The first ever “craze” in America was the Telegraph. And next after that came, railroads that dominated the market.
In my favorite trading book of all time the trader was given an opportunity to prove himself … he was given one trade and he had to be right so he bought a railroad stock and of course it surged.
In the late 1990s and early 2000s it was internet stocks, well done Marc Cuban. That’s actually the one that I was fortunate enough to get involved with.
As per Fortune Magazine …
There are about 20 minutes to go before the stock market closes, and I’m standing next to 24-year-old Adam Mesh in the sprawling offices of Tradescape, a Manhattan day-trading firm.
“Hey, check out PLUG,” Mesh yells out. Overhead, on one of Tradescape’s ubiquitous TV monitors, CNBC’s Joe Kernen is talking up Plug Power, a fuel-cell company that Mesh and the other twenty something traders here have never heard of before today.
On his multicolored computer screen, Mesh is watching PLUG, already up $15 to $53, suddenly begin to surge again. He jumps in, buying 500 shares at $55.
About a minute later he gets out at $58. But PLUG is still soaring, so Mesh gets back in, this time at $60. I look around at the other traders squeezed shoulder to shoulder in Tradescape’s offices, and on every screen the ticker PLUG is flashing, its shares furiously moving higher.
“What the heck is this company?” I ask. “It’s PLUG,” Mesh says. Yeah, I know that much. But what does it do? “I don’t know,” Mesh responds, without looking up. “Power, I guess.”
I decide to let the issue drop, and with PLUG now about to close at $79, the question of what the company does seems pretty irrelevant. In a rapid bout of buying and selling, Mesh trades nearly 10,000 shares of PLUG in the few minutes I stand behind his desk, making $20,000 in the process…
I had zero experience trading except for reading this one book. Fast forward to present day, names are different but the game is the same.
It’s all about following the money and there’s one place where all of the money is going. It’s not a specific stock but it’s also not a giant mutual fund that offers extremely limited upside – especially when considering fees.
All of the money and I mean all of it is going into Exchange Traded Funds. ETFs allow you to focus on sectors instead of individual stocks.
Real Estate, Tech, China, you name it, they are all covered by ETFs. That is important.
You see, I was originally a day trader so I focused solely on tech stocks because that’s where the money was. (You saw a glimpse of the result above but that was just one day!)
I didn’t trade Options back in the day but then they added monthly options and then weekly options and then the volume really poured in so I started trading Options because that’s where the money was.
Now, there’s big money in ETFs so guess where I am? In the last 2 weeks, I closed some really nice trades in Healthcare, Gold and Real Estate.
The basic premise I learned here in the greatest trading book ever written has helped me optimize all of these amazing opportunities. Grab a copy today and I’ll also include the top 8 ETFs to watch in 2017.
Until next time,
P.S. If you grab this book today (and you should), I’ll also include the Top 8 ETFs to watch in 2017, Access No
Adam Mesh is CEO and Founder of The Adam Mesh Trading Group. For the past 18 years he has coached thousands of students to all levels of success in trading. He is also creator of the revolutionary Full Contact Trading.