Welcome to Alpha Dawg! My almost daily note about global self-directed investing and trading. You get all my trading ideas, analysis, and novel ways to manage risk in these volatile markets. I hope you enjoy the content. I aim for about 500 words or a 2 minute read. Alpha – noun abnormal investing returns, the […]
Category: Equities
Roblox is unique to the gaming industry
One of the first lessons taught in business is diversification. Spread your risk around so you don’t blow up on a single idea. The gaming industry is no exception. Game developer Take Two Interactive and big tech Microsoft are in acquisition mode in the gaming space. Indeed, there is massive interest in the future of […]
Crowdstrike is cybersecurity
Crowdstrike is cybersecurity and investors are beginning to take notice of the explosive growth potential of future earnings. The war in Ukraine and Russia’s close ties with internationally renowned hacker groups are a major wakeup call. For one thing, days before Russian tanks started rolling into Ukraine, a massive cyber attack hit Viasat (VSAT). Viasat […]
Markets a look ahead
Markets a look ahead this week appears to be much of the same. heightened volatility continued talk about ‘high’ inflation and how to fight it the FED looking a +50pbs rate hikes, maybe China’s PBOC propping up risky assets, wut? Last week we witnessed an epic collapse in Chinese stocks, maybe you noticed as well. […]
New trade: China Real Estate ETF (CHIR)
Investors have avoided investing in China since February 2021. Since that time, all Chinese equities declined massively. No sector was spared from the relentless selling. Below is a chart of FXI, an ETF representing China blue chip stocks, clearly illustrates the damage. To be sure, multiple reasons discouraged investment in China and the entire region. […]
Russian invades Ukraine, what should you do?
Russian invades Ukraine, what should you do? Well, for starters, don’t panic. No one ever made a dime making investment decisions charged with emotional nonsense. The chart below shows Russian stocks tanking 50% today. To be clear, Russian stocks have bounced massively off the lows this morning, but investors still lost 3 years of gains […]
Markets in search of direction
Markets in search of direction is usually a time when patience is warranted. To be sure, January 2022 was a tough month for risky assets. Risk premium was wiped from technology stocks at a breath taking pace. For one thing, from the rubble new leaders and new risks emerge. The challenge now is balancing the […]
Markets gone wild
Markets gone wild! That’s an understatement given today’s price action. Equities cratered at the open only to rally and wipe out losses! Last week I wrote a post about fear trades. Well, today checked off two of the three conditions. So, what does that mean going forward? Indeed, today many weak hands were flushed from […]
My definition of a fear trade
My definition of a fear trade is simple to understand. Much to my frustration, it took years to understand how to respond when markets go crazy. Especially when years of gains get wiped out in a matter of weeks or days even. If I had to sum up the response to fear, I’d fall back […]
Mean reversion trade ideas
Mean reversion trade ideas sometimes yield outsized returns. This type of trade has been around forever and still has a decent chance of success. Of course, this entirely depends on sound risk management practices. There is nothing worse than putting on a trade and losing money because you can’t admit you’re wrong. At the moment, […]
