Mastering Money: Your Financial Playbook

Mastering Money: Your Financial Playbook

Mastering Money

Feb 13, 2023

The stock market is a complex and dynamic entity that can be difficult to predict, even for the most experienced investors. While some market players may aim to manipulate the market by setting up both the bulls and the bears for a so-called “massacre,” a contrarian approach to investing can provide a hedge against such market manipulation and be a valuable addition to any financial playbook.

Contrarian investing is based on going against the crowd and taking a counterintuitive approach to invest. This means investing in assets that are out of favour or undervalued and avoiding overvalued or popular investments. This strategy can be a valuable component of a financial playbook, particularly for investors looking to reduce the impact of market manipulation.

For example, in the scenario described above, where market players aim to trick bullish and bearish investors by breaking through downtrend lines and creating the illusion of a new bull market, a contrarian investor may choose to go against the trend and avoid buying into the market at this time. Instead, they may wait for a pullback or look for opportunities to short the market, potentially profiting from its subsequent decline. This approach is just one example of how a contrarian strategy can be incorporated into a financial playbook.

Cons of Contrarian Investing

Of course, it’s important to note that contrarian investing is not without risk, and a contrarian approach may not always be successful. It’s also crucial for individual investors to do their research and consult with a financial advisor before making any investment decisions.

While market manipulation can lead to significant volatility in the stock market, a contrarian approach to investing can hedge against such manipulation and potentially offer an opportunity for profit. Incorporating a contrarian approach into your financial playbook can help diversify your investment portfolio and potentially reduce the impact of market manipulation.


This chart provides an overview of how the big players will probably try to set both the bulls and the bears for a massacre.

dow jones industrial average

The notion that market manipulators face limitations in profits when they single out one particular group of investors is a prevalent belief among the investment community. It is quite possible that these manipulators, in a bid to maximize their profits, may resort to using some of the tricks from their financial playbook to deceive both bullish and bearish investors.

Manipulators don’t make as much coin when they target only one group. One sure way to trick the bears and the bulls would be to make the Dow and several other indices break through their downtrend lines and create the illusion of a new bull. In this case, this would correlate to a move to the 34,300 to 34,650 range. In pulling off this feat, the bears would throw in the towel, propelling the markets higher due to short covering. The bulls thinking that all is well, would buy the rip, and then when everything looks fine and dandy, the guillotine is likely to fall.

Additional reading material

These references and resources can help provide a solid foundation for building a financial playbook incorporating contrarian ideas.

The Little Book of Contrarian Investing by Anthony Gallea provides a comprehensive overview of contrarian investing and how to apply this strategy to your investment portfolio.

Contrarian Investing by Steven D. Levitt and Stephen J. Dubner: This book provides insights into how to think like a contrarian investor and profit from going against the crowd.

Contrarian Investment Strategies: The Psychological Edge by David Dreman: This book explores the psychology of market behavior and how to apply contrarian strategies to your investment portfolio.

Investopedia’s article on Contrarian Investing: This article provides a comprehensive overview of contrarian investing and its applications in the stock market.

Forbes’ article on Contrarian Investing: This article provides insights into the benefits and risks of contrarian investing and how to incorporate this strategy into your investment portfolio.

Other Articles of Interest

Mastering Money: Your Financial Playbook

Mastering Money: Your Financial Playbook

Mastering Money Feb 13, 2023 The stock market is a complex and dynamic entity that can be difficult to predict, ...
Read More
The Importance of Keeping a Trading Journal

The Importance of Keeping a investment journal

Investment Journal: The Road to Financial Success updated March 20, 2023 Investing in the stock market can be a challenging ...
Read More
Exploring the Intersection of Investing and Murphy's Law: Supporting Research and Insights

Murphy’s Law and the Stock Market Fear Index: A Cautionary Tale

Stock Market Fear Index & Murphy's Law Feb 11, 2023 The behaviour of investors during bullish and bearish market phases ...
Read More
War of Attrition: Strategies for Thriving in Times of Crisis through Investment

War of Attrition: Strategies for Thriving in Times of Crisis

War of Attrition Feb 6, 2023 This chart contains data going back to 2000. The main point here is to ...
Read More
Dow Jones Outlook

Dow Jones Outlook: Understanding the Dangers & Rewards of Crisis Investing

Feb 5, 2023 The monthly chart of the Dow highlights the Path it and general markets follow could be similar ...
Read More
Financial Stress

Financial Stress: The Surprising Opportunity for Savvy Investors

Feb 10, 2023 Contrary to popular belief, financial stress can present a unique opportunity for savvy investors in the stock ...
Read More
financial anxiety

Financial anxiety: Follow The Trend

Financial anxiety: Short-term market outlook Feb 2, 2023 The following projections were curated from the November 28th Market Update, providing ...
Read More
dogs of the dow

Dogs Of The Dow Jones Industrial Average

Dogs Of The Dow: what is this all about? Updated Feb 2023 This theory is a contrarian investment strategy that ...
Read More
Investment Opportunity & Market Crashes

Investment Opportunity & Trading in the zone

Trading in the Zone: Mastering the Psychology of Trading Dec 30, 2022  Irrefutable Evidence that Crashes Equate to Investment opportunity: ...
Read More

Contrarian Investors: Key rules for contrarian investing

 Contrarian Investing: Tips for Outsmarting the Crowd Updated Feb 2023 Contrarian investing is a dynamic and ever-evolving field, and as ...
Read More

Is Value Investing Dead or Alive? Exploring Observational Angles

 Is Value Investing Dead or not? Tactical Investor Take Is value investing dead? Is this a million-dollar or just one-dollar ...
Read More
worst 25 year period in stocks

Worst 25 year period in stocks?

Is It The Worst 25-year period in stocks? Dec 2022 No, it's not the worst 25-year period in stocks; it's ...
Read More
Copper outlook

Copper outlook VIA CPER

Copper outlook: To dance or Not to Updated March 2023 In the August 27 market update on the copper outlook: ...
Read More
Broad Market

Market Sentiment Analysis: Broad Market Review

Market Sentiment Analysis: Buy The Fear Updated Feb 2023 One has to understand the difference between the forest (broad market ...
Read More
existing home sales

Existing home sales

Nov 28, 2022 One can see that while the median price has been rising, new existing home sales have been ...
Read More
stock market crashes in history

Stock Market Crashes in History

Oct 3, 2022 A study of the stock market crashes in history reveals one upbeat fact; the ones that lost ...
Read More
stock market crash history

Market Crash History: The 1970s Era

Sep 26, 2022 An examination of any  Market crash history reveals one stunning fact. Investors that jumped in and bought when ...
Read More
Russia Update on Ruble Neon Gas and more

Russian Update: Ruble, Neon Gas and more

Russian Update 1: World's Top Performing Currency? Updated Dec 2022 In 2022, the Russian Ruble emerged as the strongest currency ...
Read More
stock market rally

Stock Market Rally: Reality or Illusion?

Summer Stock market rally: To Be or Not to be? Updated March 2023 We expected the markets to correct last ...
Read More
Intelligent Investing Strategies

Intelligent Investing: Harnessing the Power of Data

Intelligent Investing: Navigating the Stock Market with Confidence Updated Feb 2023 To win, you have to have a stake in ...
Read More
trading volatility

Trading volatility: A whole New Stock Market Game

Trading volatility: Stick With The Trend Updated Dec 2022 Volatility will keep rising as we are in the battle of ...
Read More