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Saturday, January 3, 2009

The First "Week in Review" for 2009

"Collective fear stimulates herd instinct, and tends to produce ferocity toward those who are not regarded as members of the herd." - Bertrand Russell

In 2008, the DOW collapsed to the 8,000 range and began what is a very serious recession.

What do we do?

Do we react with fear? Do we talk about 'just how bad things are'? Well, as we all know, I do talk about how bad things are. But do we just leave it at that? Or is there opportunity with the DOW Jones? Of perhaps ... purchasing (gasp) stock?

Well, if things are so bad, and even I believe they may get worse? Why would I purchase stock as an investment? How would I adhere to the money management principles that I preach so heavily? How would I control my risk?

I discuss that in the following "Week in Review" podcast ...

(Podcast Included. If you're seeing this from Email subscription? Click on the Title Link in the Email to hear the Podcast ...)

Click here to download this podcast.

Do not allow the fear of bad times, to paralyze you from taking action for your profit 5 years down the road. Buy on the cheap, and you can only do that when people are afraid. Control your risk as best you can, and keep your exposure low.

We'll see everyone on Monday for my "Email Inbox" podcast. I will also have a vlog entry on "Airelon's Thoughts for January 2009"

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Note: This is not an investment or trading recommendation. The losses in trading can be very real, and depending on the investment vehicle, can exceed your initial investment. I am not a licensed trading or investment adviser, or financial planner. But I do have 13 years of experience in trading and investing in these markets. The Challenge accounts are run for the education of other traders who should make their own decisions based off their own research, and tolerance for risk.

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