Famous commodities trader Richard Dennis was having an ongoing debate with his friend and business partner Bill Eckhardt about whether great traders are born or made – whether it is possible to teach the ability to trade successfully. While Dennis firmly believed that trading abilities could be broken down into a quantifiable system of rules … Read more
PART I: TRACKING MARKET PARTICIPANTS By Martha Stokes, C.M.T. © copyright 2007 all rights reserved. Most traders have a one dimensional view of the market. They are simply searching for stocks to buy or sell using the latest strategy or indicator that they have learned. Excitement is high about the latest trend and they are … Read more
Liquidation arbitrage is a strategy to profit from a company’s aquisition or breakup based on research showing that the value of a company’s liquidation assets is greater than it’s stock value. The strategy can be highly profitable due to the fact that many businesses own assets that their stock market valuation does not reflect, for … Read more
A strategy in which a bond portfolio is constructed that invests equal amounts of money in every maturity within a given range in order to offset interest rate risk.
By Toni Hansen ©2007, Reprinted with permission of The Trader’s Journal magazine (www.tradersjournal.com) For many traders, the decision to trade the E-Mini futures market is viewed as a highly lucrative decision. The tax benefits and the ability to trade with relatively small starting capital thanks to the leverage makes it very appealing to many. In … Read more