FACEBOOK AT $11.50

WHAT HAPPENED TO THE GREAT FACEBOOK IPO RACE?  THE REALITY IS THAT
FACEBOOK IPO HIT THE FOLLOWING MAJOR PROBLEM INVESTMENT POTHOLES:

(1) THE FACEBOOK VALUATION WILL BE ESTABLISHED AT THE JULY
EARNINGS RELEASE.  THIS FIGURE WILL ALLOW FOR MORE REALISTIC
EARNING EVALUATIONS.

(2) FACEBOOK WENT INTO THE CENTER OF THE STOCK MARKET DEVALUATION
WHICH IS THE RESULT OF DEFLATION.  THE IPO WENT DIRECTLY INTO THE
SUMMER STALL AND LONGER TERM DEVALUATION OF THE STOCK MARKET.

(3) THE INVESTMENT BANK WANTED TO DEFY GRAVITY AND SIGNALED TO
THE INVESTMENT WORLD THAT THEY ARE NO LONGER IN CONTROL.

(4) THE EUROPEAN CRASH IS COMING THROUGH THE BANKING CONDUITS NOT
THE EXPORT MARKET.  THIS MEANS THAT MORE WRITE DOWNS AND LOSSES.

(5) WHAT IS THE REAL VALUE OF FACEBOOK?  THE CURRENT VALUE IS
IN A RANGE OF $9.50 TO $13.50.  THIS IS THE REAL TRADING RANGE AND WILL
CHANGE IN THE FUTURE ONCE ZUCKERBERG FIGURES OUT THE MECHANICS
OF THE NEW EARNING POTENTIALS AVAILABLE IN A DEFLATIONARY MARKET.
REMEMBER, 85% OFTHE MILLENNIAL GENERATION CANNOT PARTICIPATE IN
THE CONSUMER ECONOMY FOR ABOUT 8 YEARS. THIS IS HIGHLY DEFLATIONARY FOR FACEBOOK.  THE DEVELOPMENT OF NEW PRODUCTS AND NEW SERVICES
HAVE TO LEVERAGE DEFLATIONARY EXPECTATIONS.

K-WAVE DEFLATION LIST FOR 2012-2018

THE VERDICT IS IN WE HAVE REACHED A K-WAVE BOTTOM AND WILL BE IN
DEFLATION MODE FOR THE NEXT 6 YEARS. THIS MEANS THAT INFLATIONARY INVESTMENT AGENDA IS DEAD!  STAY AWAY FROM THOSE AREAS DUE TO THE FACT THAT THE MEDIA PROPAGANDA IS VERY HIGH!

What are the 10 basic themes for living on the bottom of deflating prices and deflating assets?

1. YOU SHOULD INVEST IN LADDERED TREASURY AND QUALITY BONDS. THE RATIONALE IS THAT INTEREST RATES WILL FALL AND DEFLATION IS REWARDING THE HIGHEST QUALITY OF DEBT VS. LOWEST QUALITY OF DEBT: JUNK BONDS.


2. INCOME PRODUCING SECURITIES.  WE NEED DIVIDEND RETURNS AND CASH FLOW NOT CAPITAL GAINS IN A ZERO GROWTH ENVIRONMENT.  DEFLATION DOES NOT REWARD IGNORANCE ON THE FACT SECURITIES ARE OVERVALUATED AND WILL NOT BE HELPED BY DEFLATION PRICE DECLINES.

3. FOOD AND CONSUMER STAPLES ARE NECESSITY DUE TO THE FACT DEFLATION REWARDS SURVIVAL AT ALL COSTS.

4. SMALL LUXURIES RELATED COMPANIES WHICH MAKES AFFORDABLE LUXURIES FOR AVERAGE PERSON.  THE NICHE LUXURY MARKETS ARE VANISHING FOR MOST AMERICANS.

5. THE US DOLLAR RELATED INVESTMENTS ARE THE SAFE INVESTMENTS IN A
CHAOTIC WORLD.  EUROPE STILL HAS A MASSIVE DEBT CRISIS. 

6. INVESTMENT ADVISORS AND FINANCIAL PLANNERS ARE WORTH THEIR WEIGHT IN GOLD AS LONG AS THE UNERSTAND DEFLATION - STAY AWAY FROM INFLATION ORIENTEATED ADVISORS- THEY WILL LOSE ALL YOUR MONEY FAST.

7. FACTORY BUILT HOUSING AND RENTAL APARTMENTS. THE HOUSING MARKET HAS COLLAPSED AND NO LONGER MEETS THE NEEDS OF MOST AMERICANS.

8. HEALTH CARE IS DEFLATIONARY SURVIVAL AND IS INELASTIC BECAUSE YOU DIE WITHOUT HEALTH CARE.

9. PRODUCTIVITY ENHANCERS COMPANIES ALLOW YOU TO USE EXISTING RESOURCES TO MAXIMUM ADVANTAGE AND MARKETING.

10. NORTH AMERICAN ENERGY WILL BE THE PUSH FOR THE DECADE AND AMERICANS WILL PUSH NATURAL GAS AND SUBSTITUTES FOR THE NEAR FUTURE.