[Exclusive] Market Timing & Independent Thought

Timing determines trading success. Act too soon and you place yourself at significant risk of being ‘chopped up’ as the market continues to build momentum to take direction. Hesitate and you...

Is There a Value Premium?

Introduction The value versus growth debate is endless. Value and growth styles tend to move in cycles, sometime in or out of favor. The value premium, return on value stocks...

Reason Why Traders Do Not Use A Stop Loss

Fellow traders, most of the time you might have heard that it is good to trade with a stop loss. I relate stop losses to buying an insurance for...

Trading Lessons From Cool Hand Luke: Get Your Mind Right!

Quotable “We do not see things as they are but as we are.” --Samurai Trader’s Maxim Number One                                                                         Commentary & Analysis Trading Lessons from Cool Hand Luke: Get...

How to Cherry Pick Your Trades

In the last two weeks since I put K’s account on my “cherry-picked” trading system, she is up 200 pips net so my experiment of putting outcome ahead of...

Why Positive Thinking in Trading is Important

The language you use as a trader can provide either positive reinforcement through honest self awareness or negative results through demeaning self talk.  In other words, when discussing your...

Forecasting, Causality, the Black Swan, and your Edge

"Those who have knowledge, don't predict. Those who predict, don't have knowledge. " -Lao Tzu, 6th Century BC         I shared this seemingly simple equation, add a few comments and wade more...

How to become Millionaire with Consistent Success in Trading

What is the difference between Sachin Tendulkar and Virendra Shewag, Both have class of their own, in fact Shewag playing style is far better than Sachin instead of this...

Build Good Trading Habits in Three Steps

You should keep a trading journal of every trade you make! Backtest every system for at least 1,000 trades! Brush your teeth before bed! All of this is sound advice....

This Often-Ignored Indicator Says Stocks Could Rally Soon, Defying the Headlines

In retrospect, the weakness that started to take shape a couple of weeks ago shouldn't have come as a big surprise. More important, the clues that told us at...

Understanding Random Reinforcement in Trading

Few Trading Facts 80% of all day traders quit within the first 1 year  of there trading most of them trade in Options and use brokers who give them...

Trading Systems? Forget Mr. Right, Choose Mr. Right Now

The fundamental tenet of all system trading is that the strategy should work across a broad range of time ranges and a wide swath of products. For example, a...