US Economy is Still on Fire

Dear traders,

Congratulations to all of you who did an amazing job in holding the biggest event ever for our community in Vancouver! Over 250 people attended, with many excellent talks and presentations delivered. The pictures will be ready shortly, and I hope you will share them as much as possible in your social media and with your group of friends.

I had an idea to make next year’s event even better. Wouldn’t it be wonderful if we could organize a TEDx event a day before our conference, and bring thought leaders in trading, high performance activities, athletics, and researchers together to help our community learn from some of these top-notch people?

TEDx has very strict requirements for organizers and sponsors, and talks should be free of promotion and commercialization. So if we can convince them, and of course we won’t be presenting ourselves, I promise to fly the best speakers for you to this event. Usually, people will accept TEDx talks better than a BBT conference, so it would be nice to make it happen. Let’s see!

Today, the market dropped as inflation numbers came in hotter than expected. The Federal Reserve, whose job is to control inflation and the job market through proper planning of business cycles, is experiencing a more difficult challenge in attempting to cool down the economy. Now, the idea of higher interest rates for a longer time is being taken more and more seriously, similar to what Neel Kashkari suggested last week. The bond market and small caps dropped the most, and the USD gained significant strength compared to other currencies.

A strong USD is bad news for everyone in the world, except perhaps for Americans. All central banks are now under pressure to increase rates to protect their currencies from free-falling. This means more inflation and financial tightening for the rest of the world. Usually, currencies in nations with high interest rates are stronger, because people can borrow from lower interest rates to deposit in higher interest rates and benefit from what is known as “interest rate carry-over trades”.

In some ways, due to its strong currency, the US is now the biggest exporter of inflation to the world.

Today, I had an amazing trade on NVDA with a 1:8 risk-to-reward. My recap is about this and I hope you will enjoy watching it. Please ask me your questions! I made over $15,000 in two trades with AMD and NVDA.

For tonight’s Wednesday Psychology webinar, Jared Tendler will be presenting on Correcting the Damage from High Expectations & Perfectionism.

Perfectionism and High Expectations are a common and complex problem. On the one hand, they’re a big motivator to achieve impressive and sometimes big goals, but they can also damage your confidence in unexpected ways, leaving you at risk of big ups and downs in your performance.

If you obsess over mistakes, hate losing, are overly self-critical, feel like nothing is ever good enough, and put intense pressure on yourself, this seminar is exactly what you need to get your trading performance on solid ground. Join Jared at 8 pm ET.

Thanks again. I look forward to meeting many more of you at our next event!

To your success,
Andrew