This year promises to be, well, a bit wild. Volatility can be expected not just here in the U.S. market, but all over the globe. So when it comes to picking an investing strategy for 2017 “buying dips and selling rips” could prove to be a profitable one.
Already we’ve seen the pound fall, equities slide and gold climbing on concerns U.K. Prime Minister Theresa May is prepared to lead Britain out of the European Union’s single market and act as a guide for other countries that could break from the bloc. At least that’s what President-elect Donald Trump suggests as a possible outcome.
Just talking about the dissolution of the EU is both mind boggling and frightening for the market. Depending on where you look, the EU is either the single largest economy on the planet or the second largest just behind the U.S. Either way, it’s a force to be reckoned with. When Ms. May indelicately expresses her demands about exiting the EU, and the newly elected U.S. President tweets his fleeting thoughts about it, well, the negative reactions by the global markets is the only probable outcome in this scenario. What should you expect in the coming weeks and months? Big money buyers will be looking for buying opportunities, and so should you.
The issue in 2017 is how well one can predict the ups and downs of the market. Because the potential dissolution of the EU is not the only issue on the table for 2017. I mentioned the newly elected U.S. President …
Donald Trump is a wild card, especially from a market perspective. His penchant for tweeting his early morning thoughts and his willingness to share them about anything could send the markets up and down. A perfect example is a headline from the Washington Post last week. “How a week of Trump tweets stoked anxiety, moved markets and altered plans”
Yes, 2017 promises to be a volatile year for global markets, and you can be sure big money will be using its best tools to stay on top of the flow. This could be setting up another year of “buying dips and selling rips.” The one key thing to remember: If it gets too crazy, step out of the way. Sometimes the smart thing to do when the market goes nuts is watch from the sidelines. But if you do decide to stay in the game, you could be setting yourself up for big money if you know what to look for.
So, if your strategy is buying dips and selling rips, your focus should be on the tools. The accurate analysis of markets, intermarket analysis to be precise. In today’s information-obsessed world, and the speed at which that information travels, the reaction in gold markets when Trump tweets, or the selling of the Sterling when May rails about Brexit sends ripples throughout the global market.
The U.S. dollar jumps and oil dumps. This relationship is an obvious and playable one. But, there is a myriad of market relationships far more subtle, but just as connected. To play those, you need the same thing big money uses to play the game – sophisticated software tools.
VantagePoint can be that tool. Neural networks work to predict near-term market movement. It can give traders a 1-3 day forecast on those market movements. In a year such as 2017 with uncertainty abound, it could prove to be an important tool as many experts anticipate numerous instances of wild, near-term market movement.
Expect the unexpected. Expect the leaders of the U.S. and U.K. economies to throw out brazen soundbites. And expect the market to throw it back in the form of volatility. When that happens, make sure you’re prepared for buying dips and selling rips.
Be prepared for the next big move with the help of VantagePoint
Will you be prepared BEFORE the next dip occurs? Don’t miss an opportunity to make money because of poor timing. Sign up today to receive a free demonstration of VantagePoint and see how our predictive technology can help make 2017 your most profitable year yet!