The methods of managing risk in a small trading account are very different from that of a large account. While traditional financial theory would posit that the same portfolio-optimized risk management principles would apply regardless of portfolio size, the real world is more cruel and less simple. This problem is compounded when you’re an […]
Updated: 11/5/2023 In October of 2008, shares of Volkswagen more than quadrupled in two days, briefly making the German automaker the most valuable company in the world. This has now been recorded as one of the largest short squeezes in modern trading history. It has been reported that hedge funds that held short positions lost […]
There are thousands of cryptocurrencies that you can publicly trade today, as others continue to get into the market. Most of these cryptocurrencies don’t have much trading volume and aren’t well known. Bitcoin (BTC) is the original cryptocurrency. As the first digital coin, bitcoin is also the world’s most popular and valued cryptocurrency in terms of market cap. Other widely […]
Every trader knows what it’s like to trade with a small amount of capital. Whether to them that’s $100 or $10,000, most traders find themselves thinking that if they just had X amount of capital, many of their trading troubles would go away. To an extent, trading a large account does grind away some […]
Much of the popular literature in technical analysis deals with the variation between trends and ranges. Traders and investors tend to follow the herd, for better or worse, and whatever the dominant state of a market is, trend or range, traders tend to extrapolate into the future and expect to continue. When these expectations […]
The Red Dog Reversal is a trading setup which aims to catch a reversal in a downtrend. What is a Reversal? Before we get into the details of this specific trading setup, let’s get clear on what a reversal trade really is. I think of it like this: you can boil down a lot of […]
Many trading pundits claim that you can use the same trading strategies and tactics across all stocks, bonds, or any asset. In other words, they claim you should be able to trade Apple stock in the same way that you’d trade the Russian Ruble. Besides the fact that there are literal differences between the […]
The Phillips Curve has come back into the spot light. U.S. inflation level is running high this year, with several major consumer price barometers soaring faster than they have in years. Every major official measurement of inflation has surged in 2021, particularly the consumer price index (CPI). According to recent data released by the […]
If you’re a beginner day trader and aren’t sure where to do your research, there’s no need to worry. Over 20 million forms with indispensable information from companies, brokerages, and individual brokers are available for free on the U.S. Securities and Exchanges Commission (SEC) website. You can find information on initial public offerings (IPOs), bankruptcies, mergers, […]
The uranium market has made legendary price moves throughout August and September 2021 after spending several years as a forgotten commodity, dormant in a bear market. Uranium producers suffer from a problem familiar to commodity producers in secular bear markets: their cost of production is above the spot price of the commodity. They find […]
