Listening to Market Forecast is no better than listening to Astrological babas
— Jesse Colombo (@TheBubbleBubble) August 2, 2016
What has S&P500 done since the above forecast - the market has only gone higher
There is financial media that makes you believe that there are experts and geniuses who know what's going to happen in the markets. They are introduced as: "person who predicted 2008 crisis" or "person who predicted that bottom". This is the biggest lie - "that there are people who know the future" told to common junta and newcomers in the market fall for this.
How much Nifty has crashed post demonetization. What's funny - the man who made the above forecast still comes on TV as market expert. Yeah...he knows the future.
People who succeed in the market don't succeed because they know the future. They succeed because they do the right things and have the discipline to stick with their methods. There is a saying: If you know how to drive the car and you drive by following all the rules, doing the right things...then there is high probability you will go very far and places where you want to go.
Lesson: Nobody knows the future. Nobody means Nobody.
The sooner you realize, better you will become in focusing on right things. It takes a long time for many people to figure out that no one really understands what the market will do. There are lots of people who talk crazy stuff like stochastic, Elliot wave, RSI, Convergence Divergence and all sorts of nonsense. Nothing of that sort makes the market move.
The first step in Understanding the market: Knowing that no one knows the future. It's such a great lesson to embrace and it puts you on the right path.
I know many of you will say - If one cannot predict, how can one trade. Well, by doing the right things. You drive a car...do you know everything what lies ahead on the road. What do you rely on - your driving skill...right 🙂
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers