It's getting to be that time again. If you want to make money in the markets you buy at the bottom and sell near the top.
Not sure if the bottom is in yet, but we're close. I was looking for a drop to $610 or so, and the lowest we've gotten so far is $620, which was on Friday.
The way a bull market works is that at first there are only a few people who are wise enough to get on board. As it attracts more and more money, the price rises, which is the best advertisement to attact even more people.
Inevitably, the price gets ahead of itself and the guys who bought at the bottom sell what they had and more to collapse the price, and shake out the weak hands. Once they've been shaken out, they start to buy again, first covering the shorts they put out at the top- locking in their profit. Then they start to accumulate again, knowing that once people see the bottom is in, they'll come back in and ignite the Bull all over again.
With Gold this will happen a number of times, so you haven't missed out. Even if you aren't a trader but want to buy and hold you can make money.
Get ready by putting funds into an account with an online broker. We should have a bottom in this week or the next. Wait for the the price to firm up and buy in. The same stocks I mentioned before are the ones to get.
In the meantime the market as a whole looks very dicey to me. It looks like it's time for a correction downwards. The next few days are critical. If it the Dow doesn't get back above 11334 soon, I suggest you sell.
