Remember to get short the market

[davver]

Many of you own gold, but I also recommend being short the market. It is hard to know if we will see an inflationary or deflationary collapse at this point, but whichever it is the dow/gold ratio usually goes to low single digits in severe economic downturns on either end.

I don't know if tommorrow is the day to get in cause its so down. I already am. I recommend selling into the rally when the Fed cuts rates at the end of the month.

 

[jonahtrainer]

Many of you own gold, but I also recommend being short the market. It is hard to know if we will see an inflationary or deflationary collapse at this point, but whichever it is the dow/gold ratio usually goes to low single digits in severe economic downturns on either end.

I don't know if tommorrow is the day to get in cause its so down. I already am. I recommend selling into the rally when the Fed cuts rates at the end of the month.

Being short when nominal prices can be inflated to high heaven is not a good idea .... if you are going to short buy puts to limit your risk.

Now if I could short the DOW in terms of gold .... I'd be a happy investor!

 

[davver]

You own gold in case inflation wins. You short stocks in case deflation wins. Either way the ratio should close.

 

[RickNHouston]

You Want Answers .... You Get Answers

Many of you own gold, but I also recommend being short the market. It is hard to know if we will see an inflationary or deflationary collapse at this point, but whichever it is the dow/gold ratio usually goes to low single digits in severe economic downturns on either end.

I don't know if tommorrow is the day to get in cause its so down. I already am. I recommend selling into the rally when the Fed cuts rates at the end of the month.

For your reading pleasure...

http://www.energybulletin.net/12125.html

 

[theskaven]

Many of you own gold, but I also recommend being short the market. It is hard to know if we will see an inflationary or deflationary collapse at this point, but whichever it is the dow/gold ratio usually goes to low single digits in severe economic downturns on either end.

I disagree, it's a risky strategy. The best and safest bet is gold.

The Fed and their banker buddies in Washington will never allow a true equities collapse. They will use the plunge protection team and inflate the money supply 100% if they need to keep the equities moving forward.

Never bet against the markets, it's a losing proposition. If the DOW gains 1000 points over the next year but the dollar was debased 40% to do it, your short bets gained you nothing but your gold is worth 40% more.

 

[asterisk]

http://www.energybulletin.net/12125.html

great read. thanks a million (in gold of course) for posting that.