One of the biggest mistakes most investors make is thinking they’re smart when the truth is how bull markets hide mistakes.
And when bull markets become “less bullish” is when investors become painfully aware that they’re not as smart as they think.
Cue up January 2022.
Suffice it to say that the month of January was more volatile than most of 2021 put together:
January 2022 numbers:
- The NASDAQ posted losses in the 15% range
- S&P saw losses of 10%
- And the DOW ended up losing 7.6%
Meanwhile, the genius wannabes are licking their wounds and praying for a bounce back in February.
Sorry, but it ain’t gonna happen…at least not in February.
Keep in mind this is exactly what the Boyz in the “Club” want.
Remember: The 1% needs the 99% to be wrong in order for them to make fortunes…at YOUR expense.
“The investor’s chief problem – and even his worst enemy – is likely to be himself.”
~Benjamin Graham~
No Where to Hide Mistakes
When everything is going up is when you can make mistakes in the markets and not be hurt too badly from a momentum shift.
But when things get ugly – and when the tide goes out – is when you see who’ been swimming naked.
In October 2021 we first said there is a chance we’ll see a Man-Made Depression in 2022 (READ: Wars/Depressions & No Mirrors in DC HERE).
And from the looks of Januarys’ market performance, it appears we’re on track.
Toss in Stinky Joe’s handling of Ukraine/Russia * combined with the China/Taiwan problems and you can see how things could get really ugly, really quick.
(* Question: Where are all the Anti-War Liberal fanatics protesting Ukraine?)
And we haven’t even mentioned the FED raising interest rates…which will add gasoline to the fire.
But…and this is a Very Big BUTT…
We’re still in The Most Hated Bull Market in History. (Read about it HERE)
So, instead of trying to hide your mistakes, put yourself in a position to take advantage of some upcoming opportunities of a lifetime.
It’s not too late to prepare.
And preparing will require two main things:
- Have cash on hand
- Have patience when you see blood on the streets
It’s pretty simple when you think about it.
And the good news is, when you realize how fear in the markets is often the best time to buy, you won’t have to worry about a bull market to hide your mistakes.
Read: Is It Time to Buy? …in our upcoming February edition of … “In Plain English” (HERE).
Share this with a friend…especially if they’re worried about the markets.
They’ll thank YOU later.
We’re Not Just About Finance.
https://www.financialsmatter.com/connecting-the-dots/
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