Given that the tiger is a ferocious animal, this year is generally not good for risky ventures. To succeed in investing, we will need the traits of a tiger - courage, stealth and strength.

Since the last week of June, the stock market has whipsawed in a tight range. Gone is the hot-headed exuberance but neither has a drastic correction materialize. Some bulls are still holding the fort amid a thin market volume, but deciphering market sentiment is difficult as false signals can be easily generated by a few market participants.

I won’t be looking at stocks for a while. Inaction is a decision too when it comes to safe investing. Of course, you can always add to your portoflio if you are a long-term investor. For the time being, I am keen to accumulate gold. We may still be in a deflationary environment but the impending inflation from all the printed money is no laughing matter.

Ben Bernanke is indeed a man of his words. He not only stepped into a helicopter to drop money, he virtually flew a B-52 bomber and carpet bombed the skittish financial system with a trillion dollar payload.

I will think twice about selling gold though. Not because UBS made a bold prediction of gold prices hitting $2500. Such a frothy forecast combined with knowledge of inflation can get one extremely excited about gold’s prospects. However, I am not salivating over any profits. Instead, my faith in gold stems from the fact that it is a safe haven asset.

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