The Cockroach Effect

EST
  1. The broad averages treaded water on Wednesday while Amazon suffered a rare drubbing and some other high-fliers got marked down, probably not for long. If there were any doubts about how tightly DaBoyz have rigged the game, they should have been dispelled by the sight of money flowing out of the half-dozen institutional favorites and into Wall Street’s flotsam.  The dogs had their day, marking time when it would have been more natural for them to move lower in sympathy with the FAANGs.

Particle Physics

It’s a mystery to me how portfolio managers wake up each morning, all of them trained on the same objective. Does some sort of telepathic signal go out to them, like a silent instruction to cockroaches concerning the location of a rotting piece of meat?  Or is it more like quantum physics?  Subatomic particles at opposite ends of the universe are thought by scientists to react simultaneously to certain stimuli, with no lag. Whatever the case, somehow these guys seem to know what all their colleagues are planning to do on a given day. I use the word “colleagues” rather than “competitors” because, really, how competitive can the game be when most portfolio managers most of the time are heedlessly throwing Other People’s Money at the same handful of stocks?

Comments on this entry are closed.

John Jay September 6, 2018, 9:42 am

Well, I think it all depends if Trump retains Senate and House majorities after the elections.
Even if he does, he is battling 50 years of ever increasing Deep State control of the USA.
If he is just a 4 or 8 year speed bump for the Deep State, then we just continue the descent into Feudalism. Looking at the hopelessness of drug addled, sidewalks are a latrine masses in West Coast cities, the future looks cloudy at best!

none September 6, 2018, 7:58 am

What is obvious is obviously wrong.

Its just not a temporary thing going on today, and in fact if the stock market was to have a very severe correction or downturn.

We all should expect another election ‘win’ ahead for Trump.

Have a great day Rick.

John Jay September 6, 2018, 12:25 am

Well Rick, from my perspective, I would wager there are many factors at work in the Big Time Momentum Stocks Skyrocket:

1) If it all goes smash, they just open a new Hedge Fund, and people will line up to hand over their money. Those LTCM guys went right back in business if I remember correctly. So, there is no incentive to be cautious with OPM!

2) If it gets “Tanks in the Street” bad, they can count on TARP 2.0. The Fed has “Owners” that call the shots, n’est pas?

3) With an eternally strong US Dollar the US market has the Auslanders seeking the twofer of rising stock prices and currency appreciation.

4) With an increasing number of “Failed States” falling like dominoes, any scared money from the elites of Argentina, Brazil, Venezuela, etc. will give #3 above a mega dose of financial steroids.

5) And do not forget the never ending Stock Buybacks which serve as a nitromethane afterburner!

To Infinity and Beyond!

&&&&&&&

A fine list to support the notion of a perpetual motion machine, John. What could possibly go wrong? And yet, we know that something will, even if exactly what will prove to have been almost beyond imagining. RA



Hidden Pivot Graduate
Help Page


Click here
for a help page needed as a Hidden Pivot Graduate.

Keep Your
Skills Current


Click here
for a special deal for graduates of the Hidden Pivot Course who want to stay on the cutting edge

Login



Start a Subscription
Lost my password

Seminar Information page.

Tuesday, November 13, 2018

The consistent accuracy of Rick Ackerman’s forecasts is well known in the trading world, where his Hidden Pivot Method has achieved cult status. Rick’s proprietary trading/forecasting system is easy to learn, probably because he majored in English, not rocket science. Just one simple but powerful trick -- managing the risk of an ongoing trade with stop-losses based on ‘impulse legs’ – can be grasped in three minutes and put to profitable use immediately. Quite a few of his students will tell you that using ‘impulsive stops’ has paid for the course many times over.

Another secret Rick will share with you, “camouflage trading,” takes more time to master, but once you get the hang of it trading will never be the same. The technique entails identifying ultra-low-risk trade set-ups on, say, the one-minute bar chart, and then initiating trades in places where competition tends to be thin.

Most important of all, Rick will teach you how to develop market instincts (aka “horse sense”) by observing the markets each day from the fixed vantage point that only a rigorously disciplined trading system can provide.

The three-hour Hidden Pivot Course is offered live each month. If it’s more convenient, you can take it in recorded form at your leisure, as many times as you like. The course fee includes “live” trading sessions (as opposed to hypothetical ‘chalk-talk’) every Wednesday morning, access to hundreds of recorded hours of tutorial sessions, and access to an online library that will help you achieve black-belt mastery of Hidden Pivot trading techniques.

The next webinar will be held on Tuesday, November 13. Click below to register or get more information.

Knowledge Base Link
Show Buttons
Hide Buttons