Charles Payne

Another day, another record for the Dow Jones Industrial Average, yet you feel like it is the end of the world. Of course, part of that is the never-ending whining and fear mongering in the media. There is nothing worse than seeing an old billionaire with a chip on his shoulder predicating the crash… again, yet still admitting that he is long on certain stocks. Millions of individuals have missed the rally because of this nonsense, and many have put their money to work in a haphazard manner. The mistakes some of my subscribers are making are quite frustrating.

  • Buying one or two stocks at a time to “see how it goes”
  • Selling too soon, often for a loss - I had ITMN for a gargantuan gain, but some subs sold before the news… simply because this high-Beta stock dipped
  • Selling too late, mostly out of a reluctance to take losses, even though it’s an unavoidable part of the process

Many of these investors and more share their genesis of fear from past crashes and experiences compounded by the pounding and pounding of negativity from the media.

If it’s So Easy

You have the experts, the curmudgeons, and booksellers whining about how easy the market has been, suggesting that the public keep piling money into the US stock market; and because of the Fed, it has become so easy. However, the facts say otherwise. The month of August saw American investors continue to dump mutual funds who invested in American companies, in favor of those who invested outside the United States. American investors are wildly bullish on the easy US domestic stock investment trade and sold $17.8 billion in US mutual funds and bought $73.6 billion in international. So, why aren’t they riding the coattails of the Fed?


Charles Payne

Charles V. Payne is a regular contributor to the Fox Business and Fox News Networks. He is also the Chief Executive Officer and Principle Analyst of Wall Street Strategies, Inc. (WSSI), founded in 1991 which provides subscription analytical services to both individual and institutional investors.