Stocks: Expect Nuclear Smashes!
We’ve officially entered the last phase of this bull market. The quiet and boring run-up in stocks, fueled by zero interest rates, low inflation rates, and central bankers telling signaling investors they’ll keep buying overpriced, toxic assets is OVER.
In April of 2017, Wealth Research Group first stated that we saw a euphoric mania stage lasting 3-4 quarters – it’s been 3, like we assumed, and we saw massive gains with our Wealth Stocks, such as W.W. Grainger, which has gone from $180 to close to $270, during this time.
Now, we’ve entered what I termed the “Blow-Off Top” period and here’s what you can expect: Raging volatility, month-long hard corrections (10%-13%), and then even bigger moves to the upside after they end. I expect 3-5 such corrections, then an ultimate peak, followed by a 26%-32% crazy bust, all before 2020.
12 years ago, I made one of the most important decisions of my investing career, in hindsight, and paid for an expensive options training course. It was worth every cent. In fact, I’m a huge believer in spending time and money on niched education and 1-on-1 training. I learned Jet-Surfing that way, flying Cessna planes, scuba diving, and now, my next big challenge is helicopters.
What I learned at the options trading course, specifically regarding advanced set-ups, including selling puts and writing collar-protected covered calls, has genuinely helped me circumnavigate through 2008 and generate income from stocks every month since then, in the form of pemiums.
In light of the fact that the VIX is surging higher and now trades are at very attractive levels for options trading and since I expect this mayhem to go on for another year, as we are going through a “Blow-Off Top,” similar to ’99 trading patterns, I want to show you how to safely generate big returns with highly-advanced strategies, which you can implement right away.
We will publish our Options Income: Enjoy the Volatility Report on February 18th.
As you can see, cryptocurrencies are also absolutely tanking hard – we booked massive profits on Ripple in late 2017, and before that, we had huge gains with Dash, Monero, Steem, Ethereum, and Bitcoin as well as Litecoin.Article content here
I’ve contacted some of Bitcoin’s early adopters to inquire if they’re ducking in foxholes right now and what they make of it, to see if our outlook on the situation is congruent with theirs.
Bitcoin is down more than 50% since 2018 began – Its worst start ever to a calendar year.
This is very beneficial for our newest No.1 blockchain company, since it is still private and avoiding this horrible sentiment altogether.
Wealth Research Group sees this catastrophic pounding of cryptocurrencies as healthy for this sector – it was too rosy and people became too cocky.
We’ll see 2 months of consolidation right now, before the crypto economy accelerates again – I’m personally not allowing this crisis to blow over without positioning big in select blockchain opportunities.
Mark my words – every tightening cycle is the same:
- The FED begins to raise rates.
- Investors see this as a signal the economy is doing better.
- Shares of tech companies (NASDAQ and cryptocurrencies this time) trade for silly-expensive valuations.
- The market tops.
- Commodities begin to outperform big-time.
This time will be no different.
Yesterday’s price action confirms that we’re in a correction and you WANT to be a buyer here, if you don’t mind experiencing a heart attack every couple of months for another year, in exchange for the profits you’ll be booking.
For my legacy portfolio, where I buy, hold, and reinvest the quarterly dividends to buy more shares over decades, my top 2 stocks right now are:
- Kimberly-Clark (NYSE: KMB) up to $110. They own Kleenex, Huggies, and Kotex, among other brands.
- Cardinal Health (NYSE: CAH) up to $63. This is one of the 3 largest drug distributors in the U.S., and I expect it to make investors a fortune by holding it for 20 years.
HERE’s our full research on it.
Your highest priority right now is to understand that this is how the market will behave – erratically and with wild swings, which are useful for both traders and value investors. You need to find your strengths and capitalize on them.
Secondly, prepare for a recession. If you’re a retiree, consider freelancing to supplement your income, and if you’re actively building a career, prove yourself and do more than is expected of you – you’ll get promoted, while others get left behind.
Lastly, take this chance to study how you deal with events, which are outside of your control, such as a broad stock market panic sell-off – the key trait of character to develop here is flexibility. Build your character. It’s a golden opportunity, which will assist you in future ones.