People are starting to catch on…. This is going to get interesting….(Dow to a new high)
http://www.nypost.com/p/news/business/doctor_note_required_to_read_this_xUd1QgPrRNwN7MXlX9BkKP
I sent this email to my list earlier today… thought I would put it up here as well as I think tomorrow could get seriously ugly….
I have been talking a lot recently about the bloat and fundamental flaws I have seen in the stock market’s rally, and now it seems that the baloney express may be coming unhinged.
The market squeezed hard the other day after the whoop-dee-doo GDP numbers came out, then fell apart the following session as trader’s actually read and analyzed where that number came from.
(Gov spending.. Surprise Surprise!)
As we saw from prior scandals, creative accounting can puff up a market in the short term, but in the end the chickens come home to roost…
From a technical standpoint we are in a very scary place…
A look at the monthly chart for the S&P 500 shows a clear double top and a rally to resistance which is now rolling over. If this chart was say an hourly, I would be jumping in with both feet to the short side.
I can’t express strongly enough my discomfort and feelings of doom that have been intensifying as I watched the price action in the stock market last week. The squeezes and bearish traps intra day vanished and were replaced by what looked like steady non panicked selling.
As usual, if the market gets violent, it will not harm me as an investor… Rather, I am looking at ways to profit on the short side from the panic I think is forthcoming.
If we get a big gap down at the open tomorrow it would actually be an interesting LONG for a gap fill. We are quite oversold, and so a snapback would not be a shocker. In fact, I am kinda hoping that we get a sharp rally in the morning that would set up a rally to resistance entry mid session.
I have been so focused on the intra day FX markets of late, it is kind of exciting to see what could be the beginning of a big position trade showing itself in the S&P. So be on the alert tomorrow and let’s see what the market will offer us!
I will also begin scheduling new consulting clients this week, so if you’re serious about your trading, and are willing to do the work it takes to become successful in this job… let me help you define your business.
Unlike most trading mentors who are teaching a specific style or curriculum, I treat my one on one consulting clients as the unique individuals they are. Helping you find yourself as a trader, then matching you to a trading style that fits your personality should be the primary goal of a mentor/student relationship. After all, I can give you five different edges, but if you are unable to execute those trading plans they are of little worth.
So here’s the deal…
I am going to open the phone lines on Wednesday and Thursday afternoon of this week What I need you to do is send me a brief e-mail with a bit of information about who you are, what you’re trading style/strategy is, and where you are in your learning curve. Include a telephone number and what times you can be reached Wed/Thu afternoon….
I will pick up the phone and reach out to the first 20 traders in the order which their emails were received. I’ll give each of the lucky 20 a half session for FREE. ($125 value) We will have a chance to discuss your goals for trading, as well as any issues you may have. At that point, I will have the information I need to tell you pretty clearly what I would focus on if we were to work together in a one on one capacity.
I look forward to speaking with the lucky 20…If you don’t make it, stay tuned and you can try again next time!
Hope to speak with you soon!
Good Luck and Good Trading!
-Bo Yoder
Very happy with the end of week 1. Banked 54 pips and this 30% in one week gains was almost double my original goal.
Hoping next week can be as routine…
The strategy adjustments I made and put into that bonus video module are working like clockwork in spite of what was a very messy and volatile week.
To see the rest of this video, and videos of each and every trade taken this week, (Recorded LIVE) become a LiveBlog subscriber!
(If you kick the tires a bit and decide that the Cash Bomb Sequence isn’t for you, then just cancel anytime during the trail period and your card will not be charged.)
We are living through a time that I believe will be looked back on as the first great societal pivot point of the 2000’s….Just as the two world wars, and the depression defined massive culture shifts of the last century.
This goes far beyond the politics of Republicans or Democrats, both parties are guilty of many ills, and to list or argue their control grabs is to distract from the main point…
I love history, and have read and studied the rise and fall of empires, tyrannies and free societies across human history. Unfortunately, this history is dominated by stories of brutal subjugation, pain and injustice. The triumphs of freedom and the explosive growth that brings are firmly in the minority.
We seem to be on a path to tyranny in many of the free countries of the world. It scares the hell out of me, because the seductive path to increased control we are experiencing today looks just the same as so many others from the historical record.
It starts with a crisis and discomfort or fear in the the population…(created or real)
Government steps in as the solution, and the populous is asked to give up rights or comforts “in the short term” for the greater good or to slap a band aid on a problem that could “get out of control”.
(Think about the gun control push after Columbine, the patriot act after 9/11, or the TARP bill after the banking crisis.)
Why are you reading this post on a blog about currency trading? Speculation delivers the ultimate free man or woman’s life. There is near total freedom and little control. In a big government world, the markets are not free, and will likely be stripped of many opportunities.
Say the word “Nazi”, and peoples minds go directly to the institutionalized murder of millions… But I want you to shut that out for a minute and think about how a government that would do such terrible things came to be. If you read your history, you will know that they did it incrementally.
(And many in the US were strong supporters of the National Socialist’s ideas and structure of governance during the years that led up to the invasion of Poland and the start of WWII!)
“The Germany economy fell between two stools. It was not enough of a command economy to do what the Soviet system could do; yet it was not capitalist enough to rely, as America did, on the recruitment of private enterprise.“
-Richard Overy
I live two hours from Boston, and there is an incredibly impactful Holocaust memorial in that city.
Glass walls rise up out of the ground, towering above you. Each is etched with millions of tiny numbers… A stark reminder of the dehumanizing tattoos that were used to track the “undesirables” as they were processed for extermination.
Wisps of steam rise from the ground all around you, and at the end of the path is this quote…..
First they came for the communists, and I did not speak out—because I was not a communist;
Then they came for the socialists, and I did not speak out—because I was not a socialist;
Then they came for the trade unionists, and I did not speak out—because I was not a trade unionist;
Then they came for the Jews, and I did not speak out—because I was not a Jew;
Then they came for me—and there was no one left to speak out for me.
We are experiencing that incremental slide of loss here in the US as we see more and more freedoms eroded in the name of crisis management.
Let me be clear about one point…We the people are only to blame…
We still have the power to end this slide, and up till now few vote or seem to be interested in the political process. We need that to change if we are to teeter back towards freedom in the United States.
Why this rant?
This News Story….
http://www.nytimes.com/2009/10/25/world/europe/25surveillance.html
(Moral of this story? If you give government power, eventually it will wield it.)
I have traveled many times to London to speak and teach seminars, and am always shocked when I visit to see the Orwellian aspects of the UK system.
(They tried to eliminate PINT GLASSES in the pubs because they could be used as a weapon!)
The UK is well ahead of the US in the expansion of government, and I believe acts as a time machine which we may peer into to see where we are heading.
Traders in the UK have been taxed out of the stock market, and are forced to literally gamble on the market moves by proxy through bookies in a process called “spread betting”. As of now, this income is tax free, but one bill could change that and end their ability to trade the markets for a living.
The Constitution was a document created to specifically limit the power of government. It was created by men who had lived in and around tyrants and giant bureaucracies and wanted no part of it.
They knew that governments grow naturally and parasitically if left unchecked and this incredible document was their failsafe to keep that from happening in the United States.
We the people are the only ones who will keep that power in check, but it will take some effort on our part. So please! Read, think, and engage. I think the next few years will be incredibly important!
-Bo Yoder
Have you seen this? I have never taken the financial media seriously, and have tons of examples of lameness to reinforce this bias…..BUT This one takes the cake!
Here is what happened….
Dick Bove of Rochdale Securities was interviewed on CNBC Wed morning following Wells Fargo’s (NYSE:WFC) earnings. The interview is posted below…
Some choice quotes from the interview…
Wells Fargo “has its loan losses under control” and “should be able to grow revenues by increasing loan volumes”.
Wells Fargo “should do well in the market today and lift all financial stocks.” And Wells Fargo is a “standout” .
All this would be business as usual but for the fact that later that day, (Just before the close!) Mr Bove issued a “shock” SELL rating on Wells Fargo…
(Downgrading the stock from Neutral.)
I could go on as many have about what a load of BS this is, but the important bit that we as traders need to take from this is that the opinions of the talking heads are always TOTALLY SUSPECT! You must let the market and its real world order flow dictate your trading if you are to succeed.
Be your own man or woman, figure out what your bias is and what the reward potential is…THEN TRADE IT! Let the yappers make fools of themselves without wasting your time.
