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PANIC. CASH IS KING

March 12, 2020. The Trump speech was a dud and we saw panic selling this morning-Thursday. Financial markets are collapsing.

We started selling a month ago. But despite our efforts in raising cash, the sentiment is so bad that investors are now throwing out the baby with the bath water. In looking at the technicals, we may get a rebound, (assuming the Feds come in with stimulus)

We were expecting an additional 10% decline over the next few weeks, but WE ARE ALREADY DOWN 7% TODAY-in one day.

A truly horrendous decline today. At the start of trading today, we had planned on additional selling. But the ‘bids’ were so bad (low), that we held off due to the huge losses that we would had incurred. There were buyers (which is quite shocking) but at fire sale prices.

Fear levels are now so high that a Federal stimulus program will probably NOT do much to instill confidence.

We are still going to watch for possible ‘sell’ opportunities today. If a Fed program gives us a rebound, we will probably start aggressively selling.

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