Friday, March 9, 2007

Conjuring the Lipan

By Joshua Robbins

The Lipan were a small group of Eastern Apache bands who in an attempt to preserve their heritage and lives, continuously migrated away from aggressive and hostile people. Their history is one of migration that involved being displaced by external pressures like the arrival of the Europeans and in turn, displacing the people who lived on the land they came to occupy. They became skillful warriors themselves and shared a history of warfare with other native groups and Europeans alike. Eventually this small group was “modernized” and moved to a reservation away from their homeland of Texas where the Lipan tradition would soon die out of time and memory.

Why is this important? Well it seems as though we as traders are constantly being sold on ideas and what is good for the “modernizers.” We try to shun these ideas away but eventually, we always lose and “they” take what is ours. Who we are in nature, are survivors, trying to provide the essentials to life. There are two ways to survive: ethically secure and catastrophically distressed. We must move away from the aggressive, hostile traders.

Considering what has happened over the last week, one would think that we as investors as a whole would take a hint and not drive inflation. Wednesday was an example that we have yet to learn our lesson. I am attempting to conjure the Lipan so perhaps they will give us the spirit and drive to disconnect with pop-culture media brokers and learn to take care of basic needs for survival.

I have received about 1,000 emails throughout the week as to what to look forward too; so many confused, vulnerable traders out there willing to cut someone’s throat to make a dollar. Hence the reason, it is best to watch your back. To be honest, there are many ways to protect you. One way is to not buy inflated equities. What do I mean when I talk about inflated equities? Well here is a quick example. “Inflation is measured by comparing two sets of goods at two points in time, and computing the increase in cost not reflected by an increase in quality. Therefore, there are two of the same product. One costs more than the other. Thus, one sells at its worth and one sells at an inflated price. This is a huge problem with most buyers in the market today as they look at it at as a “bet” and that is exactly what it is; gambling. Buying a stock that is inflated doesn’t make you hip; it causes a catastrophic chain reaction that we all recently witnessed. The upside is that you, as a Blue Collar Trader, will not have this problem as the product is priced relatively close to what it is worth.

Alright, I get it, enough opinion! You want to know what sectors I am buying? Well that will be in the members area that is attached to the bottom of this article. But I can give you one heads up, because I know you want to make some money. Nike (NKE) is splitting on 04/02/07 2-1; therefore to get this 2-1 split you have to be on the record before March 12th. Isn’t a split bad? No, it just makes the stock more appealing to a normal investor which creates an upswing, which puts money in your pocket.

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