“OVERNING INSTITUTE” It’s happened several times in just the last few years. With so many systems severely underfunded, it’s likely that more government employees will to be blindsided.
The normal 20% or so stock market corrections to be followed by rallies up again would have given investors and institutions opportunities to invest when stocks are “on sale” never occurred. So we now have a stock market that is by all fundamental value gauges at least 20% over where is should be. Too high a percentage of stocks have been purchased while they were overvalued and at the very high end of their price ranges and valuation levels. Note that we now have a market that at every time it has sold at these levels has been followed by a brutal bear market. Despite ongoing and regular manipulation and central bank intervention and supportive buying, bear markets will occur. Investment in stocks when they are far above their proper value happens all the time as recommendations by the brokerage houses must continue despite overvalued price levels. Think back to the internet stocks and techs that were crushed then think back to 2008. Today, there are many quality companies that are selling at far too high prices in view of expected earnings and sales. It is not the companies themselves but the prices that too many investors have paid for them. We recognize that the majority of recommended stocks are profitable and may offer solid long term potential, the problem is not investing in these stocks but investing when their prices are too high. Numerous excellent and undervalued stocks can be found today. Yet most […]
The confidential meeting three years ago…. In an eastern US city approximately three years ago, major bankers met for “discussions.” The purpose of the conference was not disclosed. However, there is an ugly rumor that one of the issues discussed was the necessity to keep the price of gold bullion down. The rumor was that it was about $1300. The point is that if gold is rising, it indicates problems in the financial system and the economy. For years we have seen the “put up jobs” of manipulation regularly occur. But of course they would never “collude” and try to manipulate the price of gold. It must just be another ugly rumor. Manipulation and bank collusion would be downright un-American; it brings tears to my eyes to even think that such things could occur.
K.C. Je trouve que les choses ont l’air très prometteuses. Je pense évidemment aux métaux précieux et aux aurifères en te disant cela. Ce soir, après la fermeture, au cours de la période du « after hours trading », l’or est rendu à 1275-76 et les actions affichent presque toutes un bid plus élevé que lors de la fermeture. De plus, les configurations sont en général très ressemblantes et très bullish. Quoi de mieux? Oui, je sais ce que tu vas me dire, il faut que ça saute, que les actions décollent plus fortement à la hausse. Je suis bien d’accord avec toi. Je lisais sur Yahoo Finance que les traders sont en train d’acheter l’ETF GLD. Ça, c’est une nouvelle formidable. J’espère juste que ce n’est pas un Fake News. On ne sait jamais avec ces journalistes corrompus. Mais il s’agit vraiment de l’élément le plus important pour amorcer une hausse du marché des aurifères. La configuration est fort belle et typique des aurifères, mais tant que nous ne verrons pas 1350 $ US, il ne faut pas crier victoire trop vite. N’oublions pas que nous avons affaire à des banksters, la plus grande race de crapules qui existe. Ils nous l’ont bien prouvé. Salut, Raymond
1…We remain nearly fully invested in stocks that have declined to price levels that we find undervalued. We have said too many times that the overall stock market based on several significant gauges is wildly overvalued in too many (but not all) publicly traded stocks. We invest when specific stocks have suffered severe declines and by our analysis are severely undervalued. Undeniably, they often decline even more, but that has always been our method. 2… Using major value gauges: stock market dollar value to Gross Domestic Product, Insiders heavy selling of their own shares, Price earnings ratio using GAAP is 25 times earnings (GAAP reflects the true earnings), market’s price to sales ratio, the market is approximately 30% overvalued. Payback cold be brutal. 3…Some Business television stations, which can be very useful and informative should suggest prudence and patiently waiting for stocks to correct down in price to good buying levels. One station never did and now they compete with “Leave it to Beaver” and “Lone Ranger” reruns for viewership. Bad advice on market direction and horribly overvalued on air stock picks ruined the credibility that they thought they had and investors have not forgotten. Average investors are far better than many of the so called experts. For years, floor traders, investors and analysts would ask us by phone or email as to “how can they put that person on.” Clueless!….still…… […]
K.C., je viens de comparer DJIA avec HUI et je te fais part de mes convictions relatives aux perspectives du marché des métaux précieux. J’aimerais en retour de connaître tes impressions. Je pense que nous nous trouvons actuellement devant une forte possibilité de départ du marché des aurifères, que les industrielles y participent ou pas, en hausse ou en baisse. Un secteur d’investissement a toujours ses caractéristiques propres et celui des aurifères ne fait pas exception. À mon avis, il est prêt pour le décollage. Je crois que les banksters et le US Treasury ont épuisé la grosse part de leurs capacités de manipulation avec tous les scandales et les poursuites civiles en Amérique et en Europe. Je dirais que l’heure des aurifères est arrivée et que la course vers de nouveaux sommets sera digne d’intérêt. Salut, Raymond Reponse de K.C. Mes impressions Ray? D’accord..je suis avec toi..mais le voyage est long et fatigant… ENGLISH K.C., I just compared the DJIA and HUI and here are my convictions related to the […]
INSIDER SELLING… Last week, we saw what was among the three the largest dollar value totals of “insiders” selling their own personally held shares in the companies where they are employed as officers and directors in over twenty years….. yes, they work there! Again, their stock sales totaled an astounding value of $624,538,529 while dwarfing the total value of buying of $32,305,119…..it is quite a contrast. These sell levels in the past have always been concurrent with the beginning of what led into brutal bear markets. The higher the valuation that the market carries, the more brutal would be a bear market. But why no bear market? At least not yet! The market has been carried and benefited from near artificially low interest rates and central banks’ intervention by buying stocks. More on that soon. Our advice is to continue to take profits and if investing to “insist on value.” Yes, there are numerous companies that are very undervalued and cheap by many historical gauges.
Pointe Claire, Quebec, March 8, 2017 We remain almost fully invested in our specific stocks but have said too many times that the stock market based on several significant gauges is wildly overvalued in too many (but not all) publicly traded stocks. We invest when specific stocks have suffered severe declines and by our analysis are severely undervalued. Undeniably, they often decline more before they turn around; but that has always been our method. We leave open limit orders for specific stocks at prices that are below the prices they are trading at. We never are able to buy all the shares we want and zero shares of many companies that never decline to the limit order prices we want to pay, but we do get real bargains. This was a strategy described thirty years ago by the late renowned investor Sir John Templeton. We have expected the market to suffer 20% to 30% corrections over the past three years, each time to be followed by returns to the upside, yet the harsh downsides did not occur. Those normal corrections would have prevented the stock market (and many stocks) from its current extremely high overall valuation which makes […]
A heavy weight is overhanging the stock market, that weight is excessive overvaluation. Investors should pay careful attention to buy recommendations by brokerages, in the print media and on television as there have been far too many so called “experts” suggesting that buying the market can be done with little risk. A bear market will have brutal consequences. The various technical and fundamental gauges listed here would indicate a downside risk of between 28% to 32% which is what occurred when these gauges were at these levels in the past. We have said many times “that odd as it may seem bull markets do not end due to overvaluation. They end with interest rates rising sharply, often with a decline in the money supply or a recession. We have not seen those indications as yet. But keep in mind that dangerous market tops are usually accompanied by overvaluation and euphoria.” Are we seeing overvaluation and euphoria now? Yes and investors should be taking profits and continue to look for stocks that are undervalued. Again, some profits should continue to be taken off the table….as always. While we usually are near fully invested in what our analysis indicates as undervalued stocks, we see high risk in many popular and highly recommended stocks selling at the high end of their price ranges. Yet, opportunities in stocks offering exceptional capital gains are always present, particularly in the numerous forgotten and overlooked stocks that the brokerage industry does not consider despite the […]
From our www.Canadianmineanalysis.com site. There are more than a few mining stocks that we have monitored in the past……some have seen superb moves up in price over the last two to three years and much more upside may be on the way. Some have had large moves up already so be careful, don’t chase. Some have been disappointments…of which we are reminded almost weekly-in French and English! TOP OF THE LINE FOR NOW…..RICHMONT MINES, “RIC” We first noted this at slightly over one dollar Canadian and under one dollar U.S. Saw over 900% move up, with higher gold prices this could be a large mover……was a 900% return, still up 700% plus, CLAUDE RESOURCES (acquired) We pointed out this at the .30 cents level, we were justified as it was acquired by and now is SILVER STANDARD “SSO” at $13 which has exceptional potential….naturally the need is a silver bullion price rise. Claude was a large percentage return. ALEXCO “AXR” Canada’s largest exclusively silver producer has suffered harsh correction due to the much manipulated silver bullion market to levels that could be a superb opportunity. Now at $2.20 was over $8 in 2011, has solid cash position and large silver resources. Higher silver prices will have effect. We like this company and its management. We like the weakness to buy OSISKO “OSK” at $2.70, it offers potential and has outstanding management and directors, good properties as well……has a large cash position and excellent properties in Quebec and Ontario. HPQ SILICON […]
