Tag:

market psychology

Would you take financial advice from a lottery winner?

Obviously not, right?

What advice could possibly benefit you if the person lost thousands, possibly tens of thousands of dollars before lucking out and striking it rich?

Finance articles are littered with survivor bias — something important to know when facing a barrage of unsolicited advice from nobodies suggesting what to do with your money because i… Read more

When it comes to talking, you should give Trump some credit

Scott Adams, Dilbert cartoonist, calls him a “master persuader”.

Perhaps it’s time to give credit to the fashionably unlikable president and acknowledge that Trump knows how to talk. It’s probably also time for most hardcore partisans, whether they are for or against Trump, to start looking at issues pragmatically rather tha… Read more

Propaganda journalism and misused prepositions: unnecessarily suggesting strong correlations

Stock market falls 10% as Trump suggests trade tariffs.

Gold stocks rise on rumours of Federal Reserve looking to inject more stimulus into the economy.

Oil tumbles around escalating tension between Iran and Saudi Arabia.

BitCoin falls 20% amid Korea talk about cryptocurrency regulation.

Do these headlines sound familiar? Mainly becau… Read more

AP claims that China denies halting of U.S. Treasury purchases, citing “fake news” — but that doesn’t change anything

Yesterday, I posted an article from Bloomberg that made a haste claim that economic advisors in China were recommending halting the purchase of U.S. treasuries.

On the same day, an Associated Press article claims it was fake news.

Clearly, between the two news outlets, one of them is lying (a persistent problem lately, it appears).  The mainstream media h… Read more

China makes their move on the world chess board. What will be the U.S. and Federal Reserve’s response?

With U.S. markets and arrogance at record highs, China thinks now is the right time to go for a king side attack and checkmate.

On the world chess board, Trump and his administration have went all-in on their persuasive strategy to attract as many investors to the U.S., verbally claiming full ownership of the economy realistically propped up by decades of Key… Read more

Looking ahead to 2018: a continuation of the Gilded age in North America

Particularly in the U.S., whose markets have thrived under a psychological uptick from Trump and the current administration, I fully expect to witness the historical pattern that accompanies my “psychology in the short term, fundamentals in the long” economic mantra.

While people are spending like no tomorrow with the hope of future earni… Read more

“Lose Bigly” later: facts in a world where only persuasion matters

Scott Adams, author of Dilbert and self-proclaimed hypnotist, believes that persuasion is the dictating force in a world where facts don’t matter.

I largely believe he is right. However, I believe that psychology is what influences the short-term future. In the long term, the trend is dictated by facts and fundamentals.

We are talking about the tre… Read more