Here’s the thing. If you can’t spot the sucker in your first half hour at the table, then you’re the sucker – MATT DAMON from the movie Rounders I think most of us will agree in order to be successful trading we need some kind of an edge. A good friend or relative who [...]
By Charles Maley and Nick Pingitore I don’t know how to sit outside myself and test against a hypothetical self who stayed home – THOM GUNN I have had the great pleasure of working with Nick Pingitore for the last 10 years. After being a client of mine for over five [...]
A perfection of means, and confusion of aims, seems to be our main problem – ALBERT EINSTEIN In Part one we talked about how outlier events in the markets play such an important role in our final performance, yet how few are really aware of this fact. These events come out of nowhere, [...]
A perfection of means, and confusion of aims, seems to be our main problem – ALBERT EINSTEIN Malcolm Gladwell in his book Outliers says an “outlier is a scientific term to describe things or phenomena that lie outside the normal experience”. In Florida for example, you can expect most days during the summer [...]
George Bernard Shaw once said “Success does not consist in never making mistakes but in never making the same one a second time.” Of course this is easier said than done. In any event this is a critical problem in trading. We do make the same mistakes over and over and sometime working with other [...]
It seems to me that back testing trading strategies before trading them is becoming increasingly more popular these days. The evolution of the “sophisticated” trading platform now offers investors access to “back testing strategies” as well as fast and cost effective execution. The “do-it-yourself” fad is on the rise, and who can cast blame when [...]
Most of the articles and media reporting are centered around the stock market, because most investors and traders look to the stock market for returns. A few newspapers and magazines occasionally talk about commodities, but are mostly reporting on Gold, Copper and Oil. I thought I would put out the performance of 40 different markets [...]
This is an interesting short video from YouTube which covers some of Ben Bernanke’s forecast from 2005-2007, just before the crisis took us hostage. Now, I would assume that Ben Bernanke has a research staff, and access to information, that would dwarf our capabilities, not to mention he can call anyone he wants on the [...]
Those that have knowledge don’t predict. Those that predict don’t have knowledge – LAO TZU What criteria did you use to choose your latest investment? A better question would be, are you sure that you even understand the criteria? For example, let’s say that you chose a mutual fund based on your advisors [...]
Here is an interesting video of Trader Salem Abraham and Howard Lederer, legendary poker player. They discuss the similarities in managing a good poker hand and a good trade, and how folding bad hands in both cases is the key to success. Howard Lederer is known as “the Poker Professor” because of his demeanor, [...]
