Years of abundance followed by years of famine. Boom and bust. Ebb and flow. Patterns and principles. Don't follow the advice of moonboys. When they say "grab the dippppppp!!", we need to be cautious because it is not time... yet. A bloodbath needs to be seen first with enough pain. 

I'm already seeing folks online buying on margin, to the tune of 7 figures hoping to double down. I can assure you, the bounce that they are looking for ain't there. And if the margin call comes, they will lose their homes and even their pants. Those who were once flaunting their lifestyles with all the free money floating around, who strutted their stuff and made it seem they had the sense of the market will feel the sting of the receding liquidity. Not that it has become huge already since tapering just started, but the market always front runs the Fed's move. 

The arbiter of liquidity is the Fed. Not China. Not Japan. No one central bank can do what the Fed does simply because the USD is the reserve currency of the world. Once Nixon removed the gold standard from the system, it was the game that set the US as the judge of the flow of liquidity. 

The axiom "Don't fight the Fed" was coined because if you go through historical precedence, you will see that each time a taper or an indication of it comes about, either a tantrum comes in, or a deep enough correction for the Fed to call for a reversal in decision because enough pain has come in. 

Now, 25% of all US dollars were "printed" in the last 20 months now. What do you think is going to happen now that market prices are propped up by artificiality and a wall of leverage? 

Have moved major positions to cash for good profits, prepared short positions, and moving pieces in place to milk the downcycle.

Not investment advice. DYOR. Don't be like the guy in the pic.