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Stock-Markets / Financial Markets 2012 Oct 06, 2012 - 03:38 AM GMT

By: Eelco_Lodewijks

Stock-Markets

Conclusion

Looking at a brief list (<1 page) of looming crises coupled with the best investment strategy for each, I come to this even shorter conclusion.  The common Denominator is going long Gold and Silver.  Secondary Strategies would be shorting a) The Dollar, b) Bond Markets and c) Mega Banks (could be bailed out?) in that order. 


Risk vs Investment

  1. Dollar Collapse:- Everyone getting out of the Dollar + QE-finity = 90%+ now.
    1. Short the Dollar – anytime as it has little upside; and/or
    2. Long on Gold and Silver – as the ultimate currency hedge.
  2. Other currencies lose value:- QE-Finity in EU, UK & Japan = 90% soon.
    1. Short Currencies & Long Gold and Silver as above.
  3. Bond Market Collapse:- Yields at 200 yr low, will rise some day = 90%+ 3yrs.
    1. Short the Bond Market – when yields break out to the upside; and/or
    2. Short the Mega Banks – many banks will collapse; and/or
    3. Long Gold and Silver – on inflation expectation with rates rise lagging.
  4. Nymex and/or Comex Failure:- Delivery failure = 60%+ 3-5 years.
    1. Long on Gold, Silver and other commodities – as shorts cover;
    2. Short the Mega Banks – as they have Naked Shorts
  5. Derivatives market collapse:- Triggered by any of the others = 80%+.
    1. Short the Mega Banks – they are the big holders of Derivatives.
  6. Systemic Collapse:- Triggered by any of the others – Back to Barter?
    1. Long on Gold and Silver – Would be needed for Barter Trade.
  7. War:- Likely in Middle East – USA, Russia, China etc likely to stay out.
    1. Long on Gold and Silver - Would have positive effect but short lived?
    2. Long Oil – as disruptions to Middle East supply would raise prices.
  8. Social Unrest and Anarchy:-
    1. Long on Gold and Silver - Would have positive effect but short lived?
  9. Global Equity Market Collapse:- Could drop 50% and then float higher.
    1. Difficult as this could go either way – safer plays further up.
  10. Property Market – Could drop further.
    1. Difficult as this could go either way – safer plays further up.
    Read more about “Modern Fraud Money Explained at:

http://www.jhbcoinexchange.com/critical.php.  Download PDF on bottom right.

Read more about “Why Gold is going up and How High at:

http://www.jhbcoinexchange.com/whygold.php.  Download PDF on bottom right.

Lists 15 flags that will warn you when Gold is nearing its final peak.

Read about risks of Global Systemic Collapse – this is a Must Read

Google “FEAST Trade-Off” – Download PDF

Good luck investing in these troubled times.

Eelco Lodewijks – The Flying Dutchman

Eelco Lodewijks is semi-retired and has spent 25 years studying and understanding the Global Economic Dynamics.  During the past 15 years he focussed on investing in Gold.  Eelco owned a Gold Coin Dealership in South Africa for a number of years.

Disclaimer:-  Anything posted in these articles should not be considered as specific investment advice.  The article is written for information purposes and any suggestions should be considered as illustrative and not as specific investment advice.  Read a lot to educate your-self and be sceptical about all information until it has been confirmed by numerous sources.  Remember, the market may go the opposite direction from what everyone expects, at any time, so never put all your eggs in one basket. If you cannot set your own portfolio, please read my educational report “Investment Guidance”, where I discuss how to go about setting your investment strategies.

Copyright © 2012 Eelco Lodewijks - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


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