Michael Carr Archives - Traders Log

Indicators on Indicators: The Next Step in Analysis

TradersLog — Sat, 14 Jan 2012 11:03:20 +0000

Traders and analysts have been developing market indicators for decades. Many of these indicators are simply measuring the same idea in only a slightly different way since most indicators are based on the same limited amount of market information.

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Seasonality: Do Stocks Really Go Up In January?

TradersLog — Fri, 30 Dec 2011 17:43:49 +0000

Many Wall Street pundits have been talking about the Santa Claus rally and the January Effect. In both cases, stocks are expected to go higher based upon a seasonal pattern.

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Spotting Stock Market Winners

TradersLog — Wed, 28 Dec 2011 22:36:38 +0000

The stock market, big winners unfold over years and could be a valuable core holding in a trading account.

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Are Stocks and Bonds Really Different?

TradersLog — Sat, 17 Dec 2011 11:01:50 +0000

In the long-term, investors in stocks and bonds have different goals but the performance of the two investments has been about the same over the past thirty years.

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Do Stops Work?

TradersLog — Fri, 09 Dec 2011 17:26:21 +0000

One of the first lessons that new traders are taught is that one of the keys to success is to cut losses and let winners run. This almost always leads traders to believe stop loss orders should be used to cut losses and are a valuable part of any trading strategy. Individual traders also seem to place stops under the market and forget about them, knowing their losses are limited.

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My Best Idea for Small Investors

TradersLog — Fri, 02 Dec 2011 09:41:48 +0000

Stocks are a wonderful investment but they will not be the right choice for small investors looking at trading for a living. A widely cited figure is that stocks return about 10 percent a year in the long run.

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Trading Without Software

TradersLog — Fri, 25 Nov 2011 17:08:44 +0000

When just starting out, some beginning traders will want to use all of their available funds to trade rather than buying software and data feeds. In this article, we’ll look at how that can be done, using free end of day data and indicators.

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Bubble Testing Proves Prices Can Be Irrational

TradersLog — Fri, 18 Nov 2011 16:02:35 +0000

In a previous article, I offered details on one way to quantify a bubble, at least for defining a market opinion. In this article, we will test the idea and assess the probability of successfully trading bubbles.

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Bubble Spotting: Dangerous to Trading Wealth

TradersLog — Thu, 10 Nov 2011 10:28:35 +0000

If trading can be reduced to a well defined set of rules, then market forecasting can also be defined by testable rules.

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