There is a question which is sometimes asked by those new to the financial markets, and even occasionally debated by experienced participants. That question is how one differentiates between trading and investing. Because both trading and investing – when one considers them from the perspective of the financial markets – are performed in very [...]
Posts Tagged ‘Financial Markets’
May 2nd, 2010
Investing vs. Trading – What’s The Difference?
Posted in Investing 
Tags: British Pound, Circumstance, Currency, Dividends, European Exchange, Exchange Rate Mechanism, Expectation, Financial Markets, Finite Life, George Soros, Handsome Profit, Hedge Fund, Investor, Notion, Participants, Price Target, Profits, Prospects, Scope Definition, Warren Buffet
Tags: British Pound, Circumstance, Currency, Dividends, European Exchange, Exchange Rate Mechanism, Expectation, Financial Markets, Finite Life, George Soros, Handsome Profit, Hedge Fund, Investor, Notion, Participants, Price Target, Profits, Prospects, Scope Definition, Warren BuffetApril 7th, 2010
Investment Series : Risk Free Investment Methodology
Posted in Investments Tags: Financial Markets, Forerunners, Great Depression, Insurance Companies, Insurance Premiums, Invention, Investment Methodology, Investment Series, Mankind, Market Crash, Mathematical Tool, Normal Distribution, Occurrence, Occurrences, Pascal, Probabilistic Study, Probability, Risk Free Investment, Statistical Research, Treasury Securities
Tags: Financial Markets, Forerunners, Great Depression, Insurance Companies, Insurance Premiums, Invention, Investment Methodology, Investment Series, Mankind, Market Crash, Mathematical Tool, Normal Distribution, Occurrence, Occurrences, Pascal, Probabilistic Study, Probability, Risk Free Investment, Statistical Research, Treasury SecuritiesFor a millennium, mankind attempted to define and measure risk.
From the early days of Pascal and Golton to the modern forerunners in academia, defining and measuring risk has been a relentless pursue. Until we properly define and measure risk, there seems no way to mathematically defeat risk, creating risk free financial markets and economies.
Mathematics opened [...]
February 6th, 2010
Dj Vu, All Over Again (and again)
Posted in Investing Tags: Bad News, Brains, Common Sense, Core Inflation, Corporate Earnings Reports, Dividend, Durable Goods Orders, Financial Markets, Financial Professionals, Hindsight, Individual Investors, Inertia, Inflation Rate, Line Dance, Market Advance, Perfect Moment, Portfolios, Repetition, Santa Claus, Unemployment Numbers
Tags: Bad News, Brains, Common Sense, Core Inflation, Corporate Earnings Reports, Dividend, Durable Goods Orders, Financial Markets, Financial Professionals, Hindsight, Individual Investors, Inertia, Inflation Rate, Line Dance, Market Advance, Perfect Moment, Portfolios, Repetition, Santa Claus, Unemployment NumbersDuring every correction, I encourage investors to avoid the destructive inertia that results from trying to determine: “How low can we go?” and/or “How long will this last?” Investors who add to their portfolios during downturns invariably experience higher values during the next advance. Yes, Virginia, just as certainly as there is a Santa Claus, [...]
February 4th, 2010
Day Trading With The Camarilla Equation
Posted in Investing Tags: Amount Of Time, Bond Trader, Camarilla Equation, Day Trading, Financial Markets, H1, H3, H4, L3, Massive Profits, Origins, Possibilities, Preferred Method, Resistances, Stop Loss, Stott, Tendency, Time Series, Trading Signals, Truism
Tags: Amount Of Time, Bond Trader, Camarilla Equation, Day Trading, Financial Markets, H1, H3, H4, L3, Massive Profits, Origins, Possibilities, Preferred Method, Resistances, Stop Loss, Stott, Tendency, Time Series, Trading Signals, TruismOrigins of the Camarilla Equation
Discovered while day trading in 1989 by Nick Stott, a successful bond trader in the financial markets, the ‘Camarilla’ equation uses a truism of nature to define market action – namely that most time series have a tendency to revert to the mean.
The equation produces 8 levels that are meant to [...]