Source Article: Expectancy Positive Expectancy: A system (or game) that will make money over the long term if played at a risk level that is sufficiently low. It also means that the mean R-value of a distribution of R multiples is a positive number. If you’ve read any of Dr. Tharp’s books, you know by […]
Positive Expectancy Model: It Will Make You Or Break You As A Trader Read More »
In my reading of hundreds of trading books and my endless research on rich traders, I have come across many quotes that are very powerful. These principles could really change the entire dynamic of a new traders plans and methods. Here are my favorite ten that I not only love but have made huge
The 10 Most Helpful Things Rich Traders Have Ever Said Read More »
Yes, the vast majority of traders are gamblers, maybe the majority of market participants are in fact gamblers. The traders that are gamblers trade with no plan and without understanding the odds are stacked against them. Whether it is buying far out of the money options with no method for profitability or randomly chasing stocks
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In my trading career I do not remember ever seeing this many doji on any given chart. It is very odd that the open and close be so close to each other day after day after day with all the real movement happening in the post market and pre-market. The biggest clues are the two
Doji, Doji, Everywhere Read More »
Dojis, dojis, every where. Truly some strange price action last week in the major S&P 500 index. I bought SPY puts when the price was struggling at the 50 day late Friday in the last 45 minutes and was instantly questioned and criticized on twitter for doing that on a bullish candle, minutes later
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With all the silliness and noise around trading that happens online I thought I would clarify what I see makes the rich traders win in the markets. Whether they are a professional or trading their own account the markets leave many traders broken
Will You Make It as a Trader? You Need These 3 Things: Read More »
For the past 5 trading days we have been in a range bound market. The 100 day is the logical support line in this current price range with a quick reversal back over it the first day it was lost and bounce off it the following day. The 50 day is the resistance area,
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We are looking at a failure to break out to a new all time high Wednesday. With the day of the failed break out closing near the low of the day. Usually only bearish reversals follow a gravestone reversal candlestick, the last two days has been that reversal. We did regain the 20 day after
10 Things I See on the Google Chart $GOOG Read More »
For the first time in a long time we did not get the relief rally after Bernanke spoke, the markets did not like what was said and sold accordingly. The clean break of the 50 day should have been like a bell ringing to bulls that we are not in Kansas anymore Toto. After breaking
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