Global Market Bubbles Forming

Posted on Posted in Daily Blog Post

Global Market Bubbles

Look at Nikkei. A bubble in the making…

 It has gone up from about 8300 to 14700 today, a whopping increase of almost 77% within a short period of less than 7 months.  Nikkei have been the worst performers for many years until this year 2013 which now become the best performer in the world major economy. How is that possible, stocks keep on rising in sluggish economy? Money printing is the driving force that fuels the rally in stocks. Early this year, Japan’s new PM Shinzo Abe announced unlimited Q.E (quantitative easing) to boost its economy. Q.E. in layman term simply means ‘printing paper money’.

Mark my word, a day will come; financial tsunami will sweep across the whole world causing ‘hardship’ everywhere. History dictates that printing more ‘fiat money’ always fails. It is going to erode your purchasing power. When is it going to happen? Go and read my eBooks which have great details.

Not just Japan is printing free money out of thin air; every government is racing to print to debase its currency in order to stay competitive in export business. The second round of “currency war’ has just sparked off.

All global stock rallies are fuelled by Q.E. However, this will continue to create unprecedented bubbles till it bursts. 2008 GFC is just a child’s run as compared to the coming global financial crisis. Don’t get slaughtered in the coming mother of all bubbles.

Look at all the charts below of the world major indices that keep on rising despite ailing economy.

Chart20130510

Japan economy is limping on for the last 22 years but now stocks are up and up.

 Chart20130510(1)

U.S economy probably is the best looking one among the entire ugliest major economy nation.

Chart20130510(2)

U.K basically is still in recession. But stocks also climbing up….

Chart20130510(3)

Down under economy is messed up by Labour government. That is why more rates cut 2 days ago. Who cares, every investor is laughing…

Chart20130510(4)

France’s employment minister butted against his boss 3 months ago and said” France basically was bankrupt”. So what ! Stocks are rising…

How and when can you make money? As I say many times, you got to make money now and don’t wait to do so in 2016.

Even in a bull market, there is a time to buy, don’t simply get in at anytime because within the bullish period, there is also a turbulence time when you can be shaken out of big quick correction/plunge.  So, when is the best time to buy in and exit? To be fair, exact details are strictly reserved for paid subscribers. We got to pay attention to cycle top and bottom so that you can achieve consistent and better investment return without being shaken out.

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