Logan Kane, author of High Finance and popular Seeking Alpha contributor, stops by to discuss his thoughts on the current market. Logan is one of the brightest analysts I have ever followed.
Logan and I first met a couple of years ago, having lunch at a nice local restaurant and talking stock analysis, gold, and the economy. Logan does fantastic research into the markets that while providing a data analytics view that is contrarian to most market investors is nonetheless very valuable to investors seeking outstanding returns against the market average.
Logan and I cover the following main points during the interview:
Printing from Fed and how dollar must devalue going forward, down 25-30%, to get the debt under control;
His research showing that stocks go up in night and down during the day pretty regularly;
Why PayPal (PYPL) is his top pick for 2020;
More efficient ways to pay each other are emerging (including crypto) and will replace old methods such as paper checks;
Separating long term account from short term trading accounts, can trade both;
Logan is not a technical chartist but uses them to confirm known stock anomalies such as momentum from 1 day to 1 year with an eye on fundamentals;
Explains why mean reversion occurs after liquidity shock when a large investors dumps a stock not due to fundamentals;
Coronavirus is accelerating pre-existing trends, including shifts into high technology-driven growth;
GDP will grow but standard of living will go down due to debt, where US leaders are actively running existing institutions into the ground;
Corporation trends of buying back stock, taking debt, and cutting payroll to inflate numbers in the short term, provide less long-term value creation.
Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.