Prechter’s FREE 10-Page Market Letter: Be One of the Few the Government Hasn’t Fooled
Elliott Wave International (EWI), the world’s largest market forecasting firm, has re-released Bob Prechter’s 10-page market letter, FREE!
Downloaded thousands of times in its original launch, EWI has put it back online for a limited time!
Wall Street Legend and best-selling author Bob Prechter reveals 28 answers to questions you may not know to ask and the government definitely doesn’t want you to know.
You’ll read blunt commentary and sharp analysis that reveals the truth about what’s really going on in the U.S. financial markets, in Congress, and at your very own bank.
As the U.S. government pulls a sleight-of-hand trick on the unsuspecting public, you can break the cycle of misinformation by reading this 10-page report.Click Here to Get Your Free Report
Warning: Prechter’s answers to these questions may shock you.
- What impact did the so-called “stimulus package” have on the U.S. economy?
- In an economic depression, will pension funds keep most retired Americans afloat?
- Who really benefits when the government props up Fannie Mae and Freddie Mac, and what’s the fraud behind the idea of “too important” to fail?
- Who does the government consider to be homeowners: you and your neighbors, or the banks that hold the deeds?
- Who really endorsed the emergency Housing Act – and who will be hurt by it?
- Can the Fed keep making loans to banks forever?
- Is it actually against the law in some states to warn people of potentially dangerous banks?
- And many more!
Don’t wait! Get this free report that readers are calling “a wake up call to lots of Americans.”
Click Here to Get Your Free ReportAbout the Publisher, Elliott Wave International
Founded in 1979 by Robert R. Prechter Jr., Elliott Wave International (EWI) is the world’s largest market forecasting firm. Its staff of full-time analysts provides 24-hour-a-day market analysis to institutional and private investors around the world.
Financial
2
Dec 08
Free Theorist: Be One of the Few the Government Hasn’t Fooled
2
Dec 08
5 Things You Must Do If You Want To Attain Financial Freedom Through Forex Trading
With the amazing growth of the Forex market, you are going to see an astounding amount of traders lose all their money. Unfortunately, they haven’t followed the simple steps I have laid out for you. Go through these steps and give yourself the greatest opportunity to achieve your goals.
1. Have Faith In Yourself
To reach the level of elite Forex trader, you must trust in yourself and your Forex trading education. You must be willing to make all your trading decisions, instead of relying on someone else’s thoughts or ability (or lack of). Of course, you will prepare yourself fully before every risking any money.
2. Accept Your Learning Curve
Unless you are a veteran trader, you will lose money trading the Forex market. This is a near certainty. I don’t say this to talk you out of trading. In fact, quite the opposite. You will be trading against others that fall to this reality day in and day out. You, however, will not risk a dime until you have learned the skills you need to make money trading the Forex.
3. Decide What Type of Trader You Are
There are many ways to trade the Forex. They range from very active to very patient. You must decide which style suits you best. The best time to learn this about yourself is while you are trading a demo account. There is no need to allow your learning curve to cost you money.
4. Get Educated
Education is the shortest path to elite Forex trading. Regardless of your ultimate goals, you will reach them quicker with a great Forex trading education. Take some time to review different options before deciding on who to trust with your Forex trading education needs. A Forex seminar will help shorten your learning curve drastically.
5. Continue to Get Educated
In order to achieve and retain elite Forex trading skills, you must constantly be adding to you knowledge base. Your education should never end. In fact, one of the key points to look for in an elite Forex trading course is ongoing education. It’s nice to have an ongoing relationship with the person/people helping you to achieve your goals.
What separates an elite Forex trader from all others is their desire and ability to be independent. Many traders are willing to follow signals, systems, strategies, or anything else you may call them. By taking this approach, however, these traders are only as good as the people they follow.
An elite Forex trader will lead. Their decisions will be calculated and analyzed to near perfection. They will make decisions with no hesitation, and handle the growth of their account in a predetermined, intelligent fashion. Take your trading to their level and you will never look back.
19
Nov 08
Robert Prechter Explains the Price Effects of Inflation and Deflation
Editor’s Note: On Nov. 19, 2008, the U.S. Labor Department reported a 1 percent drop in the consumer price index for October 2008. The drop marked the largest decline in 61 years, and it was the first decline in that measure in nearly a quarter of a century. The 1 percent drop was twice as large as many mainstream analysts had forecast. Such a large decline in consumer prices is forcing U.S. policymakers to rethink the possibility of deflation in America. For more on deflation, we turn to Robert Prechter, the man who literally wrote a book on how to survive it. The following article, adapted from Prechter’s book Conquer the Crash – You Can Survive and Prosper in a Deflationary Depression, will help you understand exactly what to expect from deflation.
In addition to this article, visit Elliott Wave International to download the free 8-page report, Inflation vs. Deflation. It contains details on which threat you should prepare for and steps you can take to protect your money.
By Robert Prechter, CMT
Before explaining the price effects of inflation and deflation, we must define the terms inflation, deflation, money, credit and debt.
Webster’s says, “Inflation is an increase in the volume of money and credit relative to available goods,” and “Deflation is a contraction in the volume of money and credit relative to available goods.”
Money is a socially accepted medium of exchange, value storage and final payment. A specified amount of that medium also serves as a unit of account.
According to its two financial definitions, credit may be summarized as a right to access money. Credit can be held by the owner of the money, in the form of a warehouse receipt for a money deposit, which today is a checking account at a bank. Credit can also be transferred by the owner or by the owner’s custodial institution to a borrower in exchange for a fee or fees – called interest – as specified in a repayment contract called a bond, note, bill or just plain IOU, which is debt. In today’s economy, most credit is lent, so people often use the terms “credit” and “debt” interchangeably, as money lent by one entity is simultaneously money borrowed by another.
When the volume of money and credit rises relative to the volume of goods available, the relative value of each unit of money falls, making prices for goods generally rise. When the volume of money and credit falls relative to the volume of goods available, the relative value of each unit of money rises, making prices of goods generally fall. Though many people find it difficult to do, the proper way to conceive of these changes is that the value of units of money are rising and falling, not the values of goods.
The most common misunderstanding about inflation and deflation – echoed even by some renowned economists – is the idea that inflation is rising prices and deflation is falling prices. General price changes, though, are simply effects of inflation and deflation.
The price effects of inflation can occur in goods, which most people recognize as relating to inflation, or in investment assets, which people do not generally recognize as relating to inflation. The inflation of the 1970s induced dramatic price rises in gold, silver and commodities. The inflation of the 1980s and 1990s induced dramatic price rises in stock certificates and real estate. This difference in effect is due to differences in the social psychology that accompanies inflation and disinflation, respectively.
The price effects of deflation are simpler. They tend to occur across the board, in goods and investment assets simultaneously.
…………….
For more information on deflation and inflation, including money-saving steps for protecting your wealth, download Elliott Wave International’s free 8-page report, Inflation vs. Deflation.
Robert Prechter, Certified Market Technician, is the founder and CEO of Elliott Wave International, author of Wall Street best-sellers Conquer the Crash and Elliott Wave Principle and editor of The Elliott Wave Theorist monthly market letter since 1979.
7
Nov 08
Retirement Investing
Investing for your retirement is incredibly important, and can help you to realize your dreams of relaxation and enjoyment in retirement. Although it may seem difficult, saving for retirement is not necessarily difficult. Starting early, however, is very important when assuring a secure retirement later on. Saving for retirement demands some sacrifice, but you will enjoy the later years more so if these sacrifices can be made earlier on. There are several opportunities of investment in saving for retirement.
The traditional mentality when saving for retirement has focused on conservative investing. This “low risk, income only” model of retirement investing was followed mostly throughout the 1950s, 60s, and 70s. Recently, however, increasing life spans and inflation have made this conservative technique risky simply because it doesn’t take enough chances. Investing in bonds and safe stock only tends to result in meager dividends that won’t be enough for a long and healthy retirement.
More modern retirement plans must take some risk in order to provide for the retirement that everyone wants. Because of inflation, dividends that once may have been adequate now struggle to provide a decent living for retirees. Riskier investments, often through a mutual fund, are necessary in order to ensure the retirement that you have envisioned. The true threat anymore these days is that a retiree will run out of money. With a more diversified and risk taking portfolio, higher growth will allow a retiree to live in comfort. If this approach is taken early on, the investor can ride out poor markets and still come out with a significant nest egg.
One of the best ways to figure out if your approach is working is to experiment with one of the many online retirement calculators available on the Internet. Calculators such as CNNMoney.com or Bloomberg.com are capable of calculating retirement funds. Although these calculators are certainly not foolproof, they can give you a general idea of whether your investments are going to work in the long term.
Speaking with a financial adviser can also help in determining the viability of your saving strategy. There are several important questions to ask yourself, such as whether you intend on living through income alone, or if you will withdraw from your investment principal. Budgeting for retirement is extremely important, and you must pace yourself financially in retirement.
24
Oct 08
Has Cash Been King for the Past 10 Years?
If you’re like most investors, you’ve been nearly brainwashed with conventional market “wisdom” that stocks are the best way to grow your portfolio.
You would be crazy not to have your money in the markets, right?
But when markets drop, as we’ve seen in this credit crisis, it’s amazing how quickly the story changes.
Steve Hochberg and Pete Kendall, editors of Elliott Wave International’s Financial Forecast, challenged the notion of stocks’ superiority years before this latest downturn.
Learn how cash has been king – and will remain so – far longer than the latest news headlines may have you believe in this free excerpt from Elliott Wave International’s Credit Crisis Survival Kit.
Elliott Wave International has also made the full Credit Crisis Survival Kit available free for a limited time. In addition to this excerpt, it contains 14 other articles, reports, and videos that reveal how to survive and prosper during the credit crisis. Visit EWI to download the kit, free.
Cash’s Invisible Reign Made Visible
[excerpted from Elliott Wave Financial Forecast, August 2008]
With respect to cash and its status as the preeminent financial asset, however, we are starting to wonder if investors will ever come around to our point of view, which, as we explained in the March special section, is that there are times when “the phrase ‘focus on the long term’ means “get out and wait.’” As we also pointed out, the last eight years are clearly one of these times, as cash has outperformed all three major stock averages over this period. A July 3 USA Today article shows how this outlook is actually becoming more farsighted as the bear market intensifies:
3-month Treasuries Beat
S&P 500 for past 10 Years
The article says, “Investors who bought stocks for the long run are finding out just how long the long run can be.” But the farther back in time cash’s dominance stretches and the rockier the stock market gets, the farther investors seem to move from ever taking anything off the table. After stating that “there can be times, long times, when stocks won’t beat T-bills,” a professor and popular buy-and-hold advocate is cited as “optimistic that the next 10 years will be better than the past decade.” In March EWFF stated, “Cash will continue to outperform until stocks are no longer fashionable.” There is no sign that such a condition is even close to happening.
It’s somewhat amazing that cash is not capturing anyone’s fancy because a tremendous society-wide thirst for cash is spreading fast. “In a deflation,” the Elliott Wave Financial Forecast has stated, “Rule No. 1 is to unload everything that isn’t nailed down. Rule No. 2 is to sell whatever everything remaining is nailed to.” The banking system is surely deflating, because, echoing Elliott Wave Financial Forecast’s wording again, “Desperate American Banks Are Selling Everything That Isn’t Nailed Down.” SunTrust is selling its stock in Coca-Cola, an asset the bank held for 90 years. Merrill Lynch sold its founding stake in Bloomberg as well as various other subsidiaries.
Meanwhile, “Americans are selling prized possessions online and at flea markets at alarming rates.” Pawnshops and auction sites are booming. At Craigslist.org, the number of for-sale listings soared 70% in eight months. This fits with our review of Craigslist’s prospects when it was getting started in 2005: “This is just the set-up phase. Once the global garage sale really gets rolling, truly astounding volumes of dirt-cheap goods will be available on-line and elsewhere.” The global garage sale is on. The chart of the U.S. savings rate shows that the bull market in cash has come to life.
A 30-year downtrend in savings rates ended at minus 2.3% in August 2005. In May 2008, the savings rate skyrocketed to 5%. This jolt may be somewhat overstated due to the arrival of the government’s stimulus checks, but the burst should be the start of a critical new mindset among consumers. When the government showered the economy with $600 checks, many did something they never would have thought of through most of the bull market: They put the money in the bank, which is exactly what the administration did not want. In fact, federal, state and local governments are desperate for the tax revenue that a little ripple-effect spending would have generated.
According to the National Conference of State Legislatures, states must close a $40 billion shortfall in the current fiscal year. “The problem today is that tax revenue is vanishing,” says a story about the sudden appearance of the worst fiscal crisis in New York since 1975. Even cities like East Hampton, New York, where someone paid $103 million for an oceanfront house last year, are out of money. “Nobody understands how it happened,” says one resident. The pages of this newsletter show otherwise. If we are right, a deflationary decline is depleting and destroying cash flows in novel new ways that no one alive has experienced before.
The previous analysis was excerpted from Elliott Wave International’s Credit Crisis Survival Kit. The kit, featuring 15 free resources to help you survive and prosper during the credit crisis, is available free. Visit EWI to download the kit, free.
15
Sep 08
Today’s Financial Outlook
US Crisis rebounds: Merryll Lynch and Lehman Brothers enter the fray
Last weekend the US damaged economy had to deal with a new severe blow. Merryll Lynch was sold to the Bank of America for $29 a share at a value of $50 billion. Meanwhile, Lehman Brothers faces the bankruptcy after failing in its attempt to find potential buyers.
The Federal Reserve board announced on Sunday several initiatives to provide additional support to financial markets, including enhancements to its existing liquidity facilities.
On Monday, the news are affecting world stocks and all the financial markets are already reacting to the crisis.
OPEC draws a line in the sand at $100
OPEC surprised the oil market in the past week by announcing a cutback in oil production of roughly half a million barrels a day. Indirectly, OPEC made it clear that the cartel would not accept a price below $100/bbl. However, there has been a shift of sentiment in the oil market in recent months.
7
Aug 07
Jim Cramer Goes Mad On ‘Mad Money’
“…in the fixed-income markets, we have Armageddon.” screams Jim, check out the video below, and see how out of control he got.
Cramer is host of CNBC’s Mad Money and co-founder of TheStreet.com. According to the January 27, 2006 episode of High Net Worth on CNBC, Cramer has accumulated a net worth of over $100 million. He currently resides in Summit, New Jersey.
Cramer now has his own television show on CNBC, Mad Money with Jim Cramer, which features his rapid-fire opinions on stocks suggested by callers. Mad Money is also well known for over-the-top antics such as Cramer throwing chairs, showing his latest book whenever a caller mentions it, humorous sound effects, and for the catch-phrase “Booyah”. Cramer frequently takes the show on the road to various U.S. colleges. Mad Money continues to be one of CNBC’s most highly rated shows. [Jim Cramer on Wikipedia]
5
Jun 07
Apple iPhone launch on 29 June
iPhone to arrive by end of June This is Money. iPhone is a revolutionary new mobile phone that allows you to make a call by simply pointing your finger at a name or number in your address book, a favorites list, or a call log. iPhone includes an SMS application with a predictive QWERTY soft keyboard that prevents and corrects mistakes, making it easier and more efficient to use than the small plastic keyboards on many smartphones. It will sell for $499 or $599 depending on configuration. The US model is not fully 3G, but the European model that will follow it is expected to be 3G. So it may Impact the mobile market, you better watch AAPL.
Apple have announced that they will be launching the iPhone in the US on June 29. Apple also announced that its goal is to capture 1% of the global mobile phone market, which would be approximately 10 million units being sold in the first full calendar year of iPhone availability.
