|The world has been on the most epic upward trend in stocks the world has ever seen. There are distinct seasons in all aspects of life, and in the investment world as it pertains to our future, this is definitely true.|
Just because it might feel like we are in the blazing middle of summer riding out the end of this bull market at the moment, that does not mean winter isn’t coming because know this: winter always comes.
This isn’t a market-timing type of piece I’m writing today because the smartest people in the world have no idea what exactly the market is going to do, and betting on it is continuously trying to double down on your odds of Russian Roulette.
It’s my hope that you are, in fact, hedged in these markets. If you’re not somehow against the possibility of a stock market crash, you’re basically having unprotected sex. And just as likely as you are to contract crabs from a $10 hooker, it’s probable to start noticing the leaves turn color and expect winter to come. And with that in mind, winter can be the season you dig your heels in and create massive amounts of wealth, similar to the record amount of millionaires that were created out of the pits of the Great Depression.
From the start of 2019, I told you it was going to be an exciting ride – quite possibly the best year for us here.
Front and center stage, we cannot be ignoring gold. This was something I ended 2018 and started 2019 pounding the table with. Smart investors have not and will not ignore gold in 2019.
We are not even through January and investors are seeing gold decisively spike through $1,300. This is a huge milestone and psychological boundary for the metal. Momentum is creating momentum, and I truly believe it isn’t going to stop.
|Billionaire hedge fund managers John Paulson and Ray Dalio have stayed loyal to gold and more importantly, have put their investment faith in it, in these times of uncertainty and sea-changes we are seeing in the markets.|
As my well-read readers know, even the Fed has their hands in the air as to what to do with interest rates considering what the historically minuscule rate hikes we have seen do to the markets.
These interest hikes for the economy are akin to a 12-year-old skating down a hill only to skate over a small pebble that completely disorients the boy, causing him to fall head over heels rolling over the pavement. The economy is stumbling, and Jerome Powell is scrambling to get the skates beneath the center of gravity.
And I’ll remind you that gold rising isn’t just about gold rising, but the underlined tenure of the feedback we are getting from the stock market.
Here are important takeaways I want my readers thinking about today…
The stock market is going to do what it has always historically done, and that is go up and go down. In a period of a historic upward trend, it should be anticipated that we are much closer to the top than we are the bottom.Gold is signaling risk in the markets.Gold is also building up bullish momentum towards the upside that savvy investors like Ray Dalio and John Paulson have identified and are acting on EARLY (not after Newsweek has printed “Goo Goo for Gold”).Investment decisions must be more precise and honed in on than ever before.