Sunday, February 12, 2017

Tea Leaves

This post was written by a good friend and philosopher, Daniel Reader when I was still at the MarketMood.net site.

Those of us that frequent these pages understand that the news doesn’t drive market prices – or anything else, for that matter.  The news is driven by…something else.  The same may be said for market fluctuations.  The market is not the driver of anything – instead, market movement is the result of something else.  What that Something Else actually is turns out to be the subject of much philosophical debate.  Beyond identifying it, finding that thing, or force, is just as esoterically challenging, and has most frankly been the purview of religion over the centuries.  But what if that thing, that Force, actually left tracks in the sand, or resonated with some audible, measurable pulse?  And even more magically, what if those tracks pointed to a future condition merely days away?  Now, that would be useful information!  We have but to find the signal, and figure out how to interpret it, and a window into next week opens before us.  This is precisely what Market Mood purports to do.

While making no claim at all about the Force behind the phenomenon, Market Mood has identified a signal, or indicator, that seems to be just such a pulse.  Dr. Cari Bourette tracks the interests of the United States by watching the things that Americans are watching.  She charts the Google search trends of hundreds of millions of people on a daily basis, getting numbers for just what is juicing people today -- and a fascinating pattern emerges.  The arcane charts of squiggly lines she delivers seem opaque at best, but what emerges is a complex dance of emotional drivers – moods – that seem to match real-world events days, and even weeks or months in advance, with extraordinary accuracy.  Think about that.  What Dr. Cari is doing is taking the pulse of the world, and using that to tell us what will happen in the future.  This is nothing short of miraculous.

The philosophical implications of this are simply staggering, and will be explored at greater length in future articles.  But what is important for us to understand now, is that we have available through MarketMood.net a reliable market indicator that does not use market performance as its basis.  In this sense, it is unique, and revolutionary.  Dr. Cari provides us with actionable market information that is in no way derived from market conditions, or performance, of any kind.  No other system or method, black box or otherwise can make this claim.  Among all of the implications of this claim is the certainty that no past assumptions, rules, patterns, or any other investment governance plays any role whatsoever in the delivery or interpretation of the market guidance.  Indeed, Dr. Cari’s goal is not to provide investment advice at all – simply to tell you which way the market is likely to move, and let you determine your own trading strategy accordingly.  This is refreshingly straightforward, and should pique the interest of novices and seasoned investors alike.  Remarkable!

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