Greetings and salutations to you, my friends, allies and casual visitors alike. I would like to resume and dive deeper into this important financial discussion. Keep in mind that while most rappers only want to tell you about how much money they have. I stand here today to change the game and flip the script and show you how you can possibly join the affluent and at least become well off monetarily. If you're reading this then you are probably like me and you desire for a better life. I reminisce on a conversation I had with a successful business owner when I was a kid, maybe 13 or 14 years old. As a matter of fact, at this age, I already had my own business. Do you know what a “candy house” is? If you are not from the projects, you probably don’t. The short explanation is that many urban-rural communities are built on what are now known as food deserts. Meaning there are no stores, no restaurants, or pretty much anything else anywhere close by. The ice cream man used to come through until some kids robbed him and killed him. In this situation, there were some people like myself who would go to Smart & Final and buy cases of candy bars, treats, microwave popcorn and generic soda and sell them out of our house. In the hood, this is called a “Candy House”. Many of the kids in these neighborhoods had parents who were not feeding them. The only time they really ate anything somewhat nutritious was at school. There were times when we had lines around the entire complex at our door. I had more money than some of the adults in the neighborhood. I bought a car from a dope fiend way before I knew how to drive. Hence, this is how I got my street name. I just flipped the car and made a few hundred dollars. I would use the money I made to take trips on the Greyhound to visit friends and relatives. This was one of my first businesses, and the only reason I had money for Sega Genesis games, comic books, and clothes from the swap mall. A swap-mall is like a flea-market except it’s indoors. I digress, Mom was doing some bookkeeping work for this guy, I think, or that's what I was told. Either way, seeing that I had some what of an entrepreneurial spirit because I already had my own business and my own money. This is what he said to me. First, he asked me, "Do you want to be rich”? My response: “Sure, why not”. Then he told me to look at what rich people are doing and do the same. Then he followed up by saying, "Look at what poor people are doing, and don’t do the same." While this is a dramatic over-simplification of people's lifestyle choices in relation to their economic situation. There still is truth and some profoundness to the statement. How that relates to our current conversation is because of the fact that the opportunity exists for people like us to find success and quite possibly even fortune by simply hitching our wagons alongside the most successful who have ever lived. Let me further explain. One path that you can take is to take the considerable time and resources necessary to build a profitable business. Well, I don’t mean to discourage you. I do know many successful entrepreneurs. This route can be very difficult, and even after all the heartache and headaches, success is not guaranteed. An alternative to that path is to buy a stake in and become a shareholder with people who have already built immensely profitable multinational companies. Once again, one of the reasons I am having this conversation is that I wish I would have had this information much earlier in life. Simply put, before you start down the path of eternal debt, I refer to it as modern day slavery. I’m trying to put you up on game. I want people, especially those in economically challenged urban and rural communities to realize there is another path forward. That path is to start your investing career earlier in life. The earlier you can get started and recognize those golden opportunities, the greater the potential. Also, if you get to the point in life where your time and resources are tied up in other endeavors, you’re not going to be able to do this, at least not on a full-time basis. We all know the story of the original forty dollars Warren Buffett invested in Coca-Cola, now being worth like fifteen million dollars or something insane like that. You're on the internet all day, and you see the professional athletes, entertainers, and influencers. That is not the majority of millionaires. The vast majority of affluent individuals you would not recognize even if you bumped into them, and most of them have built their fortunes through savvy investing and trading. This conversation is not for everyone maybe not even for most. But I know there are many individuals out there who are logical, analytical, and mathematically minded. These words will resonate with those potential tycoons, and something in their brain will clique. If you can succeed in this field, it can be very lucrative and open up further opportunities, such as starting a business, paying for education or investing in real estate without taking on massive amounts of debt. This has nothing to do with the prediction market. That’s gambling, I would never participate in gambling because it is a sin and a bad habit, and will destroy your life, and that’s even if you win. What I am talking about is well-informed data-based investing and trading. This is a thinking person's business, which is a good thing because if you can outthink them, the whales cannot sink your ship and shut you out of this. But it takes strategy, so it’s not for everyone. So, if you are not 6 feet 5 and can’t dunk a basketball, you should probably consider using that supercomputer in between your ears for more than just a place to hold your hat, and even if you are 6 feet 5 and in the NBA, you should probably know this, too. Let’s talk about it. Have you been doing your homework? What could we learn from the markets this week? Well, if there is one word I could use to describe today's market, I would call it resilient. It’s a pretty safe bet that even if we do see a significant dip to the downside, we are going to get a bounce to the upside relatively fast. Which is a good thing to know, if you buy the dip, you’re not going to have to wait months or years to see a return. I don't know how long it will stay that way, but for now, resilient is the best adjective I can think of. So, where was the power play this week? In my novice opinion, it would have to be Spirit Airlines. They seemed to be among the first financial casualties of the latest Gulf War. They announced bankruptcy, but when the US government expressed interest in buying an ownership stake in the struggling airline the stock soared. This is a good thing. We need to have budget airlines that anyone can afford. But I’m confused, so we like socialism now? I don’t have a problem with it at all. Let’s just not be hypocritical when discussing democratic socialism. Anyhow, those who were paying close attention and in prime position. Were able to really take advantage, benefit and profit from the Spirit Airline news. It’s just that simple. Things like that happen all the time, where you can literally make your fortune from one clever maneuver and one sound trade. All you had to be doing was to be paying attention. Okay, ladies and gentlemen, that's going to do it for tonight. But I promise we will start getting into the details plus much more, really soon. I’m building up the plot. If you’re thinking, "What does this have to do with music, content creation and self-publishing?” Well, it has everything to do with it. This picture I’ve been drawing for you, I’m going to start coloring it in and connecting all the dots, and then you will see light.
Understanding Financial Basics
Alright weoples I want to resume this pertinent discussion. I know a lot of you out there may already know the concepts I’ve felt the need to explain in recent posts. You may just be reading this for entertainment. I wanted to remind you to be patient while I advance the plot. Because there are a lot of young people or those who are ill-informed and otherwise, who need to know how the world works, more specifically, how the financial world works. In general the more we have these types of conversations. In settings where they are not often taking place. The more it will benefit those communities. By communities, I mean social circles and all the people who are part of them. Usually, I start off commenting on certain current events. Today, that won’t be the case. There is just too much that I could discuss. I literally have dozens of pages of notes from this just this week alone. So, I’m not going to even jump down the rabbit hole this time. because it’s way too deep and disturbing. If I keep getting diverted discussing the apocalypse, I will never get through the other main topics I need to discuss. Today we're going to keep the focus financial. What I will say is this. “Take everything within the appropriate context, and don’t confuse desperation with having an actual strategy or plan”.
With that being said, as far as these blog posts go, believe it or not, we are getting close to being caught up on a lot of these recent series of discussions. Anyone who wants to know where I am, what I’ve been up to and why. Can easily read through these blogs and know what to expect. So, we left off on Spirit Airlines. You probably already know, but the struggling airline did not get bailed out and they went under. They were looking to get a $500 million dollar emergency bailout under which the government would have taken a 90% ownership in the business. Ultimately, the deal fell apart because the bondholders of Spirit’s debt opposed it. What sealed their coffin was the skyrocketing price of jet fuel due to the latest Gulf War. While some commentators say they were already struggling, they recently filed for bankruptcy twice. I would remind you that a certain game show host turned politician filed for bankruptcy like 9 times. Even though they maybe they should have been allowed to merge with JetBlue in 2022. I’m not sure I need to research the details on why it was denied. Either their fate is sealed, and they will be remembered as a casualty of this unnecessary war. So the question of the night is: Was that actually the big power play trade? The answer: Absolutely, that’s a perfect example for new traders to learn from. On how to turn a current event into a big pile of cash overnight. Remember, the name of the game is day trading. We are not holding on to these shares in anticipation of a rainy day. A day trade is like a heist, you make your money and run. Just don’t get caught holding the bag. Take your profit and move on to the next trade. Where might our next opportunity be? Well, it’s a pretty safe assumption that with one budget airline going away, the remaining airlines will gain a greater market share. With what is going on in the world, with the price of jet fuel and travel is most likely about to decline. We may see a dip in airline stocks, so there may be some opportunity there. I don’t know for sure, I haven’t done the research, this is just my own educated speculation.
Besides just the knowledge of the game, what is different about this day and age is the available technology. The app's software exists to give everyone access to the same markets as the financial tycoons. The tools are there to help you accurately time your trades.
I wanted to talk more broadly about the markets themselves. The markets I follow and I am invested in the US markets and crypto, the charts are up, and everything looks strong. Mostly driven by tech and AI. It’s a great environment for manifesting money from thin air, simply by monitoring and analyzing asset fluctuations wherever they may be. The great thing about day trading is the ability to realize profits within days of your investments. As far as the longer-term investments are concerned, the experts are telling us to proceed with caution. The reality today is that because of geopolitical tension, we are experiencing the largest supply chain disruption in the history of the world. This week saw the fastest and steepest spike in fuel prices this century. Asian countries have been thrown into turmoil, and the real effects haven’t yet begun to hit us. Also,the market manipulation is overt and completely out of control. As reported by Business Insider, top economist Gary Shilling says that “stock valuations are overinflated and that a downturn is almost inevitable”. Predicting a recession by the year's end with a market plunge, and a possible 30% drop in the tech heavy S&P. Also, Berkshire Hathaway, Warren Buffett’s company, has continued its pattern of selling off stocks and accumulating cash over the last couple of years. Buffett has historically made his biggest moves during genuine market distress. In events such as the 2008 financial crisis and the Covid crash, moments when liquidity dried up and asset prices disconnected from underlying value. That is what he is waiting for. We should take this information and plan our investment strategy accordingly. For tonight, I have to stop there, but we will continue this conversation a little later and go deeper. We will start with the basics and fundamentals, and discuss where to start for the absolute beginner. I want to talk about crypto, AI, my thoughts, and my experience with it. I will let you know where I’m at in “the Creative Process.” We’ll discuss how the Whipulization Station is about to enter its next phase, Big Surprises coming soon, plus so much more
