I watched a short 5 minute video by @abnormalreturns this morning. Tadas talks about confirmation bias and market analogies. It got me thinking about some of the flaws that had/have when I am doing analysis. Video is below. Self-definition and strategy. I am essentially a technical analysis and a tape reader. I am short… Continue Reading
Monthly Archives: December 2010
Trading mindsets that do not translate to everyday life.
It is in your best interest to not fight human nature. Trade your personality. Be yourself most of the time. I have been fortunate to meet several “famous” people. I met a rapper who was timid, who only wanted to listen to rock music. I met an infamous/famous entrepreneur who was so uncomfortable having a… Continue Reading
The world is ending. Buy now, take profits to afterlife.
THE WORLD IS ENDING. I apologize for being scrooge-like so close to holidays. But the world is ending, right? Who knows what is going to happen with North and South Korea. Have the students stopped protesting in the UK? I bet the government was happy there was a snow storm. Speaking of global warning, that will kill… Continue Reading
It is not always connected.
Disclosure: Do not make any decision based on my opinions. Follow your plan. In many ways this post is about “talking my book” well talking my point of view because I do not hold any positions. My point of view is so vastly different than those that I read that I am starting to feel… Continue Reading
Getting out too early.
I got an email about getting out of a trade too early. This topic requires some massaging. I’m exiting trades prematurely out of discomfort and loss aversion. Can you suggest an exercise? Is it appropriate/worthwhile to execute the planned trade, set stops and scales (OCO) and force myself to walk away? I responded with the following.… Continue Reading
An opposing philosophy on trading.
I read an article last week about a trader who is holding his silver position. He is going all or nothing, as he puts it. I have a different view but I appreciate his view. A true attempt at understanding a point of view is very rewarding. There is are very few right answers, especially… Continue Reading
Breaking rules…. another reminder.
One of the advantages of being an “educator” is being able to experience mistakes of others. Below is an example of that. If you have taken the time to develop a solid trading plan, which has proved to be profitable and successful. Why the fuck would you go against? I broke a golden rule this… Continue Reading
Resting orders, trading plans, and intuition/fear signal crossing.
I have had a nice email exchange over the past week. Originally we had talked about pulling the trigger, I asked him to send me his trading plan. In addition he asked me my opinion on resting orders. A plan is only as effective as your ability to except the consequences of following it. I… Continue Reading
Doing nothing.
For the first time in a long time I did not execute a trade. I felt a little rushed this morning and I did not take the opening range trade. From there, things looked really tight to me. Volume is not horrible but volatility is. Hard to say what is going to happen the rest… Continue Reading
Fear of failure.
Note: Having trouble with the other site right now. My host has zero customer service have to wait it out for a bit. The reason this site is hosted somewhere else. The benefit of trading and life is that the same lessons can be applied to each other. Truths about life can be slightly shifted… Continue Reading
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