Buy the Sizzle, Sell the Steak

In the long list of Wall Street truisms and Annoying Acronyms you’ll find “Buy the Sizzle, Sell the Steak.”

But what does it really mean and, more importantly, how do you make money from it?

Glad you asked.

Think of investing by comparing it to cooking on the grille or being in a fancy steakhouse.

Have you ever been in a steakhouse and – while waiting for your meal – heard the sound of a hot sizzling steak being brought to your table?

The sound can actually make you salivate.

The waiter says: “Be careful…the plate is very hot.”

This should be obvious yet some people want to touch the plate just to be sure.

Or think about prepping your grille when you’re going to show off your barbecue skills to your family and friends.

When the coals are “just right” and you drop that thick, juicy ribeye or NY Strip onto the grille, the sizzle – once again – sends the message to your senses of future delight.

In either situation, your anticipation of how the steak’s gonna taste is often better than actual taste.

So, how does that relate to buying stocks?

Buy the Sizzle…

Buy the Sizzle, Sell the Steak is akin to another old Wall Street adage:  Buy the rumor, Sell the Story.

In both cases your best move it to buy when others are not interested or haven’t heard the rumors or smelled the sizzle.

And when the news (the story) breaks is when you sell while others are just starting to buy (the steak).

Whether you like it or not Wall Street does NOT care about your feelings or what you “think” might happen to any stock.

But they do want you to think ‘Inside’ their box while they do something different.

Because the 1% needs the 99% to be wrong so they can make fortunes at your expense.

Let me share with you another Wall Street Truism: “The markets ALWAYS move in anticipation of events.”

Unfortunately, most investors get this part wrong and wait for an event to happen before acting.

Therefore, the steak ends up not tasting as good as it smelled or sounded when it was cooking.

And that’s because the 1% “sold the steak” after getting the most out of the “sizzle.”

Understanding and applying Wall Street’s slang/truisms/annoying acronyms is a great way to beef up (pun intended) your winning percentages.

We have tons of them on our website (HERE).

Learn how to make the sizzle work for you especially in Turbulent Times by going (HERE).

Share this with a friend…even if they don’t like steak.  They’ll thank YOU later.

And tell them:

We’re Not Just About Finance

But we use finance to give you hope.

“And you shall know the truth, and the truth shall make you free.”

~John 8:32~