Trading Strategies

Why Is Biden Ignoring Reality?

Like all parents, I lie to my kids sometimes. The biggest lie I tell them is they can be anything when they grow up — even the president of the United States. But I know they don’t have what it takes to be any kind of politician, let alone the president. First off, they know…

The 3% of Stocks That Rise in Bear Markets

For most of my career, I’ve been bullish. And I’ve had good reason to be. I started trading just as the bear market was ending in 2009. For the next 13 years, I enjoyed a bull market. But then there was that one-month bear market in 2020 — which happened to blow up one of my…

39 Years Later, the Bond Bear Market Strikes Back

The bond market is a disaster. Thirty-year Treasury bonds are 36% below their highs since the bear bond market started in 2020. If you’re feeling a little lost and overwhelmed in this environment — you’re not alone. Most of us haven’t seen anything like this in our own investing careers. If you’re in your 70s,…

This Overlooked “Volatility Score” Can Help You Pick Better Trades

The “Option Greeks” are an obscure group of letters and symbols that most traders tend to ignore. But those of us who understand how they work? We can make the money that others lose. You’ve probably heard of some of them. Delta, theta, gamma, and the lesser used: rho and vega.  Most of these terms…

Don’t Wear the “Take My Money” Sign

Some of my best friends are financial advisers. They’re nice, smart people. But when it comes to investing, they’re just wrong on almost everything they say. They like to push buy-and-hold strategies. They advise their clients to use stop-loss orders if they’re worried about losses. These are both popular ideas, but ultimately bad ones. I…

Sail Into the Storm

There’s no way around it… No sugar coating to be done… No words to be minced… We’re in a recession. Even if the so called “leaders” of our economy want to dance around it, the fact remains true. My friend and colleague, Amber Hestla, wrote in her report today that “As much as politicians want it to…

The Biggest Non-Scam on Wall Street

I’m all about keeping a healthy dose of skepticism. The financial world is notorious for attracting fraud and scams that trap gullible investors. But I also know that certain things are verifiably good for everyone, despite their reputation. Take high-frequency trading (HFT). HFT firms rapidly buy and sell shares to fill our orders. They make…

Prelude to a Currency Crisis

Amber and I are back with This Week in Options… And this week, we’re connecting more dots on the global currency crisis just about to unfold. In the charts of the pound and the British stock market, we actually see some encouraging activity… But at the same time, the charts of the yen and the…

Cauterize the Wounds of a Bleeding Portfolio

When you think of a “finance guru”, you probably think of some snobby rich guy in a velvet suit driving an Italian sports car to his private jet… He skips up the airstair, then turns to the camera and says, “I’m just like you.” Right… Now, I never loved the term “guru,” but I’ll concede…

Two Ways to Stem a Bleeding Portfolio

We’re all worried about losing more money right now. We’re all pining for the days of the past five years, where endless support from the Fed sent stock prices soaring day after day. We’re all hoping the bear market will end soon. But the reality is, hope is not a plan. The reality is, risks…