Marc Faber says "avalanche of selling" coming

[BONECRUSHER]

Doesn't anybody buy low and sell high anymore? I'm not talking about shorting, even Ed Seykota has said shorting is much more difficult than going long, but buying assets when in a bear market and sell in a frothy bull market or something similar to that. What asset class is still low right now and what are considered high right now? It seems these concepts don't cross anyone's mind anymore.

 

[Money Trust]

These permabears can't actually trade their own advice. Well, maybe a few. I don't think they're that stupid. If this guy is anything like Peter Schiff and the others, he's probably peddling gold and silver.

 

[DDR]

Faber and Schiff will eventually be right as they ole saying goes, "even a broken clock is right twice a day" But are you going to sit there like a dumb ass watching and waiting for it to be right ? In the mean time you missed the bull run.
The ppl that follow these guys are simply too lazy to do the work themselves.

 

[lesserfool]

How much higher can the market go - who knows?

It would be interesting to see your posted chart in inflation-adjusted terms. Some back-of-the-envelope calculations of inflation for various periods:

1933-1946, 45.5%
1949-1962, 26.9%
1974-1987, 130.4%
1988-2001, 49.6%
2009-2016, 11.9%

 

[Windlesham1]

I was short in 2003,4,5 but made money -use options,stay solvent. The crash will come and all those clever people will be wondering what went wrong. QE -it's not for life...oh wait they havent't paid a frikkin' cent-taxpayers have gifted the next 3 decades to the banksters

 

[W.J. Feathermaker III]

Anybody who has followed this type advice and learned from their mistakes, no longer listens to these predictions.

One time I foolishly drank the doomsday cool-aid , sold everything and went short , then as the market slowly rose against me, I stupidly added more shorts impending the sure crash .

You know the story, I finally coughed up everything for a big loss and it took 6 plus months to regain the hit. When the market finally " crashed " it was a 10% or so pullback. If I had simply let my original position winners run, my account would have been up over 50%.

All markets will correct, and predictions will never quit coming. But you will never see any coverage on the graveyard of the trading accounts that traded these forecasts.

We've all been there. If/when you want to go bearish and do it with conviction, you almost always have a very narrow window to make it pay off. That is why it is such a difficult trade. You can take a look at every "bullish leaning" event, time of month, time of day, overnight, etc...and then have to figure out when that window actually appears. More often than not, it simply doesn't pay off mostly because of the structural bias of the stock market. (Other asset classes are an entirely different story. More two-way price structure, which is why bulls typically like to focus mainly on stocks...certainly can't take a permanent bias to commodities, precious metals, etc, etc..)

 

[W.J. Feathermaker III]

Doesn't anybody buy low and sell high anymore? I'm not talking about shorting, even Ed Seykota has said shorting is much more difficult than going long, but buying assets when in a bear market and sell in a frothy bull market or something similar to that. What asset class is still low right now and what are considered high right now? It seems these concepts don't cross anyone's mind anymore.

There are some grain charts testing multi-decade lows. Wheat comes to mind off the top of my head.

 

[W.J. Feathermaker III]

These permabears can't actually trade their own advice. Well, maybe a few. I don't think they're that stupid. If this guy is anything like Peter Schiff and the others, he's probably peddling gold and silver.

True. Talk about a "pain trade". Gold and silver's move lower during the QE2-QE3 must have had people pulling their hair out. Just a relentless drive lower (a mirror opposite of stocks at the time).

 

[Money Trust]

True. Talk about a "pain trade". Gold and silver's move lower during the QE2-QE3 must have had people pulling their hair out. Just a relentless drive lower (a mirror opposite of stocks at the time).

I remember writing an article shortly before gold and silver broke. I was warning that both markets were about to fall as indicated by the charts. Of course, your gold bugs disagreed vehemently and some even claimed that they were buying even more. These are/were the guys who claim that gold is going to $5k. lol

I find it odd that gold bugs actually believe that during an economic downturn, usually when the dollar is strong, that gold is going to rise. Gold bugs say that gold is a hedge against inflation but what is there to hedge against in a deflationary environment? I guess that's why they're pushing this wild prediction about some upcoming scenario of hyperinflation.

 

[R123]

I guess that's why they're pushing this wild prediction about some upcoming scenario of hyperinflation.

Yes " Gold is the only safe house in the impending currency collapse " your told. Funny they will only exchange their precious stable Gold for your useless deprecating currency. ????