The Unpredictable Impact
The Unpredictable Impact: How Black Swan Events Shake Up The Markets The Black Swan theory describes an event that surprises the observer, has a significant impact, and is often inappropriately rationalized with the benefit of hindsight after its occurrence. These events are characterized by their extreme rarity, severe impact, and the widespread insistence they were [...]
Systematic Advantage #41
Systematic Advantage #41: System evaluation is often a true reality check to traders. When it comes to trading, systematic evaluation can be a real game-changer. It is a reality check that keeps your trading strategies grounded and effective. Here's the deal: when you're knee-deep in trading, it's easy to get swept up in the moment, [...]
The Alchemy of Portfolio Diversification
The Alchemy of Portfolio Diversification Many centuries ago, alchemists sought to transform base metals into valuable gold through alchemy. Of course, they never succeeded, but their pursuit of knowledge eventually paved the way for modern chemistry. Today, we'll delve into the alchemy of portfolio diversification, exploring how the Periodic Table of Elements can hold the [...]
Technical Analysis Explained
Title:Â Technical Analysis Explained Author:Â Martin Pring Summary: "Technical Analysis Explained" by Martin Pring is a comprehensive guide on technical analysis, a methodology employed by financial market participants to predict future price movements based on the analysis of historical price data. The book covers a broad range of topics and delves into the fundamentals of charting, trends, [...]
Systematic Advantage #40
Systematic Advantage #40: Trading systems make building and testing portfolios easy Systematic trading offers a significant advantage in simplifying the process of building and testing investment portfolios. With such a system, you can choose from various assets, set your specific strategy, and establish your parameters. Once set up, the system operates like a tireless financial [...]
The Spectacular Saga of Nick Leeson
The Spectacular Saga of Nick Leeson: The Man Who Broke Barings Bank Barings Bank had been a pillar of the British financial establishment for over two centuries. However, in the 1990s, the bank found itself in the jaws of an unexpected and catastrophic undoing - the apex predator of the financial world was Nick Leeson, [...]