Here at Cestrian Capital Research, between our directors and shareholders, we have degrees positively up the proverbial. Careers spent in fancy jobs of the financial and legal kind. Suits. Ties. Oxfordy-lookin shoes. All that. And so it is of endless amusement to us that the company we now own and run has a core part of its business operating a couple stock boards. The best of which is sat inside our Growth Investor Pro
service. Each and every time an idea is communicated not through the high art of mime, but the low practise of meme, we thank our lucky stars that those suits are gathering dust at the back of the office wardrobe. Because in this latest act of our professional lives we appear to have found success running …. a community?
Being technology investors by training, chit-chat isn’t something to which we naturally turn. We’re more likely ourselves to be considering whether that’s a 0.786 retracement on that stock chart, whether in fact the US will succeed in re-shoring semiconductor fabrication, and/or whether it’s worth getting into a Twitter argument about whether web3 is a thing or not. This is what we consider to be socially acceptable small talk. Community lol.
Anyway, the most wonderful thing about the investor community we’ve attracted to our Growth Investor Pro service is that, one, the skill level is very high, two, that everyone is pulling in the same direction rather than in the way many actual investment firms work, wherein folks spend much of their time secretly hoping Fat Faced Bob’s complex derivative strategy unwinds quick-smart on him, causing him to (a) be fired therefore (b) miss the payments on the Lambo he doesn’t even own (it’s only leased) but won’t stop talking about and then © commence a long and painful decline and finally (d) have to join the Retired Janitors Of Idaho and not, we might add, as the manager of their retirement system but in fact as a Retired Janitor himself. Oh, and, three, folks in our community actually help new joiners to succeed.
Now, this is great on upswings in the market, because ideas come in thick and fast, we at Cestrian Towers can run numbers, churn out charts and whatnot, and folks decide what to do with their hard-earned as a result. All happy-clappy of course. But where the community has really proven its worth is prior to the usual selloffs in the market, be they deep or shallow, brief or seemingly unending. The tool used by the community is the “We Got This Alert”. When things are going too well, when most all the ideas we put forward or our community generates start moving up and bigly, right away, when it’s all looking easy like we all be genius investors … anyone is at liberty to shout, “We Got This!”. Meaning of course, “Yikes!! We Definitely Do Not Got This!!! RUN FOR THE HILLS!!”. And the more folks pile in with the We Got This Alert, the more we know to worry.
Through most of November we positively printed money. J-Po had nothing on us. Brrrrr brrrr brrrr went the printer, all day and all of the night. Which led to a number of our wise members sounding the Alert. Which led us to take a very good look at the indices last weekend. Which told us that the S&P500, the Nasdaq, the Russell 2000 (in IWM ETF form) were all looking ready for a correction, based simply on the degree to which they had moved up in recent months. The S&P500 was sat at the 100% Fibonacci extension of its most recent larger-degree Wave-1 up, and the Nasdaq at the 1.618 extension of its Wave-1 up. “Yikes”, we said. Could get rough. And so last Sunday we published this cheery note.