Published in April 16th, 2009
It’s well known that following a period of contraction, we can expect an explosive move. The question of course is, what measure of contraction do we use?
In this blog, I’ll look at some of the traditional methods as well as the one I like.
Figure 1 shows the contraction methods of which I shall be writing […]
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Published in April 14th, 2009
There has been a practice among less experienced traders to hold a long and short position without closing the position out. The idea is that the positions are hedged and the trader will lift one leg (usually the profitable one) and then seek to at least breakeven on the remaining open leg.
As far as I […]
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Published in April 14th, 2009
The quality of our lives is determined by the actions we take. Our knowledge, experience, decisions, questions we ask, matter not a wit unless action follows. That’s why I call my seminar that lays the foundation for trading success, Habits of Success.
In his book, The Action Phenomenon, Robert Ringer suggests that four insights working […]
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Published in April 10th, 2009
Chee Kiang Lim, an attendee to my 6-week webinar asked:”S&P futures up >2%. Was your prediction based on charts or historical performance over the Easter period?”
I had similar questions from some of the Indian viewers of NDTV-Profit.
Here’s my answer.
My approach to the markets involves multi-disciplines. I am looking for confluence from different information sources. For […]
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Published in April 9th, 2009
Yesterday I wrote that investment success requires consistent execution of our risk management and trading plans. In ‘Taking It Seriously’ (April 3 edition of ‘Psych Cap Tips & Tricks‘), Denise Shull suggests that it is not possible to execute a plan without an element of discretion - unless you are running a mechanical system that […]
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Published in April 7th, 2009
Yesterday I was speaking about the unrealistic expectations of some of the advertising material. Today I want to illustrate the points I was making with a personal example.
Figure 1 is my VAMI (Value Added Measurement Index. The index measures the value today of an investment of $1000. As at October 31 2008, the VAMI stood […]
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Published in April 6th, 2009
“By now, you’ve already seen Semi-Automatic Forex Engine turning an account of $2,500 to $5,714 in just 9 days……and then… exploding it to $325,931 in 10 months”.
A lifetime ago, I’d have been the first in line.
‘Wow!’ I’d think, ‘I’ll be a full-time trader in no time! After all this is made possible by a […]
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Published in April 3rd, 2009
I have received quite a lot of mail on this and on the subject of trading losses. Today, I’ll deal with the S&P question.
The seasonals on the S&P have been uncannily accurate. Based on the charts produced by MRCI, I got the low I was looking for at the end of March. I expect […]
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Published in April 2nd, 2009
Judging from the comments in the popular media, the G20 is focused on:
Tighter hedge fund regulations
Tighter regulations against ‘tax havens’
Co-operation to ’save the world’ from the global recession
Funding for the IMF
“Poor old hedge funds” - they certainly have had their share of troubles: massive losses; withdrawals; and now they are being blamed for causing the […]
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Published in April 1st, 2009
At a time when markets are hard to read , stuck as we are in a ‘blah’ market, I would like to share what Dr Janice Dorn has to say as follows:
Which Came First - The Happiness Or The Success?- Dr Janice Dorn
Cross ref: http://awanginvest.com/?p=1181
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What’s the deal with happiness […]
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