Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
One chap wrote me this morning offering thanks for hand-holding for the bears during the inevitable fight-backs by the bulls (like, oh, all last night and this morning). I appreciate the gratitude, but believe me, I write words of affirmation and assurance as much for my sake as yours! I will note this morning, as the Fed was furiously bidding up equities to try to undo some of Powell’s damage yesterday, that our Maginot Line at 4428 continues to hold, God bless it.
In recent days, I have been thinking deeply about what I can do to improve my trading. I’m a simple soul, so I like rules or mnemonics that are easy to remember and understand. Thus, I present to you what I hope to be my watchword when it comes to trading: PATE
It is pronounced as two syllables (as in the spreadable comestible) and it stands for Patience, Always Trade Extremes.
The “patience” is obvious. That is, be patient enough to wait for true opportunities. And what opportunities, pray tell, do I mean? Well, EXTREME opportunities. When something is stretched so high (as in my “sure-fire” XLE trade last week) or so low (as with XRT and TSLA this morning) that the risk/reward ratio is terribly appealing. And it’s not just price extremes. It also applies to slam-dunk, killer price patterns (like EFA and EMB).
I’m going to try to burn this into my head and actually live it. Let’s see if it helps! Maybe it’ll help you, too.
Hello, everyone. I’m typing this on Sunday evening about an hour after the futures markets have opened. In the least surprising news in human history, the ES, NQ, and RTY are all green right now, although modestly so. I wanted to share a few off-the-cuff thoughts as we head into this important week. Believe me, this post is as much for me as it is for you. Perhaps even moreso.
If there is one thing we know about the markets, it is that we do not know what comes next.
With the markets, anything can happen. Anything can happen, at any time.
What the markets do tomorrow [and the next day, and the day after that…] may be what is expected, or maybe not.
Therefore, the second thing we [should] know about trading the markets is to play it safe. Be prepared. Be prepared for the unexpected. That may mean a hard stop is in place on one’s trade, or that one is watching like a hawk to get out immediately if the trade goes bum. Have it your way. Just be certain that your way keeps losses Small.
Upsy-daisy is an older phrase that some of you youngsters may never have heard. As interjection, it is an expression, usually of reassurance, said when someone stumbles or is being lifted up.
Whoops-a-daisy is what many issues in the market have done of late, as in, taken a hit to the downside.
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