Patterns

The Law of Chaos is the theory of random unpredictable action applied to the cosmos, mathematics, mechanics, almost everything. Those who believe it will definitely think the stock market is in chaotic state at this time. Don't you believe it.

When I was a floor trader people would ask me how do you make sense of what is going on with all that yelling and arm-waving? To the uninitiated it does look turbulent, but to those who are in the middle it is understandable and orderly. It took me a while before it became "normal".

Your broker at this time may be telling you that such-an-such stock is a great "value" because it has come down so far. Don't believe this Wall Street myth. It will only cost you money. Cash is your best position right now. Look at the pattern as shown on a stock chart.

When the trend is down never try to pick the bottom. Here are two glaring examples. Cisco went to $82. When it came down was Cisco a great buy at $65? Did your broker call you? Now it is $11 and headed for $?? Lucent looked like a buy at $60 and now it is 77 cents down from 77 dollars! Is this chaos or is there an orderly pattern to this mess? The lesson here is never buy any stock or mutual fund that is in a downtrend and if you own something that is, sell it immediately.

To those of us who have studied the price patterns of individual stocks and market indexes we see a road map (stock chart) of what has happened and have a good idea where it is going. It is not random. Many brokers will tell you this can't be done and that charts tell you nothing. That is because they have not taken the time to learn their trade. Technical analysis is more important than fundamental analysis. Over any period of time a good technical analyst will beat the shirt, pants, underwear and socks off a fundamental analyst because fundamentals don't give timing. Fundamentals are the background for a major move.

There is an orderly pattern in all this seeming chaotic price action of the stock market. To become a serious trader and money-maker you must study it in order to make it a useful tool for you investments, Otherwise, you are at the mercy of brokers, financial planners, bankers and other "experts" who know as little as you.

Copyright Albert W. Thomas All rights reserved Author of "If It Doesn't Go Up, Don't Buy It!"

www.mutualfundmagic.com; email to al@mutualfundmagic.com

bathroom cleaning service Northbrook ..
In The News:

Learn how to act against cybercriminals in 2026 with essential security steps like two-factor authentication, software updates and credit freezing.
Choose between OpenAI releasing Sora text-to-video model, the AI race heating up, or Waymo driverless cars launching in cities across the country
Learn how to set up Google Maps and Apple Maps on your phone to automatically remember where you parked. Step-by-step instructions for enabling location services and parking detection.
Phishing scammers use rnicrosoft.com domain to impersonate Microsoft by replacing "m" with "rn" in typosquatting attacks that steal login credentials.
OpenAI announces new teen safety rules for ChatGPT users under 18, blocking romantic roleplay and requiring extra caution on body image topics.
A 2025 data breach at fintech company 700Credit exposes personal information of more than 5.8 million people through compromised third-party integration partner.
Retailers lose $76.5 billion annually to return fraud as nearly 10% of U.S. retail returns involve fraudulent activity, with $850 billion in returns expected in 2025.
ShinyHunters claims responsibility for stealing 94GB of Pornhub user data affecting over 200 million records and demands Bitcoin ransom.
ChatGPT 2025 now connects to Apple Music, Canva, Expedia, TripAdvisor and OpenTable through built-in apps that help users create playlists, design graphics and more.
Apple releases emergency patches for two zero-day vulnerabilities actively exploited in attacks. iPhone and iPad users urged to update immediately.
DoorDash launches Zesty, an AI-powered social app that recommends restaurants through conversational search, now testing in San Francisco and New York.
Cybersecurity firm Infoblox reveals that over 90 percent of parked domains now redirect visitors to scams and malware, making simple typos extremely dangerous.
The Fox News AI Newsletter covers the latest artificial intelligence technology advancements, including the challenges and opportunities AI presents now and for the future.
GPT-5.2 is now live for all ChatGPT users with improved coding, writing and image interpretation, with Kurt Knutsson offering his review.
New iPhone replacement scam uses pressure tactics and fake carrier calls to steal devices from buyers. Criminals claim shipping errors and demand urgent returns.
Amazon Ring's new facial recognition feature sparks privacy controversy as Electronic Frontier Foundation critics argue the AI upgrade expands surveillance risks.
New Android banking trojan Sturnus steals credentials, reads encrypted messages and controls devices.
Denmark's 3D-printed student village proves automation builds 36 apartments faster than traditional methods. Skovsporet project shows housing future.
Discover Android's new Sound Notifications feature that alerts you to smoke alarms, doorbells, and baby cries even when wearing headphones.
New SantaStealer malware reportedly threatens holiday shoppers with password theft. This Christmas-themed info-stealer targets browsers and crypto wallets.
The Christmas season brings a surge in Netflix phishing scams targeting shoppers with fake emails. Stacey P received convincing scam but verified account first.
San Francisco Giants invite Jamie Grohsong to throw ceremonial first pitch at Oracle Park after he learned to play baseball with a bionic hand following an injury.
FBI warns cybercriminals are stealing family photos from social media to create fake proof of life images in virtual kidnapping scams targeting victims.
Instagram's new 'Your Algorithm' tool lets you control your Reels feed in real time. The app now gives you power to customize what videos you see.
Major Marquis fintech breach exposes 400,000-plus Americans' data through unpatched SonicWall vulnerability, with Texas hardest hit at 354,000 affected.

Investment Lawyers and Trash Stocks

The trash business in its efforts to cook their books... Read More

Bargain Basement - Finding Stocks That Go Up

Have you been listening to the talking heads on CNBC-TV?... Read More

Shorting Stocks ? The Basics, Part II of II

After the publication of the first part of this two... Read More

Choosing A Fund

For years I have been saying you must have a... Read More

Size Counts!

What the heck am I talking about?It is often said... Read More

Direction

It is difficult to make money in a bull market,... Read More

Mutual Fund Expense Lies

When purchasing mutual funds we are cautioned to read the... Read More

Series 7 Exam

What is the Series 7 Exam? If you... Read More

Dollar Cost Averaging

Dollar cost averaging is one of the most popular ideas... Read More

It Cant Be Done

Wouldn't it be nice if you were only in the... Read More

Which Way The Market

I am hearing predictions by brokers, financial planners, talk show... Read More

My Stock - Right or Wrong

We all know the expression, "My country, right or wrong",... Read More

Parachute Investing

Ever jumped out of an airplane? It's OK if you... Read More

The Next Bull Market

We are already in it, but you can't see it.... Read More

Invest, Be Wrong, and Make Money in the Stock Market

I have been trading for several decades and was an... Read More

The Cub; II

We keep hearing about this bear market and that the... Read More

Moving Averages

Every day on CNBC-TV they show a 200-day moving average... Read More

Is the Stock Market for You?

Many people would like to diversify their portfolios to expand... Read More

Different Types of Mutual Funds

This is a guide to the different types of mutual... Read More

How Covered Calls Turned a Trader Around

Sidney felt sick as she looked at her latest OptionsXpress... Read More

Its Snowing

The Winter Games for the Olympics are coming up soon... Read More

Mutual Fund Ball and Chain

The broker told me not to sell because the mutual... Read More

Mousetrap

The spring-loaded rat catcher is the ultimate low-tech device invented... Read More

True Investment Road Maps

If you don't know where you are going any road... Read More

Market Experience of a Na?ve Stock Operator

Sometime in the third quarter of 1997, someone told me... Read More

insured cleaning company Wilmette ..