E-Mini Swing Trading
Discretionary Trading
System Trading
Channels
Most Recent
 
Read More
December 1, 2010

Here We Go Again

And yet again the vexing VIX is in the process of painting an equities buy signal:

Question is this now – what are the chances we bust higher and NOT snap back sometime this week – thus producing the second and eventually third confirmation?

Let’s look at two other charts I find very interesting:

Remember that SPX:VIX ratio daily chart? Thus far it has remained spot on in supporting a continued melt up higher. However, what’s interesting is that sudden drop down (the blue line) which is often what we see during a period of distribution and an impending sell off.

The daily Zero is at an important resistance [...]

9001
 
Read More
October 3, 2010

Bullseye!

If you follow Eastern philosophy you are surely familiar with the concept of yin and yang. The symbol represents the ancient Chinese understanding of how things work. The outer circle represents “everything”, while the black and white shapes within the circle represent the interaction of two energies, called “yin” (black) and “yang” (white), which cause everything to happen. They are not completely black or white, just as things in life are not completely black or white, and they cannot exist without each other. And the underlying message is that there needs to be balance between opposing forces. As one side becomes over dominant a correction [...]

15167
 
Read More
September 17, 2010

Sleepless in L.A.

My apologies for the late post and a lack of participation today. After having no trouble falling asleep through various time zones and going to bed at unorthodox times even at local times during my Asia trip, jet lag suddenly caught up with me last night. I woke up several times and then snoozed until 10:30am PDT, missing half the session.

In some ways I’m glad actually as this has been one ugly session – everyone gets a tase with the ole’ cattle prod today. One chart however has been holding steady and I’m quite proud of it.

Every once in a while you just get it right – the upper line of the long term sideways channel on [...]

 
Read More
May 9, 2010

Comfort Zones

Comfort, stability and consistency are highly regarded virtues when it comes to investing – maybe not so much for stone called stainless steel rats but we are but a small minority. When it comes trading comfort in particular is nothing but a silent killer – as soon as you think you have found the key to banking profits Miss Market will quickly step in and change the locks on you – sometimes in one single day. For she is a cruel mistress and will not hesitate to prey on us at any moment we show weakness and in particular complacency – and that applies to bulls and bears alike. Case in point – May 6th 2010 – a.k.a. Black Thursday.

As traders [...]

13452
Latest Posts
 
Read More
25672016-08-30_dragnet
 
Read More
18022016-08-29_momo
 
Read More
7358panning_gold_1889

 
Read More
25592016-08-23_clay_davis
 
Read More
33292016-08-22_wet_cat
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
 
good_will_hunting
Option Basics – Credit Spreads
 
einstein
Option Basics – Debit Spreads
 
fraternity
Option Basics – The Greeks
 
arnold_skool
Option Basics
 
brain
How To Debug Your Brain
 
TheFlawMain
Flawed Technical Analysis And Other Fallacies
Compare
Go