Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Dow Theorist: Sell Everything Liquid, You Won't Recognize America By The End Of The Year
The Business Insider ^ | 5-18-2010 | Joe Weisenthal

Posted on 05/18/2010 7:05:51 AM PDT by blam

Dow Theorist: Sell Everything Liquid, You Won't Recognize America By The End Of The Year

Joe Weisenthal
May. 18, 2010, 8:57 AM

Image: US Army

WHOA!

Richard Russell, the famous writer of the Dow Theory Letters, has a chilling line in today's note:

Do your friends a favor. Tell them to "batten down the hatches" because there's a HARD RAIN coming. Tell them to get out of debt and sell anything they can sell (and don't need) in order to get liquid. Tell them that Richard Russell says that by the end of this year they won't recognize the country. They'll retort, "How the dickens does Russell know -- who told him?" Tell them the stock market told him.

That's pretty intense!

Update: By popular demand, here's more on what he sees in the market:

And I ask myself, "Am I seeing things? The April 26 high for the Dow was 11205.03. The Dow is selling as write at 10557 down 648 points from its April high. If business is even better than expected, then why is the Dow down over 600 points? And why, if there were 674 new highs on the NYSE on April 26, were there only 20 new highs on Friday, May 14? And if my PTI was 6133 on April 26, why is it down 17 points since its April high?

The fact is that I've been seeing deterioration in the stock market ever since early-April, and this in the face of improving business news. The D-J Industrial Average is composed of 30 internationally known top-quality blue-chip stocks. These are 30 of "America's biggest companies." If Barron's is so bullish on the future of America's

[snip]

The DJIA is up 62 as I post. See here.

(Excerpt) Read more at businessinsider.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: badnewsblam; crash; cwiiping; dickrussell; djindustrialaverage; doom; dow; dowjones; dowtheoryletters; economy; foodstorage; industrialaverage; investing; investments; markets; preparedness; prepper; preppers; preps; richardrussell; russell; stockmarket; stocks; survival; survivalism; teotwawki; weisenthal
Navigation: use the links below to view more comments.
first previous 1-5051-100101-150151-200 ... 501-502 next last
To: cripplecreek

Except some of us are living in democrat towns where the community looking good on the outside is more important than survival. So you can’t have a fence large enough to provide any security or privacy. And you can’t raise chickens.

The government doesn’t want anything resold unless it’s been tested for toxicity so there go the garage sales...

We built our deck out of bricks we got from the city dump after the cobblestone street was replaced about 10 years ago. We made our retaining wall out of concrete chunks from the dump after they removed some sidewalk. Now they won’t let anybody get anything from the dump.

And they would probably say that they are the “green” ones.


51 posted on 05/18/2010 7:26:20 AM PDT by butterdezillion
[ Post Reply | Private Reply | To 10 | View Replies]

To: MrB
Boy Scout motto: Be prepared!

I adjust my stock and possible procedures as necessary.

52 posted on 05/18/2010 7:26:41 AM PDT by mountainlion (concerned conservative.)
[ Post Reply | Private Reply | To 26 | View Replies]

To: mountainlion
“I am still prepared for Y2K. “

That's good, you never know how things will turn out with that situation. I recommend stocking up on vacuum tubes; I don't trust the new integrated circuits that are coming.

53 posted on 05/18/2010 7:27:29 AM PDT by HereInTheHeartland (Chairman Mao was a community organizer)
[ Post Reply | Private Reply | To 24 | View Replies]

To: PetroniusMaximus

LOL ... yep, there are some who would say that, too ... :-)


54 posted on 05/18/2010 7:27:33 AM PDT by Star Traveler (Remember to keep the Messiah of Israel in the One-World Government that we look forward to coming)
[ Post Reply | Private Reply | To 41 | View Replies]

To: jpsb

If you trade online, the trading site will guide you to it.

http://beginnersinvest.about.com/cs/newinvestors/a/022703a.htm

You can also short the entire market of NYSE, or Nasdaq.

Good luck!


55 posted on 05/18/2010 7:27:40 AM PDT by stephenjohnbanker (Support our troops....and vote out the RINOS!)
[ Post Reply | Private Reply | To 36 | View Replies]

To: MrB
http://www.learcapital.com freepmail me if you want a free shipping coupon

Sorry, I don't trust gold.

Governments can confiscate it.

Remember, Obama is president and he thinks he is the reincarnation of FDR.

56 posted on 05/18/2010 7:27:46 AM PDT by P-Marlowe (LPFOKETT GAHCOEEP-w/o*)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Republic of Texas
In the gold market.

See post 56.

57 posted on 05/18/2010 7:28:21 AM PDT by P-Marlowe (LPFOKETT GAHCOEEP-w/o*)
[ Post Reply | Private Reply | To 35 | View Replies]

To: OB1kNOb; Southack; cripplecreek
"Like the song says, a country boy can survive."

Southhack had a good post about surviving the coming adventures ... that song came to mind.

But another thought also popped in: It's Papagallos line from 'Road Warrior", to Mel Gibbsons' character (Mad Max); Goes to the effect of ;" A scavenger, that's what you are, living off the bones of the old dead world..."

Hmmmmm

While I doubt we'll see any gay biker gangs in assless chaps, putting a bit extra away won't hurt.

58 posted on 05/18/2010 7:28:32 AM PDT by investigateworld (Abortion Stops A Beating Heart)
[ Post Reply | Private Reply | To 42 | View Replies]

To: P-Marlowe
I suppose we could trade our dollars for a better currency.....??

I'm pretty liquid now myself....more cash than assets. And I don't feel all that good about it...

Rock and hard place come to mind.......

59 posted on 05/18/2010 7:28:36 AM PDT by Osage Orange (Si vis pacem, para bellum)
[ Post Reply | Private Reply | To 2 | View Replies]

To: GeronL

Do you think that the looters can’t find you out in the woods?


60 posted on 05/18/2010 7:29:01 AM PDT by Ditter
[ Post Reply | Private Reply | To 31 | View Replies]

To: blam
Martin Armstrong: The "Flash Crash" Was A WATERFALL Event Like The One That Preceded The Fall Of Rome
61 posted on 05/18/2010 7:29:09 AM PDT by blam
[ Post Reply | Private Reply | To 1 | View Replies]

To: P-Marlowe

I don’t do much gold. Hard to use it to buy a loaf of bread or a bag of wheat.

A $1 silver coin, though, worth $20 today, is tradeable.


62 posted on 05/18/2010 7:29:25 AM PDT by MrB (The difference between a (de)humanist and a Satanist is that the latter knows who he's working for.)
[ Post Reply | Private Reply | To 56 | View Replies]

To: P-Marlowe

FDR was able to confiscate gold because the people allowed it. What if they don’t next time?


63 posted on 05/18/2010 7:29:43 AM PDT by Republic of Texas (Socialism Always Fails)
[ Post Reply | Private Reply | To 57 | View Replies]

To: jpsb

Google “how to short stocks”. If you have a non-margin account google “bear etf’s”.


64 posted on 05/18/2010 7:30:06 AM PDT by Joe Miner
[ Post Reply | Private Reply | To 36 | View Replies]

To: babble-on

Assuming, for the sake of argument, that this guy is right about the impending financial doom, isn’t paper currency the last thing you would want your entire worth invested in?


65 posted on 05/18/2010 7:30:09 AM PDT by Mr. Lucky
[ Post Reply | Private Reply | To 48 | View Replies]

To: stephenjohnbanker
So really you are still in the market, right?

I'm long QID...fwiw-

66 posted on 05/18/2010 7:31:14 AM PDT by Osage Orange (Si vis pacem, para bellum)
[ Post Reply | Private Reply | To 8 | View Replies]

To: Fee
thanks, since I am expecting an almost total collapse I like silver dollars. I look at them as "real" 20 dollar coins. I need to buy some more, and in fact have some in my cart but I'm waiting for silver to drop back down to 17.50 or lower before I checkout. At the moment (short term) I think gold and silver are over priced and will drop in the next couple of months. Over the long haul I can see gold at 3,000 and silver at 50+.

If you think about it we are just one crisis away from a crash, the camels back is under great stress.

67 posted on 05/18/2010 7:31:56 AM PDT by jpsb (bump)
[ Post Reply | Private Reply | To 44 | View Replies]

To: bvw; TChris

At least he would die on his feet like a man, and not whimpering on the floor like a lib, crying for someone to ‘save him’.

Which way are you going to go?


68 posted on 05/18/2010 7:32:18 AM PDT by ex 98C MI Dude (Alea Iacta Est)
[ Post Reply | Private Reply | To 16 | View Replies]

To: blam

OK, what’s being advised here? Should I put my entire 401K in a Money Market account?


69 posted on 05/18/2010 7:32:57 AM PDT by rhombus
[ Post Reply | Private Reply | To 1 | View Replies]

To: Republic of Texas
FDR was able to confiscate gold because the people allowed it. What if they don’t next time?

The percentage of Americans who owned guns in the 1930 was much higher than it is now. 80% of Americans are sheeple. They will not put up much of a fuss, especially when only about 5% of the American population actually has any serious investment in Gold.

70 posted on 05/18/2010 7:33:24 AM PDT by P-Marlowe (LPFOKETT GAHCOEEP-w/o*)
[ Post Reply | Private Reply | To 63 | View Replies]

To: jpsb
There are two common and one occasional way to short stocks.

1) Sell shares short. Call your broker and say "sell short 300 shares of XYZ at (say) 40". Your broker will attempt to borrow the shares from another firm (or, conceivably, from an account w/in his own firm). Assuming he is able to do so, he'll then sell them and you receive the proceeds of the sale. If the share price subsequently moves up, you suffer a loss; if the share price subsequently moves down, you profit.

2) Buy put options. Call your broker and say "buy 3 (say) December XYZ 40 puts at the market". This is a purchase of the guaranteed right to sell shares of XYZ at 40, no matter where the share price may go, up until the 3rd Friday in December. You pay for this right, of course, so, in order to profit, the share price must decline more than a few points in order for you to profit. If the share price does not do so by December, you might lose your entire investment. Option buying should NOT be attempted by those who do not understand the pricing mechanism of options. There are any number of excellent books on the subject, the best being "Options as a Strategic Investment" by Larry McMillan.

The occasional way. There may be an ETF or ETN that deals in the shares/commodities you wish to short. These are usually, but by no means always, labelled 'short' or 'ultra-short' Blah-blah Fund(s). If the ETF is labelled 'short'/'ultra-short', then **buy** the shares of the ETF if you are looking for the share price of XYZ to decline. If **not**, sell the ETF shares short (much easier, as a rule, than selling stock shares short).

Good trading to you!

71 posted on 05/18/2010 7:34:02 AM PDT by SAJ (Zerobama? A phony and a prick, ergo a dildo.)
[ Post Reply | Private Reply | To 36 | View Replies]

To: tet68
"Note: I don’t recognize the country NOW!

I haven't recognized it since 1967 thanks to LBJ!!

72 posted on 05/18/2010 7:34:05 AM PDT by gitmogrunt
[ Post Reply | Private Reply | To 4 | View Replies]

To: Daisyjane69

It sure isn’t the America I was born in.
I’m just glad my dead father isn’t around
to have to see what has become of the
country he fought for all through the
Pacific.


73 posted on 05/18/2010 7:34:06 AM PDT by tet68 ( " We would not die in that man's company, that fears his fellowship to die with us...." Henry V.)
[ Post Reply | Private Reply | To 47 | View Replies]

To: Free America52

A hurdred bucks at wall mart can buy enough can goods to keep four people alive for a month. Do that 4 or 5 times and you will be in good shape on food.


74 posted on 05/18/2010 7:35:08 AM PDT by jpsb (bump)
[ Post Reply | Private Reply | To 49 | View Replies]

To: HereInTheHeartland

Are you looking for anything in particular in tubes. I got a couple of old radios with lots of spare tubes.


75 posted on 05/18/2010 7:35:19 AM PDT by mountainlion (concerned conservative.)
[ Post Reply | Private Reply | To 53 | View Replies]

To: cripplecreek
Those of us who grew up poor and frugal are at a great advantage in a lot of ways.

Bump that...been spreading that message for some time...

76 posted on 05/18/2010 7:35:26 AM PDT by who knows what evil? (G-d saved more animals than people on the ark...www.siameserescue.org.)
[ Post Reply | Private Reply | To 10 | View Replies]

To: MrB
A $1 silver coin, though, worth $20 today, is tradeable.

I think that is a fairly good idea. One ounce Silver coins could be used as barter just about anywhere. The government is not likely to use its power to confiscate silver.

77 posted on 05/18/2010 7:35:44 AM PDT by P-Marlowe (LPFOKETT GAHCOEEP-w/o*)
[ Post Reply | Private Reply | To 62 | View Replies]

To: cripplecreek

Amen....


78 posted on 05/18/2010 7:36:15 AM PDT by goodnesswins (Destroy AMERICA.....Vote DEMOCRAT)
[ Post Reply | Private Reply | To 10 | View Replies]

To: P-Marlowe

Sell it into things that make you self sufficient without social or govt services

Here’s a list
http://www.thepowerhour.com/news/items_disappearfirst.htm


79 posted on 05/18/2010 7:36:38 AM PDT by silverleaf
[ Post Reply | Private Reply | To 2 | View Replies]

To: stephenjohnbanker

many thanks!


80 posted on 05/18/2010 7:37:09 AM PDT by jpsb (bump)
[ Post Reply | Private Reply | To 55 | View Replies]

To: MrB

so are small items of good quality jewelry

and booze! scotch and bourbon = hard currency

also medical supplies


81 posted on 05/18/2010 7:38:24 AM PDT by silverleaf
[ Post Reply | Private Reply | To 62 | View Replies]

To: GeronL
Move away from the big cities.

They are filled with looters and entitlement zombies.


No kidding. I live in a town of only about 150 people. There won't be any food riots here. We'll help those who are unable to feed themselves.
82 posted on 05/18/2010 7:38:31 AM PDT by cripplecreek (Remember the River Raisin! (look it up))
[ Post Reply | Private Reply | To 31 | View Replies]

To: blam

Idiots who watch TV and pay for cable and sat TV enable the 5 networks that control 90+% of the channels. ALL the networks support Obama including Fox/Saudi News.

Keep watching them ball games serfs.


83 posted on 05/18/2010 7:39:06 AM PDT by Frantzie (McCain=Obama's friend. McCain/Graham = La Raza's Senators)
[ Post Reply | Private Reply | To 1 | View Replies]

To: screaminsunshine
You were saying ...

The food riots will be ugly. The communists need a catastrophic collapse and are in position to cause it.

The History Channel had a week of "disaster docu-dramas" on, a couple of months ago, I believe -- it was called "Armageddon Week" ... :-)

That was interesting because it showed people dying off in the big cities, and many congregating in the smaller communities for self-protection. But, it certainly wasn't what I would call "living" -- because even in the "safe" areas (those smaller areas where people congregated together and cooperated for protection), it was more like a dictatorship by those who controlled the smaller areas. It wasn't like "gangs" but was peaceable and controlled, but not free and like we live today.

If that happens, we won't have a Constitution any more (at least not one that anyone abides by, or pays attention to), and it will simply be the "rule of force" -- and everyone will simply do whatever they want, according to the force that they can apply ... and that's all it will be about ...

It will take a generation or two or more to ever become "civilized" again ...

84 posted on 05/18/2010 7:39:09 AM PDT by Star Traveler (Remember to keep the Messiah of Israel in the One-World Government that we look forward to coming)
[ Post Reply | Private Reply | To 17 | View Replies]

To: cripplecreek

Buy seed..... not from Monsanto


85 posted on 05/18/2010 7:39:55 AM PDT by GeronL (Political Correctness Kills)
[ Post Reply | Private Reply | To 82 | View Replies]

To: mountainlion
Too many experts and their crystal ball is cracked.

I am certainly no stock expert, but I consider all of the unusual events which have occurred over the past 2 years (including trillion dollar deficits, States that are bankrupt, stubborn unemployment, bank failures, out of control borders,etc. etc.) and I see interesting times ahead.

I do remember the old days when people considered such oddities as price - earnings ratios, and other fundamentals, when evaluating investments. Do they still do that today? What is the current price - earnings of the DOW?

86 posted on 05/18/2010 7:40:05 AM PDT by CharacterCounts (November 4, 2008 - the day America drank the Kool-Aid)
[ Post Reply | Private Reply | To 12 | View Replies]

To: silverleaf

booze and cigs are good currency,
but I don’t think I’d like to trade in them
unless absolutely necessary.


87 posted on 05/18/2010 7:40:15 AM PDT by MrB (The difference between a (de)humanist and a Satanist is that the latter knows who he's working for.)
[ Post Reply | Private Reply | To 81 | View Replies]

To: stephenjohnbanker

So where’s your money “stored”? T bills? Gold? Curious ... ;-)


88 posted on 05/18/2010 7:40:23 AM PDT by Tunehead54 (Nothing funny here ;-)
[ Post Reply | Private Reply | To 8 | View Replies]

To: rhombus; babble-on
OK, what’s being advised here? Should I put my entire 401K in a Money Market account?

The best advice I can give you is don't take advice from on-line forums, blogs or FR. That said, post 48 has some common sense...

89 posted on 05/18/2010 7:40:48 AM PDT by Drango (A liberal's compassion is limited only by the size of someone else's wallet.)
[ Post Reply | Private Reply | To 69 | View Replies]

To: earlJam
You were saying ...

Same with the religious leaders who predict the end of the world every time there is an outbreak of violence in the Middle East.

Oh ... don't worry... no matter whether the U.S. collapses and goes into the stone age or not ... that one is definitely coming... you can bet on it ... :-)

And it's not that far away... I would say within the lifetimes of any who are reading this now. Get ready for that one.

90 posted on 05/18/2010 7:41:16 AM PDT by Star Traveler (Remember to keep the Messiah of Israel in the One-World Government that we look forward to coming)
[ Post Reply | Private Reply | To 20 | View Replies]

To: Mr. Lucky

Well, it would depend on what he really has in mind. If there were straight Deflation, then paper currency would be a lovely thing, because it would buy more and more stuff with each passing day.

What worries people is that policymakers would inevitably respond to Deflation, by spending unbelievable amounts of fiat money, precisely in order to try to create some inflationary impulse. When there’s deflation, the tendency to save becomes irresistable (because the dollars in the mattress generates high returns not in interest, but in purchasing power) which leads to further stagnation, a vicious cycle.

What that can result in is something called a Liquidity trap, where your cash earns no interest, but anything you invest it in that’s linked to the economy declines in value. So you have little risk taking, little spending because of fear of the uncertainty in the future, and ongoing stagnation in activity. Japan went into a Liquidity Trap more than a decade ago, and only the Chinese economic boom helped them to get a little bit better (but far from cured).


91 posted on 05/18/2010 7:41:42 AM PDT by babble-on
[ Post Reply | Private Reply | To 65 | View Replies]

To: rhombus; HereInTheHeartland
"OK, what’s being advised here? Should I put my entire 401K in a Money Market account?"

Sorry, I don't advise...I just post'em and learn from the comments you all post. I'm a retired chip-maker.

92 posted on 05/18/2010 7:43:01 AM PDT by blam
[ Post Reply | Private Reply | To 69 | View Replies]

To: tet68

My dad is still around, thankfully. He’s 76. I’m very grateful for that every day. He’s a truly great man.

It’s when I think of my Italian immigrant grandfather that I tear up. I can picture him (all five feet of him) looking around and shaking his head, not sure what to make of it all.

It is for people like your dad that we owe the duty to absolutely fight like hell the horseshit on parade right now. Every FReeper worth their salt knows that, and will be in the arena, come November.

Your dad didn’t fight for nothing. I promise you.


93 posted on 05/18/2010 7:43:20 AM PDT by Daisyjane69 (Michael Reagan: "Welcome back, Dad, even if you're wearing a dress and bearing children this time)
[ Post Reply | Private Reply | To 73 | View Replies]

To: blam

For those interested you can download my Preparedness Manual at:

http://www.mediafire.com/?ojmy2z1zfin


94 posted on 05/18/2010 7:44:02 AM PDT by Kartographer (".. we mutually pledge to each other our lives, our fortunes, and our sacred honor.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: Drango
don't take advice from on-line forums, blogs or FR

THAT is advice worth listening to!
95 posted on 05/18/2010 7:44:44 AM PDT by babble-on
[ Post Reply | Private Reply | To 89 | View Replies]

To: Bon mots

Well said.


96 posted on 05/18/2010 7:44:49 AM PDT by thethirddegree
[ Post Reply | Private Reply | To 39 | View Replies]

To: babble-on

The 1000 point drop was not so much about one action triggering the downturn as much as it is a hint at the mood of the brokers. Someone seems to have triggered it. Then there was a ton of buying at the bottom that triggered the rise as the panic wore off. Someone made a killing, and I suspect that is where any investigation should be made.

The near panic of the brokers is mirrored in this article. They have no confidence.


97 posted on 05/18/2010 7:44:52 AM PDT by Ingtar (My dog died yesterday, but less than expected. - Freeper Juan Meden)
[ Post Reply | Private Reply | To 18 | View Replies]

To: GeronL
You were saying ...

buy property, buy stockpiled foods, lots and lots of ammo for the entitlement zombies.

Talking about buying property... I was just talking to a guy who has been into real estate for a long while and he's been buying up properties at tax sales. He's getting ready to buy up about ten of them (he told me yesterday) at tax sales... amounting to about maybe 2,000 to 3,000 (or thereabouts) for a house/property, that may be valued at around $100,000. He says he gets the deed for it within 48 hours and there's no recourse for the owners ...

Someone is planning on making a lot of money, I would say ... :-)

98 posted on 05/18/2010 7:45:20 AM PDT by Star Traveler (Remember to keep the Messiah of Israel in the One-World Government that we look forward to coming)
[ Post Reply | Private Reply | To 30 | View Replies]

To: Star Traveler

HOA’s involved?

heh


99 posted on 05/18/2010 7:46:08 AM PDT by GeronL (Political Correctness Kills)
[ Post Reply | Private Reply | To 98 | View Replies]

To: mountainlion

Karl Denninger is warning as well:

http://www.freerepublic.com/focus/f-bloggers/2513956/posts


100 posted on 05/18/2010 7:46:30 AM PDT by Kartographer (".. we mutually pledge to each other our lives, our fortunes, and our sacred honor.")
[ Post Reply | Private Reply | To 12 | View Replies]


Navigation: use the links below to view more comments.
first previous 1-5051-100101-150151-200 ... 501-502 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson