Marc Faber : the markets are extremely oversold

Marc Faber : well I do not think that so far it's been a major sell-off , I think we doubled in markets from March 2009 until the high in May of this year and now with the S&P we are down 10 percent the whole world is panicking ..I am telling you the world is mad the investors they do not understand that markets are volatile and that they have to be prepared to see stocks dropping 30 percent annually and rally 20 percent and then drops 30 percent that should be the pattern and whoever can't live with that he shouldn't be buying anything at all
" there is a case to be ultra-bearish about everything but then you have to think , if I am really very negative about everything what do I invest in ? government bonds in the US the ten years yields in 2.4 percent in a weak currency ? or do I invest in cash with negative real interest rates or do I invest in equities real estates precious metals commodities collectibles ? well I have to say equities are going to go lower where As of today, the markets are extremely oversold and they can take in a rally , but the technical damage that has occurred between November of last year and and just recently is enormous and I do not think we will see new highs for the year I think we 've seen the highs for the year between February and May of this year "