MM #171: Black Equity Matters! What's Next for Nvidia? China Real Estate Collapse, & Is a Recession Coming?
Aug 22, 2023
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Guest Michael Burry debates his short position. Topics include Evergrande's bankruptcy, WeWork's impact, Chinese and international stocks, trading strategies, US public debt, the inverted yield curve, Bitcoin's plunge, equity and respect in branding, and forecast for NVIDIA's stock.
To increase your probability of winning as a trader, focus on trading off price action rather than relying solely on indicators.
It is not recommended to buy Chinese or international stocks until the geopolitical tensions, trade wars, and macroeconomic issues are resolved.
The alarming rise in public debt has significant implications for investing and doing business, emphasizing the importance of finding companies that can outpace inflation and have strong financial war chests.
Companies should prioritize authentic representation in their initiatives for black communities, rather than just using the word 'black' without genuine black equity or leadership involvement.
The impact of social media culture on public judgment and commentary raises concerns about the prevalence of negative comments and the need for mindful engagement to support positive initiatives and avoid baseless negativity.
Deep dives
Increasing Probability of Winning as a Trader
To increase your probability of winning as a trader, focus on trading off price action rather than relying solely on indicators. Learn to trade without using any indicators, and develop the ability to trade any chart, any market, and any timeframe based on price action alone. Additionally, avoid overtrading and stick to a predetermined number of trades for a year. Overtrading can lead to losses and inconsistencies in your trading strategy. By focusing on price action and trading disciplined, you can increase your chances of success as a trader.
When to Buy Chinese or International Stocks
It is not recommended to buy Chinese or international stocks until the geopolitical tensions, trade wars, and macroeconomic issues are resolved. Strategies within China may be suppressed until these issues are resolved. It is important to wait for a clearer picture and favorable market conditions before considering investment in Chinese or international stocks.
Increasing Probability of Winning as a Trader
To increase your probability of winning as a trader, focus on trading off price action rather than relying solely on indicators. Learn to trade without using any indicators, and develop the ability to trade any chart, any market, and any timeframe based on price action alone. Additionally, avoid overtrading and stick to a predetermined number of trades for a year. Overtrading can lead to losses and inconsistencies in your trading strategy. By focusing on price action and trading discipline, you can increase your chances of success as a trader.
When to Buy Chinese or International Stocks
It is not recommended to buy Chinese or international stocks until the geopolitical tensions, trade wars, and macroeconomic issues are resolved. Strategies within China may be suppressed until these issues are resolved. It is important to wait for a clearer picture and favorable market conditions before considering investment in Chinese or international stocks.
Concerns about increasing public debt and its impact on investments
The podcast episode discusses the alarming rise in public debt, with the U.S. public debt projected to increase by $5.2 billion every day for the next 10 years. This has significant implications for investing and doing business going forward. It highlights the importance of finding companies that can outpace inflation and have strong financial war chests. The episode emphasizes the need for companies to provide higher returns and adapt to the challenges posed by the growing debt.
Critique of companies using the word 'black' without real equity or representation
The podcast explores the issue of companies using the word 'black' in their initiatives without actually having real black equity or representation. It questions the practice of creating separate divisions or initiatives specifically for black communities without genuinely involving black leadership. The episode calls for a shift in how companies approach diversity and inclusion, advocating for authentic representation rather than superficial gestures.
The power of perception and criticism on social media
The podcast delves into the influence of social media and the impact of criticism in today's society. It highlights the prevalence of negative comments and the toxic discourse that often occurs online. The episode raises questions about the value of critics and calls for mindful engagement on social media, urging individuals to focus on supporting positive initiatives and avoiding baseless negativity.
Importance of Letting Go and Focusing on Positive Interactions
One of the main ideas discussed in this podcast episode is the importance of learning to let go of negative interactions and focusing on the positive ones. The speaker shares a personal experience of how they have dealt with negativity and emphasizes that no matter how kind or helpful you are, some people will still dislike you. They highlight the significance of training people on how to treat you and the power of not engaging with negativity. The speaker also references the example of John D. Rockefeller and how he was able to change public perception by giving back.
Understanding the Current Social Media Culture and Commentary
Another key point covered in the podcast is the impact of social media culture on public judgment and commentary. The speaker expresses their concern about the rise of social media and how it has made it easier for people to pass judgment on others without really knowing them. They discuss the emergence of public scrutiny and the trend of negative posts going viral. The speaker questions the obsession with celebrity lives and points out the contradictory nature of social commentary, suggesting that many individuals would never express their negative views directly to the person they are criticizing. They also touch upon the influence of the media in shaping public perceptions and sensationalism.
