Member Logon
About Us
Free Trial
Investment Guide
Wall Street Update
Media Appearances


History's Forecast (Don't Read This !!)

     Historically past market corrections are screaming lessons we could benefit from! Looking at past market corrections with 20/20 vision provides a wealth of information. If you invested in the market immediately after every crash or correction you would have made money. After each major market decline over the past 70 years it has taken a shorter and shorter period of time for the market to recoup its losses and go higher. The last two market corrections (fall 1998 and fall 1999), have taken less than 90 days for the market to recoup their losses and go higher.

    During the first quarter of this year stocks were going up 50 to 100 points in a day, 300 points in a week. IPO's were going up 200 to 300 percent in their first week of trading. People were making money hand over fist!!!!! What did the people who missed the January/February rally say to themselves? "I'm going to jump in when the market goes down and stocks are more reasonably priced. I'm not going to miss the next rally!!"

    Well, guess what? Here's your opportunity. Investors were buying stocks when the market was at 5,000. They were buying when the market was at 4,000. If they were buying stocks when the market was at 4,000 and 5,000, why wouldn't they be buying stocks now when the market is at 3,000? Who's going to make more money, the guy that bought stocks at 5,000 or the guy who's buying now at 3,000? EXACTLY!!!! After this market rebounds, you may have to wait 3 or 5 years for the market to correct itself significantly enough to buy stock around these levels again. There are investors out there who wish they could have bought after the 1987 crash, the 1994 crash, the 1998 and 1999 corrections. Six months from now, investors are going to wish they bought after the April/May crash of 2000.

    We've had five ¼ point interest rate hikes over the past 9 months. We just had a ½ point rate hike and we feel that the FED will finish this series of interest rate hikes in June with another ½ rate hike. After that we expect a summer rally because the FED won't meet again until October. Right now we're at the tail end of a correction. All investors: institutional investors and individual investors alike are all waiting for the catalyst that's going to turn this market around. One possible catalyst is Prince Alwaweed. He's the 5th wealthiest man in the world. Last week Prince Alwaweed put a BILLION dollars into the stock market. It shows leadership. All you need is one catalyst for the market to turn. Then other Billionaires and other Institutions start jumping in. The guys who are going to make the most money are the guys who are buying stocks at 3,000 not 5,000. Another possible catalyst to turn the market is the fact that there is currently $2 Trillion dollars sitting on the sidelines waiting to re-enter the market. When it does re-enter the market I'd rather be invested one week too soon than a week too late.

View our Past News Articles