Fear, Fear, Fear: Time to Buy?

Quick update, since this is obviously going to be a crazy day.

The last month or so has been quite volatile for the stock market. One week we’re up 10%, the next week we’re down 10%. This is a market that can’t make up its mind where it wants to go.

We are currently very oversold and nearing all-out capitulation. I don’t think we’re quite there yet, but I expect a pretty significant snap-back rally when all is said and done. Contain your emotions because buying opportunities are starting to open up. Take note that the dollar is cratering, the Euro is flying, yet equities are down.

I’m probably in the minority in the gold bug camp in my opinion that we’re in a longer term bull market for stocks. This doesn’t take 800-900 on the S&P off the table, but it does suggest that those levels will be supreme buying opportunities.

It will be hard to pull the trigger now, but the big value is in the gold space. I am starting to nibble on some of the more battered shares. Please bring on the capitulation!