Before the Crash, They Already Sold
A Lesson in Market Structure
When I was a kid, I used to dream about the future. Augmented reality, virtual reality, AI, robots, genetic cloning… the list goes on. But no one ever taught me about markets that early in school.
One day, I made a mock portfolio on my iPod Touch, picking stocks based on gut instinct and what I thought might happen. I forgot about it for a few years—until I checked it again and was shocked by how well it did.
That moment changed everything. I realized you could profit from the very ideas I had been daydreaming about. That realization pulled me into crypto, where I got a crash course in boom-and-bust cycles that some people take a decade to learn.
Over time, I started noticing something strange. Price would often move before the news dropped. At first, I chalked it up to a coincidence. But the more I watched, the more I saw a pattern, headlines weren’t driving markets. They were following them. News Drives Volume.
Take a look at this chart from 2022.
It’s the same thing, isn't it? Do you recall people pushing such strong narratives back then? I don’t. Unless this is what I consider the AI and Robotics Revolution, and we are all being replaced by robots. No, this isn’t some massive crash. The recovery will be an incredible opportunity.
Policy decisions and prominent figures often become scapegoats for market downturns that were inevitable due to prior excesses.
If you follow me on Twitter(X) then you would know we sold everything months before this.
Even our Indicators were flashing sell signals for a few months.
In Summary, instead of getting caught up in media-driven explanations, one can focus on the structure of supply and demand. As Wyckoff might say, understand the game as it’s played, and the Composite Man’s tricks won’t fool you. The next time the market sells off and a policy decision is blamed, look back a bit: you’ll often find the fingerprints of distribution all over the charts, hiding behind the convenient narrative. The story in the headlines is the cover; the real story is written in the tape.
Before I sign off, I have a few things for you.
To avoid overtrading, like I warned about two months ago when I said to sell everything. I am going to launch a live show on YouTube, Market News and Headlines. It may even go live today, so make sure to subscribe and tune in. The goal is to try to help as many people as possible and give me something to do in periods where its instrumental to sit on our hands. These moments reminded me why I feel the need to put my voice out there.
Want to stop getting dumped on by smart money? This is what I use: Emporos Trading Suite.
Sidelined and sitting on capital? DRC is where we put it to work. The Q1 Report lays it all out. Read it, and if it resonates, you know where to find me.