The stock market is a master manipulator. It conditions us to think a certain way over and over and over. Then, just when we are convinced of a pattern, the market magically changes character. How does this apply to our current market? For the past year or so, the pattern has been "shut up and [...]
About 3 years ago, I met Joe Kunkle and he described his OptionsHawk service to me. I decided to sign up and I've been hooked on it ever since. In interest of full disclosure, I am not affiliated with his service or company. I simply want to pass along a great resource that I use [...]
Here are some notes from this past week: Sunday - Coming into the week (1/12/14), I was fairly aggressive long equities. When I ran my screens over the weekend, I found SO MANY setups. It was almost TOO scary how bullish I was getting on many individual stocks. Monday - Pre-market, I saw very positive news on [...]
First of all, this is NOT a prediction post. I used to post them for fun in the past, but that's all they were...for fun. I'm not a big fan of predictions because 1) NO ONE knows where the market it going and 2) We are all allowed to change our minds based on the information [...]
90% of your success as a trader should come from the work, research and effort you put in OUTSIDE of market hours. That's why I recommend traders do post analysis of their work and study market history. Since 2013 was a very strong year for the markets, we could possibly see some profit taking in January [...]
“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 [...]
Back in 1999, there was an Internet company called CMGI. For those of you who remember, the stock was INSANE! Split adjusted, it went from 0.30 cents to $120. After this happened, I spoke to a very sharp friend of mine who was managing a $2 Billion hedge fund. His exact words were: "Joe, this [...]
I recently wrote a blog post titled "This is NOT a Bubble!" At the end of the post, I said I would tell a few stories from 1999 to emphasize my point that we are NOWHERE CLOSE to the bubble and the euphoria we saw back then. Enjoy! - Back in 1999, many of the [...]
Here is a pattern I have noticed in the market about 6 or 7 times this year: 1) The market goes on a 3-6 week run. 2) The run usually stalls when we get extended from the moving averages, bullishness increases (based on many sentiment measures), and active investment managers are aggressively long the market [...]
I recently gave a presentation at the Traders Expo. After my talk, someone came up to me and said: Back in August, you were the only person I know who said there would be no Fed taper in September. How did you know? He said everyone in the financial media said there would be a taper and [...]