Explaining Stock Market Volatility

Let’s take a moment to go over what I like to call “panic periods.” These are volatile periods in the stock market that can lead to gut-wrenching losses for typical buy-and-hold investors… but are like cash machines for those following my advice in The War Room.

Let’s get this clear right from the beginning…

Market volatility is here to stay.

Plain and simple, if you track the Dow’s biggest point losses over the last 40 years, you’ll see that seven of the 10 biggest moves came in 2020. You’ll also see that eight of the 10 biggest point gains came in 2020.

So what does this mean for you?

It’s time to embrace volatility.

Monument Traders Alliance believes volatility is here to stay. So instead of avoiding it, we embrace it – and we devise real-time strategies that show you how to profit from it.

You may be asking yourself…

Is trading volatility just like gambling?

Nothing could be further from the truth!

Let’s go through an example…

Say you bet on the Chicago Bears, and they’re favored by seven points. The line is “Bears -7.”

Now let’s pretend that at halftime, the Bears are ahead 14-0 over the Green Bay Packers. You’re winning the bet. At the end of the third quarter, you’re still winning with the Bears ahead 14-3. Can you take your money off the table? Nope!

Not until the game is over.

If the Bears switch to a prevent defense and let the Packers pad their stats with a touchdown, that makes the final score Bears 14, Green Bay 10 – then guess what? The Bears won the game – and you lost your bet.

It’s a 100% loss.

Action Plan: With trading, you can sell anytime! You can take your profits at halftime or after the third quarter. You don’t have to wait until the game ends to collect your profits. You can mitigate your risk. That’s why trading is far superior to gambling – and why the analogy doesn’t hold up. So don’t wait to collect your profits. Join me in The War Room now!

Popular posts