Posted on June 2, 2009 by Adam
Although risk management is not the most sexy aspect of trading, it is certainly one of the most important. It is the first thing I think about before placing any trade, and it’s always at the back of my mind when I’m scanning charts.
But why pay attention to a topic that seems dryer than the [...]
Posted on May 21, 2009 by Adam
When trading conditions are tough, you can rely on gold stocks to get you through. The reasons why are fairly simple
To understand why, you need to look at the relationship between gold and equities. The role that gold plays in intermarket dynamics changes over time. It generally moves opposite to the US dollar, as investors [...]
Posted on March 22, 2009 by Adam
This is the first post in a series of articles that will uncover some of the proprietary trading systems used by succesful hedge funds across the world.
Some hedge funds adhere to a buy and hold strategy, which works fine in a bull market, when everything is going up. Jim Cramer is a prime example of [...]
Posted on March 16, 2009 by Adam
Hello everyone, and welcome back from what I hope was an enjoyable weekend.
Part of what I try to do on this site is to provide some clarity and ideas for those of us who are trying to make sense of what the market is doing. I know it’s been a tough few weeks, but I [...]
Posted on March 8, 2009 by Adam
If you have been following the news, you may have heard that the SEC recently released a copy of this report, which was submitted in 2005 by a whistleblowing Wall Street insider, warning regulators of the vast fraud underway in Bernie Madoff’s fund. The SEC completely ignored the warning, submitted by Harry Markopolos long before [...]
Continue ReadingPosted on March 5, 2009 by Adam
Trading is hard - I’ll be the first to admit it. But that doesn’t mean we can’t be profitable over time, even if the market is down.
The key lies in defining your risk and reward on every single trade
What do I mean by risk and reward? I define risk as the maximum amount the trade [...]
Be on the lookout for an extended pullback.