As our readers are well aware we detest making predictions and forecasts — and we generally mock and deride analysts who do. so we have been putting off writing this letter for some time.
But there is no getting around it: The great bull market is alive and thriving. And there is every prospect of its going vertical and running away as a genuine buying panic develops. Until–and when– this occurs returns will be straight out of the fantasies of those hucksters who fill your mail box with promises of outlandish easy fortunes every morning.
Prices will continue to surge for some time (how long not known) and then price will go truly parabolic and subsequently collapse. As grizzled commodities traders we have seen a number of markets like this and feel confident of our ability to recognize the state of the market and manage positions.
Readers should expect a wild –and profitable — ride.
We added on to our leveraged SPY position.