So many “big name” traders and pundits keep talking about the next big crash. I don’t buy into the fear stuff. Today I share why you’ll never hear it from me.
Recently, a student asked what I thought would be the next sector to crash. He’d been reading posts from some big account on X saying everything is about to come crashing down.
If there’s one thing I’ve learned in over a decade of teaching and publishing financial content, it’s this:
If you want to have a big following in financial media, just talk fear all day long. Scare the crap out of people. Fear always gains more eyes than optimism. It’s the best way to get a million followers on X. Or anywhere else.
But my thing is, I’m actually trying to help you learn how to trade and make money.
The Big Picture
Fear in the media is nothing new. In the 1890s, William Randolph Hearst said, “If it bleeds, it leads.” And if you watch any three nights of Cramer’s show, you’ll see a clear ratio: it’s one-third about things going up, and two-thirds about things going down.
Now, when it comes to exposure, it hurts that I have a very optimistic attitude. Again, I don’t care. If there were only 10 readers, I would still do it, okay? If there were a million of you, I’d still do it.
I can’t control what the big traders and other financial media put out there. And you can’t control it, either.
But you can control how you react.
Optimists make better traders.
Do you think the most successful traders, like hedge fund billionaires, are always scared or worried about what’s going to crash next? Or are they looking for opportunities that exist right now?
If you’re always worried about the next crash, good luck. If you’re always living in fear and listening to the mainstream financial media, good luck succeeding.
What I do is teach people how to trade. To actually do it. And if you’re always worried about what’s going to crash next, you’ll never make any trades. You’ll always be scared and worried all the time.
Keep showing up. Learn the patterns. And be optimistic that there will always be opportunities. Markets swing, that’s how it works. Your job is to look for the opportunities, make a trade plan, and execute it to the best of your ability.
My Take
I don’t know what sector is going to crash next. And it doesn’t matter. I let the charts tell me. I don’t play guessing games. As traders, we don’t anticipate, we react. Want to know what never makes you any money? Worrying all the time and playing guessing games.
Watchlist
Akanda Corp (NASDAQ: AKAN) is a cannabis stock that has been on the Daily Income Trader watchlist most of the week.
The company did a 1:4.5 reverse stock split on April 13. On April 24 AKAN squeezed in the afternoon. Things got really crazy on Tuesday (April 28) when it squeezed from $11 to $29+.
Source StocksToTrade AKAN 10d-1m, short squeeze, Oracle support & resistance levels
After fading in after-hours on April 28, AKAN gapped up yesterday and then squeezed again. Considering all the banger short squeezes we’ve had in the past few weeks, keep AKAN on your watchlist.
Whatever you do, don’t chase. Make a plan, trade the plan. Remember, it’s okay to be wrong, just don’t stay wrong.
On My Radar
- Quick reminder since it keeps coming up: I addressed all the questions around PDT here
- Ex Twitter CEO says “agents will use the web a lot more than humans.” His company Parallel Web just raised another $100M to make it happen.
- One way to track oil and commodity prices without paying attention to the fear-driven headlines.
- Learn how to identify explosive trade setups here.
- Must watch interview with one of the greats, Paul Tudor Jones