HUGE Trap: This is Urgent!
President Trump has managed, through his policies, to cut the red tape needed for businesses to function in America. In one year, the unemployment rate has fallen to 4.1%, consumer confidence has hit a 17-yr high, tax cuts are allowing tens of billions in offshore cash to come home, and now Trump is asking congress to approve a gigantic $1.5 trillion infrastructure plan.
On the face of it, things couldn’t be more exciting for the U.S. economy, as with the amount of retirees exiting the workforce, there’s a shortage in skilled workers, which will give millennials the opportunity to receive higher wages, make more purchases with their income, originate new mortgages, and keep the debt casino rolling.
But, the truth is that value investing is all about finding the most miserable, dark, and grim periods of human emotion, times when investors do not want to hear about stocks and just want to stash their cash in mattresses – those are the best times to buy stocks.
This is the key to making serious returns because of one determining factor called expectations.
You see, low expectations allow investors to purchase stocks, which are essentially fractional ownership positions in businesses, on the cheap.
Wealth Research Group has looked back at times, when unemployment was this low going back 38 years, and the returns of the stock market one year later – the results are horrible.
Expectations are so high right now from the average investor that the universe of stocks is all priced for euphoria – there is only one place to go from here and that’s down – don’t fall into this trap. Instead, buy only what’s still cheap.
Tuesday’s and Wednesday’s trading action was only the first act of this correction.
February 2018: Nine Months of Due Diligence Coming to Fruition!
Wealth Research Group has taken giant steps to make sure we capitalize on the global run-up in stocks, as contrarians.
Right now, we’re preparing 3 Shopping lists:
- Wealth Stocks: this is my personal Watch List of the world’s best long-term businesses that I will be buying when the market makes its final blow-off top move and right after it falls like a meteor on all the latecomers who are now only entering the stock market for the 1st time since the recession.
- Natural Resource Stocks: It’s not time to get fully aggressive yet, but as you know, when the NASDAQ fell 80% in 2000, the commodities sector began an 8-yr bull market, which made many people into millionaires and billionaires.
Stamina and cold-blooded resolve are needed to be part of the mining world, as stocks bounce 25% up or down for no fundamental reason on any given day.
Wealth Research Group has been using its proprietary software to back-test the trading action of mining shares during the ’99-’02 era, and we’re seeing many of the same characteristics as today’s.
In 1999, resource stocks were thinly traded (like today), and sparked no interest from investors (like today), who chased tech stocks instead.
Some of the headlines in mining magazines back then, which we track, are very similar to today’s outlook – a core group was and is eternally optimistic (which is a mistake in a cyclical industry), but for the most part, there was a feeling that mining riches was over.
Literally, investors were throwing in the towel.
One year later, the mining sector started its most epic ascent in history and what’s fascinating is that some of the billionaire hedge-fund managers revealed that they started accumulating in 1996, a full 4 years before the market finally bottomed!
Being early is very common and is much more profitable than being late.
Mining is the toughest business to value and to time. Therefore, it is all about sticking with the right people because they can lead their companies during the dark years and prepare them for the boom times better than anyone else.
There is no other newsletter in the world that is connected with CEO’s of the highest-quality resource deals as we are. On any given week, we learn about all the new deals in the sector, but discard 99% of them.
When the time comes to get seriously aggressive, we will be positioned better than any newsletter, and I own only the stocks we cover.
- IPO List: This is what I’ve been working on for 9 months.
It’s the most important layer of our plan of attack for 2018 and beyond.
In February, we’re going to unleash the details of it for the first time.
In fact, we’re going big on this – the best deals are the ones we can get positioned in immediately, since we’re beating the investors in the 2nd, 3rd and 4th, levels of knowledge.
You see, because we have deep-rooted relationships with key people, we’re at the 1st level of knowledge, and I plan to keep us here.
This gives us an edge over investors, who only hear about IPO’s and newly traded companies, months after the fact.
February will be our most important month ever – it’s on!