Doing the Dead Cat Bounce..... DOW 5000?

[TwixVoy]

Interesting reading for a quick simple analysis of the possible next leg down.... DOW 5000 anyone?


Doing the Dead Cat Bounce
by Robert Kiyosaki
Friday, February 12, 2010
http://finance.yahoo.com/banking-budgeting/article/108837/dead-cat

"......
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The people I am most concerned about are the average investors who have bought their financial planner’s advice of “Invest for the long term in a well-diversified portfolio of stocks, bonds, and mutual funds.”

Many investors are calling the past 10 years The Lost Decade. That means those who invested for the long term in stocks, bonds, mutual funds, and cash are long-term losers. Japan has been in a Lost Two Decades.

A Lost Decade means:

1. Zero job creation.
2. Zero economic gains for the typical family. Home values are down and many families owe more on their home than the home is worth.
3. Zero gains in the stock market.

Over the next few months, it is important to watch both the Dow and gold. As I write, the Dow is around 10,000 and gold is at $1,000. If the Dow breaks 7,286, the 2002 low, and continues down below 6,547, the 2009 low, watch out below. If 6,547 is broken and gold passes $2,500 an ounce, you'll have even more to worry about."

[dmallind]

1. OH Christ another Kunstlerite loon. Tell you what when it happens remind me.....

Since these doomer cretins have been predicting it every year straight for at least three plus years.

[FreakinDJ]

4. RATpubliCONs are preying for the Dead Cat Bounce

so they have some thing to blame Obama for

I've been hearing that since he took office and the market started to rise

[Ozymanithrax]

2. More people wanting us to buy gold...

It's the Beckinzation of DU, I'm telling you.

[Drunken Irishman]

3. I feel like I'm listening to Art Bell nowadays.

[Renew Deal]

5. This long precedes Beck

The gold virus has been around for a VERY long time.

[Drunken Irishman]

6. As I said, I feel like I'm listening to Art Bell.

In the 90s, that's all he talked about.

[Ozymanithrax]

7. There have always been Gold buggers (buggerers?) since we went off the gold standard

People who don't make enough money to eat three meals a day aren't going to buy gold. But they won't buy stocks, either.

[TexasObserver]

8. More alarmist nonsense. Congratulations. Your consistency is impressive.

Haven't you figured out that guys like that exist solely because guys like you pay attention to them?

[dysfunctional press]

9. "The people I am most concerned about are the average investors..."

the people i'm most concerned about are the NON-investors who end up having their daily lives and well-being beholden to the assholes who like to play craps with other people's money.

[Dreamer Tatum]

10. Search TwixVoy's posts...converted all their assets to gold, supposedly

So naturally you'd expect this, especially as the price of gold has been flagging.

[Mojorabbit]

11. I bought gold

when it was less than 500 an ounce because I read a lot of alarming financial news. I am reading even more alarming financial news. Nothing would surprise me. I see charts showing more mortgage resets into 2012, commercial paper tanking and more and It is not just the US. I don't know what is going to happen but the economic situation is still pretty shaky. I am hoping for the best but also preparing for the worst. I have diversified what little I have saved for retirement into a lot of different areas but mainly am working on paying off my mortgage. That would make me feel much more secure. Gold has been my best performing investment though through the downturn but I would not buy it at the price it is now.

[SoCalDem]

12. Yep. the BEST hedge is a paid-off mortgage

having a place to live in, and being able to afford the rest of living, is the ONLY solution to a prolonged downturn.

Housing is what eats up a paycheck/pension check.


and instead of getting shit-for-interest, it makes sense to pay off a mortgage instead of paying interest to the mortgage company any longer than you have to.. interest payments not made are a better investment than a few stinking percent on a CD or mutual fund..especially when the people who run the show are already trying to figure out how they will steal the next it of people's investments.

[cbdo2007]

19. If the market and economy completely implode - gold will be just as worthless

as everything else because you can't eat it, you can't live in it, you can't drive it to work, etc. If nobody has any money there won't be any demand.

Paying off your mortgage is a good focus.

[HughBeaumont]

13. Robert Kiyosaki? Really? No, SERIOUSLY? "Rich Dad, Poor Dad" guy?

http://www.johntreed.com/Kiyosaki.html

You mean the bullshit artist extraordinaire who issues either purposely vague to blatantly bad financial advice in his 26 books?

He's an Amway huckster who's using Law 27 of the 48 Laws of Power to his advantage:

"Law 27 - PLAY ON PEOPLE'S NEED TO BELIEVE TO CREATE A CULTLIKE FOLLOWING. Judgment - People have an overwhelming desire to believe in something. Become the focal point of such desire by offering them a cause, a new faith to follow. Keep your words vague but full of promise; emphasize enthusiasm over rationality and clear thinking.

Give your new disciples rituals to perform, ask them to make sacrifices on your behalf. In the absence of organized religion and grand causes, your new belief system will bring you untold power."

Great at sales. Not so great at hard, specific financial advice.

This doomsday stuff isn't even fun to READ anymore. I'm just wondering when you're going to start putting out stuff like this for real . . .

[Hannah Bell]

14. thank you.

[DFW]

15. "IF gold passes $2500 an ounce....."

And IF Dick Cheney apologizes for all he did and joins the Democratic Party, and IF Rush Limbaugh and Pat Robertson
decide to donate their accumulated wealth to Planned Parenthood and the Clinton Global Initiative, and IF Ann Coulter
voluntarily enters a mental hospital.......................

[era veteran]

16. Easy gold buying rule ... listen up

If they have gold commercials on the TV don't buy !

[MineralMan]

17. More Goldbuggery?

[cbdo2007]

18. I'm guessing Dow will go to minus 17 by the end of the year.

:)

[Leopolds Ghost]

20. So let me get this straight, everyone on DU who thought we were in an economic disaster in 2008

Is pissed at those who still do, because of the change of administration means only people hostile to the Obama administration think we are still as much or more in deep shit as before. Sophistry, is what most people seem to suggest.

Oh, and it appears most DUers think peak oil is a myth and Kunstler is a loon.

Infinite growth is possible, so long as a Dem is in office.

In that case, why can the US no longer afford manned spaceflight?