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Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?


To: Cogito Ergo Sum who wrote (203065)8/29/2011 11:30:47 AM
From: carranza2  Read Replies (1) | Respond to of 312405
 
Stop loss limits are not a valid capital protection tactic in inflationary times.

By my calculations, to preserve wealth and beat inflation and currency fluctuations, particularly in a declining dollar environment, a 16-18% annual return is necessary. Very, very difficult to do if one is in stocks, particularly pennies, small caps and 'value' stocks.

The rally after '09 I think will prove a mirage, a dead cat bounce within a multi-year decline caused by the bursting of the credit bubble. Credit events take many, many years to work themselves out.

And Europe is about to give us the mother of credit events, so this is probably not just a localized thing but a global one.

I laugh when I see posts suggesting that Irene somehow is changing things. Jeez.

I wouldn't be in stocks at all, period, full stop, except selected miners taking gold and other PMs out of the ground at huge margins.

Anyone who does not have some allocation to gold, or who has not bothered to study its history, I think will end up regretting it.

Sauve qui peut; chacun son gout, etc.