I have an important correction to bring to your attention. When I wrote the February Post on Derivative volume in this country , the total amount of Derivative volume was $360 Trillion, today, the volume has doubled to $700 Trillion with little regulation. “To Big To Fail” has gotten bigger. Understanding the numbers and the risk involved to the global economy is frightening. When 65% of the Wall Street trades are made by fast traders, the guys who trade in milli seconds, do indeed create the market.
The general public can never get the same price as the ” fast Traders”, we will always pay more. Not only will we pay more, but once again, when ” the fast traders” decide to pull their money out of the market , creating volatility, we won’t be able to buy low enough to pay for our foolhardy selling ” Too Soon”.
My advice, keep cash on hand and be ready to invest in good companies when there is a real correction. At some point in time, sooner, rather then later, a Black Swan event, something totally unanticipated will occur and the Market will correct. It could be “the Plague ” ( similar to Albert Camus’ a cautionary tale , titled, ” The Plague” , a must read or re- read) or it could be ” the People electing their own candidates to office via petition or the write-in process, independent of the Parties”? Hey, you never know, all things are possible.
Thanks for listening and,do comment on my Posts. Be involved, “we have a voice, we have a choice and Politics effects US”.