Individual Traders
1. It is not just that risk is hard to understand--some risks may be impossible to understand. Your risk management plan has to leave room for the unknown and the unknowable. This is why advice from great traders always includes a reminder to "stay humble" or to avoid
Individual Traders
Traders talk about and think about risk all the time, and for good reason: this is a risky business! A lot of things can go wrong, and some of those things can be very dangerous--a single mistake can effectively put a trader out of business, often in a matter of
Individual Traders
Most people think about where to get into and out of positions. Most traders know how important it is to follow their rules, and most traders are always working toward being more disciplined. These are important pieces of a successful investment strategy, and most traders work on these things. But
Individual Traders
So you're a trader, huh? (Or investor... if you think of yourself as an investor, just read "invest" instead of "trade"; this message is for you too!) If you are a trader, what do you do? What is your job? It's too
Individual Traders
If you are an individual self-directed trader, expect setbacks and failures, especially in the first two years. Expect that your triumphs may be promptly followed by dramatic failures, that you will make mistakes in areas you thought you had mastered, and that any positive P&L may be quickly
Individual Traders
I spent an hour a week ago talking with a very experienced stock trader. This guy has made a lot of money, but he's made it while fighting a strongly bearish bias--he's been almost exactly wrong, for a long time. He's been wrong, and
Individual Traders
The twenty two day guided meditation experience is now live. I will not be posting regular updates here, but follow me on twitter (@AdamHGrimes) or bookmark this page for daily updates. If meditation is something you have tried in the past, maybe this is the time to try it again
General Comments
Successful trading and investing is largely about asking the right questions. Many of the most serious mistakes we make come from blindly accepting our ideas and perceptions at face value. I would like to offer you a short checklist of questions that will challenge you to think more deeply and
Individual Traders
This could, perhaps, be the shortest blog post ever. I could simply answer the question with: follow your rules. Get out. But let's dig a little deeper. Before we really begin, it's important to remind ourselves that there are many ways to trade and invest successfully.
Individual Traders
The marketplace is constantly evolving. One of the biggest changes over the past decade is the proliferation of Exchange Traded Products (ETPs) that allow stock traders to trade commodities (and other financial instruments) in a stock account. Much of the traded universe of financial products is now available just by
General Comments
Markets are complicated. Market analysis is complicated. Developing a trading system certainly can be complicated. But trading cannot be complicated. The act of placing trades and evaluating results must be as streamlined and simplified as possible. Here are a few suggestions for things you can do today, with investing an
Individual Traders
This post was originally published on See It Market as part of the Market Masters series. The original post can be found here.] I am a quantitative-discretionary trader. I have made it one of my life’s goals to understand how financial markets move, to understand how to predict those