Markets

Federal Reserve Toxic Assets

By Jonathan Yates (May 2011) Back offices are notoriously the weaknesses in financial institutions for a variety of factors.   The most obvious is that the back office is not a revenue producer.  It does not bring in the earnings that a trader or investment banker does.  As a result, it will nev

Key Tools and Strategies for the Electronic Futures Trader

By Tim Racette The first step to becoming a successful trader is developing a sound foundation of tools and knowledge in which to trade. Whether you’re new to trading or been at it for years, the tools and strategies outlined here provide a solid foundation for a successful trading career. Before

Position Sizing and Money Management Strategies for Traders

By Michael J. Carr, CMT Blackjack players at a casino will spend a lot of time deciding how much to bet on each hand. At least the serious ones do. Often, they even have a system. Traders may be surprised to realize they might not be as well prepared as savvy card players. Position sizing, or deter

Introduction to Preferred Stocks

By Lawrence Meyers (May 2011) Preferred stock can sound daunting to the uninitiated, but those that take just a little time to understand it can be rewarded with a stable income-generating investment that might also generate some capital gains over time. The best to think of preferred stock is as a

Trading Systems 101

By Michael J. Carr, CMT Traders buy and sell for a variety of reasons. Some traders will make decisions based upon news headlines or gut feelings. One may read that gasoline prices are at record levels and decide they have to go down, while with equal certainty another trader decides the news justif

The Hunt Brothers and their Attempt to Corner the Silver Market

In the early seventies, amidst political upheaval, inflationary pressures and stagnant economic growth, the richest family in America (at the time), the Hunt family of Texas, tried to corner the market on precious metals. As a way to hedge themselves from the rampart printing of dollars the US gover

Inflation Fighting Investment? Try Currency ETF’s

By Brian O’Connell Former President Ronald Reagan once defined inflation as “violent as a mugger, as frightening as a mugger, and as deadly as a hit man.” Our 40th president wasn’t exaggerating. Inflation is nature’s financial way of eating your income without you knowing it – or at

Rate hike lurking; keep a close eye on the euro!

In the short term, market participants tend to have a very narrow focus when it comes to determining what information influences their decision making. And we’re certainly seeing that now … I say that because despite all of the underlying problems in the world, the dominant focus in mark

The Weekend Commodities Review

General Comments The commodity correction appears to have begun, a little later than anticipated, but with enough volatility to indicate the move is underway.  The vertical momentum (or velocity of decline) is just beginning to expand, setting up further declines in potentially shocking intraday p

Currencies: Seven Charts You Should See

The currency market, as well as all markets, have been heavily focused on the U.S. and the Fed’s plans for more quantitative easing (QE). And that’s had a huge impact on the dollar and on dollar sentiment. The question is: Will it last? There’s no disputing that the dollar is the k