Macroeconomics: Why the Markets Never Do What We Expect
Have you ever wondered why good economic news is followed by a price decline? Or why a bearish outlook from a fed announcement can send the stock market roaring higher?
Have you ever wondered why good economic news is followed by a price decline? Or why a bearish outlook from a fed announcement can send the stock market roaring higher?
We’ve all heard the saying…
“The trend is your friend until the end”
In this post I outline techniques for identifying the trend, getting in, and staying in until it fails.
That’s right, to beat the market is simply impossible, no one can win 100% of the time. Just like in blackjack, no one can win every hand. However using the S&P 500 as your benchmark it is possible to produce significantly higher returns and outperform the market, here’s how.
Price speculation has been around for hundreds of years; long before the existence of electronically traded markets like the NASDAQ and CME Globex. Ironically the fundamentals of trading have not changed, what has changed are the vehicles in which we use to trade.