I received an awesome email teaching me about an interesting concept for our trading: art therapy. I thought I would share it with the trading community. Last time on your webinar you asked what is art therapy? It’s kind of like when a kid goes to a child psychologist and in order for the psychologist to figure out what’s going … Read More
Do You Pick Bottoms and Tops?
Good afternoon Mike, I read One Good Trade, and I pre-ordered The Playbook so I could get some additional insight into professional trading. I saw quite a few references to buying the support plays or selling the resistance plays, and I was wondering about the strategy, so my question is overall do you try to buy the low or sell … Read More
Forex: The Professional Trader is the Prepared Trader
When you turn on your computer each morning and you look at your favorite forex pairs, can you tell me exactly what levels you are most interested in taking action on? Can you give me a good argument as to why you would be looking for longs or shorts at these particular prices? If you can’t answer these two questions … Read More
Do you have a news edge?
Last night I had dinner with Ravee Mehta, author of The Emotionally Intelligent Investor and former hedge fund trader at Soros Fund Management, hoping to learn more about getting a real news edge while trading. On my desk I hear my guys talking about Conviction Trades before the stock confirms their thesis. I have worked with very experienced discretionary traders who … Read More
Does the 10,000 Hour Rule Apply to Trading?
It takes purposeful practice AND 10,000 hours to become great at anything, says this latest blog from Barking Up the Wrong Tree. I write about one way to practice purposefully in my next book The PlayBook (which you can preorder), by creating your PlayBook. I have written about other ways extensively on this blog (some examples below). Improving Our Performance … Read More
One’s Over Reaction is Another’s Opportunity
Volatility has ticked up in recent weeks. It’s about time. The major U.S. equity indices and currency markets have presented some sizable intraday movements. Uncertainty is beginning to re enter the markets. This is the time when traders shine the most. This is when the average traders improve and the good traders become great. Investors and uninformed watch their accounts … Read More
Should Short Term Traders Consider Fundamentals? Part I
I believe the majority of market participants agree over longer time horizons fundamentals will influence the price of a stock. But what about in the short or medium term? Should intra-day traders or swing traders be evaluating fundamental news related to the stocks they are trading? Or should they simply focus on price action in relation to news? I have … Read More
I Was Captain of the Mathletes
In high school I was captain of the Mathletes. Once a month we would travel to other schools and compete against their top math geeks. Many of the problems we were asked to solve appeared to be complex but often contained what were simple solutions. In math and in nature things that appear highly complex often can be reduced to … Read More