For the last decade Investors have played the role of the low hanging fruit. Pull up enough 4 & 5 year charts like I have and you begin to see the long term effects of all the trade shennanigans. We only had 3300 companies traded on the Naz yesterday, that matches a decade long low, within a week or two that number will drop below 3300 companies.
Truth is, investors still hold 80 % or more of the gross inventory of the market, prices might not be great on a bunch of them, but at this juncture, and with the double negative of a destroyed dollar omnipresent, why wouldnt you want to buy and hold shares of growth stories despite the fact that many have grown in every way, accept in thier stock price?
The shorts have accumulated enormous positions, some naked some legitimate, its not a monolithic world, but shorts need sellers to capitulate to win thier bets. Spending inventory to further negate price becomes a game of chicken. For Investors who have grown tired of watching price be the artifact of a price manipulation program, you shouldnt be surprised when they look right back at ya; and say enough, thinking its your turn, to be the low hanging fruit.
All the doom and gloom about the buck, hell the buck is at the same place it was in 95, if it falls more I like holding the scarcity of the market as an alternative. Just remember that money in the market is fungible, all investors can freely choose to rotate on any given day to where they perceive the best values are.
I like the issues hovering near thier lows, and those who have been brutalized by the trade who often disconnects from the valuation metrics that are supposed to guide them.
I've read thousands of rationalizations about the market, most of these are gross exagerations applied by folks who flat out dont want to know the details of what they are shorting, most in fact think that its a free pass to proclaim everything is dirt, without knowing a single detail about thier proclamations.
I like the odds of holding great companies of all sizes. At least those of us here who hold these ideas have taken the time to think about what it is we are buying or selling. There is a whole group that has no clue, because they work in a world of marks on paper which have no credibility when it comes to understanding where or why we invest.
trading is a life style, a passion for some, but from what I've learned over the years, its also a world of trap doors, because of the simple reason that its a world based on wanton disregard of missing information. Bateson wrote in Steps to an Ecology of Mind something I will always take to heart, "the Map is not the territory, and its a mistake to think otherwise.". |
