Author: evencio.alvarez14@gmail.com
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The Price of Admission – Volatility
Account volatility runs wild for most people during bear markets. This is not a pleasant experience for the average investor. Humans are creatures of routine and habit. It is in our nature to avoid volatile situations and return back to a safe, secure and steady state environment. But unfortunately for us, the investing game doesn’t…
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Market SitRep – China’s Reckoning
Alex here,When I served as a Marine Scout Sniper, before any mission or exercise we would receive something called a Situation Report or “SitRep” for short. This briefing was meant to prepare us for a coming operation. It’d cover all conceivable risks and go over our plan of action in detail; how to act, and…
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Watch Out For The Bull Trap In Gold
Does the recent rally in gold give bulls the “All Clear” that it’s finally safe to come out? HELL NOOOO… IT’S A TRAP!
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Why Banks Are Being Taken To The Woodshed
U.S. financials have been taken to the woodshed over the last month. Many bank stocks are either in a bear market, or very close to one. They look disastrous from a technical standpoint. As you can see in the charts below, various banks have formed long-term topping (bearish) patterns that indicate a likelihood of further…
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The 4 Horsemen Of The Global Deleveraging Apocalypse Part I : China’s Renminbi Devaluation
This is part 1 of our 4-part series on the global deleveraging which is now beginning and is expected to last over the next 2 to 4 years. We anticipate a lot of pain for the global economy in the form of crashing security markets and depression-like economic conditions. This series will cover how we…
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MLPs: A Great Opportunity In The Near Future, Just Not Yet
Shares of various MLPs have been battered over the last year. It’s a classic case of the baby being thrown out with the bathwater. Attractive MLPs with strong balance sheets have been sold indiscriminately along with over-leveraged operators. Soon investors with dry powder will be able to pick up excellent MLP assets for pennies on…
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Expectations Blockage – Short Spectranetics Corp (SPNC)
It’s important to understand how to evaluate a company. But it’s even more important to know how to evaluate other investors.It all comes down to expectations. What is the majority expecting? How can they be surprised? These factors are what move a stock’s price. And nowhere is this phenomenon more prevalent than in growth stocks. Take…
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The Fed Already Tightened 3.25% And Probably Doesn’t Know It
As seen in the Shadow Federal Funds Rate, the effective interest rate was as low as -3% in April of 2014 before the Fed started tightening. The current rate of 0.25% means the Fed has already tightened by 3.25%. There is no way the Fed will stick to its proposed rate hike schedule. If it…
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Long Bonds: A Safe Haven In Volatile Markets
Long dated US treasuries do well in times of market volatility and provide their best returns during bear markets. US debt is viewed as a safe haven when markets are in turmoil and investors flood into them. Recessions are deflationary and inflation expectations plummet. This increases the expected real return on bonds. Lower growth and…
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Economic Indicators – Retail Sales Report – What Does It Mean?
For the second installment of our Economic Indicators Series, we’ll be reviewing the retail sales number.