Too High, Too Long, Is Alstry Wrong!?
Alstry predicting Dow 5,000 and tremendous unemployment..total calamity 9/09/09. For those following the doom and gloom.. Varchild is here to tell you that he's officially shifting his: "Strongly Bearish" posture on the market... to...drum roll... "Neutral."
What does Neutral mean? It means I can not make fun of Pres. Obama or praise him on Motley Fool unless I declare myself Bullish or Bearish first. So while I stay Neutral...anything Obama does is well.. *shrug*
But the reason everyone should be NEUTRAL to BULLISH..... Is because the Economy can not possibly fail to recover...
Why? The Market simply has been Too High Up... for Far Too Long! I am personally AWASH in cash due to this market! I've gained far more money than I've lossed and the Dividend Payments I receive have motivated me to spend more of my money this year versus last year...
In fact.... My behavior as it relates to consumer spending goes UP as the Market STAYS UP above Dow 8,000.
Once again GALLUP is showing Consumer Spending SPIKING at the end of a month and beginning of a new month. They have shown this several times only to run into a Fizzle. But, who knows? Maybe this Fizzle will hold?
Reasons to be BULLISH on Consumer Spending based off of Gallup's Polling? Never before today in 2009 has Gallup shown an $80 14 day average.
Even if you are ANTI-GREEN SHOOTS..... You have to come face to face with one big obvious, indisputeable GREEN SHOOT.... that the DOW = Above 8,000 for months now!
The DOW is higher than 500pts above when Obama was Inaugurated...
This leads to huge cash flow for Banks.... Huge Cash for Indiviual Investors.... Huge Cash for Hedge Funds.... Huge Cash for Mutual Funds.... Commodities are up!!!
We have seen all of these things UP too LONG... Too HIGH.... to be bearish... and fail to see how much cash so many businesses and individuals are accumulating in the market.
People's 401Ks are recovering! People's TSPs are recovering! The world today is a Financially Far more FIT day than it was yesterday....
HUMMER? That ain't going away.... That's been taken over by China and will prosper as that business has never seen a negative cash loss.... The recession's worst made it Cash neutral.
Michigan is getting a Battery Plant + a Small Car Plant re-opening soon.... Michigan might get HUMMER.... So.. Gotta be Bullish on Michigan Jobs with all of these announcements.
So.... I really can't be Bearish any more.... Alstry shouldn't be either... Maybe he'll join me on September 10th, 2009?