My Blog
Richard Russell continues:
“Twenty years would be a long time for a bear market, even a secular bear market. Therefore, you should know that I do not expect the market to head straight down for 20 long years. Actually, in the coming 20 years I expect to see a number of short cyclical bull and bear markets (much like the 1956 to 1974 period), and I expect to see many periods of boring trading ranges -- all occurring within the overall pattern of a secular bear market.
But keep in mind that the broad sweep of the market will be down and down, although there will be many confusing periods in which analysts will argue as to the direction of the primary trend. During the period of the bear market, I will do my best to describe to my subscribers where we are, what's happening, and what to expect in the period ahead.
I've posted below a long-term chart of the Dow going back to 1991. The primary bear market would have started from the May peak at 13,279.32.
As a matter of interest, I don't believe the recession that occupied the 2007-09 period ever ended -- I think it is simply continuing.
I can almost promise my subscribers that the market will be difficult to follow from here on. Already, we see something to puzzle about in the low level of the VIX, which suggests complacency and low volatility in the near future.
Remember, the bear wants to go down, taking as many investors with him as possible. To do this, the bear will try to keep investors happy and above all -- hoping. Furthermore, the bear will provide as many bull traps (i.e. deceptive areas that ‘appear’ to be bull signals) as possible.”
To subscribe to Richard Russell’s Dow Theory Letters CLICK HERE.
© 2012 by King World News®. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. However, linking directly to the blog page is permitted and encouraged.
The interviews with Don Coxe, Eric Sprott, Nigel Farage, Peter Schiff and John Embry are available now. Also, be sure to listen to this week’s line-up of other KWN interviews which include Egon von Greyerz, Bill Fleckenstein, Jean-Marie Eveillard (oversees $50 billion), Michael Pento by CLICKING HERE.
Eric King
Richard Russell: Bear Market to Last Another 15 Years to 2027
Today the Godfather of newsletter writers, Richard Russell, shocked King World News when he made this remarkable and extremely dire prediction to his subscribers: “The primary bear market -- the leveraging and inflation and lying and cheating and shenanigans lasted from 1945 to 2007, about 62 years. My guess is that it will require maybe one-third of that time or roughly 20 years to clean out the economic stupidity and nonsense of those 62 years. That could take this bear market out to the year 2027.”
© 2012 by King World News®. All Rights Reserved. This material may not be published, broadcast,
rewritten, or redistributed. However, linking directly to the blog page is permitted and encouraged.
July 24, 2012
