It’s the small wins that hurt

This is what holds many traders back.The small wins.Yet we love to take those small wins, and avoid small meaningless losses like the plague.We are afraid of losses. It doesn't matter it it is big or small, that L is scary.It's all about the fear of the loss.Here is the rub: the fear of the... Continue Reading →

Prepare for the worst and the worst Martin Shkeli joke you ever heard

Martin: I have a horrible migraine. Prison guard: A bottle of Advil is $750,000It's easy to lose sight of the dangers of trading when things are going well. A few good trades and you are invincible.But it only takes one bad trade to wipe all the profit away.Anybody remember KBIO?A novice trader shorted the $2... Continue Reading →

Chart of the Day: How to Trade VIX

At the first sign of a market sell off or correction, my eyes leave my well developed focus list and turn to the CBOE Volatility Index, otherwise known as VIX. During market selloffs, it is crucial that you learn how to trade VIX.Why do I love trading the VIX during sharp selloffs and corrections?  Please... Continue Reading →

APOL Offers a Low Risk Setup

APOL has a weird, volatile pattern, but still offers a low risk setup off a breakout-pullback. An entry here at $71, with a stop under the moving average at $69.60 and a target at $74, offers a 2:1 reward to risk ratio.CPLA, another education stock, has a similar setup.

Is DE (John Deere) a Short Setup?

A Trade Report member sent me an email about DE. Here is the e-mail and my response I think it is great time to short "DE"? RSI, OBV and MACD are all, the Durable good is bad..While the price pattern is not bearish, I agree in that RSI is showing a slight negative divergence... Continue Reading →

Is This Breakout Sustainable?

The market and leading stocks are breaking out after a short consolidation period and overbought readings that are still extreme. Due to the extreme overbought readings, I'm taking a few "speculative" shorts. However, they are done with caution and small positions size.The idea behind these trades is to expect a small loss. If the trade... Continue Reading →

Too Extended to Enter Longs

While them market is too extended for my to add to my long positions (report members know that I was long before the move using the oversold bounce strategy), there are some low risk short setups among inverse ETFs.

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