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Tuesday, March 31, 2020

to those wondering "WHAT WILL CAUSE THE STOCK MARKET CRASH?!" my thoughts.. #Best Education Page #Online Earning.

to those wondering "WHAT WILL CAUSE THE STOCK MARKET CRASH?!" my thoughts...


oh hey guys what's going on I wasn't
sure if we were recording just yet uh
just enjoying my lunch
excuse me having a bread sandwich today
given the current state of the markets
in my next video I'm gonna be covering
my five favorite recession meals as far
as meals you can afford after you invest
money in the stock market and lose
everything okay now before we get into
this video and talk about what could be
causing this possible stock market crash
or correction I want to talk about why
you should actually care and the answer
is you really shouldn't care at all so
your question might be why would I
bother making this video if I don't care
about a market crash and you shouldn't
care about a market crash the reason why
I'm making this video is because so many
people think they need to care about
whether or not the markets are going up
or going down and the truth is you
shouldn't care about what the markets
are doing you need to have strategies in
place that allow you to make money when
the markets go up and you also need to
be able to make money when the markets
go down so maybe on the way up you're
buying stocks of undervalued companies
and selling them at a higher price down
the road or you're buying dividend
stocks and you're buying stocks that are
gonna pay you dividends now that's one
that could work for both bull markets
and bear markets because if you invest
in good companies that have a consistent
dividend history they're gonna keep on
paying dividends even during a bear
market or maybe your bear market
investing strategy is to bet against the
companies that are overvalued or wait
until stocks go on sale and scoop up
shares of undervalued companies or even
better you don't care about whether or
not we are in a bull market or a bear
market because you regularly accumulate
shares over time also known as dollar
cost averaging I want to give you guys a
comparison here to what this is like
because everyone seems to be freaking
out about the fact that we are seeing a
market correction taking place now is
this the sign of a long term correction
or just a short term correction where
the market is blowing off steam I have
no idea does anyone have any idea
absolutely not there's no way to
sustainably or accurately time the
market and so it's useless to even try
doing this but what I want to show you
here is why you need to have a Strad
for both the bull markets and the bear
markets so let's say for example you
live in the Northeast near where I live
I live in New York and you have a
landscaping company and so during the
summer you go around with your truck you
break leaves you mow lawns you pull away
the clippings and so you do very well in
the spring when people are cleaning up
their yards during the summer you do the
mowing and during the fall you do a
great business with the raking and then
winter comes along and what are you
gonna do if you're a landscaper because
there's certainly no grass to mow
there's no leaves to rake
nobody is landscaping you know what you
do you stick a plow on your truck and
you push the snow that is what it is
like being an all season stock market
investor where you understand how to
make money when the markets go up and
make money when the markets go down it's
like being able to throw a plow on your
truck during the winter and push snow
because you know that nobody's
interested in having you mow their lawn
in the winter but there's snow that
needs to be pushed you need to be able
to do that you need to be able to
transition or pivots into another
strategy that will allow you to make
money during a down market if that is
the case so do you see people who do
landscaping in the Northeast sitting
around saying oh is winter going to
start today is winter gonna start in a
week is winter gonna start next month no
they don't and maybe those who do need
to develop a strategy to make money
during the winter but that is the exact
same thing you need to do when it comes
to investing in the stock market so that
being said the most important thing that
you can do for yourself is educate
yourself on some bare market investing
strategies and I'm actually going to be
covering that in stock radar very soon
that's my weekly stock analysis
membership group every single week we do
an analysis on a particular company and
if we do see a market correction take
place we're going to start to look for
good value investing opportunities
because the thing is you may see the
share price of a company fall but does
the actual underlying or intrinsic value
that company have fall as well and the
answer in most cases is absolutely not
so what you look for is companies that
are going on sale as a result of a broad
market correction and if you're a value
investor in you're performing
fundamental stock analysis and that's
what we do over in stock radar we look
at all the key financial documents we
talk about the the moat and the barriers
these companies have the pros
Conn's and so you're looking for good
durable businesses you're looking for
good fundamentals financially healthy
companies and then when the market goes
on sale when you see stock prices fall
that is when you take advantage of that
sale and you scoop up shares of
undervalued companies but at the end of
the day the most important thing you can
do for yourself is not to sit there at
your computer typing away looking for
what will cause the stock market crash
the most important thing you can do for
yourself is to find a plow for your
truck figure out what you're gonna do
when the snow falls are you gonna plow
driveways or you're gonna sit there and
stare out the window and wait for the
snow to melt so what is possibly causing
this stock market crash there are seven
different factors I want to talk about
here and I'm not saying there's going to
be a massive crash here like I said
timing the market is of no use there's
no way to successfully or accurately
time the market and if I were to sit
here and tell you guys that I think the
stock market is going to crash tomorrow
or it's gonna crash next week that
information should be of no use or value
to you because you know that nobody has
access to information that the general
public doesn't about what's going on
with the markets and there's no way to
sustainably or accurately tell when
we're gonna see a stock market crash but
if we do see a substantial correction
taking place with the market I believe
it is a result of one of these seven
factors or a combination of these things
and again these are all catalysts that
exist in the market right now six months
from now you may watch this video and
say I was right six months from now all
these things may have blown over and you
could say this was ridiculous the first
one relates to trump and his 25% tariff
proposed on up the 60 billion dollars
worth of Chinese imports so Trump is
very outspoken about his opinion on
China and how he thinks we should have a
level playing field when it comes to
trade and right now he believes that
China has an advantage and he wants to
level the playing field by imposing
tariffs on imported Chinese goods and
particularly we saw this happen with
imported aluminum and steel now here's
the thing about this situation is that
China also buys a lot of stuff from the
United States so what we have here is
the potential for a trade war to start
where we're going to start slapping
tariffs on imports left and right and
that's going to benefit absolutely
nobody
we have seen China come out now and say
they are going to be imposing tariffs on
128 US imports so what we could
potentially see happen here is a pissing
match between the United States and
China and I know that might be an
offensive term but that's really all I
can think of to explain this you're not
going to see China just back down we're
not gonna say okay we're gonna slap
tariffs on Chinese imports and they're
just gonna say sure that's fine no
problem yeah no big deal
they're gonna do the exact same thing to
the US imports they're very outspoken
about this and they said they're going
to be coming at the United States with
the same exact severity as we are coming
at them and this really makes no sense
at the end of the day because for
example think about the iPhone the
iPhone is assembled in China with parts
that are made all over the world so does
it make sense to slap a tariff on
something like that if the actual
components and hardware are not being
manufactured in China they're assembling
this phone in China and then to ship it
to the United States they're gonna have
to pay some kind of tariff this just
doesn't make any sense to me and the
whole idea of tariffs in my opinion
interrupts with the free market and so I
don't understand the point of these
tariffs I'm certainly not supportive of
them but we do have a big potential here
for a trade war to be started with the
United States and China now how does
this trade war immediately affect the
market well first of all let's talk
about Boeing Boeing was the top
performing stock on the Dow Jones
Industrial Average in 2017 it is one of
the darlings of Wall Street right now
but you know what is very interesting
about Boeing is that 25% of their
deliveries in 2017 were to China and
about 20% of their backlog is from
Chinese customers so Boeing is caught in
the middle here with this potential
trade war where one of the first things
that China could slap a tariff on is
commercial airplanes and who is the
biggest producer of commercial airplanes
as far as the US exports go it's going
to be Boeing so immediately as a result
of this potential trade war with China
we saw a Boeing stock going to a fear
driven sell-off because people were
afraid that China was going to directly
go after Boeing as their first
retaliation and when you see a
bellwether for the market a bellwether
for the Dow Jones Industrial Average go
into a cell
that is when you're gonna start to see
people in the market become fearful and
you're gonna see a broad market
correction taking place now on top of
that we are seeing that Trump tweeted
about leveling the retail playing field
as well he's saying that Amazon is not a
business people can compete with retail
storefronts are going out of business
this is negatively affecting the post
office and so again we saw shares of
Amazon go into a sell-off Amazon again
being one of the darlings of Wall Street
right now but why is this such a big
deal again Amazon is one of these
bellwether stocks it's one of these
darlings of Wall Street one of these
stocks that have just been doing so well
over the last couple of years and when
you're seeing a massive sell-off taking
place with this stock it's gonna cause a
broad market correction and then we tie
in what is going on with Facebook and
this Cambridge analytical scandal now
members of my stock radar group you guys
heard all about this we did like a
30-minute analysis on Facebook and
talked all about this scandal but
essentially data ended up in the wrong
hands as a result of Facebook's privacy
policies with data and people are really
for the first time stepping back and
saying these big data companies need to
be stopped with the amount of data
they're collecting on us and also what
they are doing with that data and so as
a result we saw a massive sell-off
taking place with Facebook stock another
one of the largest companies in the
stock market another one of the
bellwethers of the market I mean guys
think about the fact that Fang composes
of Facebook Amazon Apple Netflix and
Google we saw a sell-off with Google
taking place as a result of what's going
on with Facebook because there are
another gigantic digital advertising and
data company so when you have three of
those five companies going into a
massive sell-off what do you think is
going to happen to the other components
of Fang or the Nasdaq or the other
stocks out there you're gonna see the
whole market begin to go into a
correction and then the final company I
want to bring into this is Tesla for the
first time Tesla is facing reality of
the fact that they're an unprofitable
company and Moody's has downgraded their
debt
so there's actually talk out there as
well about Tesla possibly going bankrupt
or not being able to repay their debt
that they owe and so for the first time
Tesla shareholders are going what are we
going to do here because Tesla does not
have them
to turn a profit we are hearing about
production delays with their vehicles
and there was another deadly crash with
one of their vehicles so a lot of bad
news surrounding Tesla stock and we saw
that stock also go into a sell-off
recently and then all these components
tied in together in caused a sell-off
with the tech stocks and it really comes
down to the fact that many of the market
bellwethers went into a sell-off and as
a result you're going to see a broad
market correction taking place when you
have Facebook Google Amazon Boeing all
these stocks falling at the exact same
time the whole market is going to come
down with it now is this all going to
blow over or are we going to see a trade
war that's going to cause the stock
market crash of 2018 I have no idea
nobody really has any idea and I just
want you guys to understand that you
shouldn't worry about that
instead you should realize that you have
to learn how to make money when the
markets go up and when the markets go
down and if you're nervous if you're
worried about a market crash you need to
stop looking at your computer trying to
figure out what will caused it and
instead learn about how to make money in
a bear market that's the best piece of
advice I can give you guys but anyways
this is not my typical style of video
here talking about news or current
events but I just wanted to talk about
it because so many people are talking to
me in my private Facebook group or
sending me emails or leaving comments
about a stock market crash and I just
felt it needed to be addressed but
anyways guys thank you so much for
taking the time to watch this video if
you're looking to learn more about
investing in the stock market check out
my free course on how to find a great
investment I'll link that up in the
description below but I thank you so
much for taking the time to watch this
video and I hope you have a great rest
of your day

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