With the new year quickly approaching, deciding on what to do for the upcoming year, whether you are a trader or investor, may be crossing your mind right about now. There are countless articles that give a variety of options, all very predictable, and safe, or outright nonsense proclaiming "buy now when stocks are cheap".
Holding gold, (yes, the real thing) is an option that is strongly favored in the jungle, but even that is not necessarily a safe haven. Talk of $2000 an ounce or more has been discussed, especially by those selling gold. But that warm and fuzzy feeling you are looking for could turn cool and scratchy if the price per ounce falls to $600 an ounce right after your $900 per ounce purchase. All that said, I throw the dart at purchasing some gold. Holding five to twenty percent of your total assets in gold might be a worthwhile way to diversify. This is real wealth unlike that stock portfolio of questionable value, or the mattress full of fiat currency that will no doubt be devalued into oblivion.
I feel the need to be direct because the average investor knows little about investing to begin with and has been completely bludgeoned into a catatonic state. 40% losses in a primates life savings can have that effect. So, because Monkey Throw Dart does not want to be the only blog in 'netspace' that has not offered you some investment insight, I give you the following:
1. Consider buying some real gold as stated above. If confiscation is a concern, coins of collectible value might be the ticket. Get educated and READ THIS interesting bit of history.
2. For investors and traders alike, stay right here and follow the signals of the Cheetum Method. If this system works as good as it back-tested last year, you will not want to miss out. This appears to be a safe way to profit from following the trend up or down.
3. If you must trade in individual equities, keep the stops reasonably close because the market will be brutal when it flip the other way. Nothing is safe here and short of making any predictions, I lean toward more price destruction that could drag the Dow to 1995 levels. Does that sounded like a prediction?
4. The best advice is to do something. Even doing nothing is a choice but I am not banking on it being the best move. Maybe waiting for the losing investments in your portfolio to come back will work, but you will have to wait alone.
5. Finally, do yourself a favor and cut cost where you can. Keep the services in check. We pay for everything now... t.v., cell phone, movie rentals, car payments. Decide what you really need and dump the rest. If your car is only worth a couple of thousand dollars is full coverage really needed? Next time you pay bills, give a second look at what you are writing checks for. Cut the fat, and build some savings to fall back on.
Happy Holidays,
Sigmund B. Cheetum
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