After two weeks into a new year many Wall Street guru-wannabes start talking about the January Indicators.
And without exception they’ll predict – based on two weeks of trading – what to expect for the remainder of 2022.
LOL!
They might toss in some fancy technical talk like “This Friday’s Deep Option Expiration of Billions of ‘in the money’ calls.”
…To which most people respond with “Huh?”
They’ll try to convince you it will be a source of extreme volatility.
Translation: “So, on Friday, the stock market will either be way up or way down.”
But the truth is that most “deep in the money options”, don’t technically “expire”.
They are either rolled over to another option or assigned.
Famous January Indicators
And then you have gurus quoting the famous saying, “As January goes, so goes the markets.”
But these are the gurus who are most like the Weather Channel…if they start hyping an approaching storm, it will be a non-event.
And let’s not forget “The Super Bowl” indicator. *
(*Note, prior to the NFL ruining the post season in the name of greed and profits, the Super Bowl used to be played in January. And the winner supposedly would determine either an UP year or Down year in the markets.)
Read: Super Bowl “Indicator” Predicts Winner? LOL! HERE.
Ironically (or NOT) no one is mentioning the price of oil as an indicator.
Nor do you hear much about the FED cancelling their bond buying on Tuesday…due to “Technical Difficulties.”
Translation: No other buyers out there.
And why after three years – of never losing money on their trading accounts – do we suddenly see JP Morgan and Goldman Sachs declaring losses in the 100s of Millions?
They probably shorted their own stock. *
LOL!
(* Note: They’ve been known to do worse things.)
The point is you don’t have to look very hard to see all of the genius January Indicators.
But…and this is a Very Big Butt…
When you cut through all the crap, the markets simply don’t care about the January Indicators.
And the markets are ALWAYS RIGHT…regardless of who wins the Super Bowl.
So, stop listening to all the financial presstitutes and start listening to the markets.
And one of the best ways to do that is to read our Short and Sweet Tips column in our January newsletter (HERE).
This month’s article is appropriately titled:
The Top Stocks to Own to Weather All Economic Storms
And How to Insulate Yourself from the Inevitable Market Roller Coaster Ride
Read it (HERE).
And share this with a friend…especially if they’re betting on a Super Bowl winner (Go Aaron Rogers).
We’re Not Just About Finance.
https://www.financialsmatter.com/subscribe/
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