Browsing author

John Thomas

The Phony War

Armchair historians will recall the beginning of WWII in 1939, where Germany, Britain, and France had declared war against each other, but no shots were fired for eight months. It was called the Phony War. It ended when Germany invaded Belgium, and then France. We have a Phony War of our own in the markets [&hellip

Going Where the Money Is

Things have changed. That is about the only conclusion one can reach after the three most violent weeks in stock market history. The historic average length of time for a 10% correction is 64 days, or more than two months. This time we did it in nine. However, we all learned important things from the [&hellip

The New Case for Europe

It is time to revisit this once troubled continent. The reality is that the European economy is now growing substantially faster than the US, with a better stock market performance to match. Not only that, the Euro has been rising, thanks to America’s exploding budget deficits. Rising markets and rising currencies create an upward hockey [&hellip

What is Going on At Tesla?

I was somewhat taken aback when I picked up my new Tesla Model S-1 a few weeks ago. Right now, with only 20 miles on the odometer, the car is stupid, said the salesman. But it has an artificial intelligence program that will start learning as soon as you drive it off the lot. He [&hellip

The Unicorns are Out of the Corral

It was perhaps the worst timed IPO (initial public offering) of the decade. Cardlytics (CDLX) went public at the Friday open, one of the worst days in the history of Wall Street. The shares were priced at $13, and closed later in the day at a strong $13.33. The Dow Average then collapsed some 1,100 [&hellip

So That’s a Correction!

I like Thanksgiving. I like the turkey, the gravy, the cranberry sauce, and especially the pumpkin and mince pies loaded with whipped cream. I like Thanksgiving so much that I got to repeat it last week. For that is how far back I have to go, some four months, to find the stock prices that [&hellip

Short Selling School 101

With the stock market falling for the next few weeks, or even months, it’s time to rehash how to profit from falling markets one more time. There is nothing worse than closing the barn door after the horses have bolted. No doubt, you will receive a wealth of short selling and hedging ideas from your [&hellip

A Note on Options Called Away

With the February options expiration only six trading days away, we have the good fortune to have profitable deep in-the-money options positions. Those include: The iShares Barclays 20+ Year Treasury Bond Fund (TLT) February, 2018 $114-$117 in-the-money vertical BULL CALL Spread The Apple (AAPL) February, 2018 $150-$155 in-the-money vertical BULL CALL spread The probability is [&hellip