Archive for May, 2010
Yo-Yos
Reprinted with permission from The Master Swing Trader Toolkit Alan S. Farley McGraw-Hill 2010 All Rights Reserved.
There are three types of traders in this world: winners, losers and yo-yos. It doesn’t take much effort to comprehend the virtues of winning or the liabilities of losing, but what exactly constitutes a yo-yo trader? Quite simply, these [...]
Machines
The market-making system itself failed on Thursday. That’s a major subset of the algorithms. In any case, this selloff was NOT kosher. Even in 2007 and 2008, the “orderliness” was light years ahead of what we just witnessed. The Nasdaq-NYSE 60% threshold for busted trades is a joke. They are total [...]