Posts

Intuition In Trading And Investing

Intuition In Trading And Investing: Can You Trust It?

Do you ever get that feeling that a certain trade will be huge? That you should size up on it and go for the jugular? You can’t exactly describe why this trade is the “one”, but you can definitely feel it.

This feeling is what we call intuition. Read more

How To Find And Execute Global Macro Trades Or Investments

How To Find And Execute Global Macro Trades And Investments

The following is an excerpt from an email sent to one of our Macro Ops Hub members. It’s a cursory look at how we apply the Macro Ops’ Trade Identification Formula (MOTIF) to markets. The MOTIF series was originally introduced to our Operators through the Vault — a section of the Hub that contains a growing number of educational PDF’s to help advance our member’s trading knowledge and skill set. If you’re interested in learning more about the Hub and everything it offers, including the Vault and MOTIF series, just click here. Enjoy the MOTIF example below!

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The MOTIF structure simply serves as a starting framework to build other mental models and practices off of. It helps ensure that you’re trading with the larger trends and macro forces currently at work. This is extremely important. As traders, we want as many tailwinds behind our trades as possible. Read more

Ditch Options And Buy Stocks With “Cheap Optionality” Instead

Ditch Options And Buy Stocks With “Cheap Optionality” Instead

It probably didn’t take long after becoming a trader to stumble upon options. Brokerages and websites all over the internet are constantly pitching these complex financial derivatives, claiming things like “defined risk” and “100% returns a month”. But these advertisements only end up luring novices into a game that creates losses rather than stunning returns. Read more

Bruce Kovner

Lessons from a Trading Great: Bruce Kovner

Bruce Kovner retired in 2011 from Caxton Associates, the hedge fund he founded and ran for 28 years.

Over that time the fund returned an average of 21 percent a year since its inception. In comparison, the SPX averaged just 11%. Kovner had only one losing year (in 94’). Before Caxton, while trading at the famous Commodities Corp, he averaged close to 90% over 10 years. Impressive numbers by any measure. Read more

Variant Perception

Variant Perception and How the Market Is Always Wrong

“The generally accepted view is that markets are always right — that is, market prices tend to discount future developments accurately even when it is unclear what those developments are. I start with the opposite view. I believe the market prices are always wrong in the sense that they present a biased view of the future.” ~ George Soros Read more

Artificial Interlligence

Hasta La Vista… Traders? (The Future Of Artificial Intelligence In The Financial Industry)

One of our favorite movies at Macro Ops is Terminator 2: Judgement Day.

The early 90’s classic had Arnold at his best and changed the sci-fi action genre forever.

People have always had a particular fear of technology and machines, but Terminator really solidified that picture. How many times have you heard the “Skynet” argument when it comes to today’s technology? Read more

Think in 3D

The 3 Pillars Of Trading Performance

As an active trader, there are 3 key factors of your strategy that you need to pay close attention to. There’s no holy grail in trading, but tweaking and maximizing these 3 things can get you pretty damn close to one.

Read more

learn to trade options

The Misconceptions and Pitfalls of Options Trading

Options.

They’re supposed to deliver you 1000% returns overnight, week after week right? That’s what a lot of these internet trading “gurus” will tell you anyway…

But the reality is far different.

Options are a zero-sum game. When one person wins, another loses.

The winners are few. Read more

Diary Of A Professional Commodity Trader

A Review Of Peter Brandt’s “Diary Of A Professional Commodity Trader”

It’s a rare opportunity to get an inside look at the trading process of a legend. But that’s exactly what Peter L. Brandt (PLB) provides with his book Diary of a Professional Commodity Trader: Lessons from 21 Weeks of Real Trading. Read more

Everything You Need To Know About Shorting Stocks

Shorting stocks can be very lucrative. But you need to know the ins and outs before you attempt this advanced trading/investing technique. Watch the video below to learn how!

We go over:

  • Why you should short
  • The differences between shorts and longs
  • Trade management techniques for shorts

Read more