What if I told you there is a simple mathematical calculation…
One that a bright 10-year-old student can perform…
That has accurately predicted all NINE U.S. recessions since 1955?
It’s been right. 100% of the time. Without exception.
In fact, it’s been able to do what no economist… no market analyst… no guru… no computer program… has been able to do.
Does it sound far-fetched?
Well, it’s true.
This secret warning signal has predicted EVERY recession and big market crash for the past 60 years.
In each of these cases of economic decline and market turmoil, the secret warning signal flashed red alert…
And warned investors who knew about it to take defensive measures with their portfolios.
Now, professional money managers chart this secret warning signal on a graph for ease of use.
When the line of this graph dips below the warning mark, the secret warning signal switches from green (meaning “all is well”) to red alert (meaning a crash is likely imminent).
Let me show you:
It was the 1990s, the most prosperous period in U.S. history.
For ten long years, the indicator had been green… all was well.
But then, on February 2, 2000, for the first time in a decade, the secret indicator began flashing red alert.
Those in the know quickly took defensive measures.
And what happened next?
You got it: After a decade of prosperity, suddenly the economy began to falter.
On March 2, just 60 days after the secret warning signal flashed red alert, the Nasdaq went into a nosedive.
It plummeted straight down, first losing 36% of its value in 90 days.
But the bloodletting didn’t stop there.
Day after day, week after week, investors saw their stocks lose more and more of their value. Those who hung on often saw their portfolios decimated.
The Nasdaq finally hit bottom on September 30, 2002.
It had fallen from 5,048 all the way down to just 1,139.
The index lost 78% of its value.
Many individual stocks lost even more, as much as 100% of their value (i.e. they ceased trading altogether).
It’s been the same story for each of the country’s nine recessions since 1955.
And those who knew about this secret indicator in advance had time to protect their portfolios from what they knew was coming…
Here’s another example:
Throughout the 2000s, the secret warning signal was quiet.
Year after year after year, it stayed well above the warning mark.
And you know what comes next.
After six years of total silence, and a rising stock market, investors in the know saw something in mid-2007 they had dreaded for years:
The secret warning signal went off twice inside of a month!
The first flashed in May 2007, yet, within 30 days in fact, the stock market started seeing heightened volatility… giving birth to a second crossover indicator flashing sell.
The few people who knew what this meant instantly began taking defensive measures with their portfolios.
By the time October arrived, the market began a long nosedive – slowly at first, but then picking up speed in mid-2008.
The sell-off continued into 2009.
Finally, on March 2, 2009, the S&P 500 hit bottom.
It had fallen from 1,561 in October 2007 to a low of just 683 in March 2009.
That was a loss of 56%.
Many investors sold at the bottom… lost up to half their savings… and were too traumatized to get back into the market when it rallied over the next few years.
Many have yet to recover even now.
Here’s another example: the smaller sell-offs that hit the markets in the late 1970s and early 1980s. The secret stock market warning signal accurately predicted both of them.
On August 18, 1978, the warning signal went off when the S&P 500 was rising at 104.73.
Just 25 days later on September 12, the market went into a sharp decline. It bottomed out on November 14 with a 13.5% loss.
The same thing happened again just a year later.
On September 12, 1980, the secret warning signal dipped below the warning mark:
That told everyone who knew about the signal that another sell-off was coming. Unlike most investors, those in the know had time to prepare with defensive investments.
Sure enough, on November 12, 1980, just 72 days after the warning signal flashed red alert, the market tanked.
Over the next 19 months, the S&P 500 dropped from its recent high of 140.52 all the way down to 103.85 on August 9, 1982. It was a loss of 26%.
Now, why is this important? And what does it have to do with you today?
Well, let me tell you a little bit about who I am, and I will explain that as I go…
My name is Jim Woods.
For more than 25 years, I’ve been an obsessive student of market indicators and profit timing systems.
After finishing college, then serving in the U.S. Army as a paratrooper, my first real job was working at Investor’s Business Daily in Los Angeles.
At IBD, I worked closely with founder William J. O’Neil.
In fact, I helped him explain his famous stock-picking system known as CAN-SLIM, and write his training courses on investing based on his book, How to Make Money in Stocks and The Successful Investor.
CAN-SLIM is a hybrid approach that uses both fundamental and technical analysis.
It was so successful that it was named the top-performing investment strategy from 1998-2009 by the American Association of Individual Investors.
AAII tracked more than 50 investing methods over 12 years to see how they would fare.
And CAN-SLIM’s returns over the 12 years showed a total gain of 2,763% — compared to just 14.9% from the S&P 500.
That averages out to about 35.3% a year.
And the CAN-SLIM approach focuses like a laser beam on a series of little-known indicators that many investors ignore.
After working at Investor’s Business Daily for seven years, I was then “in the trenches” as a trader at a private hedge fund.
From there, I went on to be a client advisor with Morgan Stanley before finally becoming a full-time market analyst and financial newsletter editor, working for the Fabian family.
My time at both IBD and Fabian taught me a very important lesson… and it may surprise you:
You see, I quickly learned what many people know but don’t follow in practice: being too cautious hurts your financial future even more than a crash.
For example, right now, everyone is worried about another big sell-off in the markets.
And not without good reason.
Depending upon your definitions, and whether you count closing or intraday prices, we’re currently experiencing the second longest bull market in history.
The stock market has risen for 109 consecutive months… or nine long years.
That alone makes many investors nervous. And it’s not merely the duration of the current bull market that worries investors.
It’s also the memory of what happened during the last crash.
In 2008-2009, the market lost more than half of its value.
It vaporized $10 trillion of investors’ portfolios in just seven months – a catastrophe from which many investors have still not recovered.
Yet, at the same time, too much caution can also have devastating consequences for long-term prosperity.
For example, so-called experts were telling everyone to get out of stocks way back in 2014. In January of that year, two announced on CNBC that the market would likely tank 60% or more.
“A jolt to international confidence in central banks will lead to a 30 to 60 percent market decline,” one analyst told the network.
“Unfortunately, I think it could come on a crash similar to what happened in 2007,” said another analyst.
And what actually happened? The opposite of what the experts said!
Instead of tanking, the stock market actually skyrocketed. It went up and up and up, year after year, for the next four years.
The Dow rose from 16,469 at the start of 2014 to around 24,753 today, a gain of 50.3% overall and equal to about 10.72% per year.
The Nasdaq did even better.
It shot up from 4,131 to 7,433, a gain of 79.9%.
If you had listened to those so-called “experts” and sat on the sidelines, you would have missed out and your portfolio would have suffered.
You see, economists have long proven that being out of a rising market usually hurts your long-term finances far more than riding out a down market.
And the reason is simple:
In one study of 15 separate markets, missing just their best-performing 10 days resulted in portfolios 50.8% less valuable than portfolios that caught them.
An earlier study was even more dramatic: For the 31-year period from 1963 to 1993, just 90 trading days – 90 out of 7,812 total days or 1.1% – accounted for 95% of all market gains.
Think of that: just 1.1% of trading days account for 95% of market gains.
In dollars and sense, missing these best trading days means literally millions in lost profits for your future.
For example, an investor who starts with a modest $100,000 portfolio…
Who was invested in the S&P 500 during the 25 best trading days…
Ends up with an extra $3.1 million more over time compared to someone who missed the best performing days in the market.
And that extra $3.1 million can make a huge difference during your retirement:
Over 25 years of retirement, you could withdraw an extra $10,000 per month from that additional $3.1 million – and still not run out of cash!
That’s why it’s essential that you not panic and get out of a bull market too early.
And that’s why the secret market signal I just told you about is so valuable:
It gives you the confidence to stay invested for those big up days… while also letting you know when it’s time to take more defensive measures.
Now, one important note: I’m not talking about market timing here.
Market timing is when you move in and out of the market.
I don’t advocate that. At all.
Instead, what I’m talking about is profit timing.
By that I mean we stay fully invested to squeeze every last drop of profit from a rising bull market…
But, once the secret warning signal, and others like it, indicate that a plunge is coming, we hedge our investments with a series of defensive plays that soar during market downturns.
This is what professional money managers do. And that’s what I do.
I’m happy to say it works better than you can imagine. That’s not just me bragging…
The independent firm TipRanks currently ranks me the No. 4 financial blogger in the world out of more than 6,000 reviewed.
Since 2010, TipRanks calculated I made 361 successful recommendations out of 497 total, earning a success rate of 73% and a +16.4% average return per recommendation.
Using “insurance policy” plays like these when the market corrects is a huge part of my continued money-making success.
For example, during early 2018 when the stock market jumped up and down like a roller coaster, my crash-protection investments did very well indeed:
These are just a few examples!
Listen: That’s enough to turn every $5,000 investment into $12,441 in just 60 months.
At that rate…
And when a real market crash occurs, these crash protection investments take off like a rocket.
For example, one of the crash protection investments I recently recommended skyrocketed 61.2% following the stock market crash of 2008…
Another investment in this period rose a staggering 129.4% during the worst market crash since the Great Depression.
A third was up 97.7%.
Now let me tell you the purpose of this message:
The crash warning signal I’ve just told you about is only one out of 10 that I track religiously.
As I mentioned earlier, I am an obsessive student of market signals.
While many analysts are content to say that a crash is coming “someday,” or “soon,” I want you to know that such imprecise predictions often cause more harm than they prevent.
They keep investors from profiting in some of the greatest wealth-building opportunities to come along in years… and the continuing bull market in stocks.
That’s why I’ve created a special package of precision tools and resources all geared towards helping you — not merely survive this era of uncertainty — but actually grow far wealthier than anyone could ever expect.
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When the indicators I monitor are still green, we follow a strategy proven to produce the very best returns in good times and bad: investing in quality blue chip stocks and ETFs with, in most cases, decades-long track records of increasing their annual dividend.
I have my own proprietary stock-picking system, developed over two decades of hands-on experience at IBD and as an investment advisor, for identifying these market-beating investments.
When the indicators go red, telling me the market’s going to drop, I recommend a series of precisely targeted defensive measures that many investors know very little about.
These are crash-protection investments that soar when the market as a whole retreats.
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One final comment:
I’ve become well known for accurately warning major turns in the markets well in advance.
Through my work on Wall Street and Investor’s Business Daily, I’ve been able to accurately predict many of the biggest shifts in the market, including…
Without bragging, I can honestly say I’ve been right more often than I’ve been wrong.
The reason for this is that I don’t panic prematurely. I attribute this to my military training.
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Don’t let fear or lack of information rob you of your future prosperity.
Best wishes,
Jim Woods
Editor, Intelligence Report
P.S. Remember, this is truly a zero-risk offer. You can try out Intelligence Report risk-free for 30 days… get copies of all the valuable reports mentioned in this special message… cancel on the very last day if you’re not satisfied… and get all of your money back.