Sometime back I wrote a post on the Asian self-proclaimed financial guru claiming that his baseless prediction on oil will hit $100 came true. Well there was nothing to substantiate his claims when he made that statement and so many other experts also seem to have claimed that prediction too, so who was the original? He could be a copy cat. There are those who are predicting $200. What happen to him now? What happen to his predictions?

Here is another good one, in a recent advertisement in a local paper, another so-called guru claimed to make $2 million in a bear market during the U.S. recession in 1999 to 2001, misleading the public into believing that it’s true.

From this statement alone I can tell it is a bluff.

1.   1999 to 2001 was not a bear market.

Just by looking at the Dow Jones Industrial Average Index chart indicates clearly that it was more of a bullish / sideways market. Definitely not a bear market as claimed. (A downturn of 20% or more in multiple broad market indexes can only classified as a Bear Market)

2.    The U.S. did not go into a recession in during the period 1999 to 2001.

But instead from 2001 to 2003, during the collapse of the Dot Com Bubble, September 11th attacks and accounting scandals contribute to a relatively mild contraction in the American economy. It is not still considered an official recession because the US GDP never actually declined in this period. (Sources: http://www.recessionhistory.com/)

The definition of a recession is a decline in a country’s gross domestic product (GDP), or negative real economic growth, for two or more successive quarters of a year.

How can an expert trainer doesn’t know the different between a bull and a bear market, and a recession? They are just using it to lure people into their trainings where they charge exorbitant fees.

That claim has been used countless times and it works because humans are driven by greed. Don’t they have any new winning trades? They are trying to pull a fast one; these foreigners think that Asians are fools.

As a trainer myself, I feel that there is a need to expose these unethical claims as it can ruin other peoples’ live financially.

“There are more fools in the world than there are people” - Heinrich Heine (1797 - 1856)

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