An astrologer after having predicted the death of a woman with whom French king Louis XI was in love and who later did die as he (astrologer) had predicted was called in to see the monarch. “You sir, who foretell everything, when shall you die?” asked King Louis. The astrologer calmly replied “I shall die Sire three days before you your majesty.” His reply so shocked King Louis that he ordered a room to be given to the astrologer in one of his palaces for the rest of his life. The accuracy of our analysis has not been as effective as it has been in the past. Why? One reason is that because the markets are dominated by the fast trading funds that obscure the insiders personal buying and selling. It is now estimated that over 80% to 90% of the total market volume is trading focused volume (hedge funds et al) and no longer term investment volume. So huge volume traders are in fast and out fast. Don’t get us wrong here. There are always many hundreds if not thousands of stocks that are exceptionally undervalued and merit attention. The problem is that when most stocks are down in price and offer opportunities for exceptional capital gains, few take advantage; that will never change. Note well that the world’s central banks are huge, regular and often frequent buyers in the stock market. Notice that the money supply growth has recently been so large that in our opinion, it has […]