Wednesday, January 27, 2010

Charles Nenner: Stick With Cash, Bond Investors in for "Big Trouble"

DTO continues to do well, what a great buy at 60 for those who continue to hold. If you are not as good as joe when it comes to gap trading and shorting, stay away from this market and remain mostly in cash.

The droves of retail investors who’ve recently fled to the safety of bonds are setting themselves up for "big trouble," according to market timer Charles Nenner. He predicts the recent rally in bond prices is only temporary and will soon reverse in a major way. Echoing statements he made here in October, Nenner firmly believes "for next 30 years rates will only go up" so get out while you still can.

So what should you invest in?

Nenner admits there aren't many good choices for a long term investor right now.

-- Gold: He warns those concerned about inflation are premature so don't "get too enthusiastic about gold." According to his research, gold will put in an important long-term high in the next few weeks. Looking a few years out, gold may once again rally to new highs but investors could get burned in the meantime.

-- Dollar: Cash is king if your main concern is capital preservation. Nenner, contrary to the consensus, thinks the dollar is on the rise having "already put in an important low."

Watch the video:,tbt,gs,uup,gld,Gdx,spy&sec=topStories&pos=9&asset=&ccode=


  1. couldn't agree more cash right here is the safest play for most players in this casino. I would like to see a break above 1020s before going for the next leg up

  2. Gonna hold GRZZX GORO and AUY, bailed on TLR with today's bounce figure I'd like to have the extra ammo in case this dollar rally keeps up. A pullback in AUY would be especially welcome that one's always been kind to me.

  3. This was part of my email alert this morning from Charles Nenner Group....S&P/Nasdaq

    Our overall technical model continues on a buy signal

    That is why we want to move the protective buy stop INTRADAY down as follows:

    For the S&P 1091;

    Nasdaq 1802;

    Dow 10,270;

    This does not mean we want to go long, even with the buy stop


    If Gold wants to start moving up one more time, it has to start soon, since cycles bottomed short term

    We still feel a bit uncomfortable being long since the longer term cycle is topping in Feb

    Therefore, we want to move the sell stop up to 1089 INTRADAY

    A close now above 1119 will make us feel better being long


    The important low we are looking for is still projected by Feb 22

    Nat Gas

    Gas can still reach 5.26, but we are waiting to go long, once cycles bottom in Feb


  4. good post and sound advice.
    joe you and kli need to write a book gap trading for dummies.
    i got a little bloodied today on jag and slw.
    xra and gld holding up but treading water.
    lots of dry powder left.
    looking to short tlt around 93.

  5. If they ever write that book, I'll be the first dummy on line :)

  6. ME TOO!!!!!!!!! TXB

  7. Daniel Estulin, who regularly receives Bilderberg meeting links due to his personal connections, says that the US dollar is being pumped up artifically to get everyone into the dollar before the dollar gets its legs kicked out. This will serve to transfer vast amounts of wealth to the international central bankers. It will pave the way for US Agenda 21 and regional govts. Read Estulin if you need proof. The guy is solid.

  8. Don't for a minute think that this guy Neder is saying what he really thinks. Neder also said he'd buy 10yr t-note at 4% for a trade on rising bond prices.