In reality, a Meltdown is expected this year; here’s how to plan.
With the Biden administration seemingly spending trillions every day, the Federal Reserve claiming to keep interest rates down until 2024, a national debt that dwarfs our GDP, and inflation already here, America seems to be bleeding money from both ends… This binge-spending frenzy has often suffocated investment.
With stocks selling at 30 times earnings, you can tell the markets aren’t in a good position right now. From GameStop to Dogecoin to NFTs, 2021 has been characterized by one speculative frenzy after another. And I’m sorry to be the one to break it to you… The Melt Up party is coming to an end prematurely.
We’re in the midst of an asset bubble that’s about to pop, so how do you save your assets from being collateral damage?
On Wall Street, a Perfect Storm
Stocks have been overvalued for years, and it hasn’t made a difference.
For a while, the Federal Reserve has promised low interest rates. COVID-19 has had a positive impact on the economy.
The current Biden administration would almost certainly invest a significant amount of money on job creation and stimulus payments.
You are right on both of these issues, as well as others. They’re also some of the reasons I predicted the good times would last longer than everyone anticipated.
The Fed would hold interest rates lower than people can imagine, for longer than people can imagine, has been my basic idea all along. As a result, asset values such as stocks and real estate will skyrocket beyond anyone’s wildest expectations.
Based on those criteria, the current situation is favorable. But this is also the position you’ll find yourself in just before the market peaks.
In particular… When there is no one left to buy, markets reach their apex. That’s what there is to it.
Unfortunately, we’re on the verge of reaching that point right now. That is precisely what distinguishes this year from previous years.
If you are 55 years old and you treat the Melt Down incorrectly, you might lose half of your investment. Because of a few poor decisions made in 2021, you might have to work an extra ten years before retiring.
As a result, don’t be that man.
Here’s how it’ll go…
On the way up, new investors will make a lot of money. They will achieve self-assurance.
They will deposit even more money into their accounts as a result of their faith, as they will assume they know how to succeed.
The market would then turn against them, causing them to lose money.
Since assets are “on sale,” they will initially see it as a golden opportunity to spend even more capital.
They’ll lose even more money on the way down than they did on the way up in the end.
To escape that course… to avoid ending up like everybody else… it will take immense personal and emotional power.
There’s Enough Time to Take Action…
During a Melt Down, the evacuation you see doesn’t happen immediately. People are obstinate. It takes some time. As a result, the Melt Down can take some time. And it has the potential to be serious. This gradual exodus allows you to leave your places ahead of the majority of the other players.
However, you must act – and sell – when the time comes.
From here, your target should be to engage in all of the Melt Up’s remaining upside capacity… When the Melt Down hits, get out with the majority of your profits.
It’s a lot easier to say than to do. But now you know why someone who isn’t prepared for the Melt Down would take the most harm.
When the day comes, you might want to consider to use the fibonacci sequence to find the support of the market.
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