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Profiting from a Bear Market

Negative Economic Forecast

Great Systems for Bear Markets Workshop May 1 - 3, 2010

Investing Trading Seminars Webinars Workshops Events 2010 Schedule

Whether you think the bear market rally bounce is over and the market and investment asset prices are headed lower, or you think the the economy will continue to recover and investment asset prices are headed higher from here, it's good to be prepared for both. Today is about preparing for a very possible bear market and how to survive it and or profit from it.

First, it's important to know the indicators of a bear market.

Second, it's important to have a plan on how to invest and trade in a bear market to either profit from it or simple survive it.

Bear Market Indicators To Review and Analyze

Deteriorating weekly and monthly economic reports and indicators. Increasing unemployment rates and decreasing gross domestic product reports. Very possible sovereign debt defaults around the world from Greece Spain Portugal, and yes the USA. Declining company earnings reports. More problems from the real estate market, lower housing prices, more foreclosures, less home sales and construction. Increasing inflation or deflation of which both can send asset prices lower. Politics, wars, terrorism, and natural disasters. Significant slowing in the growth economies of emerging markets such as Asia, China, India, and Brazil. Lastly analyzing price charts for chart patterns that show signs of decreasing buying strength and increasing selling pressure. All of these negatives add up and create a lot of fear in the markets, or what is also called Socionomics.

Profiting or Surviving from a Bear Market

After analyzing all these indicators above, you have choices on how to profit and or survive in a bear market. First, you could be an active short seller of stocks, or place money in a bear market mutual fund or trade forex and futures to the downside. Second, you could sell all your assets and sit out the bear market all together. Third, you could hold your assets and try to ride out the bear market. Me, I would be an active short seller of stocks and other assets. Selling all your assets and waiting for the reversal of the bear market later one is an ok option I guess. The worst would be is to hold and try to ride out the storm. Hang out in the storm long enough and it just might kill you.

Chance Favors The Prepared Mind

If your the type to be active and invest and trade on the short side, then be prepared to be ready to act. In my 20 plus years of investing and trading the markets, when prices are falling, they seem to fall harder and faster compared when they are going up many times. Also, bear markets can move slowly down too. The slow bleed bear market takes its death toll as the market drifts slowly lower and lower over time causing extended pain and suffering psychologically and financially. That combination is a destructive force on people in more ways than one.

"To Be Prepared Or Not To Be" Is The Question

Its all about getting the education knowledge, setting dated goals, having a plan, taking action, to survive and thrive in a bear market. These financial crisis days, there are many bear market investing trading seminars, webinars, workshops, and events where you can learn the finer details of surviving and profiting from a bear market. Below is one of them coming up this Saturday.

Bear Market Systems Workshop May 1 - 3, 2010

Learn five systems specifically created to make money in bear markets.

When the markets start falling off, do you step back? Does the volatility associated with bear markets scare you? Do your trading systems let you down or even surrender hard-earned equity in a declining market?

If you answered "yes" to any one of those questions, you are far from alone. And, if you are not well-prepared to trade declining markets, you are very prudent to pull back from the markets. Better to leave the markets temporarily and wait for more profitable conditions for your systems and your style of trading.

What if you were prepared, however, and bear market conditions offered you opportunities for significant profits? What if you had trading systems custom made to perform well in falling and volatile markets? What would it be worth to you to understand bear markets better and to know how to trade them profitably?

The Van Tharp Institute designed this workshop and these particular systems for our clients who want to take advantage of declining markets—a condition that we expect to reoccur through the coming years during a secular bear market.

What You Will Learn

Day One: Bear Market Essentials

Day Two: Bear Market Systems

Day Three: Live and Simulated Trading

Benefits of Attending the Workshop

• Recognize bear markets and the need for unique strategies required to trade them so you can know when and how to change your strategies in a timely manner.

• Grasp the importance of Van Tharp’s principles on trading psychology, systems, and position sizing strategies before you start trading, which will allow you to trade profitably over the long term.

• Comprehend the key concepts of shorting and be able to apply shorting strategies easily in down markets.

• See one or more of the systems traded live on Monday and practice trading using a trading simulator.

• Discover five trading systems that will equip you with multiple ways to succeed in bear markets.

Here's what other attendees said about the workshop:

"I got far more ideas, strategies and information than I had expected. The material presented was excellent." — P. Bayley

"I only expected to learn systems, but learned a lot more." — M. Finlay

"Fantastic course. I got far more than I was expecting! I'm buzzing." — I. Jones

"The only place you get 'Tharp Think' delivered by real world traders." — P. Foskett

"A valuable course that I thought was presented in an informative way. I liked the fact that it was interactive." — L McIntosh

"Very interactive, excellent content." — M. Tan

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