Wednesday, January 05, 2011

Head Game / Head Fake / Dead Head

I am asking you to be optimistic.  These next 12 posts will be on optimism because I don't want you to miss the opportunities that lie in front of us no matter from what country you are reading this post.

Optimism yields creativity and innovation.  A pessimist never invented anything because, from their point of view, "Why invest the effort; there is no future!"....

I've travelled to many countries and the one common factor about news reporting is "If it bleeds; it leads".  That means, if the news is bad, people will pay attention to your report.  Good news attracts less eyes. 

That is why pessimists dominate the news.  And, people are willing to accept whatever they say without proof.  BUT.... put one optimist on the news and everyone is yelling, "Show me your data!".   Pessimists don't require data- only opinion.  Optimists must re-prove their position constantly and their data is always being challenged.

If you follow the markets, I am sure you have heard the following:

(1) The market is in a downward trend; don't invest now until we hit bottom. Better wait.

(2) The market is in an upward trend; if you didn't get in; wait until a pull back.

(3) We've just experienced a pull back but until we see strong signals to the contrary, we could see another leg down. Better to wait.

(4) The pullback was shortlived; those that waited missed the entry point. 

I could go on.  But you get the idea.  So what are you waiting for?  What is the piece of data you need to tell you everything is going to be "all right"?   When you finally get that data will you feel you waited too long?
The panic of 2008 is over....
(1) Get in.
(2) Get smart.
(3) Be smart.
(4) Be Optimistic.
(5) Keep Truckin.

1 comment:

  1. Ted,
    The primary indicator I am going to start following is when I see associates,friends and relatives who don't have the stomach for stock market swings investing big in stocks again its time to cut back and swing the other way (and vice versa).

    So for now the stock market is probably ok but bonds and gold are probably very suspect right now.

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