No one can ever blame RagingBull for being late to the party.
No, I am not talking about the fact that our gurus’ premium scanners are customized to see big moves setting up before they happen.
I’m talking about the fact that we develop ACTIONABLE content to take advantage of the big market narratives.
A case in point is the drama between CNBC’s Jim Cramer and the Financial Times that we first touched on back in mid July.
And by the way, these two media forces were back at it again this week:
Folks, the Financial Times is no slouch.
In fact, as far as business newspapers go, Wikipedia has them ranked 2nd globally in terms of circulation.
But rather than focus on the fact that the Times has also been calling Cramer out for his horrible and, some may say, irresponsible recommendations (we’ve been doing that for years)…
the FOCUS here is inflation and how it is affecting market rotation.
You think this business is all about using your free trading platform tools to find what’s moving then blindly jumping in on that action?
Ohhhh, No.
You’ve got to know how markets work.
And right now, interest rates are starting to tick up again, as this chart of the 10-year yield shows:
How do interest rates affect popular stocks?
Let’s face it, retail traders LOVE to trade large growth stocks like those that influence the movement of NASDAQ -100 ETF (QQQ).
Think names like AAPL, NVDA, and GOOGL (for example).
But when interest rates are rising, that can really eat into the future discounted cash flows of these companies. As a result, they can start to underperform again.
Unfortunately, a lot of retail investors learned this the hard way during this year’s early interest rate surge –
But these stocks aren’t the only rate-sensitive stocks out there.
For instance, Financials are VERY sensitive to rates because banks make more money by taking advantage of the difference between the interest banks pay to customers and the interest the bank can earn by investing.
And don’t forget about Utilities.
Utilities have to borrow so much money to operate, because they are so capital-intensive.
Therefore, when rates rise, their margins shrink.
If you want to be successful in this business, these are just a few of the KEY intermarket relationships you need to understand.
Not only that, but you need to know how to balance the macro signals with the finer technical signals to know when the next actionable trade in-and-out of these stocks is going to occur.
I am not going to lie…armed with all of this knowledge I just bestowed upon you, you would be a DANGEROUS trader (in a good way) if you could use this knowledge to weed through the actionable signals that my custom, premium scanners generate!
Heck, I go as far to say that you’d be the “Terminator.”
We have A LOT of fun in my LIVE trading rooms.
And for a limited time, I am offering this ridiculous deal for you to be able to come see what I’ve selected from my scanners as my next trades.
But you’ve got to be there before Monday’s open!