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 [...]
Hansel and Gretel: A Tale of Trading Lessons The classic fairy tale of Hansel and Gretel, penned by the Brothers Grimm, is an unlikely source for trading insights. However, upon closer examination, we find that this enchanting story is rich with lessons for traders. Below, we unpack the tale of Hansel and Gretel and reveal [...]
The Legendary Trader Ed Seykota Few can claim as much influence and impact as Ed Seykota regarding trading legends. With a trading career spanning over 50 years, Seykota is renowned for his contributions to the trading world, groundbreaking trading strategies, and profound teachings. In this in-depth blog post, we will explore the life and accomplishments [...]
Mastering Trend Trading 101 Trend trading is a time-tested strategy involving following the market's direction to identify and capitalize on potential trading opportunities. In this comprehensive guide, we'll cover everything you need to know to master this proven trading strategy, from understanding and identifying trends to analyzing key indicators and refining your trend trading approach. [...]
Understanding Contango and Backwardation in Futures Markets When trading the futures markets, two critical terms often come up Contango and Backwardation. Both represent unique market scenarios that can significantly impact the profitability of futures contracts. This blog delves into what Contango and Backwardation are, their implications, and how traders can navigate these market situations. Â [...]
An Introduction to Harmonic Trading Patterns Traders employ myriad strategies and techniques. Harmonic Trading Patterns are one such approach that continues to stand the test of time. In this blog post, we'll explore the history, key principles, major patterns, and practical tips of this intriguing approach to trading. We'll provide examples and information to help [...]
The General Principles of a Percent Risk Model When trading in futures markets, assessing and managing risks is the key to success. One of the prominent risk management models traders use is the Percent Risk Model. In this blog post, we will explore the Percent Risk Model, how it functions, and how you can apply [...]
Federal Reserve External Communication Blackout The Federal Reserve, as the United States central bank, directly affects the financial markets, investors, and the global economy. Throughout the year, the Fed communicates its economic outlook, policy stance, and decisions to the public through various channels, such as press releases, press conferences, speeches, and testimonies. However, there is [...]
Bulls Make Money, Bears Make Money, Pigs Get Slaughtered n financial markets, a well-worn adage has guided investors for decades: "Bulls make money, bears make money, pigs get slaughtered." This colorful phrase serves as a cautionary reminder about the dangers of greed in investing. In this blog post, we will unpack the meaning of this [...]
Don't Believe The Hype: The Problem with Unrealistic Expectations in Trading As a trader, it's essential to set realistic expectations. Too often, individuals dive into the trading world fueled by stories of overnight fortunes and life-changing profits – only to face significant losses and unmet expectations. The key to successful trading comes from setting realistic [...]
