Is a BIG Stock Market Crash Coming in 2011? - Investment - Retirement Planning

Is another HUGE crash in the US stock market coming? Many analyst think so and are predicting a BIG drop this Summer (2011).

The Man Who Called the 2008 Market Crash Warns:

The Stock Market Will Hit a Brick Wall

Who is he? Dennis Slothower the stock market guru who called the crash in 2008 (months in advance) has issued an urgent warning to investors that a devastating U.S. stock market collapse could happen at any time. Particularly with the close of the Fed's QE2 which is set to end June 30th. (more on what QE2 is here in a minute).

If he is right again, we could see the market flash crash even worse than it did in 2008! Even more investors could be wiped out. Folks who have their IRA and 401k money in mutual funds, ETF's, and other market vehicles could see them take HUGE hits, and in some cases go to ZERO!

If you don't have money invested in the markets, don't for a moment think that a double-dip crash won't affect you!

You are already feeling the heat at the gas pumps, and at the supermarket (that is the real reason you see people all over the world revolting - inflation has hit them HARD and they are not able to buy even the basics).

You may be one of millions of folks who pulled money out of retirement accounts just to make ends meet. When the US markets crash, it affects the entire world! If you think prices are high now, a double-dip could quickly make things MUCH worse.

The sad fact is that most investors have no clue or plan on how to make money when the market is dropping. But, as index traders, we do this nearly every day. We took BIG profit on the crash in 2008, and we could do even better this time.

So what is QE2 and why is Slothower and so many other analyst so worried about it? QE2 stands for the 2nd round of the Federal Reserve's quantitative easing program. This is where the Fed buys back the US Treasury bonds that no one else wants. The ultimate of all ponzi schemes! This 2nd round ends on June 30th, and many market analyst are predicting that there won't be a third round or QE3.

Many countries around the world are already calling for the end of the USD as the world reserve currency. Why? Because oil, and commodities (like cotton, gold, etc), food and about everything else folks consume are pegged to the USD. That means they are priced in US dollars, and until recently, the United States made it's cut on just about every big transaction in the world (China has already taken steps to end that by offering many countries a deal to trade with each other without exchanging their currencies into USD).

So when the Fed goes on a HUGE printing and bond buying spree like they have since 2009, that inflation of our money supply causes prices to rise on everything! As there are more and more dollars in circulation, each bill becomes worth less (not to be confused with worthless, but that may be coming soon).

If you don't have a strategy to make money when the market is dropping, you may want to set on the sidelines until July 2011 or so, and just see what happens. Better yet, why not learn how to make money when the markets are tanking?