Brian Johnson from thestockmentor.com here with a video on logarithmic and arithmetic chart scaling. What are the differences between the two and do they really give us a different view in our charting?
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
Another Take On the Dow’s Long Term Trend (by Gary)
Hi, it's Gary with a quick post as a companion long term Dow chart to the one Tim posted earlier.
Bear in mind that a 62% Fib retrace of the crash is at around 11,238. Just an FYI.
Shorting the Storm
So what have I been doing on this beautiful autumn morning as the market explodes higher? Weeping quietly in a corner? Cowering in fear?
Bah! No! I've been buying the same ultrashort instruments that I sold late last week. I love 'em at these prices! Here are a couple of examples:
I could look back on this as my finest hour. My stops are in place. I'm in position. So there's really not else left to do except let the markets move as they will. Good luck to thee.
Times versus Times
I haven't seen a stronger contrast between the markets and the real world is quite a while. Thumbing through the Times this morning, even I was surprised at the mountain of dire news about forthcoming economic and business conditions. Yet the markets seem absolutely doe-eyed about the bright future ahead of us.
It all boils down to this: equity markets are going up because our currency is on a relentless path to debasement. Thus, precious metals fans are having the greatest time – – the best in about thirty years. Even mega-bulls like Gary Savage were, last week, suggesting that it might be time to take some PM profits and reload later at more favorable prices, but the runaway PM train just keeps chugging along.
The /ES has been in a 30-point range for about the past nine days, and we're at the upper end of it as of this moment:
Thanksgiving week tends to be pretty bullish (although seasonality has had very poor predictive power this year). Personally, I've been stopped out of about 14% of my positions this morning. My dog's summation of the day so far? "Ruff."
Book Review: An Empire of Wealth (by bilabng888)
Published in 2004, An Empire of Wealth by John Steele Gordon explores the economic history of the
River
2001. Mr. Gordon’s premise is to show
that
was formed primarily out of a profit-seeking motive and became the first nation
to achieve superpower status via economic pathways as opposed to military aggression.
An Empire of Wealth
provides a fascinating record of our nation’s multitudinous speculative booms
and busts, technological revolutions, Wall Street shenanigans, corporate
espionage, persistent legislative ineptitude, experiments with having and not
having a central bank, our rocky history with the gold standard, Yankee
Ingenuity, fluctuations between massive budget surpluses to deficits, and
countless other stories of industrial heroism and nefarious greed. Empire does an excellent job of
covering
epic development as an economic superpower.
While Empire is not a “how
to” book for a trader, it provides incredible insight into the history and
character of the American economy; the playing field on which we all competing. More importantly, Empire thoroughly explores
the development of the great entity of Wall Street. To know one’s history is to better understand
one’s future.
For example, Empire shows
that in the 1640’s, during the formative years of Nieuw Amsterdam (now
were spoken, the seal consisted a beaver (the main commodity being traded)
surrounded by wampum (Indian currency), and it took the settlers 17 years to
erect the first church. An international
collection of people focused first on trade and second on all other
pursuits. It appears not much has
changed in
since its original founding.
Mr. Gordon walks the reader
through countless booms and busts, and in by doing so, he shows us how
repetitive the American economic cycle is.
We currently are all trying to trade through “unprecedented times,” but
after reading Empire, one realizes our current environment is nothing
new. With this understanding of history,
a trader can achieve some level of serenity and be able to better predict where
we are going.
Empire provides a solid
compilation of the causes and effects of the Great Depression. To drive home the point that “everything old
is new again,” let two lesser known facts from the 1930’s be brought to
light. First, in the fall of 1932 the
yield on Treasury Bills went negative.
Secondly, in 1938, Richard Whitney and Company, led by the former
President of the New York Stock Exchange, was discovered to be engaging in a
massive embezzlement scheme to defraud all of its investors. 6,000 people gathered to watch Mr. Madoff
Whitney be led away in handcuffs and sent to Sing Sing. Sound familiar?
Read An Empire of Wealth. It humbles the reader by showing that we are
all just one of the hundreds of millions of people who have participated in the
American economy while instilling a terrific sense of pride that we have the
opportunity to compete in the most dynamic and colorful economic story the
world has ever seen.
