,
at some point. If your nimble, try to trade it. We
might be considering the long side, some time next
year.
[Real Estate]
LONG TERM: - Buy - Most real estate has not
hit bottom. But your best deals come long before the
actual bottom is reached. The whole thing has me
excited. I have my ear to the ground, searching for
deals. Believe me, they're out there. Can you
recognize one? If you need help, call me!
[Antiques/Collectibles]
LONG TERM: - Buy - This asset class will
always be very rewarding for those in-the-know. As
long as world economies depend in fiat
currencies this baby is solid. But, you have to
do your homework. Smart investors are trend
followers. There are no PEs to get out of
whack, so prices can go to the moon. Dont be
afraid to buy inexpensive items, but always go for
quality and a theme.
Disclaimer:
This analysis is only for informational and
educational purposes and does not represent a
proposal for buying or selling stocks, bonds, gold,
futures contracts, or investment grade assets of any
kind. Skip Danger is not in the business of selling
Market Advice.