Back in April, I wrote the following:
“Earnings are bad, inflation is bad, the credit crisis is bad…. But isn’t it always darkest before the dawn? Are stock market bottoms made when the news is the worst and things look bleakest? Yes and yes.
But how does one know when a bottom is in place? It’s very [...]

Earnings are bad, inflation is bad, the credit crisis is bad…. But isn’t it always darkest before the dawn? Are stock market bottoms not made when the news is the worst and things look bleakest? Yes and yes.
But how does one know when a bottom is in place? It’s very simple. The price action will tell you. Looking at long term charts of equities, such as the sp500, dow, etc, in my view the dominant trend remains down and rallies should continue to be sold and a long/short portfolio should be more heavily weighted toward the short side. Eventually things will change, probably at the end of 2008 or early 2009 and the dominant trend will turn bullish…. but for now short positions are in order until the fundamental context and price action prove otherwise. –John Bardacino

I am not into martial arts or anything like it, but I am a huge fan of the “Bruce Lee approach to life.” Mr. Lee summed up his philosophy very eloquently when he said the following “Absorb what is useful, reject what is useless, and add what is uniquely your own.” This is [...]

When bureaucrats actually start admitting a degree of truth, its time to be concerned. Most realize that the US is already in recession, of course, its difficult to prove when no one can use the warped and manipulated government statistics to gauge the actual state of objective reality. But the recession theory gained [...]

Understanding currency moves over the intermediate and longer term is a matter of understanding which ones are “relatively least miserable…” In my view, currencies are analogous to a group of individuals that are arguing over who is more miserable. The country that is relatively less miserable will see its relative price rise.
Governmental and [...]