“Shares in a British subprime bank tanked by as much as 75% in a matter of minutes Tuesday.” Aug 22, 2017 CNBC
Look, sound and feel familiar?
Two days ago, Provident Financial, (LON:PFG), which offers credit cards and loans to people who are normally turned away by traditional banks, saw it’s share price decline by +- 75%. This is a bank not a biotech, isn’t it? (The shares have since recovered +- 20%)
Markets/Assets in general, globally, have been on a tear. See my post here.
Nothing goes straight up forever – nothing.
Pullbacks and consolidations are a necessary evil. The markets are looking for the Big Excuse so they can retrace.
Some Big Excuse real examples:
- China admits to massive corporate fraud in the banking system
- Chinese property prices tank.
- US auto loan defaults – all time high.
- US student loan defaults – all time high.
- US household credit card debt – all time high.
- US/Global housing cools.
- Massive cyber crime.
- Higher interest rates.
- Oil goes from $50 back to $100
- Cyber or “conventional” war.
The list of reasons why the markets should/will selloff is enormous. We see a far greater possibility of the market (Dow et al.) getting whacked a much needed 25% than continuing to move upwards and setting new highs. (Speaking of highs, have a look at the Player’s Network Video)
Take some off the table and be ready to buy the upcoming panic.
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