In my previous message, I talked about how we moved to defense twice in 2004, but it seemed the market didn't go down either time. If the markets weren't going down, why get defensive? It's an example of where the "generals" stay to fight, but the "soldiers" were...
About a week ago, our indicators told us "supply" was now in control of the market. What happens to prices when there is not enough "demand" and too much "supply" of something? Prices must fall. So we should focus on protecting money. Moving to defense doesn't mean...
After Thursday and Friday's action, the "NYSE Bullish Percent" has now reversed down into a column of O's. This reversal down into O's means the defensive team is on the field. So we move into a wealth preservation mode from a wealth accumulation mode. Does this mean...
Roughly 70% of all stock mutual funds invest in the exact same 500 stocks. These are the stocks in the S&P 500 Index. Seven years ago (Jan. 2000), the S&P 500 stood at 1400. Know where the S&P 500 is today? Go ahead, take a look. It's 1422. The S&P...
Do you know what a "trend change" is? When a stock (or a mutual fund) has been above its' support line, it's in a positive (or upward) trend. When that stock breaks the support line and starts moving down, you really don't want to own that anymore. Because the...
Dizzy From The Stock Market Roller Coaster? Here's How To Get Off: I want to share with you the part of my playbook I use when the market starts falling. Although that is NOT falling now, it also wasn't raining when Noah built his Ark. It's just better to be prepared...
Should we just sell everything and raise cash when the market flips from offense to defense? The short answer is NO. Look, going to 100% cash is a very aggressive call. We'd have to be pretty certain there's no hope at all for the market to make a decision like...
We've discussed several of the plays we have sitting in our defensive playbook. These are steps we can take to protect the value of your account when the market is falling. I wanted to share more defensive market strategies we use to help protect your money. 1. ...
