Come join me for lunch at the Mad Hedge Fund Trader?s Global Strategy Update, which I will be conducting in Melbourne, Australia on Thursday, February 20, 2014. A an excellent meal will be followed by a wide ranging discussion and question and answer period.
I?ll be giving you my up to date view on stocks, bonds, currencies commodities, precious metals, and real estate. I also hope to provide some insight into America?s opaque and confusing political system. And to keep you in suspense, I?ll be throwing a few surprises out there too. Tickets are available for $209.
I?ll be arriving at 11:00 and leaving late in case anyone wants to have a one on one discussion, or just sit around and chew the fat about the financial markets.
The lunch will be held at a downtown hotel the details of which will be emailed with your purchase confirmation.
I look forward to meeting you, and thank you for supporting my research.
https://www.madhedgefundtrader.com/wp-content/uploads/2014/01/Melbourne-AU.jpg331469Mad Hedge Fund Traderhttps://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.pngMad Hedge Fund Trader2014-01-07 11:33:462014-01-07 11:33:46SOLD OUT - February 20, 2014 - Melbourne, Australia Strategy Lunch
Come join me for lunch at the Mad Hedge Fund Trader?s Global Strategy Update, which I will be conducting in Sydney, Australia at 12:00 noon on Friday, February 14, 2014. A an excellent meal will be followed by a wide ranging discussion and question and answer period.
I?ll be giving you my up to date view on stocks, bonds, currencies commodities, precious metals, and real estate. I also hope to provide some insight into America?s opaque and confusing political system. And to keep you in suspense, I?ll be throwing a few surprises out there too. Tickets are available for $199.
I?ll send you a PowerPoint presentation in advance to cover the broad range of subjects we may discuss.
The lunch will be held at an exclusive downtown waterfront restaurant the details of which will be emailed with your purchase confirmation.
I look forward to meeting you, and thank you for supporting my research.
https://www.madhedgefundtrader.com/wp-content/uploads/2014/01/Sydney-AU.jpg321433Mad Hedge Fund Traderhttps://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.pngMad Hedge Fund Trader2014-01-07 10:30:252014-01-07 10:30:25SOLD OUT - February 14, 2014 - Sydney, Australia Strategy Lunch
While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
S&P 500 Index (SPX)
PowerShares QQQ (QQQ)
Financial Select Sector SPDR (XLF)
Energy Select Sector SPDR (XLE)
Industrial Select Sector SPDR (XLI)
Consumer Discret Select Sector SPDR (XLY)
iShares MSCI Emerging Markets (EEM)
iShares 20+ Year Treasury Bond (TLT)
ProShares UltraShort 20+ Year Treasury (TBT)
SPDR Barclays High Yield Bond (JNK)
PowerShares Fundamental High Yld Corp Bd (PHB)
iShares iBoxx $ High Yield Corporate Bd (HYG)
PowerShares Emerging Mkts Sovereign Debt (PCY)
iShares National AMT-Free Muni Bond (MUB)
HCP, Inc. (HCP)
CurrencyShares Euro Trust (FXE)
ProShares UltraShort Euro (EUO)
CurrencyShares Canadian Dollar Trust (FXC)
CurrencyShares Australian Dollar Trust (FXA)
ProShares UltraShort Yen (YCS)
CurrencyShares Japanese Yen Trust (FXY)
WisdomTree Chinese Yuan (CYB)
Freeport-McMoRan Copper & Gold Inc. (FCX)
Vale S.A. (VALE)
Market Vectors Agribusiness ETF (MOO)
PowerShares DB Agriculture (DBA)
The Mosaic Company (MOS)
Monsanto Company (MON)
Agrium Inc. (AGU)
Potash Corp. of Saskatchewan, Inc. (POT)
PowerShares Water Resources (PHO)
First Trust ISE Water Idx (FIW)
Teucrium Corn (CORN)
Teucrium Wheat (WEAT)
Teucrium Soybean (SOYB)
iPath DJ-UBS Grains TR Sub-Idx ETN (JJG)
ProShares Ultra Oil & Gas (DIG)
Transocean Ltd. (RIG)
United States Oil (USO)
ProShares UltraShort Oil & Gas (DUG)
United States Natural Gas (UNG)
Occidental Petroleum Corporation (OXY)
United States Steel Corp. (X)
SPDR Gold Shares (GLD)
PowerShares DB Gold Double Long ETN (DGP)
iShares Silver Trust (SLV)
Premium Energy Corp. (PPTL)
ETFS Physical Palladium Shares (PALL)
SPDR S&P Homebuilders ETF (XHB)
Come join me for lunch at the Mad Hedge Fund Trader?s Global Strategy Update, which I will be conducting in Auckland, New Zealand on Wednesday, February 12, 2014. An excellent meal will be followed by a wide-ranging discussion and question-and-answer period.
I?ll be giving you my up-to-date view on stocks, bonds, currencies, commodities, precious metals, and real estate. I also hope to provide some insight into America?s opaque and confusing political system. And to keep you in suspense, I?ll be throwing a few surprises out there too. Tickets are available for $189.
I?ll be arriving at 11:00 and leaving late in case anyone wants to have a one-on-one discussion, or just sit around and chew the fat about the financial markets. The lunch will be held at a downtown boutique hotel the location of which that will be emailed with your purchase confirmation.
I look forward to meeting you, and thank you for supporting my research.
https://www.madhedgefundtrader.com/wp-content/uploads/2014/01/Auckland.jpg350491Mad Hedge Fund Traderhttps://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.pngMad Hedge Fund Trader2014-01-06 18:09:352014-01-06 18:09:35SOLD OUT - February 12, 2014 - Auckland, New Zealand Strategy Lunch
While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
Nothing like starting the New Year with going back to basics and reviewing the rules that worked so well for us in 2013. Call this the refresher course for Trading 101.
I usually try to catch three or four trend changes a year, which might generate 50-100 trades, and often come in frenzied bursts.
Since I am one of the greatest tightwads that every walked the planet, I only like to buy positions when we are at the height of despair and despondency, and traders are raining off the Golden Gate Bridge. Similarly, I only like to sell when the markets are tripping on steroids and ecstasy, and are convinced that they can live forever.
Some 99% of the time, the markets are in the middle, and there is nothing to do but deep research, looking for the next trade. That is the purpose of this letter. Over the four decades that I have been trading, I have learned a number of tried and true rules which have saved my bacon countless times. I will share them with you.
1) Don?t over trade. This is the number one reason why individual investors lose money. Look at your trades of the past year and apply the 90/10 rule. Dump the least profitable 90% and watch your performance skyrocket. Then aim for that 10%. Over trading is a great early retirement plan for your broker, not you.
2) Always use stops. Risk control is the measure of the good hedge fund trader. If you lose all your capital on the lemons, you can?t play when the great trades set up. Consider cash as having an option value.
3) Don?t forget to sell. Date, don?t marry you positions. Remember, hogs get fed and pigs get slaughtered. My late mentor, Barton Biggs, told me to always leave the last 10% of a move for the next guy.
4) You don?t have to be a genius to play this game. If that was required, Wall Street would have run out of players a long time ago. If you employ risk control and stops, then you can be wrong 40% of the time, and still make a living. That?s little better than a coin toss. It you are wrong only 30% of the time, you can make millions. If you are wrong a scant 20% of the time, you are heading a trading desk at Goldman Sachs. If you are wrong a scant 10% of the time, you are running a $20 billion hedge fund that the public only hears about when you pay $100 million for a pickled shark at a modern art auction. If someone says they are never wrong, as is often claimed on the Internet, run a mile, because it is impossible. By the way, I was wrong 15% of the time in 2013. That?s what you?re paying for.
5) This is hard work. Trading attracts a lot of wide eyed, na?ve, but lazy people because it appears so easy from the outside. You buy a stock, watch it go up, and make money. How hard is that? The reality is that successful investing requires twice as much work as a normal job. The more research you put into a trade, the more comfortable you will become, and the more profitable it will be. That?s what this letter is for.
6) Don?t chase the market. If you do, it will turn back and bite you. Wait for it to come to you. If you miss the train, there will be another one along in minutes, hours, days, weeks, or months. Patience is a virtue.
7) When I put on a position, I calculate how much I am willing to lose to keep it. I then put a stop just below there. If I get triggered, I just walk away. Emotion never enters the equation. Only enter a trade when the risk/reward is in your favor. You can start at 3:1. That means only risk a dollar to potentially make three.
8) Don?t confuse a bull market with brilliance. I am not smart, just old as dirt.
9) Tape this quote from the great economist and early hedge fund trader of the 1930?s, John Maynard Keynes, to you computer monitor: "Markets can remain illogical longer than you can remain solvent." Hang around long enough, and you will see this proven time and again (ten year Treasuries at 1.38%?!).
10) Don?t believe the media. I know, I used to be one of them. Look for the hard data, the numbers, and you?ll see that often the talking heads, the paid industry apologists, and politicians don?t know what they are talking about (the Gulf oil spill will create a dead zone for decades?). Average out all the public commentary, and half are bullish and half bearish at any given time. The problem is that they never tell you which one is right (that is my job). When they all go one way, the markets usually go the opposite direction.
11) When you are running a long/short portfolio, 80% of your time is spent managing the shorts. If you don?t want to do the work, then cash beats a short any day of the week.
12) Sometimes the conventional wisdom is right.
13) Invest like a fundamentalist, execute like a technical analyst.
14) Use technical analysis only, and you will buy every rally, sell every dip, and end up broke. That said, learn what an ?outside reversal? is, and who the hell that Italian guy, Leonardo Fibonacci is.
15) The simpler a market approach, the better it works. Everyone talks about ?buy low and sell high?, but few actually do it. All black boxes eventually blow up, if they were ever there in the first place.
16) Markets are made up of people. Understand and anticipate how they think, and you will know what the markets are going to do.
17) Understand what information is in the market and what isn?t and you will make more money.
18) Do the hard trade, the one that everyone tells you that you are ?Mad? to do. If you add a position and then throw up on your shoes afterwards, then you know you?ve done the right thing. This is why people started calling me ?Mad? 40 years ago. (What! Obamacare is going to work?)
19) If you are trying to get out of a hole, the first thing to do is quit digging and throw away the shovel. Sell everything. A blank position sheet can be invigorating.
20) Making money in the market is an unnatural act, and fights against the tide of evolution. We humans are predators and hunters evolved to track game on the horizon of an African savanna. Modern humans are maybe 5 million years old, but civilization has been around for only 10,000 years. Our brains have not had time to make the adjustment. In the market, this means that if a stock has gone up, you believe it will continue to do so. This is why market tops and bottoms see volume spikes. To make money, you have to go against these innate instincts. Some people are born with this ability, while others can only learn it through decades of training. I am in the latter group.
https://www.madhedgefundtrader.com/wp-content/uploads/2013/12/Caveman.jpg258275Mad Hedge Fund Traderhttps://madhedgefundtrader.com/wp-content/uploads/2019/05/cropped-mad-hedge-logo-transparent-192x192_f9578834168ba24df3eb53916a12c882.pngMad Hedge Fund Trader2014-01-06 01:03:282014-01-06 01:03:28My 20 Rules for Trading
While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Jim Parker, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.
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