Paul Tudor Jones on Jesse Livermore
One of the greatest trading books ever written is Reminiscences of a Stock Operator. The original book was published in 1923, but in 2010, an Annotated Edition was produced by Jon Markman. This edition reveals the truth about Jesse Livermore and provides colorful, historically accurate commentary on the characters, places, and events that have made Reminiscences such an enjoyable and educational read for generations. The foreward to the Annotated Edition is written by legendary trader Paul [...]
Go Ask 10 People
There is an area of the stock market that very few people talk about: Psychology. While fundamentals and technicals are important, one could argue that psychology is even more important because the market tends to fool the majority. In other words, it is important to know what the majority of people are thinking and to make sure you're not thinking the same way. Over the last 100 years, companies have come and gone, but the [...]
2017 Second Half Outlook
We will continue to see more upside into year-end for the following reasons: 1) Strength leads to more strength. Traditionally, when the early parts of the year are strong, the strength continues into year-end. For example, since 1945, January and February have both been positive 27 times (as it was this year). The market finished the rest of those years positive ALL 27 times with an average gain of +24% (see chart below). Also, since [...]
Don’t Let One Sector Affect Your Market Views
Jesse Livermore once said don’t become bearish or bullish on the whole market because one stock or sector has reversed its course from the general trend. The reason I bring this up is because I was reminded of a valuable lesson this weekend. For the past year, I’ve been greatly focused on the Semiconductor stocks and the Nasdaq 100 Index. Respectively, they have been the leading sector and the leading index since the Bull Market [...]
SALT Conference Interview On Fox Business
Last week I attended the SALT Conference, which is one of the biggest financial conferences of the year. Here is my interview with Liz Claman taped on Friday 5/19/17. Enjoy! I can be reached at: jfahmy@zorcapital.com Disclaimer: This information is issued solely for informational and educational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. None of the information contained in this video constitutes a [...]
“You Adapt, Evolve, Compete or Die.”
Over the past year, the news has reported about many hedge funds that have closed down or have returned capital to investors. They cite many reasons for doing this such as they cannot find value in this market or their strategy is simply no longer working. Others go as far as to blame the Federal Reserve and current/past political administrations for their sub-par performance. I think these are all weak excuses and it shows the [...]