The Position of Strength

Last week, we got many questions regarding Ray Dalio’s CNBC interview and LinkedIn essay.

I won’t go into the details of the essay… all we need to know is that it predicts a market crash, debt crisis, and economic meltdown (of course).

The question people are asking is... Should we listen to Dalio's predictions?

Here’s the hard truth: making investing decisions based off solely on opinion (whether it is our own opinion, or that of a loud-mouthed expert on TV...) is probably the easiest way to lose money in the market.

Hedge fund managers have a dismal track record of underperforming the S&P 500, mainly because opinion and ego are lethal to our success in the market.

So how can we make money consistently in the market? And should we trust anyone’s market predictions?

Before I answer those questions, let’s take a closer look at Ray Dalio himself.

Ray Dalio is one of...

For the past several weeks, we have been trading the Semiconductor Sector (SOXX). During that time, it has steadily built a Bullish Ascending Triangle structure.

This Price Structure has handed the Strategic Trading Community three easy long and short trades in October alone, as it bounced between Support and Resistance.

And for the past two weeks, SOXX had been telling us that it was ready to break out.

This potential breakout looked promising… and more so because we were flush with profits (and confidence) after three big successful SOXX swing trades in recent weeks.

So we watched the SOXX chart and waited for our signal.

Well, we didn’t have to wait long.

On October 25^th, we finally got our breakout, as SOXX bulldozed through our breakout level at 220.80, closing the week at 223.70.

Because we had anticipated this breakout, we were well-prepared for it… but at the last moment, I decided that “SOXX had moved too...

For the past two weeks, we've noticed some dramatic changes in the market’s health, which I wrote about in our member reports.

The broadest measures of the stock market – especially in markets outside the U.S. – have been sending us clear bullish signals…

…and for the past two weeks, we’ve used those signals to make easy profits here at Strategic Trading.

Let’s look at exactly how market conditions have changed… and what that means for all of us going forward.

 On October 9^th, the Market Conditions Index Algorithm flashed a buy signal.

The Market Conditions Index Algorithm (MCI) is the key secret to our success at the Strategic Trading Community.

The MCI measures changes in the market’s Liquidity (health) and Money Flows (the direction in which big institutional orders are going).

I created the MCI Algorithm to tell me what’s really going on in the market... And over...