This is most definitely the worst stock market crash since the 1929 Great Depression. The stock market is about to reach a total drop of 50% from this year’s high. This is an unprecedented amount of loss money that has never reached this bad before. Jim Cramer stated last month that he expected the stock market to drop for another 20% before it might bottom out. Many speculators and advisors are stating that the market will not start moving up until 2009. So, how should you take advantage of the situation?
I was thinking of doing some short-selling and buying on the dips. The stock market lately has been still dropping lower and lower. We almost reached the Dow Jones low of 8,000 today. Who knows, it might hit that mark tomorrow. This might have also been the day to buy before another sky-rocketing jump. I will wait this one out. I know when inflation finally hits, you will see the precious metals, gold, and silver start moving up. But it takes time for inflation to factor in and I do believe there is a good chance for more downtown. There has been a lot of votalitiy in this market. Hopefully we see some bottoming out soon and we can start trying out one of these strategies and gaining some of our hard earned cash back.