In my previous article I said that my best guess was that Remain would win the day. As it turns out that prediction was wrong. Fortunately enough, The Amateur Society portfolio is rather happy that I was wrong on that one.
I also wrote this:
“If a Brexit does happen then hold on to your hats because the markets will be caught flat footed and we could potentially be looking at limit down halts all over the place and perhaps even closed markets on Friday in various places.”
Well it didn’t take long for the S&P Futures to go 5% limit down:
We’ll see if market closures follow suit. If they do this is going to be a long weekend for many and the longest weekend for some. The move in volatility has been monstrous and gold saw a $100 move up. Those are the only asset classes – aside from some cash – that The Amateur Society has been invested in and recommended for over a year now and this looks to be the beginning of the move I’ve been waiting for.
Whether the worm has turned with finality remains to be seen, but the desperation evident in the previous week has the potential to turn into panic rather quickly.