Market Update: Get Your Cash Ready
As you are aware of, I don’t send out alerts that much at all on stock market in general. The reason is that I’m more of an investor than trader. In the past, my record has been that I’m far more accurate in calling short term bottom than short term top. Most of the time I BUY to invest. When my stocks fall 20%, I wont’ even blink my eyes. I’m really a long term investor.
It looks to me that the big rally is coming possibly early. I have been expecting markets to fall towards September 1st, the date for the short term bottom for 4-year election cycle. Due to today’s good news in CPI core rate (falling!? you got to be kidding!), market is reducing the chance of rate hike in the September meeting. If the trading volume keeps increasing, there will be a very good chance of a Xmas rally.
Especially with NASDAQ leading the market rally, it’s a very good sign. If you don’t have ANY things in this market, you should put your cash in maybe now. I think definitely one should get fully allocated into the stock market by mid-September. You can average your money in from now till then.
GET YOUR CASH READY! AND GET YOUR STOCKS! Buying market indexes or sector indexes should be good enough. By the way, I’m not buying yet. I will wait for S&P 500 to break 1280 first, and then pull back. Don’t use up your “bullets” either. The curse of 4-year election cycle may be worse than you think.