Happy New Year!

As I look back on 2013 I see a year filled with great personal growth. I was able to read more books this year than in any year prior and I’m grateful for that. The sad fact is that I had to schedule the time to read or it wouldn’t happen. I no longer have

Cognitive Flexibility

Cognitive flexibility is being aware that in any given situation there are options and alternatives available. As an example, you don’t have to stay in a losing position, yet so many traders do just that as their conviction in a trade turns to hope. Cognitive flexibility is a critically important executive function  that occurs, almost

Executive Function and Trading

A while back I asked the question of whether or not you were an instinctual trader. To find out you were asked to click a link and play an online card game. The game is called the Iowa Gambling Task (IGT) and was developed to simulate real-life financial decisions where performance is strongly influenced by

Are you an instinctual trader?

How would you describe the decision process of your trading? Is it mainly based on technical analysis? Do you incorporate fundamental analysis at all? What about astrology? How much does instinct come into play in your trading decisions? Probably more than you’d like to admit. I’ll post a follow-up to this question later. For now,

Can You Multitask?

I recently shared some information regarding the dangers of multitasking which led to Allison sending me a link to a multitasking test she helped create. As the test (and numerous research) points out our brains are simply unable to do two things at once. What this test is actually measuring is the TIME it takes

Standing Desk

Over the weekend I made the switch from my turret to a standing desk. I decided to make the switch after reading about the perils of a sedentary work life. I’ll be turning 45 this summer and my metabolism isn’t nearly what it used to be so something had to change. I’ve been better about

Book Review: The Trend Following Bible

I haven’t reviewed a book since my graduate school days when I was looking to add bullet points to my curriculum vitae. I was recently asked by Andrew Abraham to review his book, “The trend following bible: How professionals compound wealth & manage risk.” This struck me as being odd as I’m not a trend

Slow Down

Tony Schwartz, the author of Be Excellent at Anything, posited that a major problem today is that many of us can’t say no. We’re unable to define a stopping point or establish boundaries when it comes to “work.” In a sense we’ve become multitasking masters where we’re able to spend significant amounts of time juggling

Average Daily Return

A different way to approach breadth is to look at the average daily return over a period. The charts below use a month to assess market strength over that period. Both the Dow & S&P 500 had their best January in the last 13 years. In fact, the SPY had its 17th best month of

Fun With Data

I’m a firm believer that an edge can be created through simple data analysis. I further believe that the rarer the data the better the edge. You can also take common data and create different or unique ways of looking at it.  As an example, here’s a different way to approach widely available put &