The Live Videos Have / Had A Reason (not financial advice, dyor)

For those that have watched the videos, and actually read the newsletter, it described auction theory (nerdy explanation here), the look at charts have everything to do with this theory.

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In easy language, I have described congestion zones. This goes back through earlier this year. There is a reason for the increased volume and increased attention to “What’s News” and “Financial Mindset,” which is that the world is full of attention to stocks and the numerator in the formula at the bottom of this article. This is fundamentally mis-placed because it is institutionally ingrained by Joe Broker. Summarized by? You got it: Stocks For Show, Bonds For Dough.

It gets worse, because those that concentrate on “ooooh, earnings are going to grow X% a year” should be “the market will pay ZZZZ for stocks, in the context of expected returns of asset classes around the world, in this environment, and this specific stock can command a premium or discount to ZZZZ.” AND THEN, it can still vary around that. The fact that these steps are largely skipped should tell you what you need to know. It is not as if I am the only person on the planet that knows this, duh. These skipped steps do not reveal themselves when the much larger asset classes (bonds and foreign exchange) are stable.