Originally if you wanted to learn how to trade futures you had to come to Chicago and try to get a job as a runner. Eventually as the floor has shifted to the screen you were a runner for food and coffee, like I was. I imagine it was similar with stocks in NYC too….
Tag Archive: Futures
How you define an outcome (losing capital), changes future outcomes.
(From the archives) Redefining or changing a word in a sentence can provide the necessary psychological shift to see things in a different way. This different perspective can lead to different results (hopefully positive). Probably the most common redefined word in finance is “Loss” which is turned into “Investment in Education” or “Tuition”. I am…
The contradiction in trading rules and advice.
Teaching is hard. I look back on what I did to my parents, my teachers, and coaches, they had some serious patience. They must have used a bunch of energy trying to get their points across. And of course my personality and lack of experience got in the way. One of the hardest things for…
Don’t let data f@#% you.
Data and information are like air. It is everywhere and we need it to survive. Just like in every breathe we take we have a chance to do what we want with it, data is no different. Anyone can manipulate any data and make it say whatever they want. The tools we have today to…
Cycle of Trading
This is the process we use when executing a trade. As you get better the time it takes in each sequences shortens and becomes second nature. We would really appreciate your feedback, if you like, hate, or think we are full of crap. Please leave a comment, a voice mail (312) 725-9121, email info @…
Misplaced focus.
One of my best friends from high school thought he was Deion Sanders. After playing football together for many years our list of pre-game superstitious and rituals were lengthy. It was a production. Finally a coach stepped in and the madness came to an end. Habits can form for little or no reason but end for a…
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 knew…
Futures returns math and how you might be taking too much risk.
Futures is one of the last business opportunities where the good are rewarded more than the bad are punished. This is because of leverage and how much discipline is required. I was talking to trader who trades 1′s and 2′s. They were not happy with making $200 a day. First, I think it is important…
CME Group action late but at least is something.
I have not seen everything in the futures industry but I have enough perspective to know that the MF Global was a big a deal. I am not sure why the CME has not come to restore some faith. I have always seen the CME as having “midwest” values. To help your neighbor if you…
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 view…
