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Prechter's November Theorist: The ONLY Bull Market Still Standing
There's Only One Word to Describe What Happened to Stock Investors This Year

By Robert Folsom
Wed, 12 Nov 2008 17:30:00 ET
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Psssttt! Hey, buddy -- listen...

 

Wanna get in on the hottest bull market? You ain't gonna believe what I'm about to tell you!!

 

Yeah...wait, c'mon, man, no. Don't walk away. Just wait a second. Just lemme tell yah what I got to say. This market... man, this market is SO hot -- that's right. It ain't stocks, it ain't real estate, it ain't crude oil. It ain't any of that stuff.

 

There ain't no fees in this bull market, either. You don't have to do nuthin'. Ain't no risk at all. None of them "transaction costs." What? Yeah, I'm bein' serious... Real serious.

 

Now just come closer and I'll tell yah. Closer so I can whisper it. You ready? I'll whisper it. Ready?

 

It's...

 

...It's C-A-S-H. Cash. Yeah, that's right. It's cash, man. Cash.

 So it is. There are very few places where you can get the straight truth about cash, dear reader. If you do find one, it won't be a source that recommended going to cash well before the financial crisis began.

 The math is simple:

"Cash is soaring in value, as creditors demand dollars and debtors sell everything they can to come up with them. Cash now buys 1.7 times as much stock and real estate, twice as much silver, and 2.5 as much oil as it did a short time ago."
 
Says who? Well, that quote is from the just-published November issue of Bob Prechter's Elliott Wave Theorist. He also says, "This trend is far from over. The longer you hold onto your money, the more it will be worth, until the deflation ends."
 
Yes, Prechter said "deflation," but by this point there shouldn't be anything surprising about it. It's not like there's a better word to describe what has happened to the portfolios of millions of stock investors this year, the price of oil since June, real estate since 2006, and virtually the entire commodity complex.
 
This month's issue of the Theorist is Prechter at his best. I can tell you first-hand that he's working hard, producing research and analysis that truly rises to the occasion we're now in. His charts alone are invaluable -- and coupled with the quality of his commentary, all I can say is that you should see and read it for yourself.
 
Put it all on your screen within moments, by clicking here.

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> Could your following grow large enough to influence the markets?
> In this deflation, are currency traders at risk of not getting paid?
> Do you know of any mutual funds that use Elliott wave, Dow Theory, etc.?
> Are money market funds a good strategy to beat deflation?
> Can you explain the phrase 'point of recognition'?
> Can you explain what's going on with the price of oil?
> If cash is king right now, what currencies do I choose?
> Commodities: What now, after this year's huge declines?
> How would a total ban on short-selling affect the markets?
> Collectibles: What happens to their prices in deflation?

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