What PennyStocking Has In Common With Napa Valley
Posted by Timothy Sykes on Tue 13th of Jan, 2009 08:35:38 AM
Tags:
On my New Year’s Eve flight to Paris , I saw a rather inspiring movie “Bottle Shock” (worst title ever?) about the emergence of Napa Valley on the worldwide wine scene and couldn’t help thinking about PennyStocking…
You see it’s hard for us to understand it now, but apparently back in 1976 the French—not very much unlike today you friggin French frogs, you have my impatience/attitude but no business sense whatsoever, more like Digg—were total snobs, mistakenly believing that they were the only ones who could produce fine wines….guess what happens?
It’s a true story about the emergence of Stag’s Leap and it’s called the Judgment of Paris.
Well, this got me thinking about how the vast majority of traders/investors/stock market commentators look down on Penny Stocks due to the lack of solid business fundamentals and blatant hype/manipulation.
This makes these people/finance freaks feel superior to any penny stock or trader who trades them.
It’s an amazingly dead on comparison and seeing how Napa Valley has evolved over the past 30 years gets me really pumped up about where PennyStocking is heading.
I gotta believe that within the next few decades, PennyStocking will have a far greater impact on this joke of an industry than Napa Valley’s effect on the wine world because at least back in the 1970s the best French wines were of the highest quality no the blatant shit the finance industry spouts out each and every day and markets as quality!
As evidenced by my near-yearlong domination of Covestor out of 15,000 “people” who are really nothing more than a pathetic-excuses-for-those-interested-in-finance, along with the sharing of my domination with dozens of my students coupled with the fact that 90% of traders lose, not one of the 10,000+ stock mutual funds are green this year–blah blah blah, you’ve heard me talk about it all before—means that those currently with the power are anything but the highest quality.
In short, no matter people’s assumptions and snobbery, quality/performance wins in the end.
This is a performance-based business and 2008 was a major turning point, not only because the markets and everyone from value investors, commodity crooks and ANALysts to leveraging-loving hedge funds, investment bankers and overpaid consultants got their asses handed to them but because a few strategies really proved their worth.
Namely, Trend Following & PennyStocking. Trend Following already enjoys worldwide popularity, but it’s not right for most investors, especially poor people, since the drawdowns can be outrageous….that leaves PennyStocking in the pole position, especially for poor people, of which there are many more now thanks to very assumptions and snobbery that is all too common among the former middle and upper class.
TIMstore Monthly DVD Specials:
See all TIM DVD specials HERE
Related Reading
TIM Trades
View All| Date | Stock | Buy | Sell | Net |
|---|---|---|---|---|
| Nov 19 | AENY | $2.80 | $3.02 | $1148 |
| Nov 18 | NLST | $4.16 | $4.40 | $947 |
| Nov 18 | IMGG | $1.42 | $1.64 | $2094 |
| Nov 17 | NLST | $5.04 | $5.59 | $2195 |
| Nov 13 | VRMLQ | $21.50 | $22.97 | $2901 |
| Nov 11 | EONC | $2.61 | $2.80 | $687 |
| Nov 10 | EONC | $2.74 | $3.36 | $9784 |
| Nov 6 | QXM | $4.31 | $4.80 | $1936 |
| Nov 4 | COT | $8.66 | $8.88 | $642 |
| Nov 4 | QXM | $4.61 | $4.89 | $822 |
| Oct 30 | DDRX | $25.70 | $26.53 | $812 |
| Oct 29 | CTDC | $4.00 | $4.42 | $781 |
| Oct 26 | AWSL | $3.24 | $4.10 | $2516 |
| Oct 23 | RODM | $5.27 | $5.23 | $301 |
| Oct 22 | AMLM | $2.69 | $2.97 | $820 |
| Oct 22 | USEG | $6.12 | $6.09 | $85 |
| Oct 20 | CBOU | $8.93 | $9.06 | $243 |
| Oct 16 | VRMLQ | $16.79 | $18.65 | $2773 |
| Oct 13 | YONG | $11.05 | $11.66 | $1202 |
| Oct 13 | NPHC | $0.59 | $0.71 | $583 |
| Oct 12 | IMGG | $0.60 | $0.70 | $682 |
| Oct 9 | ZAGG | $5.50 | $6.10 | $2380 |
| Oct 7 | GVBP | $0.03 | $0.27 | $702 |
| Oct 1 | NPHC | $0.70 | $0.85 | $1482 |
Total: $98,094 (681%)
