Trader’s Narrative

Many spend their whole lives searching for the ‘Holy Grail’ of trading, mistakenly believing that if they work hard, or find the right indicator, or get the right mentor or… (fill in the blank), they will succeed in trading, become a Market Wizard and make gobs of money.
Well, I’m here to tell you the only […]

Yesterday Ugly posted a trade in AMR that he had missed by a hair’s breadth. By his own admission, he had been penny wise but pound foolish. I don’t think it’s wise to beat yourself up over something like that because in the end all that matters is whether you played out your gameplan […]

Today is World No Tobacco Day.
Please don’t stop smoking.

Elan is a British biotech stock that has just zoomed out of a flatish, four month long base. As you can see, it is showing remarkable relative strength in the face of the general market action:

But even so, I would only go long ELN within a short time frame (days rather than weeks or […]

Today’s market action is giving a lot of people the idea that what we saw last week was a perfect bull trap. Meaning that we’re about to have another whoosh down. Right now, I don’t buy that.
We are simply witnessing the return of volatility to the markets. Today the VIX and the VXO jumped by […]