The unusual number of announced M&A deals last week, coming right in the middle of the traditional summer vacation prompted one investment banker to say in a television interview that his "black car indicator" had risen to an all time high for August.
Practice, practice, practice
On August 4, Reuters reported that Warren Buffett could "get in a bind" over options because of new provisions in the Dodd-Frank financial reform bill.Over the past few years, Buffett's Berkshire Hathaway (BRK/B) has sold options for various worldwide stock indices worth billions of dollars without posting collateral. Does the Dodd-Frank bill now require the company to post collateral? Berkshire doesn't believe so
Hardly a week goes by that I don't get an invitation to sit in on a webinar to learn to trade without stops. The invitation comes with warnings of the unnecessary losses traders suffer by using stops. Friends, nothing could be further from the truth.
Humans have many biases that are for the most part out of awareness; but biases are not inherently negative. There are many biases that can serve you; for instance, having a bias that looking at multiple time frames is supportive to having a sufficient amount of information. However, biases are often limiting in nature and therefore, become limiting beliefs
The world where we humans live has always been and will always be a turbulent one. Life progresses smoothly for a while, and then unexpectedly, it can change. Success becomes failure, and sometimes failure can turn into a catastrophic loss.
The US Department of Education is in the process of changing the funding rules for these companies by requiring them to demonstrate that they are preparing students for actual jobs that give them the chance to replay the borrowed money. In this sector there are several stocks breaking down below their previous support levels.
From a technical analysis perspective, the most important event occurred last Wednesday when the S&P 500 Index declined and then closed below the lower boundary of the potential rising wedge, thus setting off this bearish pattern.
Although calls and puts are not insurance products per se, they can be used to protect or hedge an investment, much like insurance policies protect an asset. Brad Zigler of HardAssetsInvestors posted an article on the "price of gold insurance" as measured by the options market.
Of the many strategies used by traders, the breakout setup is one of the most popular. There are many interpretations of this tactic, and therein lies some of the confusion. In this piece, I'll go over some of the higher probability, or as I call them, "quality breakout trades," that come from many years of observation, as well as the many traps associated with this setup.
Trading psychology is a subject most books and so-called professionals keep separate from the mechanics and strategies of trading and investing. A reality largely misunderstood is that the underlying mechanics and strategies within trading and investing are a direct function of your psychological belief system.
Trading psychology is a subject most books and so-called professionals keep separate from the mechanics and strategies of trading and investing. A reality largely misunderstood is that the underlying mechanics and strategies within trading and investing are a direct function of your psychological belief system.