-- Posted Friday, 20 July 2007 | Digg This Article
DEEPCASTER LLC
www.deepcaster.com
DEEPCASTER FORTRESS ASSETS LETTER
DEEPCASTER HIGH POTENTIAL SPECULATOR
Wealth Preservation Wealth Enhancement
Financial and Geopolitical Intelligence
Deepcaster and select others have recently been warning that we are likely near a top in the major equities markets.
Indeed, Deepcaster has made specific recommendations (and yet one more again today) aimed at profiting from an expected Equities Market Takedown, at www.deepcaster.com.
Deepcaster thus offers five suggestions to help prepare to profit from the anticipated Takedown:
1) Cash up NOW so you can buy near the next interim bottom. While this seems to be almost too obvious to need noting, anecdotal evidence indicates a very high proportion of many portfolios are in equities at this point.
Indeed, were one to harken to certain talking heads on Bloomberg and CNBC one would think that most of one’s assets should be long and in equities at this point. Being overweight long and in equities it is increasingly risky for all of the reasons we have mentioned in the past few weeks.
2) Selectively liquidate equities which are strong Dow, S&P, Nasdaq and Russell 2000 mimickers. How does one test to see if the equities one holds (quite possibly profitably at this time) are Dow, S&P, Nasdaq and Russell 2000 mimickers? We suggest visiting Yahoo Finance online. Assume one owns one stock that is in the Dow Jones Average. Type in the symbol for the stock and look at the chart for the last 5 years. Then enter the symbol “DIA” (for “Diamonds” which approximately track the Dow) and click on the “COMPARE” button. A chart of Diamonds performance for the same 5 years should pop up. If the stock you have selected not only tracks the Dow closely but shows remarkably similar weakness when the Dow shows weakness, that stock is a Dow “mimicker” and thus, a prime candidate for unloading near the Dow top. It appears that top is about NOW.
3) But before liquidating the equities selected according to the foregoing criteria, one should consider the fundamentals, technicals and interventionals for each particular stock and industry sector. Based on these considerations some equities will be worth keeping anyway, that is, through the next Takedown. But some equities in some weak or potentially weak Sectors should be liquidated. Deepcaster’s selection this week is in a Sector we believe is about to suffer a substantial drop anyway, even if the Dow and other equities markets do not.
4) In determining which equities to keep, do not fail to consider retaining those companies which own real assets which are in an increasing demand, and which would be increasingly demanded even in the event of an economic recession, and/or substantial market drop.
5) Then, selectively acquire short positions in vulnerable companies or Sectors. Deepcaster’s recommendation this week (at www.deepcaster.com in “Alerts Cache”) is designed to meet the requirements for getting selectively short.
The Forecast Move for Gold and Silver
Deepcaster forecasts gold and silver will make a major move as the equities markets are moving down.
Based on the rationale elaborated in Deepcaster’s Letters and Alerts over the last two months Deepcaster believes that this precious metals move will be linked to the equities markets move. The primary reason for this is the Fed-led Cartel will be motivated to act to protect its Treasury Securities and Fiat Currency regime.
The question of whether The Cartel will be successful in achieving its goals is illuminated by the documents referenced at the * below.
*[We encourage those who doubt the existence of Intervention by a Cartel of Central Bankers to read Deepcaster’s October, 2006 summary overview of the Manipulation entitled “Juiced Numbers IV: How the Government Gets the Statistics It ‘Wants,’ Markets Get Manipulated, Citizens Get Deluded, and Worse” at www.deepcaster.com. Also consider the substantial evidence collected by the Gold AntiTrust Action Committee at www.gata.org for information on precious metals price manipulations. Virtually all of the evidence for manipulation has been gleaned from publicly available records.]
The bottom line is that Deepcaster believes the Fed has linked the future of the equities markets with that of gold and silver. We are thus forecasting gold and silver bullion and shares of bullion producers to make major moves at the same time the equities markets do.
July 20, 2007
DEEPCASTER LLC
www.deepcaster.com
Wealth Preservation Wealth Enhancement
Financial and Geopolitical Intelligence
Gravitas, Pietas, Virtus
-- Posted Friday, 20 July 2007 | Digg This Article