Where to Invest? Housing Stock Investment is Going Bearish - Kip Herriage

Good Thursday morning all. In my 36 years in the business I’ve never seen this many people bearish on the markets, the economy and our future. Fear levels are extraordinarily high. And it's not that I don’t get it….I get it, believe me.

I’m the guy that’s gone there about 9/11, the Patriot Act, WMD’s, Iraq/Afghanistan, the housing crash and financial crisis, Obama the communist and health care destroyer, Russia/Russia/Russia, the plandemic, the poison jabs, the rigged election and 1/6 false flag. 3 bear markets in 4 years.

I’ve been right there with you. And like you, I’ve been right. Over the last 20 years only the conspiracy theorists have been right. That’s because they’ve been conspiracy facts. We lay all of this out in “The Big Bribe”, our new book (available now on bigbribebook.com).

But as we also lay out in our book, there’s an important distinction between everything laid out above and investing and making money in the markets. Not only is the stock market not the economy, but our imagined realities via PSYOP aren’t the stock market either. Stay with me here folks…its an important point.

I’ve written about this since the financial crisis. Saw it playing out first hand starting in 2010. There is a coordinated psyop in place designed to demoralize the people of this country, thanks to the likes of Cloward-Piven, and its certainly in place when it comes to investing. A psyop to help insure as many Americans as possible are frazzled, negative, demoralized and that they sell their stocks and stay out of the markets. The bad news is everywhere, even as corporate earnings continue to grow by 8–12% year and as entrepreneurs continue to start amazing new companies, using innovation to make their millions/billions.

Watch: months from now, when interest rates are markedly lower, the markets are sharply higher and when the buzzword is deflation rather than inflation, investors everywhere will be asking themselves; why did I sell my stocks right at the bottom of the 3rd bear market in 4 years?

I think that’s where we are today. On the cusp on a major, multi-year move higher in the markets. Just as most everyone believes that America's best days are behind us. I reject that. Never bet against America or Americans.

Things just aren’t that bad. Ed Hyman at Evercore sees an economy that is weakening but that is still growing. Ignore the permabears. And why is it that these permabears….who sound so smart…just disappear into nothingness when the markets ramp higher??

Take yesterday. Massive move higher in the markets, on the heels of some somewhat decent inflationary news. Nasdaq +2.9%. Semis +4%. 3 month highs in the markets, even as most investors want nothing to do with the market. Sentiment remains painfully bearish.

But here’s the real attention getter. Yesterdays internals. Wow. NYSE up-volume was 92%. Full on bullish thrust buy signal. NYSE advance/decline was 5:1 positive.

The TICK (advancing/declining stocks) at the open yesterday hit the levels that we typically see in advance of major moves higher.

We’ve been aggressively bullish since late May as the VRA Investing System caught the turn (internals, FIFO, semis/tech, leadership, sentiment). And we remain aggressively bullish.

J Powell and his merry band of money printers have a new job. It’s no longer about stopping inflation. That mission is over. The Fed’s job today is to melt the markets up into the midterms, while making the economy look as strong as possible. As I told you over a month ago; “the economic news will miraculously start to get better….as the markets begin to melt-up into the midterms”.

And remember these two market timing points of importance:

1) the single best year to be an investor is the 12 month period following midterm elections.

2) Going back to 1930 the worst 6 month starts of the year (we just had the worst first half since 1970), then saw an average return for the final 6 months of the year of 23%, with the markets higher 100% of the time.

The lows are in. Pullbacks should continue to be used as buying opportunities.

Quick Hitters

- JP Morgan Traders Found Guilty AGAIN of Massive fraud in Metals Markets. The criminal enterprise of JPM lives on.

https://www.bloomberg.com/news/articles/2022-08-10/jpmorgan-precious-metals-traders-found-guilty-in-spoofing-trial

- Trump Media (DWAC); if you’ve noticed, like Bitcoin, Trump Media has stopped going down on bad news. The Trump raid in MAL, the extension request for their merger…not great news one would think.

I think DWAC is about to have a major move higher. I hear good news is coming. Frankly, they want Trump to be the nominee. That’s clear. And they want Trump Media and Truth Social to exist. Loudly. Keep buying DWAC.

Kip on Truth Social: