Wednesday, August 28, 2024

Predictions From the Grave

Using the past to predict the future... Don't miss Greg Diamond's new presentation... 'God is in the prices'... Pulling back the curtain... Volatility picks up... An inflection point to trade...
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Using the past to predict the future... Don't miss Greg Diamond's new presentation... 'God is in the prices'... Pulling back the curtain... Volatility picks up... An inflection point to trade...


No, it's not voodoo...

That was one of the first things I (Corey McLaughlin) thought after watching my friend and colleague Greg Diamond's new free presentation last night.

Regular readers don't need an introduction to Greg, editor of our Ten Stock Trader advisory.

Greg was a Wall Street trader before joining Stansberry Research. And he has made plenty of impressive calls over the years...

For example, in early 2020, he warned about an important upcoming inflection point in the market, months before the pandemic panic. He also nailed the top and bottom of the bear market of 2022.

In his new presentation, Greg explains how he has been able to make these calls... and his game plan for the rest of 2024, which he expects to be "volatile" for stocks.

Without giving away too much, Greg says he uses cycles that consistently repeat throughout history. In particular, he follows a strategy first created about 100 years ago by a trader named W.D. Gann.

Gann used observations about market history and cycles to make money while he was living. And all these years later, his findings have continued to predict important turning points in the market – and life in general. You could say they're predictions from the grave.

This might sound like voodoo, but Greg has proved it's not. In fact, it might be more trustworthy compared with the "this time is different" takes you often hear from many stock market and economic analysts. (Have I soured so much on "financial experts" that I now trust dead people more than the living? Maybe.)

Using the past to predict the future...

So why is Greg spreading the word about his strategy right now?

He's using the past – again – to predict the future. Based on the past, Greg says folks should be ready for a "September surprise" that could shake up the U.S. stock market. It could even end up influencing the upcoming presidential election in November.

As Greg said...

As one of W.D. Gann's teachers once put it, "God is in the prices."

He meant that unforeseeable events in the future are often reflected in market prices – what Gann called "the truth of the tape" – long before these events come to pass in reality.

It's been this way for hundreds of years.

For example, four months before it became clear that World War II was coming to an end, the London stock market saw a historic bottom... before starting what became a 30-year bull run. As Greg said...

At the time, the British had no clue if they would defeat the Germans... But the markets have a collective wisdom.

He continued...

Did you know America saw a massive bull market back when Abraham Lincoln was president? More than 20 different railroad stocks tripled, on average, from 1861 to 1864.

Most people don't care. But Gann did, and he got rich.

Of course, the "Lincoln bull market" was followed by a great panic in 1869.

Something similar happened a few decades later when the "Roaring Twenties" culminated in the 1929 crash and the Great Depression, which Gann predicted.

As Greg says, "History repeats itself... These patterns exist. And if you can spot them, you can get absolutely rich. Especially in a bumpy year like 2024."

Greg went all the way back to the presidency of William McKinley, from 1897 until his assassination in 1901, to make the point.

If you missed Greg's presentation last night...

You can watch a replay right here.

You'll hear exactly what Greg expects in the stock market for the rest of this year... and how he plans to help subscribers make money – no matter who ultimately ends up winning the White House or whatever other major story that develops.

As I said yesterday, even if you're not interested in the short-term trading that Greg uses in Ten Stock Trader, you might find his research valuable for your investment portfolio...

Maybe the fundamentals and valuation of a company like Nvidia (NVDA) mean more to you when making investment decisions. Or maybe it's how the economy is doing... or what you see in your town or city... or whatever else.

If you've been with us for a while, you likely have your own strategies that work for you. I'm not trying to tell you to go changing.

I'm just here today to say that if you haven't heard about Greg's "technical analysis" strategy before, you ought to hear him out.

During his presentation, Greg also shared one of my favorite charts of all time, created by an Ohio pig farmer in the 1800s who has also posthumously predicted events from the grave with his research. It's different from Gann's (and Greg's) but similar enough.

Finally, a reminder: Greg's existing Ten Stock Trader subscribers and Stansberry Alliance members already have access to his research, including the points he shared in his presentation, but you are more than welcome to watch as well.

As for the present...

The volatility that Greg has been expecting may be arriving as we write...

Today, the benchmark S&P 500 Index finished 0.6% lower and the tech-heavy Nasdaq Composite Index was down more than 1%. And even the equal-weight S&P 500 index, which we trumpeted just yesterday for making new highs recently, was down about 0.3% today.

The CBOE Volatility Index ("VIX") – a measure of options activity on the S&P 500 for a period about 30 days out – moved to near 18 intraday, one of its highest readings since the mini panic earlier this month.

The reaction to tonight's earnings report from Nvidia could show us what to expect in the market next – and whether the change in "leadership" in stocks will continue. We'll also see how traders and investors respond to more inflation data out tomorrow and Friday. Then late next week comes the latest monthly jobs report covering August.

Settle in...

We're closely monitoring how any "bad news" – or really any economic news – is interpreted in the market right now.

We're also following the divergence between the "Magnificent Seven," or mega-cap tech stocks that have led this bull market since 2022, and the other S&P 493. As we wrote yesterday, the S&P 493 have been outperforming the mega-cap tech stocks by a healthy margin for the past month.

And as Greg wrote to his subscribers today, "price and time... they're coming together for an inflection point to trade."

Of course, we believe in owning shares of high-quality, cash-generating companies over the long run. These businesses will reward you no matter what direction the economy or market goes – with dividends, buybacks, and continued growth potential. That's why they're essential in an investing portfolio. So are inflation hedges and keeping your eye on the ball. By that, I mean your goals, whatever they may be.

But with recession jitters already in the market and the previous market "leaders" down from their most recent highs, be prepared to see more volatility this year.


Recommended Links:

Here's What You Missed Last Night

The man who called the 2020 and 2022 crashes explained why an upcoming, surprising twist to the Harris-Trump election could double your money 10 different times – as he showed during 2020's election year. Plus, he shared his terrifying blueprint of exactly where stocks could go next... and why it could be "lights out" for one of the candidates. Click here to learn more.


Top Expert: 'Watch Your Mailbox'

You could soon get a very strange package from the U.S. government, says one veteran expert. Open it up and you'll find hugely powerful new AI technology inside (built by Nvidia). It could change life in America in some very disturbing ways. And according to the veteran expert who has consulted for the Pentagon and the FBI, you're running out of time to prepare. Here's everything you need to know.


New 52-week highs (as of 8/27/24): Automatic Data Processing (ADP), Altius Minerals (ALS.TO), American Express (AXP), Berkshire Hathaway (BRK-B), Colgate-Palmolive (CL), Costco Wholesale (COST), Cintas (CTAS), CyberArk Software (CYBR), WisdomTree Japan SmallCap Dividend Fund (DFJ), Direxion Daily Real Estate Bull 3X Shares (DRN), iShares MSCI Spain Fund (EWP), SPDR Gold Shares (GLD), iShares iBonds December 2024 Term Treasury Fund (IBTE), Intercontinental Exchange (ICE), iShares Convertible Bond Fund (ICVT), JPMorgan Chase (JPM), Kellanova (K), Coca-Cola (KO), Eli Lilly (LLY), London Stock Exchange Group (LNSTY), Altria (MO), Motorola Solutions (MSI), Newmont (NEM), Northrop Grumman (NOC), Novartis (NVS), Omega Healthcare Investors (OHI), Sprott Physical Gold Trust (PHYS), Regeneron Pharmaceuticals (REGN), Royal Gold (RGLD), ResMed (RMD), Sprouts Farmers Market (SFM), iShares 1-3 Year Treasury Bond Fund (SHY), S&P Global (SPGI), SPDR Portfolio S&P 500 Value Fund (SPYV), Torex Gold Resources (TORXF), Texas Instruments (TXN), ProShares Ultra Gold (UGL), ProShares Ultra Financials (UYG), Vanguard Short-Term Inflation-Protected Securities (VTIP), Wheaton Precious Metals (WPM), Consumer Staples Select Sector SPDR Fund (XLP), and Health Care Select Sector SPDR Fund (XLV).

In today's mailbag, perhaps a "mic drop" on the Scooby-Doo conversation in the mail the past few days... Do you have a comment or question, additional classic TV trivia? As always, e-mail us at feedback@stansberryresearch.com.

"The name for Scooby was inspired from the Frank Sinatra song 'Strangers in the Night.' At the very end of the song, Frank improvised the [usual] Do-bee do-bee-do [line], which became the inspiration for Scooby.

"So there is your trivia for the day. Now listen to the song and insert Scooby do-be-do in the ending. You won't get it out of your head! Cheers!" – Stansberry Alliance member H.M.

Corey McLaughlin comment: Thank you for this, H.M. It is true. And for anyone who might not believe it – that Frank freakin' Sinatra inspired the creation of Scooby-Doo – just listen to what the guy who created the show that bore the name of the cartoon dog, the late TV executive Fred Silverman, once said about its origins.

This is from a Los Angeles Times obituary on Silverman, who died at 82 in 2020...

The former TV executive, who said his TV acumen was sometimes guided by his gut instincts, once recalled how the premise for one of his better-known shows came to him.

He was on a red-eye flight home and couldn't sleep.

"I'm listening to music, and as we're landing," Silverman said in a 2001 interview with the Television Academy Foundation, "Frank Sinatra comes on, and I hear him say 'scooby-dooby-doo.'" At that point, he decided that his idea for a show featuring kids in a haunted house would star their dog: "That's it, we'll take the dog — we'll call it Scooby-Doo."

The resulting show — "Scooby-Doo, Where Are You!" — debuted in 1969 and immediately became a hit among children and adults, as well as one of the longest-running TV animated series for CBS, where Silverman worked as head of programming.

"Scooby-Doo" was one of many hit shows that Silverman shepherded during his extensive, half-century-long career in the TV business. At CBS, where he became head of programming in 1963 at the age of 25, he championed a string of hit programs including "The Mary Tyler Moore Show," "All in the Family," "The Waltons," "MASH," "The Jeffersons," "Kojak" and "The Sonny and Cher Show."

Fred Jones, the clean-cut male character in "Scooby-Doo," was named for Silverman.

You might say Silverman did it "his way." In creative endeavors and investing, there's a lot to be said for doing it your way... though "gut" can sometimes only take you so far – over a longer period.

Silverman was also a living example of that.

After leaving CBS and then ABC to become president and chief executive of NBC in 1978, he was ousted three years later after a string of bad-ratings years and "strife and turmoil" in the company. But he had some "wins" during that period, too, like signing a young, relatively unknown comedian named David Letterman to host a morning talk show.

Silverman was once asked about a 1977 Time magazine cover story that called him "the man with the golden gut" for his instincts in selecting what would become widely watched TV shows. He said he hated the label.

"The gut can enter it to a point," he said, "but there's a lot more."

While I don't have the experience of what it was like to create network television in the pre-Internet era, I do write and edit for a living (and invest). I'm willing to surmise Silverman was referring to fundamentals of the TV industry that, if only known and practiced, would often lead to success over time.

Like in investing, having a process – goals, risk management, a timeline for particular positions a strategy – can sustain you in the long run. So, hey, the Scooby-Doo references were all worth it. There is your roundabout, cartoon-dog-inspired investing lesson of the day.

All the best,

Corey McLaughlin
Baltimore, Maryland
August 28, 2024


Stansberry Research Top 10 Open Recommendations

Top 10 highest-returning open stock positions across all Stansberry Research portfolios. Returns represent the total return from the initial recommendation.

Investment Buy Date Return Publication Analyst
MSFT
Microsoft
11/11/10 1,362.8% Retirement Millionaire Doc
MSFT
Microsoft
02/10/12 1,319.3% Stansberry's Investment Advisory Porter
ADP
Automatic Data Processing
10/09/08 991.3% Extreme Value Ferris
WRB
W.R. Berkley
03/16/12 811.2% Stansberry's Investment Advisory Porter
BRK.B
Berkshire Hathaway
04/01/09 716.7% Retirement Millionaire Doc
HSY
Hershey
12/07/07 475.9% Stansberry's Investment Advisory Porter
TT
Trane Technologies
04/12/18 462.7% Retirement Millionaire Doc
AFG
American Financial
10/12/12 456.9% Stansberry's Investment Advisory Porter
NVO
Novo Nordisk
12/05/19 390.1% Stansberry's Investment Advisory Gula
TTD
The Trade Desk
10/17/19 390.0% Stansberry Innovations Report Engel

Please note: Securities appearing in the Top 10 are not necessarily recommended buys at current prices. The list reflects the best-performing positions currently in the model portfolio of any Stansberry Research publication. The buy date reflects when the editor recommended the investment in the listed publication, and the return shows its performance since that date. To learn if a security is still a recommended buy today, you must be a subscriber to that publication and refer to the most recent portfolio.


Top 10 Totals
5 Stansberry's Investment Advisory Porter/Gula
3 Retirement Millionaire Doc
1 Extreme Value Ferris
1 Stansberry Innovations Report Engel

Top 5 Crypto Capital Open Recommendations

Top 5 highest-returning open positions in the Crypto Capital model portfolio

Investment Buy Date Return Publication Analyst
wstETH
Wrapped Staked Ethereum
12/07/18 2,291.8% Crypto Capital Wade
BTC/USD
Bitcoin
11/27/18 1,483.8% Crypto Capital Wade
ONE/USD
Harmony
12/16/19 1,129.1% Crypto Capital Wade
MATIC/USD
Polygon
02/25/21 744.3% Crypto Capital Wade
OPN
OPEN Ticketing Ecosystem
02/21/23 279.3% Crypto Capital Wade

Please note: Securities appearing in the Top 5 are not necessarily recommended buys at current prices. The list reflects the best-performing positions currently in the Crypto Capital model portfolio. The buy date reflects when the recommendation was made, and the return shows its performance since that date. To learn if it's still a recommended buy today, you must be a subscriber and refer to the most recent portfolio.


Stansberry Research Hall of Fame

Top 10 all-time, highest-returning closed positions across all Stansberry portfolios

Investment Symbol Duration Gain Publication Analyst
Nvidia^* NVDA 5.96 years 1,466% Venture Tech. Lashmet
Microsoft^ MSFT 12.74 years 1,185% Retirement Millionaire Doc
Inovio Pharma.^ INO 1.01 years 1,139% Venture Tech. Lashmet
Seabridge Gold^ SA 4.20 years 995% Sjug Conf. Sjuggerud
Nvidia^* NVDA 4.12 years 777% Venture Tech. Lashmet
Intellia Therapeutics NTLA 1.95 years 775% Amer. Moonshots Root
Rite Aid 8.5% bond 4.97 years 773% True Income Williams
PNC Warrants PNC-WS 6.16 years 706% True Wealth Systems Sjuggerud
Maxar Technologies^ MAXR 1.90 years 691% Venture Tech. Lashmet
Silvergate Capital SI 1.95 years 681% Amer. Moonshots Root

^ These gains occurred with a partial position in the respective stocks.
* The two partial positions in Nvidia were part of a single recommendation. Editor Dave Lashmet closed the first leg of the position in November 2016 for a gain of about 108%. Then, he closed the second leg in July 2020 for a 777% return. And finally, in May 2022, he booked a 1,466% return on the final leg. Subscribers who followed his advice on Nvidia could've recorded a total weighted average gain of more than 600%.


Stansberry Research Crypto Hall of Fame

Top 5 highest-returning closed positions in the Crypto Capital model portfolio

Investment Symbol Duration Gain Publication Analyst
Band Protocol BAND/USD 0.31 years 1,169% Crypto Capital Wade
Terra LUNA/USD 0.41 years 1,166% Crypto Capital Wade
Polymesh POLYX/USD 3.84 years 1,157% Crypto Capital Wade
Frontier FRONT/USD 0.09 years 979% Crypto Capital Wade
Binance Coin BNB/USD 1.78 years 963% Crypto Capital Wade

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