☕ What to do when the markets get too focused

Good morning! 👋 

My thoughts are in France where ceremonies are underway to mark the 80th anniversary of D-Day.  

I’ve walked Omaha Beach on several occasions over the years and, each time, found myself in a deeply contemplative mood.  

Sometimes I feel tremendous sorrow while at others profound humility knowing so many unhesitatingly paid the ultimate price because there was something much bigger at hand.  

Without fail, I am thankful. 

The words of French bishop Jean-Baptiste Massieu (1743-1818) come to mind… 

La gratitude est la mémoire du Coeur 

Gratitude is the memory of the heart 

If you have never visited Normandy or walked the beach, I encourage you to do so because it offers us the chance to see patterns in the present that might otherwise be invisible. 

This is as true in life as it is in the financial markets. 

Speaking of which… 

The story continues to be all Nvidia, all the time. 

Whenever that happens – meaning the markets get singularly focused – I’ve learned to take a breather. 

Some folks want to “press” or “force” trades but, more often than not, doing so is a huge mistake. Just because you’ve convinced yourself that there’s an opportunity too good to miss doesn’t mean the markets agree. 

It’s not just buy, sell or hold like people think. 

Doing “nothing” is an equally viable and often dramatically underestimated decision. 

But that’s what I’ll be doing today. 

Nothing. 

I’m comfortable with my investments and trust you are with yours, too. Especially if you’ve been reading along for any length of time. 

There’s nothing I want to trade jumping off my screens, so I won’t because the risks don’t match up to the rewards. 

Days like today are an excellent opportunity to let your mind go quiet. 

Which is why I encourage you to do a little nothing, too. 

Think of investing and trading as a conversation. 

What is the market trying to tell us and can we really hear the message when it’s delivered? 

I think the answer is unquestionably “yes.” 

With a twist. 

Good listeners don’t force conversation by constantly jumping in and talking over people any more than the world’s most successful investors trade just because they can. 

The markets will be here tomorrow. 

So will we. 

Bottom Line 

You got this – I promise! 

As always, let’s MAKE it a great day. 

Keith 😊