Traders on TV are idiots

I’ve gotten this link sent to me by about five people, mostly non-traders, non-professional money managers and with more than 1 million views on YouTube, it’s clearly gotten some traction among the masses.  Lots of people seem to think this one random dude that one random TV station put on for one random interview on one random day is somehow “THE TRUTH”.  As if this dude in the video knows something that you don’t.  He doesn’t.  He’s just another money manager who’s been dead wrong about the “coming collapse” for the last who knows how long and now he’s just sure it’s here.  Really, this time. Any day now, we will get the great depression and market crash that he admits repeatedly he has “been dreaming about the crash and economic depression for a very long time”.

Seriously, I know that most of my subscribers and others who have watched this video seem to get scared by what this dude is saying.  Watching the video this morning now for the second time in two days, I can’t help but get more emboldened in my bullishness and my contrarianism in the face of all this worry and handwringing over something that everybody and their dog has already worried about.  That is — when everybody’s looking for it, it won’t happen. Remember back in 2009 how everybody was sure that commercial real estate was going to be the next big shoe to drop after the 2008 credit crisis?  Remember how it never happened?  Remember how Greece’s sovereign debt problems were supposed to crash the world’s economies and stock markets back throughout 20010?  Notice this guy in the expensive suit in this video is still waiting?

I bought some Goldman Sachs calls with strike prices over $100 up to $120 or so with expiration dates from November into early next year.  And while I fret over any and all of my investments and trades constantly, I do feel a little bit better about buying while that guy on TV is trying to get everyone to panic.

Before I go, here’s a clip of me on TV back in 2008 that Lehman and the other big banks were insolvent and warning everybody that the markets were indeed about to crash.  That’s me back in the summer of 2008 BEFORE the markets DID CRASH  Not everyone on TV is always wrong.

I’ll take the other guy of this BBC trader interview though.  Every time.