Conversation with a failed trader
Today I met a chap who is a failed trader. This was a rare opportunity. I had known him for about 3 months just fromRead MoreLearn More
The loser’s game
The news has been out from August 2018 that the European Securities and Management Agency (ESMA) has compelled all brokers (subject to its jurisdiction) toRead MoreLearn More
Bitcoin: Investor, trader, gambler or idiot?
In the last few months we’ve received inquiries from several about Bitcoin and various similar things, often referred to as cryptocurrencies. In essence many ofRead MoreLearn More
Microtrends and risk aversion
Many a trader will have looked at the same chart (say AUDUSD) at different times (let’s say 4 hours apart), and had doubts or anRead MoreLearn More
So did you get it right?
Did you get it right? This is an important question for new and seasoned traders to think about – but there is a problem withRead MoreLearn More
New traders conned
This morning I receive yet another email from somebody selling a system for beating the markets, subject to terms and conditions. It’s some software thatRead MoreLearn More
This is worth your next million
Lots of new traders are looking for a magic solution to make money. They come into trading as a sort of flirtation – to seeRead MoreLearn More
Sterling causes excitement
Those who were watching Pound Sterling, would have seen some excitement recently. The Prime Minister, Theresa May, called a snap election on 8th June 2017.Read MoreLearn More
Mission Impossible – early notice.
What if there was a way to take money out of the markets (legally of course) without having to figure anything?! That must be theRead MoreLearn More
Nerves of steel – like Formula 1 racing.
Many new traders are unaware that they actually need nerves of steel. Some will argue that ‘nerves’ are not part of the equation – ifRead MoreLearn More
The more I look around the net on trading courses, the more I come to think that there is a big scam going on. SomeRead MoreLearn More
Tools – not fools!
The tools referred to here are ‘physical’ things – as against ‘psychological’. This is about some of the stuff that could be of use inRead MoreLearn More
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F E A T U R E D
I’ve been thinking much more about strategy and planning. I’m appreciating even more how the fruits to be had from this approach. This hit home really well when on Friday 25th July 2015, I achieved a good profit on some trades, shown below. On reflection what I did very differently was to select Athenahealth carefully a few days in advance. Amazon is a distraction and a late entrant that came up suddenly – but thereRead More
It’s a long story and an very important one for all traders – what Fibonacci is about. Why is Fibonacci so powerful? It is an operating principle in nearly every sphere of our existence. Some have referred to it as the hand of God or God’s fingerprint. Fibonacci in socio-economics After many months of interacting with the markets, I’ve come to some understandings which I share. I will cut this down to the essence ofRead More
Spreadbetting is about leveraging*. In spreadbetting a bet may be only £1. What does that mean in real terms? A share can be worth £50 today on the stock market but on leveraging platforms it may appear as 5000 points (bear in mind that I’m only using the word ‘share’ conveniently because you don’t own anything with spreadbets). When you buy a single share on the stock market you pay only £50 and that’s itRead More
Skyworks is a uniquely strong equity. Overall the indications are that there is probably going to be a bounce up on the Earnings Release on 23rd July 2015. This is not a trading tip. If you play this and lose real money, you do as we always say – ‘Sue yourself’.
MACD is a useful indicator in many situations. As always it ought not to be used on it’s own to make decisions about probabilities of price movement. It is like most indicators, a lagging indicator. That means that it looks back (all any indicator can do) at price and gives a representation of what was happening. Only you can decide what may happen next – not the MACD, any other indicator, or any combination ofRead More
The following chart shows a snipe that was being prepared for in the background. The trade is now concluded with a profit of £888 on a £1 bet. Many thanks to one of our new traders for spotting this set up, in advance. The opportunity came quickly so didn’t blog it before hand. The algorithm used is at: updated strategy.
The chart below is of BITCOIN (BTCUSD). Some people would have lost a pile of money on just a 10p bet even though they had stop-losses in place. No – this didn’t happen to me. What this means is that there are hidden dangers in playing very volatile instruments. You have to know the name of the game. If you’re playing with fire, ensure you can escape.
Many new traders will find the whole business of ‘understanding’ what’s going on to be mind-boggling. After all there is so much new terminology and concepts to put together. Charts often appear to be confused and even video materials seem so filled with jargon. All this could be real deterrent to new traders finding their feet or even persisting. The risk is that new traders forget about all that and just have a go. What’s likelyRead More
Cutting to the chase quickly, this is about fear of demos. What’s a demo? A demo is a demonstration item, appliance, facility or whatever – it doesn’t really matter. Yes I know ‘demophobia’ has another formal meaning. I’m using here to refer to demo accounts only as defined in the infographic below. I’ve now come across six people who are crippled by this condition. One is a pre-demo-trader, the other five are new traders whoRead More
When I first started off trading, I had my doubts about whether the concept of support (and resistance) was actually for real. The chartS below are some fine examples that demonstrate the power of the concept. Support means that which resists falling through the floor. It’s just like a floor actually. Floors do break on occasion depending on the integrity of their structure and the amount of pressure put on them. So too it happensRead More