Ep. 1385: The Value Scam with Michael Covel on Trend Following Radio

Michael Covel delivers a blistering critique of the 'buy and hold' investment philosophy, arguing that the concept of 'value' is a myth perpetuated by financial institutions and academia. He challenges listeners to confront the reality of recent market swings in major tech stocks like Nike, Oracle, and Microsoft—companies that soared on AI-driven narratives only to crash dramatically. Covel asserts that these price movements aren't anomalies but evidence of a systemic scam where the financial system manipulates perception through coordinated narratives, leaving average investors vulnerable. The real truth, he insists, lies not in fundamental analysis but in price action: the only reliable signal is the trend itself. Drawing from legendary traders like Richard Dennis and the Turtle Traders, he champions trend following as a disciplined, rule-based system that doesn't require predicting the future—just following the market’s momentum with strict entry, exit, and risk rules. In a world of misinformation and collapsing trust, Covel positions trend following not just as a profitable strategy, but as a form of personal sovereignty—offering control in an unpredictable world.