I think more stock traders should be bond traders, or learn how that seemingly boring market works.
Too many people are stuck on technical analysis concepts from the 1980s because their first exposure was related to them.
The bond market is such a larger market than the entire stock market that its very easy to quantify the money flows out of the central banks, into that market and to other markets such as the stock market. How people are aiming to frontrun central bank behaviors.
Then it no longer matters if a PE ratio doesn't match your historical sector expectations, it no longer matters if an RSI is in overbought territority for longer than you thought. You dont have to rationalize your inadequate trades as “the market being irrational longer than you can remain solvent”, you can just make better trades understanding where the money is going, how it behaves.
Too many people are stuck on technical analysis concepts from the 1980s because their first exposure was related to them.
The bond market is such a larger market than the entire stock market that its very easy to quantify the money flows out of the central banks, into that market and to other markets such as the stock market. How people are aiming to frontrun central bank behaviors.
Then it no longer matters if a PE ratio doesn't match your historical sector expectations, it no longer matters if an RSI is in overbought territority for longer than you thought. You dont have to rationalize your inadequate trades as “the market being irrational longer than you can remain solvent”, you can just make better trades understanding where the money is going, how it behaves.