One analyst at an FX shop describes today’s action as “lack of an appetite”
… really? … is that an appetite for buying or selling, or does it really matter?
… every time these types of people drop some whipped cream and a cherry on
top of a pile of word salad bullshit, and then try and tell you it’s a chocolate
sundae, it makes you wonder what their agenda really is … it sure as Hell ain’t
the truth.
People are casting a jaundiced eye towards markets these days … Hell, even
“Stock Bellies” can’t rally at Christmas time! … what’s the world coming to?
… we might as well ask the real experts … that would be Randolph & Mortimer
of “Duke & Duke” Commodities … even after all these years, the scene linked
directly below from “Trading Places”, absolutely never fails to make me laugh
out loud … “Turn those machines back on!”
https://www.youtube.com/watch?v=I0swBR40_R8
Literally amazing how the producers of this movie know how markets actually
work … nothing has changed over the years, only the stealing has gotten far
bigger … hundreds of millions ain’t “diddly squat” anymore … now it’s billions
upon billions, and it ain’t so much “commodity firms”, it’s the scumbag banks
who have replaced them … one interesting tidbit from this movie … it was
originally planned to be shot in Chicago from the pork bellies pit … the vaunted
“Cocaine Cowboys” running the CME thought it to “discrediting” towards the
commodities industry so they blocked it … no problem, and a big fat “FU” to the
CME and it’s off to New York where it’s now orange juice not pork bellies, and
the CME can go pound sand … in any event, a classic for all time, and how things
really work … everything else is bullshit!
And since it’s Christmas time and everybody needs to be reminded of why it is
we trade, this last ending scene has always stuck with me … without further ado,
directly below.
https://www.youtube.com/watch?v=9bynQvcIxQ8
Now, about today’s “appetite” … there isn’t any! … long / short makes no
difference, nobody cares … nothing but a collection of bank screw jobs up &
down via spikes, followed by NADA … in other words, the usual scam M. O. run
by banks off of order flow, when no PIE HOLE has anything to add to anything
and the world’s economies drift into nothingness cuz nobody knows what to do
… good grief … throw in slippage and phantom bid/offer quotes, and it’s just
another day in paradise, where they party and you cry … seriously, is the rest
of the month gonna be like this?
Which brings me back to options cuz of the nature of the beast, and how best to
turn a small account into a much bigger account, OR into a daily income … sorry,
you can’t do that with regular trading no matter how hard you try cuz 1) you don’t
have enough capital, and 2) you can never tell me what your risk is, or how big it
can destroy your account in about 1 millisecond when some PIE HOLE says
something and you’re caught the wrong way … and these 2 issues MATTER!
… looking at the future value calculator gives a clearer picture of what small
amounts of money can do when they earn small amounts of money multiple
times … for example, look at the following directly below.
Hypothetically, suppose you start with $100, risk only 1% per trade, and either
win that bet or lose it … your trading algorithm is good enough to return 80%+
winners, and the payout ratio on bets is 95%, about as good as you’re ever
gonna get anywhere … approximating, suppose you trade every day up and until
you have “NET” 10 winners [or pick another number, it’s up to you] … given the
algorithm and the payout ratio, your “mathematical expected return” [ER] ON
EVERY BET IS ALWAYS POSITIVE … IT IS, E(R) = (0.80 * 0.95 * $1) - (0.20 *1 * $1) =
0.565 ON EVERY $1 BET PER BET … so, if you had 20 bets, your E(R) over time
would = approximately 20*0.565 = $11.30 … now, some days it comes quicker than
others, but the expected return value remains constant … you could bet higher
amounts, you could risk more per bet, e.g., 2% per bet, so there are variables here
that remain unknown and can only be answered by any individual … but to round
things off, let’s just assume it’s $10 … well, on $100 that’s 10% per day … ain’t
gonna get that in regular trading without risking the entire account on a trade
… given the rate of return, what happens after 30 and 60 trading days keeping
the same leverage as when you started? … directly below.
Well, they you are! … the math doesn’t lie … what matters here is 1) not getting
whacked like in regular trading, and 2) using the power of accumulation on small
bets to get the kind of income you want … whether it takes you an hour to get this
or 3 hours, who cares? … you want it or not? … adjust the math based on your
own projections of trading time, and get any kind of income you want within
reason … and this is what I cover in the upcoming manual.
Turning to today’s bag of shit markets, it makes you wonder how they get away
with it everyday, but when you consider practically every POL, Apparatchik, &
regulator is in the tank taking skim from the banks, it should be no surprise
… biggest volumes of the day in Asia & Europe and nothing gets done or moves
… get the scumbag banks JPM, Squid, Citi, HSBC, etc. involved in the New York
afternoon, and anything can & will happen that fattens their wallets and depletes
yours … rallies / breaks out of nowhere, that serve only one purpose … set off
spec buy / sell signals based on the most popular indicators, and then fade the
shit out of ‘em to crete pain & destruction … happens so often, it’s become
routine … “but hey, DUH! MARKET CONDITIONS DUH!” … can’t move for shit
during the busiest times of the day, gimme a break … just another day where
ranges are so pathetic it’s ridiculous, and “”Trading Ratios” [TR] are so low it
makes you wonder when they go below ZERO [they can’t but it feels like it]
… “I’m sorry Mr. Market, am I asking too much for you to fucking move more
than 30 - 40 PIPS over multiple many hours? .. is it me? … date it, don’t marry it,
and this babe would be out the door!” … when it moves I’ll be there
… onto tomorrow.
… OUTTA HERE … “The future’s so bright I need 2 pairs of sunglasses 😎😎,
and my own Brinks armored truck” 💓!! … Onward & Upward!!
-vegas
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