Harry Newton's In Search of The Perfect Investment, Technology Investor. Harry Newton
November 23, 2009: Several trends are evident
to everyone and their uncle:
Gold will continue to rise.
The dollar will fall further. Perhaps precipitously.
Stocks will rise because bonds -- the alternative -- pay so little, and the
economy of listed stocks is improving.
did a little Q&A in his latest newsletter:
Russell, there's an awful lot of publicity (ads, headlines) about gold now.
Most of these ads "promise" higher gold. Do you think this is bearish
Answer -- Ordinarily,
I'd say that it was bearish. But in the case of gold, I think it's bullish.
Remember, gold has been "officially" denounced by governments and
central banks for decades. But all the publicity that gold is receiving now
is alerting the public to the fact that gold is money and that gold is acceptable.
I like all the publicity that gold is now receiving. Consequently, I call
gold "the metal that has come back from the dead.".
John Mauldin writes,
gets too strong in one way or the other, it is usually setting up the markets
for a rally in the despised asset. Mr. Market likes to do whatever he can
to cause the most pain to the largest number of people.
no question that a lot of nervous money is invested in the market, and it's
willing to jettison at the first sign of disruptive news -- much like jumping
out of a moving vehicle.
highlights the old aphorism: When in doubt, stay out.. That does
not mean Sell everything. (I still love Apple and Google.) That means be wary,
1. Keep lots in
2. Stay eagle-eyed
on those 15% trailing stop losses.
3. Don't sweat
it all. You cannot make sense of huge government deficits, incompetent Washington
administrators and legislators, worsening unemployment gold and silver bubble
hyping and (now) talk GE is going bankrupt.
.A reader, Ross,
sends some neat charts:
Says Ross, the
dollar is not at a new low.. Plus, in the past two weeks there have been upside
anomalies (dollar futures traded over 82 a couple of days ago), ICE had to remove
the trades.. A week before that UUP (bullish dollar ETF) had some serious call
buying. These anomalies often foretell something is happening below the surface.
I would not short the dollar here or buy copper or any commodity other than
gold on pullbacks (a very long term investment, more of a insurance policy).
Porter Stansberry could be correct and the dollar may go to 45 as Peter Schiff
has suggested but as a contrarian I believe we could see a significant rally.
Something like we have seen in the S&P and commodities the past 6+ months.
That would shake the market big time. Stranger things have happened.
to Mammograms by Robert Aronowitz.
Big Squander by Paul Krugman.
the Waves of Irrational Behavior by Justin Fox.
the US Funds The Taliban by Aram Roston.
biggest compliment. On Sunday I played a heavy hitter. He asked me
how old I was. Answer 67. He said he hoped he would play as well as I played
when he was 67.
Nothing is more
important than your health. Remember The China Study?.
The authors conclude
that diets high in animal protein (including casein in cow's milk) are strongly
linked to diseases such as heart disease, cancer and Type 2 diabetes.
In short, cut
down on your meat eating and milk drinking. Eat less and exercise more.
This column is about my personal search
for the perfect investment. I don't give investment advice. For that you have
to be registered with regulatory authorities, which I am not. I am a reporter
and an investor. I make my daily column -- Monday through Friday -- freely available
for three reasons: Writing is good for sorting things out in my brain. Second,
the column is research for a book I'm writing called "In Search of the
Perfect Investment." Third, I encourage my readers to send me their
ideas, concerns and experiences. That way we can all learn together. My email
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