Wall St. Greed Has Destroyed The Markets
When I first started playing the stock market 26 years ago, I thought of Wall St. as a place where you could invest your money for the long term and make money trading securities if you were good. That was somewhat true then but now it has turned into nothing more then a money game and legalized casino; a casino where the odds are stacked against you. Could we even call it a rigged deck and a scam? I think we almost could. How sad is that? The reality is you probably have better odds at a REAL CASINO then you do on Wall St. unless you learn how to beat them at their own game.
Unfortunately, these are the times in which we live in. Wall St. is no longer for you or I, it is only for the big institutions and their institutional clients. Do not let them tell you any differently. If they do, it’s nothing but a fat lie!
If we look at some facts over the last decade, you will see why Wall St. has destroyed the markets and ALL the trust of the public.
Boom To Bust
Back in 1999-2000, you had the tech and internet bubble. To gain some perspective, you must look at monthly charts going back to the mid 1990’s on stocks such as Texas Instruments (TXN), Intel (INTC) and Teradyne (TER). This will show you how these stocks and the whole sector went from boom to bust. Who made out like bandits? Wall St! Who was destroyed and left holding the bag? The public!
In 2005, you had the blow off spike in the housing stocks. To gain some perspective, go back to the late 1990’s and look at these stocks on monthly charts: Beazer Homes (BZH), Hovnanian Enterprises (HOV) and Ryland Homes (RYL). These stocks all went boom to bust as did the whole housing sector. Who made out like bandits? Wall St! Who was destroyed and left holding the bag? The public!
In 2008, you had the same thing happen in the Ag-Chemical stocks. Sighting a few examples again, we look at Potash (POT), Agrium (AGU), and Monsanto (MON). To put these into perspective as well, one must look at the monthly charts going back to the early 2000’s. Again, who made out like bandits? Wall St! Once again, who was destroyed and left holding the bag? The public!
Let me not forget to mention the debacle in the oil market in 2008. In July, 2008, we had oil trading at $140 a barrel and all we heard was how oil was going to $200-$300 a barrel because of all of the demand from China, Brazil, Russia and India. Who was at the forefront of the hype? Per usual, it was the big Wall St. institutions hyping their books and baiting the public to get in on the next BULL market. Or was it just BS? Of course! Once again, Wall St. made out like bandits while the public was destroyed.
Also, in 2008 and 2009 Wall St. hyped the public on ETF’s as investment and trading vehicles on major sectors. Most ETF’s were a losing proposition and in the end, a rigged game where the public could not win and was destroyed once again. Notable rigged ETF’s are the UNG, FAZ, FAS and SKF to name a few. It’s incredible that Wall St. sells these products to the public knowing they are rigged and cannot win. Wow, how sick is that? Real sick. Why regulators approve these products are beyond my belief.
If this sounds like a never ending theme of Wall St. hyping the public and then destroying their wealth, it is. Wall St. has played on the public’s thirst to become wealthy over the years and continues to do so as they are now in desperation mode to re-capture some of their lost wealth.
The Wall St. hype machine will never stop, the latest is now gold. Everywhere you turn, you hear about gold being the only safe place to put your money. The talk is, it will benefit regardless of what the economy or US Dollar does.
When I begin hearing this, I start to go hmm, another trap for the public? Don’t get me wrong, I think the gold trade can work for a period of time and it has been working for quite awhile. Although, when it comes to an end, it won’t be pretty. Everyone will be heading for the exits the size of a keyhole. In the end, we know who makes out and we know who gets destroyed.
High Frequency For All Of Us?
No, high-frequency trading is only for the big boys.
For those of you that have not heard of high-frequency trading, the text book definition is, the execution of computerized trading strategies characterized by extremely short position-holding periods. In high-frequency trading, programs running on high-speed computers analyze market data, using algorithms to utilize trading opportunities that may open up for only a fraction of a second to several hours.
Per the 60 Minutes story back on October 10, 2010, many of these trades are done for pennies and are based off data none of us can see, except the computers. Meaning, the only people who benefit is Wall St. and of course the public and day traders are destroyed. Contrary to what some might say and argue, the reality is, these high frequency traders (computers) and black box traders (computers) are simply there to beat the day traders and destroy their wealth.
I know this, because I see how controlled stocks are while day trading and I see stops hunted for no reasons other than to try and beat the day trader.
I Dominate Wall St., So Can You!
But that’s ok, because I know their game and know how to beat them at it. It’s all about treating day trading, swing trading and investing like it’s a business. That indeed, is the only way to succeed over the long term.
Dominating Wall St. and beating them consistently does not mean you had to go to the Wharton School of Business or be a high frequency trader or black box trader. It means learning the game and having a methodology by which you play every day, week, month and year.
Once you do that, you can dominate and destroy Wall St. as I do.
Here at PSTL we care about helping and teaching our members how to make money consistently and beating Wall St. at their own game.
Conclusion:
Remember one thing, regardless of what Wall St. tells you and tries to sell you, they are simply there to sell your securities so they get there bonuses and in the process, destroy your wealth.
I wish it were different but how can one argue the facts. Not too mention, I personally have spoken with past Goldman Sachs employees and they concur with my thoughts.
All I can say is, if you are going to play in this legalized casino that we call Wall St., you better be sure you are investing your money with someone who knows the ins and outs and really has your interest at heart. If your interest lies in day trading and swing trading, then make sure you learn from and partner up with someone who has experience, market savvy and knows how to beat Wall St.
Since December of 2008 we have been teaching our members in our nightly video updates and daily live webcasts to be vigilant in this continued complex market environment. We teach our members how to protect their portfolios and actually capitalize and make money in both rising and declining markets. Take advantage of our 1 week “FREE” trial and learn how we make money on our day trades, swing trades and investments, on a consistent basis.
