Don't fight the Fed. That's been the refrain of market cheerleaders as the Federal Reserve has shown its willingness to pump up the stock market with printed money.

And frankly, I agree. It doesn't make any sense to bet against the Fed while its money-printing stimulus is still working.

But while it's working is the key here. And what worries me when people say not to fight the Fed is that it's really just another in a long line of reasons to buy stocks. The same people chanting "Don't fight the Fed" never have a reason to sell stocks, or to be negative on the stock market in anyway.

These people don't understand that what the Fed is doing is a short-term fix and is very dangerous and costly in the long term. What that means is that when the Fed fails — as it inevitable will — they will fail with it. They'll be happy as long as stocks are rising, but when the situation changes and they don't adjust, they'll lose all those gains and much, much more. And I suspect this pain will affect almost everyone who has committed to not fighting the Fed.

That's why I like to offer a slightly modified version of the conventional advice. In fact, it's the motto of my money management firm Ark Financial: Don't fight the Fed . . . but don't fail with it either.

About the Author: Robert Wiedemer
Robert Wiedemer is a managing director of Ark Financial Management, an investment advisory firm, and Ark Strategic Investments, a hedge fund. He is a regular contributor to the Financial Intelligence Report, the flagship investment newsletter of Newsmax Media. Click Here to read more of his articles.