There is this guy in chat today that kept on screaming at the locals. Because he was short he blamed them for the market going up. The funny thing about these people is that their failure in trade is never their own mistake. Their failure in their trades is never their fault but someone else’s. Arrogant? I think that word is a little soft. What is interesting are the rationalizations they come up with. Bottom line. News.
You know these people. It may even be you. They are the angry and bitter people in chat. There is this other guy who calls the phenomena the “invisible hand”. You know I’ve come across that term in economics class. This mystical hand is responsible for stealing the monies of many traders. This invisible hand is so powerful it will change the perceived trend in an instant. Obviously I must have missed that part of the class because I thought it did something else.
So I told the opinionated person, to read his charts. He told me the charts are useless. The bearish trader told him to get a clue. And the invisible hand guy starts talking and helping the other guy off load the blame to … the government of course. How do they know for sure? If they are so intelligent to know all this stuff, why are they always caught in the wrong side of the trade when the “invisible hand” comes to work. Their speculation is so fantastic that many people think it is credible because they sound like traders. If it sounds like a duck is it a duck?
Charts are useless? Have you ever taken a ride in the subway. Having the charts and not reading them is like contesting whether or not you will stop at the next subway station even though it is clearly showing in the lighted map following the sequence.
How powerful is this invisible hand? If it is so powerful to steal your money by making the market go the other way it ought to move…why did the people who control the “invisible hand” not prevent the sell off of 2007-2009? The government is manipulating the market. Why didn’t they manipulate it so it wont sell off? So they wont be so obvious? It seems obvious already because every time you are caught on the wrong side of the trade you know it is them. If that is not obvious, I don’t know what is. If big brother is so involved? Why didn’t they shoot the CEO’s before they could inflict the damage that they did? If big brother is this intelligent, then are you not negating all the negative comments about how they are screwing up the economy?
Is there really news for every dip and pop of the market price? How many stock entities are there? How many times does the market or stock fluctuate during the day. Is Bernake’s bodily functions news worthy enough to affect all of those? Does Obama yawning also equivalent to him saying something in public to cause the market to drop. Why would I say that? Because he opened his mouth and air did move. Laughable? Insane? It takes a lot of talent to spew a bunch of half truths together and weave a compelling story out of it. Perhaps a profession change is in order? Be a writer or a comedian?
Read your charts. Take ownership of your own action. It isn’t the government, the news, the MM’s or the PPTs. It is simply YOU!