Don here…

Walmart trades at a 39 PE ratio. Apple trades lower. Costco sits at 46. These are grocery stores and big box retailers priced like tech companies.

Nothing anybody says in financial media has any relevance to why things move anymore. Zero. I listened to analysts this week promoting the financial sector. They couldn’t give me a single fundamental reason.

In today’s free session replay, you’ll discover:

• Why order flow is the only thing that matters now. SLV traded 400,000 option contracts by mid-morning. That’s billions in notional value. China taking physical delivery of silver is a drop in the bucket compared to what moves through options markets every hour.
• The debt rollover crisis nobody wants to discuss. Five-year paper issued during COVID at 1% now refinances at 3.6%. The yield curve is flat across every duration. There’s nowhere to hide. That’s why the administration wants rates at zero.
• What the forward VIX tells you that the index doesn’t. VIX shows 14. The 49-day futures trade at 18.40. The options market already knows volatility is going higher. Buying VIX products at current levels means you’re paying for a move that’s already priced in.
• Why JP Morgan is up 35% since April with no fundamental change. From down 15% year-to-date to up 35%. Rate cuts don’t help banks. Consumer debt problems don’t help banks. This is pure order flow and year-end positioning.

The financial markets are not what most of us grew up with. The classical representation was that markets provided price discovery. I don’t believe that anymore. Markets are efficient only because somebody is willing to pay $668 for Meta. Not because it’s worth that.

Everything has become a trade. Order flow drives order flow. The fundamentals are window dressing for what already happened.

→ Watch the complete session explaining why valuation metrics are worthless and how order flow actually moves markets

To your success,
Don Kaufman
Chief Market Strategist, TheoTRADE

P.S. You know what’s worse than losing money? Losing money slowly while your capital sits trapped in a trade going nowhere. 0DTE fixed that for me. Everything resolves today.

👉 [Let me show you]

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