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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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