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Investing Ideas

Trading Strategies

"Groupthink" Could Lead This Market Much Lower

In his more than 30 years of experience as a financial professional, our Chris Johnson’s never seen a market anticipate an interest rate cut the way this one has.

Now, the “group think” in question is that this market “deserves” a cut, not that it needs it. This can be a dangerous perspective to have.

In fact, one of Chris’ 10 Commandments states: “Never run with the crowd.”

Here’s what we can learn from Wall Street analysts and investors in this situation…

Global Markets

How to Bank Double-Digit Gains on Italy’s Big Problems

Last Friday, our Garrett Baldwin warned readers against the Deutsche Bank and German banks as a whole.

Well, as it turns out, there’s yet another European country that could go bust at virtually any second now.

That’s why Garrett wants to make sure everyone is in a safe position and even better, can make some profits on the inevitable explosion…

Trading Strategies

I Found Four Big Investing Ideas (and a Lot More) on a 900-Mile Motorcycle Run

You know, I've been motorcycling for as long as I can remember.

Not only is doing so a great way to see the world, but I don't think there's a better way to discover the world's best profit plays and biggest opportunities. That's why I'm keen to "get out of my garage" and hit the road every chance I get.

Last week, my bride – that's what I call Noriko, my wife of 24 years – and I took off along the coastal roads in Washington and Oregon.

Past trips have been south of the border… in Europe… Japan… even in mainland China. But the past week was all about getting into America's backroads and the small coastal towns that dot our landscape.

My goal was twofold…

First, I wanted to see if the cultural values that make our nation so great are still there, and rediscover how life outside the media-driven big cities works.

And second, my wife and I wanted to relax away from the crush of the big cities that increasingly dominate our lives.

We succeeded wildly on both counts!

Read more here...

Trading Strategies

The Absolute Beginner's Guide to Making Triple the Profits in a Downturn

Stocks lurched lower yesterday as nervous investors digested an errant Trump tweet that threatened to blow up U.S.-China trade talks.

Those folks are losing sight of the fact that we're in a different, more dangerous fever swamp altogether – the Fed's "great experiment," cheap-money fever swamp. It's a bizarre place where it's perfectly normal for markets to tank by double digits in one quarter and soar by double digits the next after an announced rate-hike "pause."

Yes, cheap money is a hell of a drug.

Case in point: More than 20% of today's stock "buyers" are actually companies drinking their own cheaply financed, poisoned Kool-Aid.

Expect the resulting $270-plus billion in stock buybacks expected this quarter to push this "most hated of all bull markets" higher… because there certainly isn't a business case for going higher.

As stocks rise, investors are bailing out of equities, where some $132 billion recently left global stock mutual funds for the dangerously deceptive green pastures of the bond market.

Those "green pastures" are now the home of around $1.3 billion worth of horrible "leveraged loans," packing appallingly weak loan documents and egregious terms. These loans threaten to see hordes of bond holders ripped off; they'll be lucky to recover maybe $0.40 for every $1 of bad account they've bought into.

The situation is so dicey that right now, as I write this, teams at Guggenheim and Blackstone's GSO Credit are furiously combing through these horrific bonds in an effort to create their own internal rating system; they're bracing for a tipping point in the equally absurd bond market.

But that's the new normal for you.

And today, I'm going to show you how to get ready for the next normal, when the Fed's cheap-money party ends and markets enter free fall.

If you're ready when this happens, you'll find just as much - if not more - profit opportunity around every corner...

Options

[CHART] Crude Oil's Dip Is Priming the Pump for This Triple-Digit Options Play

Crude oil has gotten a lot of headlines over the past few weeks, sparking big moves in the oil market.

WTI crude oil prices surged over 45% higher this year, before dipping 5% over the last month.

Fortunately, there is a way to directly profit from the dip in oil prices, and we don't mean storing a few dozen barrels of black gold in your garage...