Tight Stops and Risk/Reward Ratios

Cameron just left a question for me in the comments to last night’s recap. He asked: I’m looking at your way of thinking about the market. One of the biggest questions I have, though, is regarding your stops. You said you set your stop at just .20 over your short dollar amount. With all of [...]

Live to Trade Another Day

I just saw this video by John at the High Probability Trading blog (also embedded below… be warned, there’s a lot of profanity in it). It’s painful for me to watch. I’ve certainly had my bad days in the market but never anything like this: I hope he gets through this OK. Perhaps the post [...]

Personalized Protection

Michelle B submits: Sylvain Thibault commented: I read somewhere you never give back more than half your profits on a trade. How do you trail your stops on a day trade eg: yesterday’s MXIM. Perhaps you are referring to this excerpt from the StockTickr interview: StockTickr: What’s your exit strategy for winning and losing trades? [...]

The Soup Nazi of Risk Management

This guy is intense. Forget those soothing affirmations, playing this every morning will surely keep you disciplined… and in case you don’t know who the soup nazi is…

CNBC’s Dow Powwow*

Michelle B submits: Several bloggers have commented recently about CNBC’s excitable coverage of the Dow Jones Industrial Average setting a record. Since a price-weighted index containing a very small number of stocks is fairly insignificant in the trading world, why did CNBC latched onto to this relatively unimportant event? During the time of the technology [...]