So, Mike, what now? That’s the question I posed to the most recent addition to StreetAuthority’s stable of stock market strategists, Michael J. Carr, following a week that saw the steepest single-day drop in the stock market since November 2011. During the past month I’ve been telling you about Mike’s… Read More
If you ask most people, they will say there are two types of people that put money in the stock... Read More
If you ask most people, they will say there are two types of people that put money in the stock market. There are “investors” — those who put money to work in fundamentally sound... Read More
Last week, I introduced you to Michael J. Carr’s latest research. I told you a little about his history (he retired as a Lieutenant Colonel in the Air Force before managing $200 million) and how he was working on a project that used a few simple trading techniques to help… Read More
Today’s essay is a little different than you’re used to. I’m not going to talk about any specific investment. Nor am I going to tell you about a stock that I think is about to take off. Frankly, what I have to tell you is much bigger… and much more… Read More
High-frequency trading works for a few large firms. They have access to special computer systems and high-speed data connections that allow them to enter thousands of orders a minute. The fastest firms can enter and exit trades in less than a second. Individuals cannot possibly compete with these firms and… Read More
A complete trading system can be defined with detailed buy and sell rules. That’s all you need to have a system. Rules let traders know what they should do in advance. Disciplined traders follow their rules and avoid making emotional decisions in fast-moving markets. Two simple ideas — trading rules… Read More
Risk management is one of the most important considerations of successful traders. They understand... Read More
Risk management is one of the most important considerations of successful traders. They understand that risk will never be eliminated, so they take steps to minimize their losses when they are on the... Read More
Charles Dow recognized the link between the stock market and the economy in the 1880s. He developed the Dow Jones Railroad Average as a way to measure the stock market and the broad economy. At that time, railroads were probably the most important economic sector. As industrial stocks became more… Read More
Fifty years ago, General Electric (NYSE: GE) traded at $73.37 a share, according to the historical data. But, it didn’t really trade that way. Fifty years ago, traders used fractions and GE would have been quoted at something like $73 3/8 bid, $73 1/2 ask. The ticker tape back then… Read More