When Balance Sheets Tell You Where the Bodies Are Buried
Three technology stocks are about to crack. Their balance sheets can't survive the next wave of selling pressure. Most traders don't see it yet. They're still buying every dip like it's a generational opportunity. The FOMO runs deep, especially in tech and AI names. But the smart money is positioning differently. I hunt for these…
9 Tech Stocks That Can't Pay Their Bills
Blake just identified nine tech stocks that literally can't cover their fixed expenses with current earnings. Not speculative expenses. Not future growth costs. Their basic rent, leases, and debt payments. The ratio he's using is brutal in its simplicity: EBIT plus fixed charges divided by fixed charges and interest. When it drops below zero, you've…
Why $80 Burritos Signal a Market Breakdown
I stopped ordering Chipotle. Not because I'm cheap. I've never been stingy about food quality. After 20 years in the markets, I know what good value looks like. But $80 for two burritos and chips delivered to my house crossed a line. My wife started making them at home instead. Better ingredients. Better taste. A…
Managing Trading Emotions: Why Our Ancient Instincts Cost Us Money
In this weekend's article, I want to explore our psychology and how humans are wired to handle emotions—both positive and negative. During my session in the futures room, we discussed excitement (or FOMO) versus fear, and how these primal responses affect our trading decisions. The Evolutionary Cost of Fear To understand this better, think about…
The Travel Sector is About to Collapse
Blake just uncovered something disturbing in the leisure sector. And Southwest Airlines might be ground zero. Everyone's watching the Fed and rate cuts. Blake's watching economic data that's screaming slowdown across the board. Last week's reports? Almost everything missed expectations: ADP payroll negative for two straight months, missed by 80,000 jobs ISM manufacturing and services…
Giving a Hoot About Your Problems
I love nature. I love making analogies about nature. Our neighbor had a small bird problem—and by "small bird problem," I mean both that the problem was small and the birds themselves were small. Hundreds upon hundreds of birds had taken up residence in the trees lining the sidewalk in front of their house. We…
Two Ways to Play Homebuilders
Homebuilders rallied 40% off their annual lows. Everyone celebrated the bounce. The Fed cut rates in September, and housing stocks took off. But something broke in the past week… The ITB ETF tested resistance at $117 twice and failed both times. The uptrend line that held for months snapped. Treasury yields refused to drop despite…
Rocket Mortgage Is Bleeding Cash
Blake just uncovered a mortgage company that's literally losing money on every deal. Negative cash flow. Negative profit margins. Negative return on equity. And that was BEFORE mortgage rates failed to drop after the Fed cut. Here's what Blake found when he pulled up Rocket Companies: Net income: Negative $102 per share Quick ratio: Can't…
Growth Despite Hardship
On the path where I walk my dog, in the middle of a small crack in the pavement, a solitary marigold has sprung up in this unlikely spot. Despite the inhospitable conditions—excessive heat and little water—it thrives. While it's not difficult to see lessons in this hardy foliage, my mind turns to my mother. Perhaps…
47 Stocks That Can't Pay Their Bills
Blake just ran a scan that should terrify every bull. He found 47 major stocks that literally cannot meet their debt obligations without selling inventory. Companies like Boeing, Starbucks, Lockheed Martin, and Caterpillar are all on the list. Here's the brutal math Blake revealed: Quick ratio below 1.0 means these companies don't have enough liquid…