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From: |
Website@xxxxxxxxcom |
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Subject: |
NEOWAVE: "Dark Clouds on the
Horizon" |
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Date: |
Thu, 3 Apr 2008 08:32:06
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In mid January I announced "THE BULL MARKET IS OVER."
Since then, the S&P has consolidated in a wild range for more than 2
months. The amazing part is that an increasing number of professionals on TV
are talking about the "bargains" to be had. Many also seem to believe
January's low (now that it has been "tested) is the bottom of the bear market.
According to NEoWave, this bear market has only just begun! There is
so much downside to go that it actually scares me to look at monthly wave
charts. Without question, this is the most bearish I have been on the U.S.
stock market and economy in my 25 year career. NEoWave structural conditions
are so bad that a U.S., or even global, financial collapse is likely within
the next 6-18 months.
The last time I was bearish on the U.S. stock
market was 8 years ago at the highs of the year 2000. NO ONE believed me at
that time, but this time around more are willing to listen. Why? In 2000, at
the very start of the bear market, optimism is always high and fundamentals
are rosy. Now, 2/3's of the way through this 13 year bear market, psychology
has shifted significantly, so the bearish case seems more believable. But,
what most people don't realize is how much worse fundamentals (and psychology)
will get. Most believe THIS is the bad period. In the not too distant future,
we will look back at this "credit crisis" as the good ole days!
Based
on how markets and psychology work, the optimism the U.S. public had at the
highs in 2000 will be met with an equal level of pessimism near the future low
of 2010 to 2012. We've seen how quickly Bear Stearns, a major U.S.
corporation, can go from "healthy" to bankrupt. A similar situation is about
to occur for the entire U.S. financial system.
Long-term subscribers
know that, unlike many of my competitors, I've been mostly bullish and
optimistic on the U.S. stock market and economy for most of the last 25 years.
Only at the high in 1987, the high in 2000 and the high in 2007-2008 did I
have any intermediate-term bearish view. But, this time around I'm more
concerned than I have ever been about the U.S. economy and stock market.
There has never been a more serious time to prepare for unexpected
financial events. As always, TIMING is the most crucial aspect of this
process. To improve your timing and protect your capital, NOW is the time to
act. Go to http://www.neowave.com/product.asp and select the S&P
Trading and Forecasting service that is most appropriate for you.
Good
luck,
Glenn Neely
NEoWave, Inc.
You rock. That's why Blockbuster's offering you one
month of Blockbuster Total Access, No Cost.
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