Call me the tumbling dice
9/7/23 Prospero.Ai Investing (56th) Midweek Edition
Doing special YouTube live tomorrow subscribers. See information on it below. It will be an AMA, if you send us a question we will send you the link paid subscriber or not. But you’ll need to show up and ask it live to make sure we answer it, questions to participants will be prioritized.
Good morning everyone! The title includes a bit of a joke on the randomness and sometimes chaotic nature of the market. For those that don’t know, hedge funds employ psychologists, philosophers, sociologists etc. to hide their intentions and WIN vs the retail and their more difficult and concerning opponents, other hedge funds. I’ve said it before and I’ll say it again, the real game on Wall St. isn’t making profits, many, many people can do that, it is accumulating capital to invest and sometimes taking down an opponent on a hot streak does more for that goal than optimizing your trades alone.
At Prospero we pride ourselves on decoding and amalgamating institutional trade signatures in the options markets, because there is so much more money to be lost quickly trying to “manipulate” vs. owning stocks that it is far less likely to happen. Above all institutions care much more about making money than screwing over retail, contrary to popular belief.
Lately, I hear and see a lot of complaints about the market not performing as expected. But bottom line, you should always look over your shoulder and expect the unexpected!
That is why, despite overwhelmingly Bullish indications from QQQ and SPY, we shared the story about the necessity of having an independent Macro view.
We’ve stayed evenly divided, with a combination of Bull and Bear picks, because in this highly Bullish market, things simply weren’t adding up.
The more we looked at the data, the more bearish we became.
It is because of this volatility that we are recommending you subscribe to our trading letter this week. Currently, we are running a 25% off special, and I highly recommend you take advantage of the discount. If that amount is too much for you to afford, email me and perhaps we can work something out.
Today will likely be another volatile day, with all the fed speeches. So although this is not something we typically do, can’t encourage you enough to stay on top of things during these crazy market conditions. We will post the letter link and for the first time ever the complimentary letter below. To show you the types of timely information you’ll receive.
Watch out for Bears! (9/6 send)
So this is not an official Bear warning but that might be coming soon. Nonetheless we are seeing some bad trends in QQQ Net Options Sentiment (41) and SPY (14).
Pretty simple here, opening up shorts in all of these red names. If the downward trend continues for SPY and QQQ Net Options Sentiment we will close out longs tomorrow as well.
We are currently beating the S&P 500 by 97% on our 2023 picks, with a 69% win- rate per pick against their S&P 500 benchmarks. This will be a rough week for many but not us who have stayed neutral and hedged in a defensive way with sector exposure.
Interesting look @ 36 current economic charts by @Maverick_Equity