Dans bio is simply incredible!He turned $10,775 into $18 million between June 1998 and Dec 1999,A 29,000% Gain! he is the worldrecord holder for the largest percent change for a personal portfolio for a 12-month period of time and continued shortly after to make well over $42 million .
The market was up fractionally at the open and then came news of an ISM number that was less than expected. Although the ISM number was still in positive territory, the S&P-500 used it as an excuse to start selling and undercut support which was at 1770. Bids for stocks dried up quickly below 1770 and stocks started a slide that led to a massive 326 point loss in the DJIA.
Again when support is broken on the benchmark S&P-500, stocks need to be sold or positions reduced. It’s either going to be you selling or plenty of others, so you might as well lock in the higher prices while you can. No telling how far this selloff continues or when it stops, but corrections can last a few weeks to a few months. Even though we are oversold short-term and could bounce from here, we are not oversold on longer term oscillators and indicators that I watch. This could take another month or more before a solid bottom is in place.
Let’s start off with the leading averages that have that waterfall look.
My short term trading oscillator plunged today as I noted it could last night. It moved down to areas not often seen and closed the day at minus 78. This trading tool could actually move still lower since we have in fact seen minus 118 twice in the past 6 years. However once this plunge is over the oscillator should start to work back up to the neutral line.By the way this trading tool also says the market is far too oversold to consider shorting right now.
The GoldBug Report 