Technical

Bill Gross: "Nightmare Panic Selling" Coming

Bill Gross: "Nightmare Panic Selling" Coming

When Bill Gross speaks, the markets better listen. At Business Of Finance, we reserve a great reverence for Mr Gross not only for his adept ability to foretell mega trends in the financial markets, but also because the man has a rare talent in piecing everything together to form investment thesis that have proven to work well.

Retail investors and traders now have access to very complex financial instruments such as bond fund and volatility ETFs, and more recently funds that are synthesized using cross currency total return swaps on extremely illiquid markets such as a ferrous commodity contract that trades on a futures exchange in China.

Bill Gross' latest investment outlook titled "It Never Rains In California" delves into the reasons why the bond king believe a fat tail may be in the making, and why investors and traders should be prepared for it by having enough liquidity when the boat tips.

Do retail investors and traders really know what they have involved themselves with? We hope so, but logic tells us otherwise.

Oil Prices Either Crash Or Rebound At This Juncture

Oil Prices Either Crash Or Rebound At This Juncture

Oil prices are at a major inflection point. They either turn higher or break multi-year support levels and cause more pain to oil producers. 

Nearly 2 months ago, we put out a note describing how we speculated on the upside of crude oil prices. We then subsequently implored if prices had indeed bottomed, and we made a case for both sides of the trade. Regular readers that follow our trades that we make public, will know that from the period spanning 1/27 till today, we have had 5 trades on oil. The results of these trades can be found in our most recent commentary dated 3/10.

In this note, we will share with readers a few takeaways we have gained, as well as what we expect going forward.