August of this year the U.S stock markets are experiencing some of lowest volumes ever since 2006, now we all know what happened the following years after 2006. Oct.2007 – April.2009…a major stock market crash that took all index to new lows.
All you have to do is look at a 5 year chart. If the Federal Reserve doesn’t continue Quantitative Easing in September, the markets are bound to take a dive, this is roughly 1 month away…can the markets hang on for a whole month at the current levels or push higher.
This bull market has been going since October 2011 with a slight break in Dec.2011 and June 2012, while unemployment rises and the latest earnings season not fairing well with lowered analyst earnings projections.
I am in the camp that the U.S. stock market is being heavily manipulated. You have the U.S Fed chairman saying that they are holding off on QE 3, but they are lying and in the background they are injecting more printed money to prop up the stock market.
China slowdown and probably more money printing by ECB and the U.S. Fed in the next little while. If more bad economic data comes out of the American economy, then markets will react negatively.
Gold is good for this uncertain environment as well as credit products (bonds) from emerging economies.
I am glad Bloomberg is recognizing that the tech earnings hasn’t been that great. I’ve been noticing this and trying to figure out the disconnect between what is going on with the NASDAQ. The majority of tech reporting bad earnings but the NASDAQ is still at lofty levels of 2900…there is a big disconnect here.
This 1 hour audio book is definitely worth a listen by anyone wishing to achieve in the endeavor of trading or investing. If can get past 2 years without blowing your account, you are on your way.
However, to really be a consistent trader, investor it would realistically take 4-5 years at which time all the money you lost is just the “tuition fee”.
The truth is that the world economy is balancing on a very fine line, kinda like the man that recently tight roped walked across Niagra Falls. The momentum and direction is total slowdown and the reality is that things are getting worse.
