we continue to spend more and more tax money on companies that are making things we dont want to buy at their proce. But remember, its not your money, it’s the government’s money and all they have to do is just decide how you will spend it. And if you wont spend it, they will […]
Category: Markets
Historical responses to financial meltdowns (buckle up, it will be a bumpy ride)
Reinhart and Rogoff (2008b), in a recent paper entitled “The Aftermath of Financial Crises.”, demonstrate that banking crises in rich countries and emerging markets have a surprising amount in common. “… Broadly speaking, financial crises are protracted affairs. More often than not, the aftermath of severe financial crises share three characteristics. First, asset market collapses are deep […]
Trading Lesson transcript: the importance of self talk
Trading Lesson: 12/30/2008 Summary: a review of some 5DD and 5DDC setups, and an inquiry into self talk ========================================================== The Trader: COP has a nice chart today. Had my eye on it after you put it on your list of 5DD. Got distracted after it went down a 6th day. Should have watched it […]
Profitable ETF Trading Strategies: Sector Contrarian
There is a new conventional wisdom beginning to emerge from the stock market these days and it says that there’s no way you can make money in a bear market unless you have the good fortune to be an expert market timer and bet against the recovery of the broad market. While it is true […]
Madoff: a matter of scale
a nice meta-insight from Lew Rockwell, that puts Madoff in perspective as representative of the direction we were heading as a nation. His opinion: the difference between Madoff and the government: a matter of scale Madoff’s scheme played into the belief that wealth was not something to work for, but something to scheme for. It […]
The path to mastery, with emotional intelligence
The studies in the Cambridge Handbook of Expertise and Expert Performance describe the path to mastery as: (1) Deliberative Practice (2) Time spent at Deliberative Practice (3) Assistance from a mentor. Deliberative practice can be broken down to: (1) Identifying a long-term outcome (2) Breaking down the skills that lead to that outcome into its […]
Farmers and automakers; remember the crucial difference…
I am trying to appreciate the difference between paying farmers not to grow crops and to prop up their prices with government subsidies and the outrage expressed by conservatives at paying automakers not to make autos (as canada joins the team in shoveling money at the Big 3) This time its different though, because the […]
Market Health Check, Dec 22, 2008
Upgrade from Intensive Care to Critical market has been hammering out a bottom here. The slope of the 50d MA and the 30d Rline have turned positive. Volatility has dramatically reduced. The large candle days in the last 30 have been up not down; the 20 and 50dMAs are coming together. The next “easy” upside […]
End of term pause! yeah!
finished my last paper for the doctorate for this term and have a full 2 weeks off before the next round of torture begins. the good news is that i was really stretched mentally this term, and am really pleased with the progress i am making and the insights i am gathering as part of […]
Efficient markets: Being vs Becoming
There is a world of difference, all you need really, in the difference between these 2 statements: the market IS efficient and the market becomes efficient. It’s the difference between a state of being and a state of becoming (a state of action). A market moving towards efficient price levels is a market in motion, […]