Financials Matter

"It's Not Just About Finance"

Panic Cycles, Spoofing and What to Expect

If you’ve been paying attention to the wild swings in the market lately, you’ll notice we are experiencing Panic Cycles.

 

At the same time, you’ll also notice several consistencies:

 

  • Volatility is increasing.
  • And volatility increases with Wall Street’s distraction de jour…or lack thereof.
  • Because volatility is what the “Club” uses against you.

 

 

First, let me dispel the idea that things like tariffs, the trade talks with China, Nvidia’s earnings, or Russia/Ukraine, Israel/Iran is the root cause of wild market swings.

However, the Boyz in the “Club” want you to believe it.

Why?

 

Because it allows them to make a fortune by cranking up their high-powered algorithmic (algos) trading machines.

 

They use them to zig while getting you zag…and they make a fortune from it.

 

Profiting from Panic Cycles

 

It is impossible for an average investor to keep pace with a computer that acts and responds in nanoseconds (think blinking your eye only faster).

More importantly, the algos are emotionless yet they’re designed to spoof * you.

 

(Note * Spoofing is putting out a fake buy or sell order to sucker you into making a mistake…see “Wall Street’s Secret Language Hidden in Acronyms” HERE).

 

They simply execute a buy and/or a sell, and are not greedy.

 

Think about this.  If you can buy 1 Million shares of a stock, make $.03 cents in a flash, that is a cool $30,000 in a fraction of a second.

And they can do it a dozen times – or more – within one second.

So, is it any surprise when you see volatile markets swinging wildly up and down, that the boyz are making a killing?

 

And they make more money in a declining market than a rising market.

 

Why?

 

Joe Average panics, as usual.

 

So, you should expect more panic cycles to increase in September/October and continue as we start the wind down of 2025.

 

Word to the wise…September can be very tricky

 

But, instead of losing money in panic cycles, learn how to turn them into profit cycles in our September “Simplifying Wall Street…In Plain English” newsletter.

Get it now (HERE).

 

And share this with a friend…especially if they don’t know what “spoofing” means.

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~

 

 

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