The Power of Stupid People

Commentary: NEVER UNDERESTIMATE THE POWER OF STUPID PEOPLE IN LARGE GROUPS. This is one of the most important things I will ever teach you. The History Place - Rise of Hitler: Hitler Runs for President http://www.historyplace.com/worldwar2/riseofhitler/runs.htm This is an interesting article to show you WHY some run for President and why there are certain times in history that someone is elected that it's done on country psychological need, despite the absurdity of the person From MP, again. MP is a trader that fought every part of our system, broke every rule and drove me nuts for several years. He persisted in not following the rules, using his religion in stock trading and has now hit his groove. All of his trading methodology is based on Floydian logic. I'm really proud of him. "Hey brother.. For starters...I want to thank you again for your support and encouragement...our relationship is not only making me a successful trader...but a better husband and Father. I'm learning so much from you and it's all beginning to click.. Last night I sold the Euro Dollar at 1.3790 and bought it back at 1.3740 for a quick 50 pips..and then I began my day by buying the euro dollar at 1.3805 and selling at 1.3890 for a solid 85 pips of profit... You know..Jared Martinez from Market Traders Institute insists that if a person can net average 100 pips of profit per week or 400-500 per month...then he or she can become a millionaire... Since July...I've been averaging 100 pips of profit per week..EASILY.... Now listen....I'm no where close to being a millionaire...but I'm learning the skills to getting there! And much of what you taught me I have applied to the Forex market... _________________________________________ Anyway...I had some errands to run today so I didn't have much time to trade after 10:00-10:30am... But when I saw the DOW hitting 11,760 and the OEX hitting 559 at about 10:15 eastern time...I couldn't resist and bought my Dad the 560 NOV put for 17.40..... I knew this was a key resistance level and I figured she would stall and retrace to at least the 38% fibo level for the day.. If the low of the day for the OEX was 549.83 and the high was 559.14...the 38% fibonocci retracement was roughly 555.60... So I bought the put at 17.40 and used my theoretical pricer on my trading platform to see what my option would be worth if the OEX hit the 38 level at 555.60...I was given a range of about 19.40-19.70 at that level... So I put a sell order in for 19.50 and went out to run errands with my daughters.. Came back 2 hours later and she was easily filled as price because she actually retraced to the 61.8% level...I could have made another 1.00 per contract but seriously? How do you know? I wasn't even home to watch it...So for me the safest play was the 38% retracement level..especially since I couldn't monitor the computer... So once again...thanks to you...I made my Dad 12% on his money in 2 hours...and I was out doing other things! Total winnings on the year are now up to $19,000... I feel as though I've learned a great gift..your patience with me is finally paying off!! Thank you my friend. Enjoy the weekend." Here''s the trigger points for this coming week: http://www.bloomberg.com/markets/economic-calendar/ Here's what the chartists tell us. -- SPY AND DIA MAKE BREAKOUT BIDS -- CONSUMER DISCRETIONARY SECTOR LEADS HIGHER -- STEEL ETF AND AIRLINE ETF FORM FLAG CONSOLIDATIONS -- HOMEBUILDING ETFS GO FROM LAGGARDS TO LEADERS All free governments are managed by the wisdom and folly of people and are far from truly free. We live in a plutocracy, not a democracy. James A. Garfield, 20th President of the U.S. What has stood out most in our successes as a stock and option trading service we'll be repeating again this week, as many of you lost money on sale of "basket stocks" we owned but paralyzed in buying blue chip stocks up and taking back the profits. Study our Dow projections as we've exacted the science of how to trade off the Dow and S/R lines. -- there is a zen to art of trading. Be it.