Financials Matter

"It's Not Just About Finance"

September “Panic Cycles” and What to Expect

If you’ve been paying attention to the wild swings in the market lately, you’ll notice several consistencies:

 

  • Volatility is increasing.
  • Volatility increases with China trade talks.
  • Volatility is what the “Club” uses against you.

 

First, let me dispel the idea that the trade talks with China is the root cause of wild market swings.

The boyz in the “Club” want you to believe that because it allows them to make a fortune by cranking up their high-powered algorithmic (algos) trading machines.

They use them to zig while you zag and they make a fortune from it.

It’s impossible for an investor to keep pace with a computer that acts and responds in nanoseconds (think blinking your eye only faster).

The algos are emotionless yet they’re designed to spoof you.  (Spoofing is putting out a fake buy or sell order to sucker you into making a mistake…see “Wall Street’s Secret Language Hidden in Acronyms).

They execute a buy and/or a sell, and are not greedy.

Think about this.  If you can buy 1 Million shares of a stock, make $.03 cents in a flash, that’s a cool $30,000 in a fraction of a second.  And they can do it a dozen times – or more – within one second.

So, is it any surprise when you see volatile markets swinging wildly up and down, that the boyz are making a killing?

And they make more money in a declining market than a rising market.

Why?

Joe Average panics, as usual.

You can expect panic cycles to increase in September and continue into The Chaos of 2020.

Instead of losing money in panic cycles, learn how to turn them into profit cycles in our September “…In Plain English” newsletter.

Get it now (HERE).

Translate »