Here we see the Dow Jones Industrial Average and the NASDAQ Composite bouncing off of their recent lows. Yet each still is trading way below its long-term, 200-day moving average (red line), while each is just barely above its short-term, 50-day moving average (blue line).

Both of these technical patterns suggest that we may indeed get another short-term bounce in the market in the 3-5% range, followed by a pullback due to the tremendous amount of what is called "overhead resistance" that is present in this highly oversold market.

The state of this market has me shouting the following words of admonition: Lighten up!

No, I am not suggesting that you stop taking your money so seriously. On the contrary, what I am suggesting by my call to "lighten up" is to take action to protect your wealth. When the market begins the next leg of this short-term bounce, that will be your cue to lighten up on stocks, i.e., that will be your opportunity to sell some of your positions and move that money into the safety of cash.

Make no mistake my friends, we still are in a bear market, and that means you must be ultra-vigilant with your money -- especially during the inevitable bear market rallies.

Of course, the good thing about the fact that we still are in a bear market -- and that we will get the occasional big rally -- is that it gives you an opportunity to fix what's wrong with your portfolio.

So once again, lighten up on stocks (if you still own them) on those big up days. Bear market rallies give you a chance to get out of stocks at a much better price than you had before the downtrend started.

Finally, don't be afraid to act in defense of your own money. Lighten up, and be proactive, not reactive with your wealth.

Want to find our how subscribers to my Successful Investing advisory service lightened up their portfolios way back in January? All you have to do is click here.

ETF Talk: A Fist Full of Dollars

The U.S. dollar is down, down, down, and the greenback continues declining to unprecedented lows against the euro and other foreign currencies. Indeed, the dollar has fallen against most of the major currencies as traders increasingly expect the Federal Reserve to cut the target lending rate by as much as a half-percentage point in April to help revive flagging U.S. economic growth.

As the dollar's downward trend shows little sign of reversing anytime soon, it's no wonder that exchange-traded funds (ETFs) designed to take advantage of this situation are gaining interest.

With the Fed's recent wave of interest rate cuts weakening the dollar's value, and with more cuts likely on the way, the availability of currency ETFs just might offer a silver lining.

Currency ETFs provide a way to ride the appreciation of foreign currencies. These funds generally perform well when the U.S. dollar is in decline. The table below includes some of the most well-known, high-performing currency ETFs around -- including ETFs from the first family of currency ETFs, CurrencyShares.

CLICK HERE FOR CHART

One currency ETF that has performed exceptionally well of late is the CurrencyShares Japanese Yen Trust (FXY), which tracks the performance of the Japanese Yen. Year-to-date, the fund is up more than 11%. Other top performers so far this year include the CurrencyShares Swiss Franc Trust (FXF) and the Euro Currency Trust (FXE), year-to-date racking up returns of about 12% and 7%, respectively.

While I am not recommending any of these ETFs right now, I do think it's a good idea to be aware of how investors can profit from the falling dollar. Currency-related investments require you to guess correctly on the direction of the dollar, but be careful. A big risk is that the dollar can become oversold, and then regain its value quickly.

If you enter into any of these positions at the wrong time, the profits you hoped to earn may not materialize. In addition, the U.S. dollar is not going to fall forever. As a result, an investor needs to know when to stop depending on the dollar's decline to profit and to begin betting on its rebound.

Risk Management: A Primer 2

Do you know the six threats to your retirement nest egg?

In my experience, most investors are woefully unaware of what could happen to the most important money they manage -- the money that will fund their retirement years.

In a new special report by Fabian Wealth Strategies, a fee-only investment advisory firm specializing in ETFs, I will tell you how to manage the following risks to your nest egg:

Risk #1: Faulty Investment Advice

Risk #2: The Bear Market Cycle

Risk #3: High Yield Equals High Risk

Risk #4: A Catastrophic Loss

Risk #5: Mutual Funds

Risk #6: Unnecessary Fees and Expenses

More importantly, this FREE report will show you what you can do about these threats.

For your copy of this report, titled The Successful Investor's Guide to Managing Risk, simply click here.

The only thing you have to gain is the financial life you desire.

Join Doug for A FREE Retirement Income Conference Call 4

Are you prepared to live out your retirement for 25-30 years? How will you generate the income you need from your retirement plans and real estate? How will you stay ahead of inflation and maintain your standard of living?

These are important questions, and Doug Fabian can help you answer them all.

Retirement income investing is a whole new ball game. It's about the proper asset mix; the right investment products, and the right income investing strategies. Most people are comfortable with growth investing by the time they've reached retirement, but they are not prepared to make the most important decisions of their lives -- the decisions that will help to generate retirement income.

To help investors get on the proper path to reach their retirement goals, Doug will host a monthly conference call to share his views on how to generate the income you need from the assets you've worked so hard to accumulate.

Join Doug for his first conference call on Saturday, April 5, 12 p.m. Pacific. This call will be limited to the first 100 investors who register, so don't delay.

Click here to sign up now for Doug's FREE retirement income conference call.

Are You Ready for Some "Fabianisms"? 2

One of the things I learned from my father over the years is how to express to investors what they need to know via the all-important "one liner." A one liner in this case is a key phrase that encapsulates a concept that everybody needs to know, but often evades the presence of everyday thought.

Now I am not talking here about humorous one liners -- although I have been known to offer up a few of those, particularly in social settings where libations are involved. Rather, I am talking more about what might be described as pearls of wisdom -- with a little Fabian twist. The following are some classic Fabianisms used during the years to help educate and inspire.

Dick Fabian

"Every adult in America can be wealthy."

"The power of compounded growth is the eighth wonder of the world."

"People can live with lost opportunity more easily than lost money."

"Never buy a security without knowing when you would sell it."

"The Fabian Plan is the simplest wealth-building plan available."

"You can be your own investment advisor."

Doug Fabian

"If you save 10% of what you make you will be wealthy in retirement."

"Every year you should review your goals, your finances and what you value most in life."

"Keep raising the bar on savings, earnings and knowledge."

"You don't know what you don't know."

"Nobody cares more about your money than you do."

"If you don't ask questions you will flunk the class."

"The most important money you manage is in your retirement accounts."

And finally, here is my all-time favorite Fabianism: "You have the right to be rich."

Thinking about the right to be rich comes with a corollary, which is a corresponding responsibility on your part to make that right a reality. Together, we can fulfill our right to be rich.

The Wisdom of "Gravity"

And all the answers that I started with
Turned out questions in the end
So years roll on by
And just like the sky
The road never ends

—Alison Krauss, "Gravity"

The mellifluous voice of the great country and bluegrass singer/songwriter Alison Krauss often comes with some elegant and beautiful reflections on the world. In her song "Gravity," Krauss echoes a sentiment that we all feel at one point or another -- especially about our money. You see, all the answers we start with often turn into questions in the end, and that's why you have to keep learning, keep working and keep making sure your money is working for you. When it comes to shepherding your wealth, the road truly never ends.