Tag Archives: emini

Thoughts on the Nanex HFT in futures report.

Nanex came out with their report of a report on futures, lets call it a derivative. The original report is here, I only skimmed it but came away with harmless conclusions and nothing that a trader would not do themselves. I want to say that I am not a HFT apologist but I will letContinue Reading

Turning your brain into foie gras.

As I type this in front of my 6 screens, down from 10, I go back to the question I was asked when I showed a friend my office. “Do you really need that many screens?”  I explained I needed 4 for trading and wanted 2 for internet. Going further I explained how I usedContinue Reading

Money is an imperfect feedback mechanism.

My first day of trading, I made about $670 gross. $450 net.  I had been placing trades through my mentor and making some money.  When I finally had the opportunity to place a trade for myself, I went crazy.  I somehow made $450.  I did not think about how I made the money.  I knewContinue Reading

End of month bull market tendencies.

In bull markets there is a tendency to sell the end of the month and buy the first of the month. This is also a time when there is rotation among markets. We look at markets on a relationship basis. By looking at these relationships we can adjust our execution, be bigger or smaller orContinue Reading

Flipping a position vs flipping a thesis.

We have all been stopped out and then flip (reverse) our position only to get stopped out again. Two things help me.  One I need to separate myself immediately.  If I am not at my screens I can’t trade.  No one likes to get stopped out and that most certainly changes the way I viewContinue Reading

Thoughts on trading plans.

When I speak about the need for a trading plan it is not because I got it right the first time. I did not have a plan I just did it.  I was told I needed a plan but at that point in my life I was always the exception.  I lost time and moneyContinue Reading

It isn’t the losing, it is the not getting back.

I get a phone call.  I make a few phone calls to cancel the meetings I have scheduled, I pack some clothes and get in the car. I am headed to the hospital.  Despite having made the trip home more than 50 times, I get lost 3 times. After the third time I finally caughtContinue Reading

Thoughts on oversold and overbought markets.

As with any indicator all it really provides are breadcrumbs or if you will, a post. Something visually attracting to help you remember the next time it happens. If you are looking at an indicator without context you are betting on three things: you saw it first, others will see it soon and react, andContinue Reading

Too invested to trade.

One of the worst parts of trading at CME is I got to see many traders on their last day. One of the best parts of trading at the CME is I got to see many traders on their last day. How they got to that point is all different. One of the three D’s,Continue Reading

7 Dirty Words of Trading

This originally appeared in January 2011. Be careful how you use the following words and phrases. Should– Phrases include: “The market should have” and “I should have”. Those phrases are often used to socialize losses. They are a strong signal something is off. They should be used to aid you in correcting your vision notContinue Reading

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