How We’ll Profit From the World’s Largest Market

It’s easy to look back and see what we should have done in the past…

All of us would have bought GameStop shares early and sold just before the short squeeze ended in 2021.

We would have shorted Netflix just before it dropped 40% in a day last April…

And anyone with funds at Silicon Valley Bank would have withdrawn them well before it failed this year.

But it’s much harder to forecast what’s going to happen in the future.

That’s why I’ve honed my ability to predict where markets are headed over my 35-plus-year career. And thankfully, that’s paid off for my readers.

So today, I’ll explain how I predicted our current volatile circumstances and reveal what I see ahead now…

And I’ll share a strategy I’ve never discussed before that will offer a unique way to profit in the months ahead.

Storm Warning

At the beginning of 2022, I shared my thoughts on how the markets would play out that year…

To me, the answer was crystal clear.

In 2021, Big Tech had rallied to dizzying heights. Price-to-earnings (P/E) ratios had shot into the stratosphere.

Stocks with no earnings at all were trading at crazy prices… Analysts were creating new ratios to backward-engineer a rationale for their irrational valuations.

Popular wisdom said all investors had to do was “buy the dip,” pin their ears back, and hang on for the ride.

An endless supply of cheap money had tricked retail investors – and even investment houses like Goldman Sachs and JPMorgan – into thinking the rally could keep going.

But I knew there would be pain ahead… Not just a little bit, but lots of it. I’d seen the perils of uncontrollable inflation firsthand many decades ago.

That’s why I warned my subscribers that the game was well and truly up…

Unruly Inflation

Inflation had gotten well out of hand following the COVID crisis… And once the Fed finally acknowledged the problem last year, it got stuck playing a massive game of catch-up.

Last year, it went on the fastest series of rate hikes since the 1980s, pulling rates up from near 0% to 5% as of the March meeting.

But as I noted in December, it takes a while for those interest rates to bite.

Once inflation becomes entrenched, it can take years to get it anywhere near back under control. Possibly many more years than people realize…

So, I wrote that inflation simply wasn’t going away… and bet that there would be more surprises ahead. That’s certainly played out with the recent banking collapse.

And while the Fed has shown its willingness to bail out depositors to appease the markets, it has also demonstrated resolve on hiking rates to get inflation under control.

That means the word recession is about to be back in vogue in financial journalism. And volatility is here to stay.

Investors are going to be continually pulled into false breakouts in both directions. No sooner will they buy a stock than it will turn around and bite them. And that will rip up plenty of accounts in 2023.

Likewise, traders will have to stay nimble and be cautious with their risk management.

But there’s one specific way to make money in this environment that I want to make you aware of…

The Largest Market in the World

Most people stick to the stock and bond markets for investing and trading. And that’s fine.

But there’s another market that is primed to succeed even when other things don’t – the currency market.

When headlines mention a “stronger dollar” or “weakening euro,” for example – this is what they’re talking about. It’s possible to trade currency pairs to profit from these shifts.

Currency trading – also called forex (“foreign exchange”) – is unique for a number of factors.

For one, it’s the largest market in the world. In 2022, the forex market averaged $7.5 trillion worth of trades per day. Compare that to the $200 billion average daily trading volume of the New York Stock Exchange.

And it trades 24 hours a day, from 5 p.m. ET on Sunday evening through Friday at 5 p.m.

That means there’s a lot of opportunity here.

I’ve traded more than $500 billion worth of currencies since the ’80s… It’s one way I helped my hedge fund customers profit during my 20-year winning streak.

But there hasn’t been much excitement about forex for about the past decade.

That’s why I haven’t spent much time discussing this market with my subscribers since I launched the Opportunistic Trader back in 2019.

Now, that’s changing, and the “currency window” is opening wide once more. Interest rate hikes and monetary policy decisions across the globe are bringing fresh interest to this market.

And it’s finally time to introduce this space to my readers.

That’s why I’m preparing a special presentation to explain more about how forex works… why it’s worth adding to your trading skillset… and the most interesting currency pairs I see now.

It’ll go live on April 19 at 8 p.m. ET. And I’d like to invite you to join me.

You can go right here to save your spot with one click.

Larry Benedict
Editor, Trading With Larry Benedict

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