Falling copper and steel prices point to worldwide recession – how do you make money as the economy goes on negative GDP growth?
Karen Zuba
Jun. 14, 2007

The biggest question for the investors is – how do make money in a bear market. Shorting stocks even in a bear market is tough. The reason is that every bear market experiences short covering countertrend bull rallies that is devastating for who less than perfect in timing the market.

You can make even 200% a year in bear market with very little risk. You have to learn to use options, futures, and other derivatives. ETFs are not the answer. ETF will suffer enormously. Again buying ETF puts or calls are bad strategies because you are not using time on your side.

During bear market, you must go short on stock, buy a out of money protective call and sell a deep in the money put for a profit which you will pocket right at the beginning of the trade. You can take the premium you receive and invest the same in Tbills.

You can do the same using stock index futures. That will provide you the necessary diversification in case you have a small portfolio.

Your home price is plunging right now - what can you do to protect your biggest financial asset?
Ashley Parker
You must learn to protect your home equity. The recession is imminent no matter what those Wall Street gurus say. Real estate trouble always precedes massive economic downturn. You must pay down your loans.
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Retiring healthy, rich and early – are you ready to learn the tricks? Futures and options can make it for you
Sondra Johnson
Always remember, you want to use time as the tool to make money. As these options expire, they take the future. The extra premium stays with you for your rich and early retirement.
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Falling copper and steel prices point to worldwide recession – how do you make money as the economy goes on negative GDP growth?
Karen Zuba
You can make even 200% a year in bear market with little risk. You have to learn to use options, futures and other derivatives. ETFs are not the answer. ETF will suffer enormously.
READ MORE>>

Heavy insider selling patterns suggest after making one higher the stock market will go down more than 25%
Sam Adelton
The Dow most like will hover around 11,000 by end of 2007. The downtrend will not start unless the major indices make one more new high with significant momentum divergence.
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Lower and steady producer price index shows inflation not a problem – why did bond market collapse?
Peter Oberois
The producer price index data shows inflation is not a problem. But the bond market collapsed. The rates shot up on the long end. Many investors are wondering what is happening?
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Increasing Initial Jobless Claims sets the trend for degrading job market – is it time to buy the Treasuries?
Anila Blaka
The central banks coordinated the efforts of selling US Treasuries to take the liquidity out from the system. US Treasuries felt the shock first because the US bonds markets are most liquid.
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What happens by end of 2007? Ten-year note yields 4.5%, Dow Jones Industrial Average at 11,000 and Real Estate is down 20%
Sam Adelton
The market is slowly declining on a daily basis. Dollar is steady at a low level. The budget deficit is projected to rise sharply due to lack of revenue. The trade deficit is steady at a much worse level.
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