One of my favorite writers on the internet is Steve Place. Steve brings some fresh perspective about trading options and around volatility. I have mentioned him before and continue to read his material, it makes me a better trader – PERIOD. That is the highest praise that I can give anyone – Steve deserves it!…
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I wander frequently over to Trader Habits to see what Eli Radke is thinking. On May 22 he put up a great article that all traders should read. The reality here is he will tell you what you are thinking and how you should act. Emotions are a major part of how you trade –…
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When I analyze technicals and charts of stocks one of the main drivers is mean reversion. Simply put a moving average (mean) acts as a magnet towards price either up or down. Go to far to the upside and expect price to come down, likewise a steep drop. That was the case yesterday as the…
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It’s Deja Vu all over again. The above quote is from the file of the inimitable Yogi Berra, former catcher with the NY Yankees. Since we are in the early throes of baseball season and my good friend Tim Melvin is in 7th heaven with his 1st place Orioles I thought using some of Yogi’s…
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Inverse ETF’s are a great way to gain leverage if you are trying achieve excess return counter to the market or just trying to hedge a portfolio. The double and triple really can give you some juice. But how about the options? Most ETF’s offer option plays and as you can imagine the double and…
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So much uncertainty to throw the markets into a tailspin. Will they or won’t they? Up or down? Growth or recession? Romney or Obama? Heck, let’s just pack it in and call it a day until it’s all settled. Well…that is NOT AN OPTION. We need to battle through the negativity, poor sentiment and news…
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With the soon-to-be new issue Facebook coming out next week I thought it would be fun to look back on some other internet stocks and how different they are from Facebook and other recent issues. Back in the 90’s I was buying stocks of many tech names. I think at one point I probably owned…
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I pay more attention to what is being done than what is being said. We can listen and believe in whatever is spoken but at the end of the day it is the actions that count most. We see what is being done everyday by market players – buy, sell, hold. We hear analysts say…
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This past week the market had every reason and excuse to go down. Data seems to show the economy may be slowing, China is also coming in for a soft landing, more leaks springing in Europe. The Fed seems to be in a quandary, wanting to do something but unable or unwilling to make a…
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Tough market, isn’t it? It wasn’t long ago when the day started out positive and got stronger as we headed toward the closing bell, the result of a broad participation rally. Now we have but a handful of stocks rising smartly and the hope that our markets don’t crumble from weak knees (see chart below). …
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