Inverse Cramer

Market psychology is everything. Why are people doing what they’re doing? Why is that whale telling me with such confidence how they think the market will move? Do they have any ulterior motives? This gets more confusing when multiple whales promote opposite trades. But at least one trader seems to think they have found a winning edge:

• Crypto Twitter’s Algod is perhaps best known for his famous bet with Do Kwon that Luna’s price would tank.
• After that prophecy came true he’s turned to counter-trading a different type of trader – CNBC’s Jim Cramer.
• Despite professing to be an expert, viewer’s of Mad Money sometimes claim that Cramer’s advice seems counter-intuitive or that his track record is poor.
• Starting with a BTC short and an ETH long the account was up nearly 50% within 10 days. And yesterday, Algod posted that the account had officially doubled in value after just a month.
• Others have looked into Cramer’s predictions before. Two studies from Wharton School and Penn State concluded that Jim Cramer’s picks underperform the market on a risk-adjusted basis over the long-term. Over a 17 year period his performance was ~4% compared to the S&P’s 7%.

For more details on these studies and how Jim has been doing in 2022 so far check out this in-depth article. TLDR; don’t blindly follow ‘money experts’!