E-Mini Swing Trading
Discretionary Trading
System Trading
Market News
Most Recent
 
Read More
January 14, 2016

The Whites Of Their Eyes

The famous order “Don’t fire until you see the whites of their eyes” is a battle cry which became known in stories about the battle at Bunker Hill which was fought on June 17, 1775, during the Siege of Boston in the early stages of the American Revolutionary War.

10498
 
Read More
January 11, 2016

You Ain’t Seen Nothin’ Yet

I seriously doubt that the average market participant realizes the magnitude of the devastation that lays ahead. It is our human nature to project forward based on recent events – a common cognitive bias which can easily lead to painful losses during regular market conditions. But what we are facing over the coming weeks and months will register several standard deviations beyond current worst case scenarios, at least based on activity/pricing I’m currently seeing in the option chains.

We have a lot of material to cover this morning. So grab a cup of your favorite morning brew and pay close attention. Yes, there will be a test.

Let’s start with [...]

7196
 
Read More
December 16, 2015

Fed Hikes 25bps

The Federal Reserve just announced a hike of the federal funds rate of 25bps which now puts it at 0.5%. I wouldn’t call this the end of QE but it’s definitely a good step forward. Even more positive however is what just happened:

Which is absolutely nothing. Equities spiked a little both ways but thus far locust has not descended on our house, I don’t see it raining frogs, and I will let you know about our first born when he finally decides to check in on skype (or not).

This Zero however remains flat as a flounder thus I would caution you guys against trying to play the swings. We still may see a squeeze in either direction once the [...]

2576
 
Read More
December 14, 2015

Expect Nothing And Accept Everything

That will be my motto for this last full trading week of the year as we are at the same time approaching the most significant fork in the financial road of 2015. As I am sure you are all aware this Wednesday at 2:00pm Eastern the Federal Reserve will issue its verdict on whether to make good on a year long promise to finally raise its benchmark interest rate (i.e. fed funds rate). The current consensus is an increase from 25bps to 37.5bps – a meager increase of merely 1/8 of a percent. Nevertheless the increase would be the first since the financial crisis of 2008 and would be perceived as setting the stage for further tightening down the line.

You probably noticed that [...]

3991
Latest Posts
 
Read More
98382016-02-05_climber
 
Read More
5988Am 18.08.2011 um 19:11 Uhr
 
Read More
15729overload1

 
Read More
44102016-02-01_chasm
 
Read More
11654TOKYO - AUGUST 17:  People sit behind ice blocks at Icebar Tokyo on August 17, 2009 in Tokyo, Japan. The entrance fee of 3500 Yen with one drink and customers can borrow a coat upon entry. Everything in the bar including the counter, the wall, table, glasses, chairs are made from blocks of ice cut from Sweden's Torne river.  (Photo by Junko Kimura/Getty Images)
Cognitive Bias Carousel
  • Loss AversionLoss Aversion
    The tendency to treat money that has already been committed or spent as more valuable than money that may be spent or acquired. Imagine two … more
Popular
 
brain
How To Debug Your Brain
 
TheFlawMain
Flawed Technical Analysis And Other Fallacies
 
 
hurdles
What Does It Take?
 
 
failure
Why You Fail As Traders
Compare
Go