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The U.S. Needs More Inflation?

Inflation is equal tax rate for everyone. It worked during WWII in US, and every country in the world. There is no other way out.

Buy and Hold Is Not the Only Way

It is the market bottom if most of us going to timing the market - according to Hulbert.

We Had a Nice Run There, But Is the Bounce Over?

During last depression, the market bounced back 8 times, all more than 20%, and once was 39%. This is the third bouncing back for this bear market, it is unlikely the last one as the unemployment rate is going up, co earning is going down, and inflation is coming. These are the essentials for bear market.

Don't Be Fooled by the Dead Cat Bounce

I love your numbers, and agree with you 100%.

World War III: U.S. vs. China?

Economic war, yes. American will be the loser, because we spend too much, and they save to much.

Political war, yes. American will be the loser, because we have a highly corrupted Congress - they are still steal money, the pork programs when we have trillion deficit. China have a one party system, but vry effective. Their corruptions are in the low level that are much easier to corrct.

Conventional war, no. We did not fight with Russia, and we are not stupid to fight Chinese. We cannot win for sure.

S&P P/E Ratio Is Low, But Has Been Lower

It would be much higher when co incomes are coming down.

Nine Reasons for Dow 6000

I agree with you. DOW broke the 38.2%, and 50.0% retracements, and is heading to 62.8% retraacement from the top of 14,200. It would be around 5,282.

3 Reasons I Think a Bull Market Rally Is Imminent

You saw a few evergreen trees in the winter but missed the whole forest that was in the mid of the winter. There is always a few bright spots, but don't forget to see the whole picture.

Two Indications of Oversold and Overbought Market

Tuesday: SPX went over the resistant line, nery bullish.

Wednesday, SPX did not go up, but brought down by bad un employment data. The chart is not working if there is a major economic or political news.

How Will Obama's 'Trillion Dollar Deficits' Affect the Markets?

From history internationally, if a government printed too much money, hyperinflation always came and brougnt the government down. In China in 1949, the daily inflation was more then 100%, and Chiang's government was gone in a year. I hope our government knows this.

2009 Dow Projections

We are pushed to buy stocks because stocks' average yield is 3% instead treasury 1%.

How Low Can This Market Go?

The PE was 7 in 1982 while long bond yielded 16%.
The PE is 12 today, will go higher when Co earning is down. But long bond rate is 4.5% today. If we sell stocks, we have no place to hide. Please tell if we may not go down to 5000.

How Will We Know When the Markets Hit Bottom?

The sellers must be exhausted at the bottom.

The Dangers of Timing the Market

Most hedge funds are timing in and out, as well as day traders. It is hard to time, but the reward is good.

Reaching for the Bottom in the Markets

It will rebound, may be 10% and then waiting for the recession with co income and job to fall. The DOW will be lower, The p/e is now 17. It was 7 in 1974. If we would have to repeat the history, we have to wait for another 60% drop. It looks impossible, but think if co.income drop 25% and unemployment rate double from now. We just have more economic problems this time, is not simple problem like in the 30s (barrow to buy stocks,) 70s due to oil inflation, and now barrow to nuy house. Average every American barrowed $20,000 from China, how could we pay them back without using inflation or default? They should use the money to buy America that is on sale now, and be our boss though we are used to have a third world boss. We spent too much we don't have, and we love politician s who cut our taxes and thinking Reagon was great, he cut a lot of taxes for sure. He did not, he barrowed from overseas to expand his military hardwares.