Javelin Marketing: Booms and Busts Create This Oppotunity
by admin ~ November 21st, 2008. Filed under: investment plan.Markets over shoot themselves in both directions to too high and too low. You have seen the dot-com boom and bust in 2001and you have seen the housing bubble form 2000 to 2006 and then bust. Now you see the financial crisis which, just as home values went beyond the price where people could buy, will take home values and stock prices below any reasonable price thereby creating the investment opportunity of a lifetime. In a minute, we reveal which stocks to invest in. Of course, most will be too timid to take this investment opportunity in the midst of a financial crisis. Most investors want to follow what everyone else does and that’s why we have booms and busts. But some smart people will buy up assets and get rich–the same as happened in the Depression.
You can only grab this investment opportunity if you have cash or are generating cash. If you generate enough income to save each month, invest into mutual funds with a systematic investment program. If you have cash, invest in stocks that cannot fail. Stocks to invest: Citicorp, Bank of America and JP Morgan. The US Government has no choice but to keep these institutions alive and privately owned and will go to all lengths to support them. These three institutions are the spine of the financial system. Other no-brainer stock investments are supermarkets (people have to eat and buy MORE from supermarkets in a bad economy as they eat out less), movie theatre chains or production companies (the cheapest form of entertainment is movies and attendance and purchase of movies thrive in a bad economy), consumer product companies like Proctor and Gamble (people still keep buying Tide to wash their clothes). You get the idea. Invest ins stocks that produce products and services that are absolutely essential and economically insensitive. Even these stocks are at records lows for no logical reason. And that’s the beauty of a bust–while everyone else is illogical, those that are rational get rich.
Your timing is not critical. Even if you buy early and prices fall further, you’re buying quality merchandise while its price has overshot true value to the downside. Hesitate or get rich.
Listen to this post
April 23rd, 2009 at 8:14 pm
The Stock market is not as complicated as one might think.
June 21st, 2009 at 11:44 pm
Bob, I disagree. The problem is that stock markets are often controlled by unpredictable bouts of wild sentiment. You really need some solid experience before you start to do serious investing in the stock market. and even then, you should choose your mix wisely.
October 1st, 2009 at 12:25 am
Same here. I dissagree with Bob. The stock market is becoming increasingly complicated. Frank has a point, i just want to add something more. You need serious experience in assesing whats worth or not worth in the stock market.
November 13th, 2009 at 2:11 pm
Thanks for the interesting post on the stock market. I look forward to reading more from you in the future.
February 9th, 2010 at 12:58 pm
@Bob: correction - stock market is not as complicated if you know what you are doing. However, a lot of investors / traders are not as educated as they may think and end up losing the money.
February 20th, 2010 at 1:29 am
Seems to me that’s it’s easy to say that one should invest in stocks that “never fail” but with the hard times, there are no guarantees that even blue chips will not fail. So basically, the stock market right now is much more the gamble it is than it was 5 years ago.
February 26th, 2010 at 6:10 am
Talk to an expert on annuities or structured settlements depending on your situation.
March 9th, 2010 at 6:03 pm
StockMarket has unlimited opportunities as long as you understand the principles and best practices trading. thanks for the read!
March 26th, 2010 at 6:26 am
I like this idea, but does it not sound to good to be true? I mean what happens if the rise doesn’t actually eventuate because of some change in government policy etc. Don’t get me wrong the theory is great!
April 24th, 2010 at 10:31 pm
The stock market is becoming increasingly complicated that´s my opinion. Specially in southamerica.
May 2nd, 2010 at 5:52 pm
Welcome to new economy - data is open to all of us who once had very limited access.