I received several emails over the weekend from people who are really struggling and panicking about this market. This is not the end of the world. This a correction, plain and simple! The biggest challenge most people are having with their investments is: Should I just leave everything alone? Or should I cash some out? The reality is that people want the best of both worlds, and that is not very realistic. In other words, [...]

The stock market is a master manipulator. It conditions us to think a certain way over and over and over until we are convinced of a pattern. Then, just when we think we have things figured out, the market magically changes character. Keep in mind that a pattern can continue for a long time before the market eventually changes. The reason I bring this up is because something very interesting happened last week. For the [...]

“In 1923, seven men who had made it to the top of the financial success pyramid met together at the Edgewater Hotel in Chicago. Collectively, they controlled more wealth than the entire United States Treasury, and for years the media had held them up as examples of success. Who were they? Charles M. Schwab, president of the world’s largest steel company; Arthur Cutten, the greatest wheat speculator of his day; Richard Whitney, president of the [...]

I get emails all the time from readers of my blog, but something very interesting happened last week. I received 5 emails in a row all having the same theme: FEAR. Random people wrote to me saying: "I'm horrified of this market," "I'm scared that my stocks will collapse," "How do I overcome my fear?" etc. etc. I would like to discuss what creates this fear and how to possibly overcome it, but first I [...]

One concept many traders struggle with is that their ENTIRE account doesn't have to be invested at ALL times. There are times (like the correction we're going through now) when you should have at least some of your money in cash in order to protect capital and to protect confidence. 1) One of the main reasons I keep a larger than normal cash position during corrective markets is that 4 out of 5 stocks move [...]

This Thursday, September 17th, the Federal Reserve will announce their decision on interest rates at 2PM EST. I don't think they will raise rates for the following reason: 1) Since the financial crisis of 2008-09, the Fed's number one priority is to see a strong recovery in the economy. They have done this by keeping interest rates low and pumping money into the system through various forms of accommodation. Has the economy recovered since 2009? [...]