My thoughts on the past couple weeks is what this is about. I manage money, investments, or conceptualy people’s financial futures. Personally I feel managing money for folks is tightly linked to how one conducts life itself. In simpler terms it is completely psychological. Compare it to a game of chess or poker it is all about strategy and decision making.
The masses always overreact and panic. It is what they do. The bigger something becomes the more dumb and slow it becomes. Feeble becomes the mind. Money is emotional for people and my job in handling their assets to strip the emotion from it. When emotion is introduced into decision making it becomes skewed. Remaining objective is always key. The media and masses have been calling for a market top. Comparisons to the internet bubble, crash of 87 and 1929 are made. Regular people tell me in conversation “this market has to be topping out” and I waiver my head. I choose my words wisely because I do not want to insult and come off to brash. The answer to them in simple though. If everyone expects an outcome, that is not the outcome they will receive.
The truth is I do not believe this. What has changed? I have bought this blood over the past two weeks and have had to add because it has kept bleeding. I will not deny this is ugly. Its borderline horrific on my end. I am what professionals would say is a “bagholder” at the moment. In conversation some of these stocks I mention deliver looks as if I told people I have the AIDS.
The truth is most of companies that participate in the blood bath are the very best companies of the future with business models that keep growing. Its almost a crime or rather gift this has happened in these stocks. Your prerogative. I am normally an active guy constantly rotating in and out of names taking nice sized gains parlaying them into something new and fresh ready to move. Taking risk off the table selling into strength to find more strength to sell into.
However, I am of the cloth that you trade the tape in front of you. There is no trade on the long side here. The trade is short and I do not do that for my clients. I am in standing strong. Pounding my fist on revenue growth, enterprise value, cash flow and future prospects. I am harnessing my inner Rothschild and buying all of the weakling blood that is filling up the streets. To sell here is to give in. To sell means you have been had. That’s what the average Joe would do. Hedge funds got caught over leveraged and are dumping the stocks they own. Its atrocious and I need to ride the wave out of it. I am not a bitch and I know these stocks which are being slaughtered will go higher. If every fighter quit when they got punched in the face there would be no champions.
Multiple algorithms I use say we are oversold. Just simple math on percentages say we are oversold. Fuck naysayers they can lick my ass cheeks and the sick bastards that call this healthy are liars and do not have money in this market. Its a bloodbath of hedge funds. They want to shake the weak hands out.
I am positioning myself and clients for greatness. Sour puss people are looking for negativity in the best of businesses. They harm these stocks but do not realize when it is all said and done these stocks will have there vengeance ten fold.
Haters gonna hate. Haters will be slaughtered.