ikea bathroom remodel lakewood log cabin sunroom additions amazing home additions niles addition before and after northfield split level addition before and after .. Chicago Drug testing

Dispelling Illusions of the Stock Market

How can you dispel an illusion unless you look directly at it? The magician distracts the eye with one hand while he does his manipulation with the other. You are looking in the wrong place and not seeing what is actually happening.

Wall Street has mastered this move even beyond the wildest dreams of Houdini. Investors have become so mesmerized by the smoke and mirrors that they believe the large brokerage houses are telling them the truth.

One of their master distractions has you believing that research is necessary to be able to pick a winning stock or mutual fund. All research is facts and figures which is nothing more than disinformation. Think. That long report by some analyst came from sources available to anyone and everyone, therefore, it is worthless. If everyone knows it then all that information is already reflected in the current price of the stock.

Just because you have information and it seems so good that doesn't mean the equity price is going to go up. Those beautiful pink, green and yellow tout sheets sent to you by some broker have you looking in the wrong place just as the magician does while he is picking your pocket. Sound familiar?

The annual report is a beautiful document. Slick paper and in full color, but those footnotes are hard to read. You know the old saying: "they give it to you in the big type and take it away in the small type". More of the magician's tricks. Did it occur to you that much of the content of the annual report is a year old? Is that going to tell you if the stock is going to go up tomorrow or next week?

Another distraction by the master magician is the prospectus. I have written these so I know how they can be manipulated. The most important thing to remember is they were not written for the investor. They are written so some Dilbert lawyer in his cubicle at the SEC in Washington will see that it meets all the regulations. There is practically no difference in the content of a winner and a loser.

So much of what comes out of Wall Street is sleight of hand and smoke and mirrors. You must stop and ask yourself, "Is knowing this going to make me any money?" In all likelihood it won't. Almost every analyst recommendation put out by brokerage companies is already ancient history and of no value. The Securities and Exchange Commission (SEC) in Washington is now investigating allegations that analysts have become salesmen for their brokerage companies and are told not to issue negative reports on any company no matter how poorly they perform.

Become aware of the magician's tricks and watch out for that other hand he has in your pocket.

Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.

Copyright 2005

al@mutualfundstrategy.com; 1-888-345-7870

In The News:

The Problem With Hedge Funds

Are hedge funds a suitable investment for you? Hedge funds... Read More

Mid-Cap Stocks: Asset Class with an Identity Crisis

Much like the middle child, mid-cap stocks have long struggled... Read More

What Can Model Airplanes Teach You About Trading?

I was devastated!I just couldn't believe it. I was 10... Read More

The Importance of Using Stop Loss Orders When Spread Trading the Financial Markets

A Guide to Using Stop Loss Orders Stop losses are... Read More

8 Penny Stocks to Avoid

There are many good penny stock investments available, which could... Read More

A Common Misconception about Stock Prices

I cringe every time I hear a novice investor tell... Read More

Smart Day Trading Strategies to Help You Make Money in the Stock Market

Stock trading can be a very profitable activity. You can... Read More

Play another Day

Money management starts with protecting your capital, realizing profits and... Read More

Overvalued & Underbought

With all the bad news that has been dumped upon... Read More

Duck

Duck! No I don't mean a quack, quack. I meant... Read More

Its A Duck

If it walks like a duck, quacks like a duck... Read More

Whos Calling?

Its dinnertime and the phone rings. It's Joe Noname with... Read More

Buy Low - Sell High

Now where have I heard that before? I know. It... Read More

China Syndrome

There has been great condemnation recently because China has been... Read More

Wall Street Paradigm

In 1960 an engineer working for a watch company in... Read More

Pamplona, the Wild Investment Bulls

You remember (they show it on TV every year) the... Read More

Investment Capital Gains

Have you bought any mutual funds this year or late... Read More

Never Lose Money

Never lose money in the stock market again. Yeah, I... Read More

Trend Trading - Trading Stocks Using Technical Analysis and Swing Trading Strategies

Peter is a professional trader, Paul is not. Peter has... Read More

401K-itis

Are you one of those many people who dread reading... Read More

Attitude Is [Almost] Everything

I often play a little game with myself when I... Read More

Race Horses and Mutual Funds

For years investors have been taught to look into the... Read More

Inverted Interest Rates

Inverted interest rates? What's that? Who cares? Even if you... Read More

Pathways

During our travel down life's path we come to many... Read More

KISS Formula

There are formulas for just about everything, but it has... Read More

led street lighting fixtures flood lighting fixtures Pete's produce ..
led street lighting fixtures flood lighting fixtures Pete's produce ..