Our Blog will keep you ahead of the market with our geo-political views of the world.

Weekly Wrap by Pythagoras Investing: 2020 – a most remarkable year

Entering the year, both the USA and China were recuperating from the ongoing trade war.  Both presidents were beating their chests claiming victory but it is fair to say they were both  licking their wounds. It wasnt a great way to start what was going to be an extraordinary year. ...

Weekly Wrap by Pythagoras Investing: COVID Vaccine – its really happening

China … its all in the tone! Gross Domestic Product (GDP) is a measure of all that is produced and all that is earned and spent in the economy.  A recession is defined as 2 periods of negative GDP growth. In Australia we were in one and now we are ...

Weekly Wrap by Pythagoras Investing: Vaccine and Share Market

No matter what your philosophical position on vaccines, they are about to influence our lives in a way never seen before. (In fact, they already have been).  To understand more we examine the front runner for the Covid-19 vaccine and its’ importance to the whole world. Right now, AstraZenica is ...

Weekly Wrap by Pythagoras Investing : 14 Reasons Why

China has openly stated the reasons for the trade war with Australia.  In public statements and leaked correspondence, it pulls no punches naming the 14 reasons why Australia is to blame for the trade impacts we have been experiencing. This is not new.  A senior Chinese diplomat spelt it out ...

Markets love certainty!

Coronavirus vaccine effectiveness results published by Pfizer and BioNTech triggered a wild stock market rise around the world.  The markets were excited at the prospect of investing in stocks which were severely affected by the pandemic – particularly cyclicals.  Although we have been saying it will happen, it’s another thing ...

Weekly Wrap by Pythagoras Investing: Economic Coercion Crisis

Unfortunately, we have new developments in the Chinese economic coercion crisis.  There are now anticipated buying boycotts in copper, copper concentrate, timber, sugar and lobster.  These are added to those which are already known in wine, coal, barley, and beef.  Now we are hearing about potential boycotts in wheat also. ...

Weekly Wrap by Pythagoras Investing: Will China Boycott Iron Ore?

Coronavirus waves are moving back through Europe with France and Germany re-initiating lock-down measures.  The US dose of the pandemic is accelerating rapidly. These factors along with the US election are causing markets to fall.  The question of who wins in the US Election is anyone’s guess – but I ...

Weekly Wrap by Pythagoras Investing: Bull and Bear views

The US election looms as a point of great uncertainty.  As we get closer I expect some uncertainty to rise – with Melbourne Cup, The RBA meeting and the US Election all on the one day! This week we wanted to review the arguments for the bulls and the bears ...

Weekly Wrap by Pythagoras Investing: Investing in 2020

This week the RBA announced it would keep interest rates at 0.25%. They are likely to fall further and little chance we will see much of an interest rate rises for years.  Property has been knocked and investment property has suffered due to huge impacts on the rental markets with ...

Weekly Wrap by Pythagoras Investing: Too much stimulus or too little?

Today I wanted to discuss the twin stimulus's I referred to last week in my blog which can be found here.  Unfortunately, the US negotiations are still unresolved.  However, in Australia the Treasurer has delivered a budget with a focus on injecting money into the economy with the objective of ...

Weekly Wrap by Pythagoras Investing: Stimulus. Please!

Here’s what you need to know about the US election debates: President Trump’s first debate was a childish disgrace.Biden agrees to 2 more debates!  Don’t waste your time!The moderator could not control the debate.  No-one was impressed.Trump is laying the foundation to undermine confidence in the election process.Trump blames China ...

Weekly Wrap by Pythagoras Investing : US market wobbles

Fiscal Stimulus v Monetary Policy Fiscal policy is how a government adjusts its spending levels and tax rates to monitor and influence a nation's economy. It is the sister strategy to monetary policy through which a central bank influences a nation's money supply and interest rates. Monetary policy – there is nothing really ...

Weekly Wrap by Pythagoras Investing : Fiscal Cliff

Earnings : Downgrades in 2021 and upgrades in 2022 In 2021 we see earnings in financials downgraded -3%, industrials -7% but in resources +6%.  Earnings in 2022 have recently been upgraded by 15%.  A good sign, but more growth is expected (and needed). Price earnings is a term explaining the ...

Weekly Wrap by Pythagoras Investing : Technology Stocks

A few little questions we address this week. Can the bulls and the bears both be right about stock markets? Why would growth/technology stocks become so highly priced? What have interest rates got to do with growth and technology stocks? Are growth and technology stock values sustainable? What can change? ...

Weekly Wrap by Pythagoras Investing: Reporting Season

Reporting Season August was the fifth successive month of growth, albeit modest.  With earnings season finished we can now make some overall observations.  Earnings per share in the second half of financial year 2019/20 fell by 38%.  The worst of the earnings fall in the 2008/09 GFC was about 20%.  ...

Weekly Wrap by Pythagoras Investing: Et Tu Brute?

If you would like to be added to the Weekly Wrap Newsletter please register here. Capital raisings set to continue The uncertainty about the impact of the pandemic has sparked many capital raisings on stock exchanges around the world. Australia has raised $30bn of capital from the beginning of the year ...

Weekly Wrap by Pythagoras Investing : Decoupling or Boycotting

If you would like to be added to the Weekly Wrap Newsletter please register here. Decoupling or Boycotting Australia China wants the US to accommodate a different political, economic and values system.  But the US believes China wants to erode free-market norms and democracy.  America has wanted to protect itself from ...

Weekly Wrap by Pythagoras Investing: World Markets and Vaccines

If you would like to be added to the Weekly Wrap Newsletter please register here. Chinese Trade Whilst analysts had expected exports from China to fall by 0.6% for July they actually rose 7.2% due to demand for medical goods and automobiles as COVID-19 restrictions relaxed around the world.  This sort ...

Weekly Wrap by Pythagoras Investing : Stage 4 Restrictions

The Australian Dollar From the middle of the GFC the A$:USD appreciated from 65c to $1.00+.  Similarly, from the end of March 2020 our currency has surged from a low of 58c to 72c.  This is a mammoth move.  Exporters must cope with these currency moves as foreign buyers pay ...

Weekly Wrap by Pythagoras Investing: Reporting Season begins

Gold Prices Gold is a highly speculative metal.  It is a different type of asset as it isn’t based on an income stream like most shares, property, bonds and cash. In addition, the supply of every ounce produced still exists and can come back on to the market, however unlikely.  ...

Weekly Wrap by Pythagoras Investing: Economic Update

Economic Update The budget has been deferred and this week’s economic update was the first chance to see the “damage” and understand what is likely to occur in 2021.  There are a lot of numbers but critically unemployment is forecast to peak at 9.25% by Christmas and drop from there.  ...

Weekly Wrap by Pythagoras Investing: Job … Insert Marketing Term

The Economy Australian unemployment rose to 7.4%, but if you add those on JobKeeper this number would be 13%+.  We remain of the view that ongoing support will be needed beyond the initial JobKeeper period – regardless of what they name it.  Clearly this unemployment number will be further affected ...

Weekly Wrap by Pythagoras Investing: We are Here

Ongoing relations with China We may benefit from bringing in migrants from Hong Kong but at what cost.  The trade tensions continue with more antagonistic noises from China in response to Australia involving itself in Hong Kong and other matters.  The time is rapidly approaching for us to stand up ...

Weekly Wrap by Pythagoras Investing: Coronavirus Financial Crisis (CFC)

A typical pattern for a correction looks a little like this.  The first phase is panic selling, indiscriminate selling, regardless of the company.  High risk, high uncertainty.  The second phase is the snap-back - a sharp recovery where the market realises that its oversold. It does not really know by ...

Weekly Wrap by Pythagoras Investing: 21 June 2020

Financial markets are paranoid about an acceleration in new coronavirus cases, driven by the concern about a larger and longer global recession than expected.  This concern was sparked by outbreaks in Beijing, Tokyo and the continuation of problems in US. Therefore, the market recovery is based on a reduction in ...

Weekly Wrap by Pythagoras Investing: 14 June 2020

Oil had its first weekly decline in over a month, dragged down by the broader selloff. OPEC confirmed a continuation of supply cuts with “overproducing nations” forced to pull back production into the future.  This will stop the downward pressure on price which existed 6 weeks ago. At the same ...

Weekly Wrap from Pythagoras Investing: 6,800 target for the ASX200

Since coronavirus struck the world has been a very strange place.  After falling very rapidly, the markets bottomed at the 23rd of March when the ASX200 index was at 4650 (approx.).  Whilst the markets have done a dance with volatility they have risen significantly since then.  Today the ASX200 stands ...

Weekly Wrap by Pythagoras Investing: Trade Wars, China, US, Australia, and … India?

For those who can access Ausbiz News, Michael Dee was interviewed by Ingrid Willinge from Ausbiz on "A big step up in Trade Wars". China v USA, China v Australia and soon China v India. China v Hong Kong.  Where to from here? What it means for markets. To view ...

Coronavirus effects on house prices and listed share opportunities

When we talk about house prices remember we are not referring to selling of the same house so measurement of price change is very imprecise. But like any good asset it will have a price set by supply and demand. Demand is currently being affected by income constraints and supply ...

Weekly Wrap from Pythagoras Investing: House Price Outlook: -5%, -20%, or -30%?

There is little doubt that house prices will fall, but how far and for how long? Down by 5%, 20% or 30%? When we talk about house prices we are not referring to the selling of a particular house – but the average price of an area.  Therefore, published price ...

Weekly Wrap from Pythagoras Investing: Wolf Diplomacy part 2

WAustralia ignored China’s warning about trade for years and continued to impose massive duties on Chinese steel, aluminium, and chemical imports eg Chinese steel pipe tariffs are currently 144 per cent. With the new Chinese Wolf Diplomacy, Australia was warned again of trade impacts if we pursued the USA’s agenda ...

Weekly Wrap from Pythagoras Investing: market reactions to bad news

Stock markets do not reflect the general economy, therefore, stock prices vary from general economic conditions. This is are due to a few key dislocations between the stock market and the general economy.  Firstly, the stock market index doesn’t represent the underlying economy – eg agriculture and small businesses are ...

Weekly wrap from Pythagoras Investing: China bares its teeth

Chinese ambassador Cheng Jingye said that the Australian “pursuit of a global COVID-19 review could spark a Chinese consumer boycott of significant Australian services and products” Why is it happening? The rise of Japan post WW2 made them a potential threat which the US attempted to bully through sanctions – ...

Weekly Wrap from Pythagoras Investing 26 April 2020 : Oil

Oil : Big Winners and big losers by country and stock.  OPEC is headed by Saudi Arabia.  Historically OPEC openly manipulates the production volume of oil to maximise profits – it is the usual practice; a known price fixing.  The USA has not participate in production cuts, instead usually increasing ...

Weekly Wrap from Pythagoras Investing 5 April 2020

Past the low now. Stimulus money is coming out of the woodwork in a big fashion now.  We expect this will continue.  The economic woes of shutting down entire economies is having a significant effect on business, employees and governments.  The shakedown caused by the Governmental measures taken (at least ...

Weekly Wrap from Pythagoras Investing 23 March 2020. Irrationality, be gone.

The market is pricing a lot of pain - we have priced all of the bad, forever.  Mr/Mrs Market is in deep depression right now.  With previous crashes, pricing the recovery begins months before the worst of the event has past.  This is where separating the real effect of the ...

Weekly Wrap from Pythagoras Investing 15 March 2020

Lunatics have taken control at the asylum. At times like these it is important to go back to basics so I am taking a helicopter view today.  What has happened to the world stock markets in the last few weeks? Firstly, we have had the spreading influence of the coronavirus ...

Did Saudi Arabia just kill OPEC or shale oil? 10 March 2020

Current OPEC members include the following: Algeria, Angola, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, the Republic of the Congo, Saudi Arabia (the de facto leader), the United Arab Emirates and Venezuela. Up until the middle of the 20th century, the United States was the largest producer of oil ...

Weekly Wrap from Pythagoras Investing 8 March 2020

Well markets this week have started to move sideways.  We know it is hard to hold on during the uncertainty but markets now have the support of the US Federal Reserve.  As mentioned in a previous communication/blog (click here) we believe that the falls emanating from America were the result ...

Weekly Wrap from Pythagoras Investing 2 March 2020

This week we have entered a down period in the market, a period that should have already commenced, as the Coronavirus has not just happened.  The trigger is more a realization in the US market that it is no longer conducive to keep propping up share prices to favour one ...

Weekly Wrap from Pythagoras Investing 23 February 2020

We are living in interesting times – as the ancient Chinese curse says. The biggest news at the moment is the coronavirus. (It’s great that it isn’t Trump for a while). Let’s review this information about coronavirus against a basic rule of investing - it is effecting earnings, interest rates ...

Weekly Wrap from Pythagoras Investing 16 February 2020

There is a lot of speculation relating to underexposing about the number of deaths from the coronavirus by China.  No doubt this is the case.  China is the epicenter of the outbreak so spread should be higher. The spread outside of China is low.  But after 2 weeks off over ...

Weekly Wrap by Pythagoras investing for 9 February 2019

I don’t want to make light of the Coronavirus, but I would like it to be kept in perspective.  Each year the Influenza virus travels the globe with all its mutations.  In the 2018/2019 year 42.9m were infected in the USA alone.  There were 61,200 deaths (down from 2017/2018).  The ...

Weekly Wrap by Pythagoras investing for 2 February 2019

Meanwhile in Australia the bush fires rage and as the mercury soars we have reporting season beginning to make itself felt.  Reporting season is underway and our markets are now a little expensive if earnings growth doesn’t shine through to justify the price moves.  We expect some pretty harsh reactions ...

Behavioral Biases Podcast with Pythagoras and Shares for Beginners

I had the opportunity to talk with Phil Muscatello on his Podcast called Shares for Beginners. The topic was taking emotion out of investing. This is important as humans are hard-wired to be emotional, but it’s the one thing we really can’t be when investing in the sharemarket. It makes ...

Weekly Wrap by Pythagoras Investing for 24 January 2020

Chinese New Year ushers in the year of the Rat. But the Coronavirus is going to have an impact on China’s celebrations and world markets near term.  Lunar New Year is a significant travel period for 400m Chinese, raising the potential for further spread of the illness.  The outbreak of ...

Weekly Wrap by Pythagoras Investing 14 December 2019

Important news in the US. Belief is building in a new China/USA “phase 1” trade deal. According to media leaks a deal has been made between the US and China.   According to mythical sources, the US has offered to cut tariffs by 50% on USD375m worth of Chinese imports.  It ...

Weekly Wrap 8 December 2019

This week we got the news that the Australian economy grew slowly. GDP growth in the September quarter of +0.4% was down from +0.6% previously.  Part of the issue is that households are saving rather than spending their tax returns.  The reduction to tax payable did not translate to a ...

Chinas Planning leads to the Trade War

To understand China it’s important to understand their 5 year plan. In China the major players do the work of the government due to what is incentivised. Local officials, banks and big companies, both state-owned and private—change their strategies to be in line with the 5 year plans. It’s an ...

China – Cultural Divide and Trade Wars

Western commentators and analysts find China troublesome to fathom. This is due to the ‘free market’ prism through which they look through. It is a fundamentally flawed starting position when trying to understand China! This further complicates dealing with China in a Trade War. Cultural Divide There is a Cultural ...

Buy Recommendations: able and not able to transact

Working with recommendations: Afterpay Touch Group Afterpay isn’t a stock for the faint hearted but it’s great as a case study to illustrate how Pythagoras buy recommendations work.  Each buy recommendation comes with an upper price limit which we measure against at the end of the day, using the close ...

Trading in Afterpay using Maths

Afterpay (APT) is growing its customer base, merchant numbers and revenue very fast.  It is loss making but is close to breakeven with a market capitalisation of $8bn.  It is expanding into offshore markets and building a platform for future growth. It has issues of fast growth and currency to ...

Trade War Bullying : the common thread through history

We highlight the parallels of the China-US and Japan-US trade wars.  None of this is new and there is a long way to travel yet.  Firstly, let’s start in the mid 80s.  New York Times, 11 March 1985, page 1 headline “JAPAN INVESTS HUGE SUMS ABROAD, MUCH OF IT IN ...

Pythagoras Investing in Action

Pythagoras Investing is a subscription recommendation service in the business of predicting share price behaviour using maths.  It is a new way of investing in shares for investors of all experience levels. To assist people to understand how it works we run a paper “portfolio” of 5 stocks using our ...

The extent of Chinese forward planning

Chinas five-year plans are the closest thing to an election manifesto for the Communist Party, laying out its longer-term priorities. But since the party still has overwhelming power, the plans carry real weight and China has a way of following through on most its goals. Understanding the goals is important ...

Inverted yield curve. China Outwits the US, again!

The US backtracked from the recent Trump “tariff tweets” due to be implemented on September 1.  Essentially, Trump admitted that U.S. consumers were bearing the brunt of the impact and decided to delay tariffs, recognizing the negative impact further tariffs would have on the U.S. economy. He has lacked the ...

Weaponised Currency? Absolutely

China played the currency devaluation card letting its currency slide in value against the dollar, making its goods cheaper abroad and offsetting American tariffs.  Its unsurprising that the Chinese are using the currency as a weapon – it has been a mainstay in their armoury. The devaluation of the managed ...

Trade Wars – determining who is the real superpower

A war with any adjective preceding it, is still a war, out of which there will be a winner and a loser.  In this case the war is called a trade war and the principals are the USA and China.  There are many stakeholders, one of which is Australia.  To ...

Why the price of Star Entertainment Group (SGR) fell

What they do? Star Entertainment Group has just downgraded earnings - this blog will explain more about the downgrade and its effect rather than the reasons behind it.The Star Entertainment Group operates The Star in Sydney, The Star Gold Coast and Treasury Casino & Hotel in Brisbane. The Company also ...

Why the RBA Cut Rates ? Underemployment v unemployment

The RBA rate cut occurred due to economic weakness – rising unemployment, significant underemployment, lack of wages growth and a lack of consumer spending.  Hey, this economy isn’t growing.  Stimulation is required or we could be considering the R word before long with the main risk being the international trade ...

RBA Rate Cut and Banking Profitability in Australia

In the past we see rate cut cycles being positive for stock markets as they signal an impending positive.  But there are a few reasons to be watching carefully right now.  Rates are so low at 1.25% - there isn’t a lot of room to move if we get into ...

Trade Wars, Rare Earths, Lynas (LYC) and Pythagoras Investing

In the face of new trade sanctions and a U.S. move on Chinese telecommunications companies, China issued a pointed reminder that they have move moves up their sleeve to retaliate against the Trump administration. The threat to use China's rare earths as leverage in the negotiation with the USA. The ...

TRADE WARS: Effects on America

This week Trump tweeted he would increase tariffs from 10% to 25% on USD500m+ of Chinese goods. Investors are worried that the additional tariffs hamper economic growth causing uncertainty and volatility in the market. US and Chinese trade officials will resume negotiations in Washington this Thursday/Friday to try for a trade deal. The ...

Overcoming Labors Tax Increases

Franking Credits Are you part of the 4% or 96% impacted by franking credits? Did you know that on average, retirees would need to boost their superannuation balance at the age of 65 by 8% to 9% to make up for not being able to claim franking credits in retirement? ...

The next up cycle in the stock market … beginning now

The next up cycle in the stock market ... beginning now In our last blog dated 21 November 2018 we wrote about the use of stock market cycles (both long and short) to generate returns. We know that being successful in a volatile market requires awareness of the start and ...

Stock Market Rally

The next up cycle in the stock market Everyone knows that the stock market works in cycles, both short and long, with the short cycles forming a part of the long cycles.  A long cycle is generally regarded as over the course of a year.  The 2018 calendar year cycle ...

Volatility to return – opportunities to come

Published in LinkedIn 9/11/2018. In the coming weeks we are expecting a return to higher volatility for the market yet again. In the near term, immediately following further rises, we anticipate another slight drop. For our clients this slight drop will offer some fairly straightforward buying opportunities to accumulate cheap ...

Market Correction: Worst is now over – Pythagoras ramps up buying

Coming out the other side : Pythagoras ramps up buying.  Worst over now. On October 11 we warned that we expected this stock market correction to be more elongated but similar to February 2018.  Last week we published a blog about the similarities of the February 2018 pullback and our ...

Market Correction: Coming out the other side, better off

Markets work in cycles and we believe this market correction is no different from previous cycles.  Specifically it is quite similar to February 2018 but we believe a little more elongated and deeper (as we wrote about Thursday October 11). The drop in the market in February began in the ...

Trump Insiders Op-Ed. A Failed Democracy

We wrote about the failing democracy of the US and its consequences a year ago – now our concerns are being realised and it is obvious to all. As a result of the NY Times article written on 5 September 2018 entitled “I Am Part of the Resistance Inside the ...

14 Signs of a Global Financial Crisis: Australia July 2018

Signs of a Global financial Crisis - GFC Some of these signs are already present, some are occurring currently and yet others still developing. Over time we will track the occurrences as they unfold.  Whilst I have applied them to Australia, they are equally applicable in the US, Britain and ...

Stock Market Cycles

Stock Market Cycles - what are they, how do they work, and how do you make money from them? Stock market cycles repeat over time but the real trick is in the selling before a fall – if you could only be good at one thing then make it selling! ...

Global Financial Crisis: Early Indicators May 2018

When we boil it all down, it was greed and the escalation of greed which was the root cause of the GFC. The re-emergence of a number of Greed indicators show a worrying trend. Some of these are already present, some are occurring currently and yet others still developing. Over ...

Royal Commission: Pythagoras displayed advance knowledge of improper practices

The last 2 months have been tough for shareholders in the major Australian Banks.  Their share prices have dropped throughout March and April. Evidence of misconduct presented at the Royal Commission on Financial Services has created uncertainty about the future for some the worlds most profitable banks. Traditional analysts will ...

Santos: Pythagoras trades again!

Pythagoras Trades Santos, again! Over the 3 months to 9 April we recommended buying Santos 18 times.  At $0.74 profit per trade that is a staggering total cumulative profit of $13.31 or 13.5% return on capital employed. On 9 April the Pythagoras recommendation was to sell - we thought that ...

Why trade in crypto-currency ?

How to make  money by crypto-currency trading Webinar Watch our recent webinar on “How to make money by crypto-currency trading”. Why take on the risk? Get out of the snake pit … try something different Topics covered in this webinar: Traditional currencies v crypto-currencies Fundamental Influences on Crypto-Currency Incremental Demand ...

Investing in shares versus gearing your SMSF into property

  Watch a replay recording of our live webinar which addressed; why so many people are gearing their SMSFs to buy property? Paul Keating's view about gearing an SMSF for property – a future “accident”. Learn about some issues of gearing property in an SMSF. Hear why people struggle with ...

Pythagoras clients clean up on Santos (STO)

Pythagoras recommendations for Santos (STO) Today the Santos (STO) price opened at $6.10. Our clients average buy price is $5.15 – ie a profit per trade of $0.94 or 18%.  Over the past 3 months we have recommended buying Santos 18 times.  At $0.94 profit per trade that is a ...

Harnessing the Power of Volatility

We call Pythagoras the White box – it is a computer program which works everything out based on our concepts and formulas. The basis upon which we work is that volatility has an inverse relationship to price, ie when volatility is up, price is down and when volatility is down, ...

Pythagoras Investing returns for Worley Parsons (WOR.AX)

Worley Parsons (WOR) To understand how Pythagoras Investing works, we are using this stock as an example. Pythagoras recommendations created a 16.2% return for our customers in the past 3 months. We recommended 16 buys which resulted in an average profit of  $1.42 per buy.  Over 3 months total capital ...

Pythagoras Investing returns for Acrux Limited (ACR.AX)

Acrux Limited (ACR.AX) To understand how Pythagoras works, we are using this stock as an example. Pythagoras recommendations on this stock have provided a 9.2% return for our customers in the past 3 months. Compare this to a standard 2.8%PA high-interest bank account and you start to see the benefits ...

Cryptocurrency Snake Pit

Cryptocurrency and the snake pit - a tale of woe Cryptocurrencies were formed on the basis of good faith, however when the essence of the technology relies on something being hidden it will always be abused and attract abusers. When the level of abuse (read scams) becomes too high the ...

Pythagoras Investing returns for Bellamy’s Australia Ltd (BAL.AX)

Bellamy's Australia Ltd (BAL.AX) To understand more of how Pythagoras works we are using this stock as an example. Pythagoras recommendations on this stock have provided amazing returns for the past 2 months We recommended 13 buys which resulted in an average profit of $1.17 each when sold at $12.80.  ...

Pythagoras Investing returns for MMA Offshore (MRM.AX)

MMA Offshore (MRM.AX) To understand more of how Pythagoras works we are using this stock as an example. Pythagoras recommendations on this stock have provided amazing returns for the past 7 weeks We have 5 buy recommendations at an average of 21.7 cents and a sell at 26.5 cents.  A ...

Cryptocurrency- has NOT gone bang yet!

How to make money by cryptocurrency trading It’s the same as all investments – intuitive investing - buying low and selling high. Cryptocurrencies are highly volatile.  You should do some fundamental research into demand for the crypto-money.  If you do you will understand the importance of some of the following ...

Pythagoras Investing returns for Silex Systems (SLX.AX)

Why the retail investor is always the last to know: A focus on Silex System No one really wants to acknowledge that they sit on the reactionary side of trading but it's something most investors have in common.  Investment decisions are usually a reaction to an event. Here is a ...

Pythagoras Investing returns for Mastermyne (MYE.AX)

Why the retail investor is always the last to know No one really wants to acknowledge that they sit on the reactionary side of trading but it's something most investors have in common.  Investment decisions are usually a reaction to an event. Here’s an example:  An event happens to a ...

Pythagoras Investing returns for Bellamy’s (BAL.AX)

Bellamy's Limited Australia is a major Australian food and beverage company, and is the parent company of Bellamy's Organic, Australia's largest organic infant formula producer. It is also one of the stocks that Pythagoras provides mathematical recommendations for.  Investors who chose to subscribe to Pythagoras recommendations for Bellamy's Limited have ...

Bitcoin – will you still be there when it all goes bang?

Thinking about Crypto-currency This paper is written as a result of trying to understand the current mania in the price of Bitcoin and other  crypto-currency.  The hysteria has captured peoples attention  – drawing more people into the trap. Here are our thoughts. Traditional Currency Currencies are set up by sovereignties ...

Pythagoras Investing CEO podcast with Equitymates.com Part 2 : Finding Success in a Falling Market

During this Pythagoras Investing podcast with Equity mates, CEO Michael Dee discusses his experience during the 2008 Global Financial Crisis. As most investors fled from equity markets, Michael was gathering investors to start his own fund. In this interview, we discuss what he saw that led him to predict a ...

Pythagoras CEO podcast with Equitymates.com part 1

Michael Dee sees markets differently to a lot of other investors. In 2008 while the global banking system was collapsing and investors panicked, Michael quit his job at the Queensland Investment Corporation to start his own fund. In the 10 years since Michael has established Pythagoras Investing, a unique way ...

Guide to Investing: a must read for those starting out in the Stock Market

For anyone curious about investing in the stock market, you need to know how and why it works - click here  to get your copy of our Guide to Investing by Pythagoras. Below is the table of contents. Chapter 1: Shares What is a Share?  What can I do with ...

Market to remain volatile for the rest of 2017

The world is, at the moment, in a perilous place. The USA is putting itself at odds with most of the world and is endangering itself and its allies through its war of words with North Korea. Added to this is a burgeoning amount of natural disasters, not able to ...

Trade Sanctions and International Alliances

In light of the proposed trade sanctions proposed on our region, we wanted to pose the questions, where does Australia tie itself? Where should it? As we recently wrote about in our blog on the North Korean Missile Crisis there is significant influence possible by President Putin over North Korea’s ...

Are you enjoying this type of return? Emeco (EHL.AX)

Pythagoras leads the market in predictive investment knowledge We provide stock recommendations that are ahead of the rest of the market using our mathematical predictive logic that allows us to predict future share price moves. Pythagoras makes investing easy!  Buy and sell recommendations are emailed to our clients for their ...

Australian Resource Markets to Surge

Japan: Proud & Independent Firing a missile over Japan was a tactical error by the Supreme Leader of North Korea.  It is one thing to play bluff with the US but to tease Japan in this way is to insult their culture and heritage.  They have awoken the giant. Economically, ...

North Korean Missile Crisis

Whilst it appears through cultural and trade links that the person most able to influence North Korea's Supreme Leader is the President of China, in reality Xi Jinping is not the only one nor is he the main one. The one who Kim Jong Un tries to copy the most ...

Pythagoras Investing: Programmed Maintenance 41% Return Bonanza

Pythagoras leads the market in predictive investment knowledge We provide stock recommendations that are ahead of the rest of the market using our mathematical predictive logic that allows us to predict future share price moves. Working with Pythagoras: Predicting Events Pythagoras makes investing easy! Buy and sell recommendations are emailed ...

America: A Failing Warmongering Democracy

A democracy is meant to quickly respond to the wishes of the people through their elected representatives, each with an equal voice.  In a democracy, politicians can influence the will of the people, but never dictate to them. Thank you for joining. We have sent a confirmation link to your ...

Will there be a war between David and Goliath?

The situation between the USA and North Korea raises a lot of issues for consideration.  The actual threat of a war is very small, for whilst North Korea might bloody the nose of the US, it would result in them being set back many years as their country is razed ...

The Next Weapon of Global Financial Disaster?

Weapons of Mass(ive) Destruction: A Lesson from the Past CDO’s were sophisticated financial tools that banks used to repackage individual loans into a product that was to be sold to investors. They did this because it was a source of funding to make new loans and to grow faster; it ...

Early Indicators of the next GFC

When we boil it all down, it was greed and the escalation of greed which was the root cause of the GFC. Thank you for joining. We have sent a confirmation link to your registered email. Please click the link to activate your subscription. Note: If you don't receive our ...

The Real Super Power is China

To have any hope of getting your head around China its important to understand China's motivation. In our view their drivers are to industrialise, create employment and sufficient infrastructure to create a sustainable economy for the long term. Thank you for joining. We have sent a confirmation link to your ...

Its important to understand how we got out of the first GFC

A river of capital flowed ... bail-outs, interest rate reductions, printing money, special banking arrangements etc. Worldwide stimulus packages flowed including a massive stimulus from China. Bankers were no longer paid to hoard and began to lend. Capital began to trickle – when the banking system appeared solid. A readjustment ...

Stock Market Cultural Chasm – Eastern versus Western Logic

Cultural Chasm in the Understanding China Series Western commentators and analysts find China troublesome to fathom. This is due to the ‘free market’ prism through which they look at the share market. It is a fundamentally flawed starting position when trying to understand China! Cultural Chasm There is a Cultural ...

Sovereign Debt Binge

Were you aware that private and public debt greater than what it was in 2008? Does it alarm you?  Who Cares? We are selling hope here. In reality, the debt binge works for countries. They are selling hope to their people – just saying that the debt levels will resolve ...

Did Collateralised Debt Obligations (CDOs) cause the GFC 1?

... a walk down memory lane in the GFC series It is important to understand what happened last time ! The beginning In the Lead up to 2008 credit easy to obtain, interest rates were low, there was an excess of capital, risks were ignored and Greed was rampant. This ...

Investors, change or perish!

Change is in the air Historically the world has been organised by borders, meaning that the approach to a country’s affairs has been parochial. The notion of border control is not new, it, more than anything has led to conflict between countries over time. The parochial approach by countries exists ...

Sell Bank Shares And Stay Sold!

Banks are making too much money, and that is all about to change. If your bank isn’t making enough money from you please leave a comment. I’ll wager there isn’t going to be one person comment! With bank charges, low deposit rates, everyday loans and premium loan products – they ...

Longevity of China: Part 2 An Innovation Lead Economy

Part of the Understanding China Series China’s 5 Year Plan To understand China it’s important to understand the 5 year plan. In China the major players do the work of the government due to what is incentivised. Local officials, banks and big companies, both state-owned and private—change their strategies to ...

Longevity of China: Part 1 Lowering Growth to a Sustainable Pace

Part of the Understanding China Series Forward Planning – China’s 5 year Plan Chinas five-year plans are the closest thing to an election manifesto for the Communist Party, laying out its longer-term priorities. But since the party still has overwhelming power, the plans carry real weight and China has a ...

Australias International Alliances – time for a rethink?

Australias International Alliances in the Understanding China series, 6 October 2015 In light of the free trade agreements recently published, we wanted to pose the questions, where does Australia tie itself? Where should it? Clearly we need to examine the USA and China – as we have a foot in ...