Conclusion: Technicals Lead, Fundamentals Lag. This is a case study I performed in 2013. The lessons still apply just as much today as they did then. The following two case studies illustrate a very important point: The market and individual stocks (i.e. technicals) move months BEFORE the fundamentals move (up or down). The reasons “why”…
How To Deal With Fear? Identify & Quantify It I have found that the best way to deal with fear (especially in the market) is to identify your fear (what do you fear most) and quantify your downside (how much you are comfortable losing, if wrong). Then exit if your pre-determined stop loss is triggered. This…
2018 opened with a bang! Not only did the major averages continue to hit new record highs, there was virtually no selling to speak of. Clearly, this is very strong action and it tells you that the bulls remain in control as sellers are virtually nowhere be seen.
Invest, Don’t Spend Your Attention. Most people spend most of their time and mental capital reliving the drama of their past or worrying about their future. Doing either of these takes you away from the present moment or forces you to spend your attention on something that has a very low ROI. For a better…