A little mental trick…
I want to share a quick thought with you today--a little trick in thinking that made a big difference in my trading a few years ago. One of the problems…
Working on Exit Skills
[dc]O[/dc]ne of the challenges developing traders face is learning to manage positions effectively. Think about it for a minute—how many books do you know that show patterns and setups for…
Reader question: Range or Flag in the AUDJPY?
Reader Greg asks this question: [dc]R[/dc]egarding your Chart of the day: Bullish Pattern in Aud/Jpy, which as you predicted broke out to the upside. My question is simple...why did you…
Reader question: Color Rules
[dc]R[/dc]eader Jayram asks, "Can you tell what is the significance of the blue & red bar coloring in your charts on the blog?" Sure, Jayram. I use various color rules…
Reader Questions: Volume and Support&Resistance
Reader Andre asks two questions in response to my post on the failure test trade: It seems that you do not take in consideration any kind of volume information when…
Video Blog: the Failure Test
This video blog is a follow up from this post, and digs into some of the details behind the Failure Test trade in a little more depth.
Trading Pattern: the Failure Test
[dc]I[/dc] want to do a small series of posts looking at some of the most important trading patterns I've used over the years. Rather than go in-depth with multiple examples,…
Tracking the Stock Market Intraday
[dc]O[/dc]ne of the main challenges for stock traders is understanding the ebb and flow of the broad market on the shortest timeframes. There is so much noise in price movement…
Two Modes of Market Behavior (1/2)
[dc]W[/dc]hen trying to master any complex subject, it can be helpful to reduce things, as much as possible, to basic elements. Price movements in markets are very complex; so many…
Chart of the Day: A Difficult Environment
[dc]O[/dc]ne of the advantages of using properly calibrated bands is that they can show when markets reach emotional price extremes. It should be rather unusual for a market to go…
Why Is Trading So Hard?
[dc]I[/dc] receive a lot of notes and messages from people who are struggling to learn to trade. One of the common threads is that many of them are discretionary traders,…
Chart of the Day: XLY/XLP spread
Traditionally, the spread of Consumer Discretionary stocks over Consumer Staples stocks has been taken to be a gauge of market sentiment—a clear expression of a cyclical sector compared to a…
Reader Question: What Does “Good Risk Management” Mean?
[dc]T[/dc]his, my first reader question, comes from John in Seattle: I often see and hear people talking about good risk management being a good part of trading. What does this…
7/1/12 Stock Relative Strength Scan
[dc]O[/dc]ne of the challenges facing stock traders is knowing where to focus your attention. In a universe of roughly 7,000 names, with maybe 2,000 of those traded actively, how do…
Your questions–My (attempts at) answers
[dc]J[/dc]ust an open invitation here to my readers: If you have topics for discussion, ideas for posts or series of posts, questions on the book, questions on the market or…
Some Important Lessons I’ve Learned
I thought I'd share a few thoughts today, kind of a "what I've learned in the past 10 years" post. This list was refined and crystallized by the process of…