How to Succeed in Crazy, Wild, Unpredictable Markets
The markets are closed today for Good Friday. Before we begin, on behalf of everyone at Tech Profits Daily, I’d like to wish you and your family a Happy Easter.
Regular market activity resumes on Monday, and we’ll be back with your normal Tech Profits Daily issue then.
To be honest, I chuckled to myself when I just wrote “regular market activity” in the sentence above.
What is regular in 2021?
Think about a year ago at this time. The uncertainty. The chaos.
You’d need a supercomputer from IBM to tabulate the trillions in stimulus spending that have coursed through America’s monetary veins since then.
Now consider the transitory inflation fears. Or the interest rate debate and the “lower for longer” reality of America today. Are we on the verge of roaring back to prosperity, or is the American economy truly sitting on a live grenade?
Take a moment to reflect on the tectonic plates of politics shifting beneath our feet. And think about the recent proposal for trillions more in much needed “infrastructure” spending.
Still have your wits about you?
Step back for a second and try to understand the rise of NFT (non-fungible token) mania.
Have a think about the resurgence of Bitcoin and a host of altcoins. What does it mean for the future of secure transfer? What does it say about rampant speculation?
Now take a look at the incredible, once-in-a-generation run on residential real estate. Or talking heads on television debating U-, W-, K- and V-shaped economic recoveries from the COVID-19 crisis.
Am I missing any letters?
Look, I’m not trying to make you dizzy.
And I’ll be the first to admit, all those questions above… I don’t have solid answers for many of them.
Yet here we are. Living in a world in which the S&P 500 closed yesterday over 4,000. The Dow at 33,153. And the Nasdaq within a whisper of 13,500.
Remember March 23, 2020? The S&P closed at 2,237.
If you did not bail out of stocks entirely a year ago in March, if you stayed in the game, you’ve done very well.
And that’s the lesson, though it’s a simple one, I want to share with you on this quiet Good Friday. Sometimes it’s wise to pause and consider the basics, after all.
This market is wild and unpredictable. If you’re in the market, responsibly putting speculation capital to work, you can always benefit from uptrends — in any climate.
If you are on the sidelines, with “cash under the mattress,” you will not see those benefits. Said another way, you have to be in the game to win at the game.
I don’t fool myself thinking my research can “beat the market,” because I can’t control or predict the market. All we can do is react and take advantage of opportunities as they arise.
Roughly 18 months ago, my research pointed me to noteworthy developments in the commercialization of space. Satellite internet, space tourism, communications tech… it was a convergence of trends.
My readers have had the chance to do very well on those recommendations.
More recently, the ARK Space Exploration and Innovation ETF (ARKX) has drawn massive interest since its debut, and I’d like to think you’ve read about many of those constituent stocks already and are ahead of the game.
I’m not patting myself on the back here. I just want to reiterate that as long as we focus on quality research and discipline and simply play the market as it comes to us…
… There’s nothing that can stop us from continuing to collect solid, market-beating returns.
Not even NFTs, central bankers, hedge fund blowups, inflation fears or the trouble we can’t even see yet.
Have a safe, happy, enjoyable holiday weekend. We’ll be back with more next week!
To a bright future,