Finance is full of definitions. Here are some to help you figure out when this bear market is really over. Finance is full of definitions. Here are some to help you figure out when this bear market is really over. [Wealth Daily] Jason Williams / Aug 19, 2022 Mr. Market and the Three Bears Investing is full of esoteric definitions explaining trends in the marketplace. Today, I want to talk about a few of them, because there seems to be a LOT of confusion out there right now⦠This or That? First off, letâs talk bear markets, since, you know, weâre in one and all. There are two types of bear markets: secular and cyclical. Secular bear markets last for decades (the average length is 16 years). They represent long-term trends like the direction of interest rates or corporate earnings. Theyâre long-term price declines that are punctuated by scattered rallies. And there have only been four of them in U.S. history. Cyclical bear markets are shorter-term and more related to the business cycle (as the name suggests). They can last a few weeks to a few years and represent a negative turn in investor sentiment. And unfortunately, itâs tough to tell exactly which kind weâre in right now. Interest rates are one factor coming into play. Corporate earnings falling could be in the near future too. So it could be secular. I hope itâs not, because those last a long time and nobody wants to be stuck in one. I hope itâs cyclical. And there are a few reasons it could be⦠Mr. Market and the Three Bears You see, there are three types of cyclical bear markets. There are standard cyclical bears. There are event-driven cyclical bears. And there are structural cyclical bears. Event-driven bears are probably the freshest in most peopleâs minds because thatâs what we got in 2020. The global reaction to the spread of COVID-19 was the event. And it drove the market down over 20%. The September 11, 2001, terrorist attacks on the United States caused one too. Market Wizard Who Accurately Predicted 2022
Market Collapse Has Shocking New Forecast He predicted the 2020 crash a month before it happened... He predicted this yearâs collapse back in January... And now, heâs issuing a brand-new warning â along with a unique solution. [Details here.]( Then weâve got the standard cyclical bear markets, which are, as the name suggests, part of the natural cycles of industry and investment. The Federal Reserve intervenes in the business cycle by raising rates whenever it sees necessary, thus controlling prices. And then there are structural bear markets. Those occur when a bubble or some other economic imbalance corrects. Weâve got a little bit of all those in here⦠Thereâs one hell of an event going on in Eastern Europe. It could drag the world into another war. The Federal Reserve most certainly is intervening in the business cycle in an attempt to control prices. And after nearly 15 years of easy money policies, valuations on everything have gotten so high some have called it the âeverything bubble.â Thatâs all three bears right there, and none of them seem just right to me. Two Bears, Three Types, Two Endings So now you know that there are a couple kinds of bear markets. One is painful but relatively short-lived. The other is painful and drags on for years. And you know there are three types of cycles in that first kind of bear market. Now itâs time to talk about the only possible way a bear market ends⦠That's with a recovery. But weâve got to remember there are two kinds of recoveries we could have when a bear market ends... A spike or a slog. Weâve seen both in the recent past. And there are specific reasons that each kind of recovery takes hold. Right now we could be in the midst of either. I know: Iâm not much help this week with my predictions, huh? But I promise Iâve got something youâll find incredibly useful if you keep reading⦠You see, when we get a spike recovery (or a V-shaped recovery), the market stays down for less than a year, does not retest its lows, and moves back up for one reason ONLY: a Fed pivot. That means the Fed changes its monetary policy and gets more accommodative. It might even pump liquidity into the markets. [QUIZ] 46 BILLION Barrels of Oil?! A massive $5.9 trillion oil boom is about to take place. Three tiny companies just acquired the rights to mine an untapped patch holding 46 billion barrels of oil in a mystery location... And it even has the potential to reach $9 trillion in value if prices reach $200 per barrel! So which country do you think will lead this upcoming oil surge? - Venezuela
- Saudi Arabia
- Canada
- Russia Think you know the answer? [See if youâre right!]( We saw that kind of bottom in the financial crisis of 2008 when the Fed slashed interest rates and started quantitative easing in the bond markets. We saw another in 2020 when the Fed pumped liquidity into the markets after the COVID crash. Maybe weâre seeing another one now. Weâll have to wait for next monthâs meeting and rate hike to see. But we could be in for a longer slog of a recovery. That's when the market stays down for longer than a year and retests its lows at least once. These recoveries occur when sellers get exhausted and negative news doesnât affect the markets anymore. It happens when markets grow numb to the pain thatâs front and center and start to focus on the future. We saw that after the dot-com bubble burst and when the U.K. left the EU. [spikes and slogs]Source: The Maverick of Wall Street and YouTube My Take Iâve listened to the press conferences and read the minutes from the last Fed meeting. And I didnât hear or see anything to make me think the Fed is changing course in September. I heard and read a lot about staying tough on inflation until theyâre sure the effects of their policy are being felt. And that says weâre going to get a much bigger interest rate increase next month than the market is anticipating. New Robot Has Tech Execs Scrambling You might not believe this is even real, but I assure you this video has been left unedited. Nearly every tech company in the world is scrambling to get its hands on this tech. And investors are set to profit handsomely. Get the details on [our Top 3 Stocks Picks here.]( The rally weâve been on since July seems to be betting on a Fed pivot and a spike recovery. But the Fed seems to think itâs going to stay hawkish for at least one more meeting and rate hike. And if Iâm right, then a lot of people whoâve been sucked into this most recent rally are poised to lose a lot of money in a very short time. I wonât be one of them, however. Nor will hundreds of my readers. And thatâs because weâve got a secret weapon thatâs saved investors in every bear market itâs ever seen. Itâs something I picked up in my time on Wall Street. Some of the guys I worked with there called it our âlast resort,â because it was the only thing we could use to make sure our clients didnât lose money when the market were crashing. And when I left Morgan Stanley, it was one of the very first things I set about recreating to use for myself and my investors. Itâs kept my account flush with cash while everyone elseâs profits went down the toilet. And itâs taking all the guesswork out of picking a bottom in the markets. Thatâs why Iâm not too worried that I canât tell what kind of bear market weâre in or what kind of recovery weâre going to have. I donât need to know, because this system will keep me in the safest stocks while the market drops and get me into the most profitable ones when the recovery really takes hold. Itâs why Iâve been able to take advantage of this recent rally even though Iâm sure itâll fizzle out at some point. Iâm not scared of when it will end, because my system will have me out long before that happens. Your Personal Safety Net And with what Iâm pretty sure is coming our way: a long, slow recovery where we test those June lows at least one more time⦠I want as many people as possible to be able to take advantage of Wall Streetâs "last resort." I want you to be able to protect your capital AND set yourself up for the massive profits that come during both spikes and slow recoveries. So [Iâve attached a report]( that explains the strategy, shows how itâs beaten the market time and time again, and lets you in on how to use it to not just survive, but thrive in any market or economy. All youâve got to do is take a little time and give it a read and youâll be ready for whateverâs coming our way, too. I hope youâll take advantage of it. But [the final choice is yours](. To your wealth, [jason-williams-signature-transparent] Jason Williams [[follow basic] @TheReal_JayDubs]( [[follow basic]Angel Research on Youtube]( After graduating Cum Laude in finance and economics, Jason designed and analyzed complex projects for the U.S. Army. He made the jump to the private sector as an investment banking analyst at Morgan Stanley, where he eventually led his own team responsible for billions of dollars in daily trading. Jason left Wall Street to found his own investment office and now shares the strategies he used and the network he built with you. Jason is the founder of [Main Street Ventures](, a pre-IPO investment newsletter; the founder of [Future Giants](, a nano cap investing service; the editor of [Alpha Profit Machine](, an algorithmic trading service designed specifically for retail investors; and authors [The Wealth Advisory]( income stock newsletter. He is also the managing editor of [Wealth Daily](. To learn more about Jason, [click here](. 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