When Wall Street Says Sell, Check Who’s Waiting To Buy
Posted by freedomforall 5 days, 12 hours ago to Business
Excerpt:
"the broader lesson goes well beyond Citadel, Goldman, JPMorgan or any particular investment bank. And the lesson applies to not just macro, but also sell side equity research: trust no one on Wall Street. Not because everyone is lying. That would actually make things easier. The problem is that everyone is talking from somewhere. Everyone has a book, a mandate, a time horizon, clients, incentives, constraints and a definition of risk that may bear almost no resemblance to yours. The billionaire telling you an asset is dangerous may be able to withstand a 40% drawdown that would liquidate you. The bank telling you something is attractive may be simultaneously financing the people selling it. The hedge-fund manager predicting disaster may simply be describing the event that would give him his dream entry price."
"the broader lesson goes well beyond Citadel, Goldman, JPMorgan or any particular investment bank. And the lesson applies to not just macro, but also sell side equity research: trust no one on Wall Street. Not because everyone is lying. That would actually make things easier. The problem is that everyone is talking from somewhere. Everyone has a book, a mandate, a time horizon, clients, incentives, constraints and a definition of risk that may bear almost no resemblance to yours. The billionaire telling you an asset is dangerous may be able to withstand a 40% drawdown that would liquidate you. The bank telling you something is attractive may be simultaneously financing the people selling it. The hedge-fund manager predicting disaster may simply be describing the event that would give him his dream entry price."
play sports together, survived Haaavaaad together, and know that they will eventually rule
the proles together.
Average investors CANNOT MOVE the market. They can (Robin Hood) band together against shorts.
But what happened? The companies UNWOUND their trades.
The corruption in the markets is on full display. Just like people selling MILLIONS of Ounces of Gold "paper" (contracts) in the same 5 minute window is not normal. It is pure price manipulation. Now it is happening in OIL to prevent longs from getting their profit. How do we know... Well, they RAISED the margin requirements for holding Long Oil Futures. Hmmm. Forcing SMALL traders to exit. Usually for a loss they can SEE on their screens.
I've worked inside the industry and left quickly. Dark Pools of sell/buy orders.
Deals done OUTSIDE The market, but after the market, the trades are entered as an ADJUSTMENT.
Watch some of theses tocks at 3:59, volume was 12Million shares. at 4pm (or close), suddenly 36 Million shares traded without affecting price.
The government is about to pull a fast one on ALL of that JUICY 401(k) and IRA money.
Right now, they are encouraging ROTH Conversions so much...
That I fear that we will see them TAX ROTH withdrawals.
Finally, we cannot even follow the trades of Buffet. He is allowed to buy directly from the company with special deals. He loans them money, and gets "options" to buy their stock below market.
WHEN they recover, he is golden. If they do not, he is a creditor and not a shareholder.
Only Congress can consistently make money in the markets... LOL
Arthur Anderson in Houston, but the managing partner of that office ordered him hands off of
Enron and he apparently didn't suspect the reason until it was too late.
Was it Mark Twain who said it's hard to convince someone whose salary depends on them not being convinced.... LOL