A January 2016 article in the “Gold-Eagle” online newsletter by I.M. Vronsky emphatically states stocks will crash worldwide in 2016. Following is an excerpt from the article:
One of the most reliable truisms of stock markets worldwide is that “history is prologue”…and that market cycles are immutable…where only time and magnitude change. During the past 20 years Wall Street has enjoyed three bull markets…and the first two were followed by devastating bear markets. Specifically, U.S. stocks fell 37% in the 2000-2002 bear market, while the DOW stocks index plummeted 54% in the 2007-2008 debacle. And it is imperative to take note that the current U.S. bull market is one of the longest secular uptrend periods in history of rising stock prices. Consequently, as history is testament, an eventual and inevitable bear market will soon follow. What is probably unique this time is the fact that major stock markets worldwide appear to be moving in lethal concert with the U.S. in developing bear market trends of declining stocks.
If you were to take at face value these predictions, and plot them as to when and how many you see, I wonder how many are correct? One such group has only announced a crash coming and never an up-swing. They will be “correct” anytime the market crashes because that is all they forecast. Then they point to their printed record of calling the crash correctly. This has caused me not to trust any of these prophecies.
Here is my summary of what this all means to you and me, on a personal level.
- Control your own spending and eliminate your own debt.
- Take control of what you can and don’t worry about that which you do not control.
Trotty Veck once said: “There are two things you should never worry about. That which you have control of, and that which you don’t.” I suggest you stay informed, but not to worry about these so-called “accurate” forecasters. In my experience, they are going to be right one out of five times.