Copyright Coinpicker.US 2019
December 11, 2018
Opportunities Update in the Financial, Crypto, and Alternative Markets
What a wild ride for 2018!
Current TCMC is $110.7 B
Here is what to NOT care about:
If we are in a bear market now or will be soon
If the economy is now or will soon be in a recession
If the housing market is headed down
If bitcoin or the crypto market is headed to $0 (it is not)
Anything from the television or main stream media
What to FOCUS on:
Where are the opportunities to increase your wealth short term, medium term, and long term
How you can create cash flow to allow for stress free trading and investing
Ways to make money in falling markets
Finding hidden markets that are rising – while no one notices
Ways to secure your (and your loved one’s) future health, wealth, and happiness no matter what life brings
Ok, now that I have shifted your attention from fear to opportunities, let’s dive into specifics to put a plan together:
Pretty well ignore the crypto market as I have been recommending for many months. Until the first quarter of 2019, crypto will suffer. There is quite likely to be a tradeable uptick across the top cryptos around January. I will be monitoring my indicators and the trading traffic to alert my paid subscribers early while updating my free subscribers after the move has made some progress and is still profitably tradeable.
As predicted for several months, one of the best trades has been shorting the FAANG stocks using long dated options of 3-4 month expirations. Both times that trade was recommended, it scored extremely well with more than a 100% return in less than 60 days depending on the option you chose. That trade still has more to run but will be trickier to time. All indexes are ripe for shorting, especially the NASDAQ.
Read the rest of this hard hitting article at http://coinpicker.us/
Commodities are being hurt like most markets as liquidity dries up around the world, but the agricultural commodities will rebound significantly including rice, corn, soy, and many other soft commodities. Food scarcity is a them for the remainder of most of our lives so plan accordingly. One my personal investments is storing large quantities of food along with buying commodity funds focused on food futures. (Specific recommendations for subscribers).
For those of you who have followed my recommendations or videos for more than a year now, you may recall that I predicted around mid-2017 that wheat would be in a long term major uptrend NO MATTER WHAT ALL OTHER MARKETS DO. Here is the chart that proves the prescience of that statement:
While I am pleased to be accurate and profitable on this prediction, food price rises hurt almost everyone except those trading on the type of knowledge I provide for you, my valued reader.
This trend will continue for the foreseeable future with some minor swings, but in a virtually non-stop upward trend for perhaps years. The way to profit and survive is clear: stock up on long term food supplies both as security and for future selling for hard cash. I have done this before with a product that went from $5 per box to over $55 per box if it was even available. Those of you who were in this market know what I am referring to. Expect the same kind of increase in the major soft commodities like wheat, rice, corn, even potatoes and virtually all forms of sustenance. Think of freeze dried foods as more than a rainy day need, but a potential profit opportunity when the inevitable price explosion hits. Already across Europe, parts of the the Middle East and Asia, potatoes, rice, wheat and many other staples are in short supply.
Map of potato shortages across Europe. Any country in color has a shortage:
We are near the years when the dollar, crypto currency, the Strategic Drawing Right (SDR) from the IMF/World Bank, and gold are foisted on us as the substitute for the dying dollar. SDR’s are already used between governments. The eventual plan is to force the SDR on all nations with a supposed partial gold backing. Cryptos may play a roll with a proposed FedCoin or similar digital project.
While the USD has been risen, it has recently peaked and will probably see massive downside in 2019. Gold and silver, with a preference for gold, are already showing moderate signs of life. Through early 2019 gold will likely move significantly higher. There is a way to profit from this move using cryptos, but I do not recommend it. Buy gold coins, gold chains above 22 karat if you can find it, gold options that are long dated, and mining stocks if you have an adviser or follow recommendations. I will be sharing some of my personal investments with all subscribers and a more developed list of investments with paid subscribers.
Currency changes and collapses are one of the most potentially damaging experiences a person can go through. Life savings can be wiped out along with the cost of all necessities rising exponentially. For this reason, I monitor the changes behind the scenes for the plan B and plan C when plan A – the USD and the EUR become too damaged to continue in their current cross border roles.
While the dollar rides an uptrend, it is showing all the signs of a topping effect based on some questionable analysis by even expert financial gurus. The guru thinking goes like this:
The Fed is pulling billions of dollars out of circulation while raising the Fed Funds Rate which drives interest rates for mortgages and other loans towards some magical normalized level in the 2.5-2.75% area or even higher. This rate raising pushes up mortgages from the lows well under 4% to possibly as high as 6%. All loan rates will climb similarly.
With almost a $4.5 trillion stash of junk mortgage bonds, treasury bonds, student loan paper and other nonsense on the books, the Fed is letting this paper mature, or be cleared (paid off essentially) by Fanny Mae or Freddie Mac the mortgage lenders or the Treasury department without replacing those expiring bonds with new ones. It is a gradual process, but with a long, long way to go even at the full speed of about $30 B in mortgages backed bonds and $20 B in treasuries.
Here is where I differ from almost all gurus on this critical matter.
Over $6 T in U.S. debt held by foreign countries. The largest hidden market in the world is the Eurodollar market where almost 90% of trade takes place, with a wild guess of about $4 T to $6 T sloshing around the world’s banks that almost no one knows about.
With that kind of money held outside the Fed’s control, the dollar may appear to rise in value using the DXY index to around 97.3 from 88 in February, but when the treasury holders and the Eurodollar holders rush for the exit and buy any market they can, including commodities, we will get the full effect of inflation in a moment.
If and when the Fed stops raising rates and perhaps even slows down the $50 B shedding of securities, the dollar will make a whiplash move to the downside as fast as gold and silver rise. But even the Fed’s rate raising cycle will not in the long term block the eventual effect of the US running debt level of about 105% an overstated GDP with more than $1 T in new government debt added each year starting in 2020. That is a tall hill for the value of the dollar to climb.
If all the financial markets nose dive as they are now, then capital goods that are typically financed including automobiles, real estate, stocks, corporate bonds, all manner of debts will also nose dive in value. Commodities and items paid for in cash including food, energy sometimes though the Permian Basin supplies are keeping a lid on oil for now until we have full scale wars, and imported goods can all soar in price.
The message is to possibly own rental properties, commodity funds, energy stocks that pay dividends, and any company offering the solutions or delivery food to the world.
Short term strategies for the current downward trends in almost all markets: focus on cash flow across all investments and forming cash flow oriented businesses with minimal capital and time requirements. You implement this strategy by looking for high yielding investments similar to those I have recommended in the past from energy markets, rental properties, and especially businesses.
This is the time to improve skill sets to launch online businesses that can resell goods, services, courses, or custom made products. When you increase your cash flow, you can buy into markets that are in a resting or downward phase and wait the many months or even years until that investment turns the corner. Without the cash flow coming in from either investments or your businesses, you are forced into looking for profitable trades EVEN WHEN THE SET-UPS ARE NOT THERE. This breeds loses and despondency.
While I recommend shorting markets when a downtrend is running, you will have to be quick and faithful in managing the trade because at any moment the central banks can buy the market.
Long term strategies for this period is to build a portfolio of precious metals, commodity funds, food storage, skills, rental properties, high dividend energy investments, and low time commitment cash flow businesses. These are the long term areas where profits will flow. The stock market has a downtrend future in place even though there will be a major upleg in the early part of 2019, do not fall for it.
More updates to follow after the dust settles in December.