Rick Rule: “Scary Times Are Upon Us – Capitulation Is Beginning in This Market”

• Rick Rule: “Scary Times Are Upon Us – Capitulation Is Beginning in This Market”
  by Henry Bonner, 28 Aug 2015, http://sprottglobal.com/  
  Is the recent market sell-off good for gold?
  How will it affect the precious metals and natural resource sector?
  Rick Rule, Chairman of Sprott US Holdings Inc., believes that a sell-off in the months ahead might signal the end of the resource bear market. Click here to access Rick’s recent call – and submit your questions for his follow-up call next week to contact@sprottglobal.com.
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  Capitulation Ahead
  “The capitulation we’ve been talking about for a couple of years is beginning to occur,” Rick warns. “I suspect that this capitulation will be over by the end of October. And it could get much worse before then. The point is – any ‘junk’ you have left, sell it if you can.” Fear is returning to the broad market, says Rick, and it will affect resource stocks too.
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  “Volatility had been eerily quiescent over the last 2 or 3 years,” says Rick. “The VIX was consistently between 10 and 15,¹ which meant that there was very little fear in the market. “With the VIX back up to 30 this week, we can safely say that fear is back in the market.”
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  What to Do Now?
  “Scary times are upon us – capitulation is beginning in this market. It’s going to be terrifying. But based on similar experiences in the past, I believe it could mark the end of the bear market for the resource and precious metals sector,” says Rick.
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  Prepare to take advantage of a bottom in natural resources and precious metals stocks over the coming months. “Hold lots of cash,” he suggests. “Cash gives you the means and the courage to take advantage of poor market conditions and the mistakes of others.
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  read more.

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