Lessons from the Pros

Nov 12, 2013 Issue

Featured Article

How to Short A New High

I often get asked, “How and when should you short a new high?” My answer is almost always the same. I almost always suggest you should NOT short a new high. Instead, keep buying pullbacks to fresh demand levels. Once the market you are trading reaches a price level where supply truly exceeds demand, the… Read More »

Forex

Let’s Look Long Term

Hello traders! In a few of the latest Online Trading Academy classes that I have been teaching, a consistent question has been popping up. After having a few supply and demand zones on my charts, a student will often ask, “If you think that prices are going up to that point, why not just buy… Read More »

Stocks

When to Short Update

I received several emails regarding my article, “When to Short.” I wanted to address those questions and look at the markets and where they may be heading. I wrote the article on September 17th. Since that time the markets did endure a small correction that failed to make new lows and has now made new… Read More »

Options

Picturing Option Profits – Volatility Part 2

For the last several weeks, I’ve been using a bearish vertical call spread on GLD as an example to demonstrate how option payoff diagrams help us visualize option profits. Today we’ll wrap up that example, finishing our discussion of volatility. In last week’s article, which you can review here, we looked at an option payoff… Read More »

Futures

Does Volatility Matter?

In the last several weeks, there has been lots of talk among traders about the small intraday ranges in the S&P 500 e-mini futures contract. Yes, volatility in the stock index futures has been subdued lately, largely due to the fact that three of the major averages (S&P 500, the Dow Industrials, and Russell 2000)… Read More »

Specialty Skills

Humans Are Creatures of Habit

Several months ago I wrote an article featuring my friend Harvey. Now Harvey only lives in my head, I made him up to illustrate my story. By the way, those voices in my head…well, sometimes they have good ideas! Anyway, Harvey found himself losing consistently in the morning; and, he felt pretty bad about it… Read More »

India Markets

Average Odds Enhancer

I was reading San Evan’s article from last week called, “What’s my Average?” As a successful trader and former graduate of Online Trading Academy, I also value price above any other indicator. But, I do use some indicators such as moving averages (MA) in order to improve my chances for success. As Sam stated, using… Read More »