Pullback
There are many things I love about the markets. Yes, I love the idea of getting paid for solving the puzzle or playing the game. I love learning. I even love being proven wrong when it points me to new growing edges and new areas to explore. But maybe most
Technical Patterns
In the inaugural Hudson Sessions, I shared a cool new visualization. Some of the viewers found it challenging, and a few even dismissed it as being impossible. I understand! Even with decades of daily trading under my belt, this unique perspective on market data has unveiled significant revelations. Before we
Trader Development
“Learn from the market. Let the market be your teacher.” This sounds like the path to true trading wisdom (and it is), but there’s an obvious question: how do we learn from the market? Everything in trading reduces down to patterns and statistics. If you find that statement challenging,
Technical Patterns
My blog is well over 100,000 words, covering a range of trading related topics, and spanning more than a decade of writing. This is both good and bad. The good is that there’s a ton of content here, and most of it is pretty well indexed with tags,
Trading tools
Levels are everywhere in trading. There are thousands of ways to find, define, use, and misuse levels. Many levels simply don’t have an edge. In this blog post, I want to share some work we’ve done recently for our MarketLife members, and I’ll give you some concrete
Trading tools
Kpos is short for "Keltner Position" and it boils down many elements of price action into a single number. I want to share some ideas for using this powerful tool, and give you some insight into how we think about it. Channels, in general The idea of drawing
Market Math
This is a followup to my previous post that included a visualization of seasonal tendencies for about 90 years of the US stock market. A visualization like that is a good way to see some patterns in the data, and to maybe get some ideas for further exploration. Today, let&
Trading tools
This weekend, a reader, Paul, asked: When is one better than the other or what are the subtle differences?Add stochastics to the discussion We had some discussion around this topic, but I think the answers really point to a deeper way of understanding indicators. In my first book, I
Intraday Trading
Most people know that stock markets tend to be much more active on the open and close, and are often "dead" in the middle of the day. This is important information for everyone. For intraday traders, the need to focus trading activity on the open and close is
Market Math
Let's think a bit about "signal generation". When we test something in the market what we're looking for is an answer to "What happens after _______ occurs?" This is really the essence of all backtesting and system development--that question covers everything from casual
Market Math
Please read my last post first, before you begin this one. I ended the last post by suggesting that we were probably more interested in changes than in price levels. If this isn’t immediately intuitive, then think about it like this: when you put on a position, it’s
Support / Resistance