Tuesday, April 3rd
Dear Member,
Well we've seen a lot of swings in indices like the Dow and S&P 500 lately. One of the phrases you never want to catch yourself saying is, "When do you think the next run up in (blank) is going to be?
For example: In 2006 summer many people were saying, "When do you think the next run up in oil is going to be?"
In 2006 summer many people were also saying, "When do you think the next run up in gold is going to be?"
And from 2001 to 2005 many people were saying, "When do you think the next run up in technology is going to be?"
When sectors like oil and gold from 2004 to 2006 had such huge run-ups, and when technology did it all in a year or two, and you missed out on those gains, never ask, "When's the next move?" You're fooling yourself. Because, you're thinking backward. You missed out and you can't stand it. You don't want to miss out, so, you want to "get in on the action." Sure, we could see moves again in oil and gold, just don't expect it to be major moves like 50% a year. Just look somewhere else.
In trading cycles, you can still get the last part of the gains, but if you missed out on the first part, don't let it worry you too much. Because when whatever it is becomes very popular to trade, then it's always going to be a top in that market. However, there can still be gains to be made, just not the incredibly huge ones from the past. But who cares! There's always a new sector or market coming into favor.
In 2000 housing took the place of technology. Then, Euros took the place of the US dollar. So it doesn't matter, just always be looking for the next opportunity. It doesn't matter where it comes from.
And, you'll know you're right when you tell your friends and they reply, "Are you kidding me?" Then you're on the right track. It's a bottom.
Good Trading,
IntradayTrades
Dear Member,
Well we've seen a lot of swings in indices like the Dow and S&P 500 lately. One of the phrases you never want to catch yourself saying is, "When do you think the next run up in (blank) is going to be?
For example: In 2006 summer many people were saying, "When do you think the next run up in oil is going to be?"
In 2006 summer many people were also saying, "When do you think the next run up in gold is going to be?"
And from 2001 to 2005 many people were saying, "When do you think the next run up in technology is going to be?"
When sectors like oil and gold from 2004 to 2006 had such huge run-ups, and when technology did it all in a year or two, and you missed out on those gains, never ask, "When's the next move?" You're fooling yourself. Because, you're thinking backward. You missed out and you can't stand it. You don't want to miss out, so, you want to "get in on the action." Sure, we could see moves again in oil and gold, just don't expect it to be major moves like 50% a year. Just look somewhere else.
In trading cycles, you can still get the last part of the gains, but if you missed out on the first part, don't let it worry you too much. Because when whatever it is becomes very popular to trade, then it's always going to be a top in that market. However, there can still be gains to be made, just not the incredibly huge ones from the past. But who cares! There's always a new sector or market coming into favor.
In 2000 housing took the place of technology. Then, Euros took the place of the US dollar. So it doesn't matter, just always be looking for the next opportunity. It doesn't matter where it comes from.
And, you'll know you're right when you tell your friends and they reply, "Are you kidding me?" Then you're on the right track. It's a bottom.
Good Trading,
IntradayTrades
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