FOCUS ON FACTS, NOT HEADLINES:
The US stock market is (very) strong. Remember, it is very easy to get caught up in the latest headline(S) and lose track of what matters most: price action. Until I see any sign of serious distribution (heavy institutional selling) the market deserves the bullish benefit of the doubt.
Results Are Results. Period.
Don’t take my word for it. Every Midas Wave Subscriber is able to see (in real-time) how to pick winners and focus on facts, not headlines. Here are the facts:
- EVERY stock in the Midas Wave Portfolio is profitable
- The entire MWA portfolio is easily out-performing the major averages- by a lot.
- The MWA Portfolio beat the market last year and is on track to beat it again this year.
- The average gain out of all the stocks in the Portfolio is a very strong +25.94%!
- The S&P 500 is up 1.2% in 2014
Market Is Speaking. Are You Listening?
Contrary to most people, I do not read the morning headlines and actually prefer only one read: The market. I do my best work in the weekly time-frame so all my decisions are made when markets are closed, typically on nights and weekends. This process allows me to remove my emotions from the decision making process, create a plan for the week and then let the market guide me (in and/or out). I do my best to drown out all that noise and focus on the tape, whenever possible. I like to say that the market is speaking. Are you listening? For me, it is tough to listen to the 24/7 daily news and the market at the same time. One tends to win (typically the news b/c it is non-stop and real people are speaking). The market is very quiet and doesn’t say a word. My job is to listen/interpret what I see happening and adjust my positions when the facts change.
Today’s Headlines: Growing Pains:
Don’t let the latest headlines scare you. Rumors are flying around the Street that China is on the brink of a major bankruptcy because the Chinese stock market is now trading at the lowest levels since 2009! Since the 2007 record highs (right before the Olympics) Chinese stocks have been steadily falling. For years, many pundits on Wall Street were attributing much of the global economic recovery to China. In China they were building hand over fist and eventually over built and are now working through the excess. This is normal in a developing nation and is not
COPPER VIOLATES MAJOR SUPPORT:
Last week, I began writing about Copper. Since then, copper has gone straight down, violated multi-year support and caused fear to spike regarding the tenuous situation in China and other emerging markets.
DOES IT MATTER? CHANGING GLOBAL ECONOMY:
Typically, copper is known to have a PhD in Economics because it is used to actually “build” stuff. As the global economy develops/matures -economic growth has shifted from building “stuff” to building “ideas.” In the new information/idea age (where most economic activity is based on exchanging information/ideas, not tangible goods) – copper is no longer as important to the global economy as it was it was during the industrial age. Don’t take my word for it- just look at the charts. For years, copper has been going virtually “no-where” or steadily falling even as the major US averages have soared to record highs.
AS ALWAYS, THE FUN NEVER STOPS. STAY TUNED.
Note from Editor: Adam is the CNBC-quoted hedge fund manager and trading genius whose recommendations were actually UP 55% in 2008 and continues to provide great profits for subscribers to his Midas Wave Alert service.
