Market After The Close, Monday 16 December
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Free Money
by Alex King, CEO, Cestrian Capital Research, Inc
Today it rained money. If you were positioned long in the Nasdaq, in Bitcoin, in semiconductor, then money just kind of fell into your account whilst you watched and did nothing. Days like today I find as unreal as days when the market just takes money off of you all day long. When the free money arrives it is a reward for having positioned your Pong Paddle correctly. Missed the free money today? You weren't positioned correctly. No it's not the Fed's fault nor is it "manipulation". It was you. But since we all make endless mistakes in trading and investing all the time, there is no point celebrating a day's worth of free money any more than there is commiserating a day's worth of giving money to the market. In both cases - bright green day or deep red day - your response should be, hm. And then sit back and calmly try to figure out where that pesky bag of free money is going to bounce off to next, and try to position your paddle accordingly. That's it. You can wrap it up in a thousand method statements or analytical tools if you want to but it comes down to - where is the bag of money headed to, and can you get there first. And this is a learnable, repeatable skill. It's not a game of chance or luck. It's a language of signs and symbols that can be learned and practised and improved over time. Nobody will ever become fluent, because this language evolves far faster than any other, but one can certainly become skilled enough to make a very good living just playing pong .... er, trading and investing.
The charts and commentary we post every day here, for paying subscribers of all tiers, are designed to help you work out where the bag of free money is headed next, and to help you position the paddle to try to take advantage of it. Our Inner Circle service goes way beyond this, as it features real-time trade disclosure alerts for Cestrian staff personal account trades posted before the trades are placed.
Want to join us? Click here. Independent Investor and Investment Professional pricing tiers available.
So let's go see where the free money is headed next.
Short- And Medium-Term Market Analysis
Don’t forget that to open full page versions of any of the charts below you can just click on the underlined header which titles each chart - they are all hyperlinks.