Despite downward pressure today, stocks could still recoup last week's losses and post a 7th directional swing in the past 8 weeks. Since August 8th, every rally has been sold, every valley has been bought, and not many expect this to change. It's enough to drive you mad, and even exit the market, but legendary investor Jack Bogle, founder of the Vanguard Group says turning your back on stocks now would be a mistake.

''They're not cheap but they are still the place to invest,'' Bogle says. On a price-to-earnings ratio, the market is currently "a little above average," and on a dividend yield basis (currently about 2.5% for the S&P 500), Bogle says "they are way below average" of about 4.5%.

However, when compared to bonds, stocks look cheap. Bogle believes stocks will outperform bonds over the next year, but with a lower rate of return than many investors have come to expect. With lower returns ahead of us and a "lost decade" behind us, the temptation to trade or time the market is great.

"That's the silliest kind of thing to try to do," says the father of the index fund. "The odds are just terrible and the process is costly. You end up paying those croupiers on Wall Street money every time you turn around."

A funny thing happened to Gold on its way to $2,000 an ounce. Not so much funny "ha ha" as funny "Aaaaiiiieee!!!!!" as the ancient currency fell almost 20%, slipping all the way to the $1,500's. Did the plunge mark the end of the historic gold run or just a buying opportunity? To answer that question as well as give us a take on the buck and Treasuries Breakout welcomed Peter Lee, UBS' Chief Technical Strategist and all around good egg.

By way of background, Peter came on Breakout and said all sorts of bullish things about gold on August 3rd. He was right about gold going parabolic. The Gold SPDR etf (GLD) made a 13% move in the ten trading days after his visit. Lee just over shot on his price target.

In the big picture, however, nothing has changed. Gold remains the go-to "hedge against geopolitical turmoil as well as a currency hedge." He says gold will be marking some time in a range with "$1,535 to $1,550 on the downside and about $1,750 on the upside" before working its way higher.

Obviously you can't talk about a currency hedge without addressing the currency itself, in this case the buck. The dollar has gained some strength recently, while the Euro is transmogrifying into a zombie currency, making traders seek out a save haven. Like it or not, the buck is still the safest choice of a sorry global lot.