Did I Call the Top on Darden Restaurants?
You'll hear analysts and traders say all the time 'don't try to pick the top' and I am one of them. The market can stay exuberant and irrational much longer than we can stay solvent.
Unfortunately, attention seeking, grease balls like me will still try. It's this 'new trend' that's happening on social media. People want to be first at anything. They don't specifically care if they are correct or not. People on social media want attention and fame. Yes, I did post this to Facebook on my personal page, so ALL my friends could see it.
The part that's semi ironic is, if I post a picture of me in some foreign city, my feed will blow up, over 200 likes; it makes me feel all swell inside - but I post a picture of this, which is way more important and I get 21 likes.
It's just reality. And that's okay. A few months back I was on YouTube and I saw 'The Top 10 NFL Plays from Last Week' - 2.5 million views.
Right under that video was Warren Buffet and Bill Gates' Top 10 Rules for success, 149,000 views.
People want to be entertained. They want easy, they want free, they want fast and they want cheap. It's all about the want, the crave, the attention.
And I'm guilty. I love attention. I realized this was something I needed and I accepted it. When I turned it into a positive, rather than a negative, the world opened up for me.
I'm ranting aren't I? Regardless, the overall point I'm trying to make is this:
Don't try picking the top of the market. I did not personally benefit financially from the above information. I did follow my own rule. I did not buy put options on this posting. (I should have, but I followed my rules). Often times, when a trader analyzes a chart it's not about the trade you should take, it's about the trade you shouldn't take. Trading is easy. It's super simple to get into a trade. The hard part is not trading and waiting for the right set up. There, is your challenge.
In the above instance, for me it was about:
a) not buying shares
b) simply letting any of my friends know who did have shares, to consider selling.
Buy low, sell high right? And DRI was certainly NOT low.
This documentation is mostly to say 'Ah, I got ya market.' The one time out of 1,000 I've tried, I called the exact top. At my posting of this, DRI only went .11 cents higher and as of today, looks a lot like this.
It's pulled back over 10% since my posting. And again, I am not looking for credit or glory. I no longer care about that. My intention is to educate and enrich lives. This 'stock market stuff' is actually pretty simple, it's just difficult. It mostly involves being very patient, being able to create rules and follow them.
I hope you enjoyed this random mental painting of my thoughts. I'll be back with you again soon, with more riveting intel. Until then, remember, Love Life, Live Life and Trade it!
~ Jerremy Alexander Newsome
Guy who picked the top, once.
Ps. I came in to update this article today, Sep 26th, 2017. Just snagged 2R on this day trade.
Links to chart are right here: