Welcome back everybody! Today we're going to be talking about a very, uh, you know, topical issue. It's It's kind of interesting how for good or bad I'm not sure which it is, but you know really politics and and and you know the the world. Uh, you know every geopolitical things and macroeconomic type things have have really seeped into everyday life. Um, obviously politics has always been of our life, but you know, since the last couple years, Obviously all of you know whatever whichever side you're on, it's really kind of creeped into everything.

like you can't. You can't go to the grocery store without arguing with somebody about politics. But the simple fact is that we need to recognize this and we need to recognize that it moves stocks. particularly when it comes to hot sectors.

So when we talk about hot sectors, um, so many of these have been driven by. you know Government funding, you know War conflict initiatives, uh, regulation Etc So I'm going to go back to like one of the a given a story and then and then kind of talk about how we can trade these. So I think back to I' I've I've traded agricultural Futures once in my life one time okay, um I was bored. this is proba this like 15 years ago? you probably Google it you can probably Google uh Russian wheat fires and I'm guessing it was probably like 2010 or something.

Okay, so I'm kind of bored I'm just kind of sitting in my computer uh, reviewing my trades, typing in my you know, my data, going through my stuff and I see this headline that you know there's this big uh wheat fire in Russia and I believe it, zzw is the is the Futures Contract for wheat and I'm just like yeah, what the heck you know, let's try it, you know? So I bought I don't know one or two contracts or something and like within seconds made like 750 bucks in like literally seconds and I didn't know what to do I'm just like ah I I I I like basically panck sold, made 750 bucks in like a minute or so which you know back then I was still kind of building up my still learning, you know I was still pretty new so that was a nice win for me. Um, and basically that was a great example of you know, trading something that ultimately ended up being nothing like they put the fire out that night didn't even affect the the price of wheat over any type of long period. I mean I think they went. price of wheat went up for a few days and came all the way back.

Now not a trading strategy I Would recommend I'm just pointing out the fact that something that was happening on the other side of the world uh, that ultimately had no bearing on what happened in the world a couple days later created a trade opportunity and that's kind of what we're talking about today. It's not like it was a press release on a penny stock. it's not like it was a a you know, a new product from Tesla or something like that. It was just a geopolitical event.

and I think back to many, many times. Uh, Oil O and Gas runs. Many of you might be familiar with this. I actually have an entire list of spreadsheet of about 100 stocks that I always go to anytime there's something happening.

you know in the oil rich countries you know something happens in the straight of hormo oil spikes. Oil Stock Spike Saudi Arabia starts you know, fighting with somebody or or influencing OPEC and oil stocks come running. So it's very important to know what's going on in the world and looking for trading opportunities like I think of like getting angry about politics, getting angry about war, getting angry about regulations doesn't do anything for you. like like you can get mad about the price of gas going up which nobody likes.

but if you know what, what signs to look for and you know what stocks to look for, you start seeing that saber rattling or some tanker getting locked down or whatever. there's trading opportunities there. Um, very quick right away. I mean I mean the global markets react instantly so that news is what what we look for.

Um, and it's really the same stuff like you might be asking. you might be looking at the video right now and being s well what? what do you look for Tim It's just same stuff like it just repeats now. It doesn't happen 10 times a year, but a couple times a year you're going to see an oil and gas stock run. You're going to see you know, uh uh, defense.

You know every time there's some war that crops up, you'll see the defense contractors run, you'll see drone plays run, um, there are these events agricultural type stuff usually around Harvest and planting season. You know? Typically, you'll have all of this news in the mainstream media about a wet spring and they're not going to be able to get the crops in on time. You look for this stuff, it's it's like it happens every year. What one of the advantages of being around of just staying in the game is you'll start recognizing these.

Cycles Then Fall they'll talk about oh, the drought All Summer Long Yields are going to be down and then yields come in right where they were supposed to be at. but there's trading opportunities there and they're playing the game. I Mean especially the big hedge funds. They're just gaming the media and gaming these trades and you can do that as a small.

Trader Next is hot sectors. like like you'll see this green energy I I Mean in my 17 years I bet you we've had at least 10 green. Energy Stock runs where it becomes the hot theme. The grant money goes out, the government regulations come out, they start pushing for windmills or pushing for solar panels.

All of a sudden, some you know some solar pan manufacturer gets some 20 billion Grant from the government and now everyone starts looking for the little solar panels. So you've see the Green Energy stock run happen over and over again. KN One to look for the signs, the government money, the regulations. That's what you look for.

don't overstay in the low priced ones. We know that they Spike and fade on the hype, but you can trade the hype and you can short the fade of the hype Like that's another thing. All of these events, all of these hot sectors, you know. Listen, the great thing is once the hype Fades Once you quit seeing the headlines, you can short them on the backside too if you're an agile.

Trader Other ones we've seen over and over again is uh, medical devices, medical devices get hot. They come and go artificial intelligence. We've seen two separate runs this year. Obviously that's a newer hot sector, but I Expect to see AI get hot again this fall.

Electric vehicles every time Tesla does something, they get hot iPhone launches actually the iPhone 15 just launched today. You'll see all these little suppliers and accessory makers run up into the events. so the biggest you know Solution on how to do this and I know I kind of touched on. This is like don't underestimate the power of journaling and and writing things down and and tracking patterns like there's too much information out there like I Think back to when I got started trading it we we always struggled with a a information disadvantage.

Like you always knew, you know this is 20052 2006. You always knew you didn't have have the whole story like there was no Twitter Back then all of the the chat rooms were a scam. You know it's like basically your only result or your only Resort back then was to follow the mainstream media sources and you're like I know they're not telling me everything I know they're probably just trying to manipulate me to trade the other side. So now what we've had with the explosion of all of these data sources again Twitter AKA X and just the democratization of information like you used to have to have a $25,000 a month Bloomberg you don't anymore.

If you use stocks to trade, you have access to breaking news chat these guys have Bloomberg's okay they they're filtering the information and giving it to you and that's something we really focus on at stocks. Trade is is that democratization of technology and information so you don't have to, you know, pay the hedge fund prices to get access to hedge fund information. and at the end of the day it's just Cycles like I remember that wheat trade? Um I remember what happened I remember where I was sitting like the computer I had and everything. And don't underestimate the value of just putting in seat time like seat like a a chair.

Um I Know that's not sexy and it's not fun and people don't like hearing that. But um, so much of pattern recognition. So much of knowing how the game gets played and what things have worked in the past and and what's going to work in the future is just being able to recognize that. And I Think people again.

people don't like that. Like people want a quick fix, They want a pill. They want a potion. Obviously we see that in the world we live in.

like hey, I don't want to. you know, Eat right and exercise for six months. Just give me a pill. Um, and trading is a lot like that.

People want the shortcut and the excuse. Just how do I know how to trade oil? Well, in my opinion, the best way to know how to trade oil is to trade oil through three or four Cycles over a couple years and now you learned it. So have that longtime mindset. and I and I know it's the third time in this video.

write stuff down. Journal Um, it. It's not like you even need to go back and read it, but by putting your thoughts and in what you've seen and what you've traded and what you've done, putting it down on paper or digitally, it locks it into your brain and it's no different than like learning a language. like like something like what do you do if you're trying to learn Spanish Well you read and write.

Spanish You speak Spanish And you don't learn it in a week. You don't learn it in a month. But the more you read it, the more you write it, the more you speak it. Now all of a sudden you learn it.

And that's same with trading hot sectors, news, geopolitical events, and political events. the same stuff. I I'm telling you I've seen the same stuff over and over again for 17 years and probably it's I Think it's gonna be the same For the next 17 there'll be new stories. You know? AI is new.

but the thing with AI is it's no different from Green energy or electric vehicles or medical devices, or weed or or any of these things. It's the same patterns. It's the same idea. It's just new words like instead of medical devices, it's artificial intelligence.

So Speaking of reviewing and learning and seeing what happens every day, the best way to do that is to see it live the Daily Income Traser system. You can click that link below 100% Live six times a week, or six times a day during the week and two times on weekend. We go live, showing you breaking news, showing you the scans, showing you how to journal, showing you how to review, showing you how to trade. So if you're looking to take it the next level, click that link.

It's just a registration page 100% free. You could pick a time that works for you. We do them as early as 8 in the morning 8 Eastern and as late as 9. Eastern So wherever you are and again weekends too I Think you're crazy not to click that link and at least check one out.

Hopefully we'll see you on a Uh episode of The Daily Income Trer System.