I am more amazed everyday at the way chartists use publishing tools to communicate their perception of a trade or market or world.
The Evil Speculator does an incredible job on this video and it is as good a depiction of yesterday’s amazing comeback as anything you will see.
Maximize & turn it up…
I sat down with Ivan to discuss the many special dividends being declared by comapnies like $LVS, $DDS, $COST & $WYNN
He has been all over these trades, understands the dynamics at play and even speculates that some companies could borrow to pay them out. He thinks it makes sense for $AAPL to pay one and believes it will boost the stock.
More on the clip:
My pal Brian Shannon (@alphatrends on StockTwits) is an innovator in the study of price behavior and his book on multiple time frame analysis is simply a must read.
In Brian’s market structure model, he breaks the long term asset price trajectory down into 4 stages two of which are bullish (accumulation and markup) and two of which are bearish (distribution and decline).
He then goes on to organize each of these stages into 3 phases in order to more closely assess an asset’s position in the cycle with more granularity and over shorter time frames.
If you have never done so, spend some time with this graphic Brian created:
Yesterday on StockTwits Charts, Chris Vermeulen from The Gold and Oil Guy Newsletter posted this gem which applies Brian’s Market Structure model to two of the most discussed stocks in the universe.
The result is a killer graphic that some might find preposterous.
Chris graphs the Apple Inc and Research in Motion charts onto the Market Structure Model and finds that $AAPL is in Stage 3 Distribution while $RIMM is coming out of Stage 1 Accumulation and into Stage 2 Markup.
I am guessing that some will find this preposterous because $AAPL has been one of the greatest performing stocks in history as $RIMM, an early darling of the mobile boom, has fallen down and until very recently, the price behavior appeared potentially terminal.
From my vantage, that’s just the point.
The interaction between sentiment and price behavior is counterintuitive because we humans are emotional animals with short memories.
During Stage 3 Distribution, everyone still loves a stock because it has treated them so well in the near past while during Stage 1 Accumulation, arguably the best time to buy, a stock is hated due to its own recent performance.
Even with the road map, it feels so wrong.
The next time you are bickering with a random avatar on the real time web, kindly consult the above exchange before shutting the fuck up. Thanks.
I spent some minutes with JC Parets (AKA: allstarcharts) on ReutersTV yesterday discussing pairs trades that he finds compelling into the end of the year.
He likes international ETFs including $EEM $EWC $FXI long to $SPY short and $NG_F long to $CL_F short.
I’m in Philadelphia doing a workshop this morning entitled How Social Is Driving Entrepreneurship at The Social Media Leadership Awards organized by Knowledge@Wharton & Social Strategy 1.
There are 3 workshops total and if you are a student in the area, you can attend for free. They run from 8:45 AM to noon.
Detes HERE.
I chatted with Neev Capital’s Rahul Sharma about the consumer discretionary space. He does not mince words and brings a ginsu sharp view on all things consumer driven.
He likes $M and $JWN and pans $KSS and the big box office supply stores.
Rahul is @retail_guru on StockTwits and he is a must follow if you are interested in the discretionary space.
I am not an economist and I am certainly not a political economist.
That said, can someone in the comments section below, please explain to me why we did not take printed or borrowed money and allocate massive amounts of it to infrastructure.
We were (and are) printing and borrowing anyway, yes?
I remember tweeting about this years ago and never really got a response that helped me understand what I was missing.
It just seems to me that this would have at least been an earnest attempt to decrease unemployment, stimulate the economy and improve the US’s deteriorating infrastructure that is on display in NYC this morning as the subways are still fakakta a week after Sandy.
I must be missing something regarding why this was not and still is not the obvious good idea.
Are either of the candidates resolutely planning or promising in this regard?
Thanks for all thoughtful responses.
Well, I have held it together pretty well so far although I think I’m finally beginning to fray a bit this morning.
We’ve been without power for six days now and the week was super busy work wise. Meanwhile, we’ve been holed up at my inlaws since their power came back on Thursday and its a bit tight here.
But my family and I are all healthy and managing to fit some enjoyment into the mix. And despite a few fallen trees that did not hit the house, everything appears to be in good order on the home front once we get power back.
I’m incredibly grateful for my good fortune in life, feel blessed well beyond what I deserve and in the bigger existential scheme this past week has been small potatoes.
My heart goes out to those who are suffering much more than me and I am hoping that I might get myself to a place soon where I have the energy and minutes to help them out in some small way.
Just a quick word before the market opens this morning for the first time in 5 days and after Hurricane Sandy.
If you have been directly affected by the hurricane, do yourself a favor and take it slow wading back in to risk.
I’m talking to market participants here who had a very difficult time during the storm, have been displaced, have had property damage, lost power etc.
As I’m sure you are all aware, the market can be emotionally demanding in its own right and rational decision making is affected by stress.
Multiple stressors often interact with each other in ways that are difficult to predict and compounding.
In addition, sometimes, especially when we are in the middle of the situation, it is difficult to self assess stress and how it might be affecting your behavioral judgment.
So, if you are in the middle of the mess, no need to come out with risk guns blazing.