Category: Theory And Training
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Do Buyers Of Options Benefit From High Volatility?
Search “options and volatility” in Google and you’ll get a dozen websites that say the same thing: option buyers want high volatility and option sellers want low volatility. Oddly enough, this old and relied upon rule of thumb isn’t completely correct.In reality, as an option trade plays out, trend has a far more powerful effect…
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James R. Keene — The Man Jesse Livermore Called The Greatest Trader Of Them All
While digging into old articles about James R. Keene for a piece I’m writing I came across this nugget that I have to share — it’s so good. For those of you not familiar with Keene, he is one of the most successful market operators of the late 19th century. Jesse Livermore, when talking about…
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Traders As Modern Day Hunter-Gatherers
Entering the market is like entering an entirely different world. This world functions nothing like modern society. Modern society has laws and social norms in place to protect you. If you screw up, you have a safety net. People will generally reach out and help. Modern society is cushy. Even people who are disabled, suffering…
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Markets as a Range of Reasonable Opinions
The following is from The Philosopher in Drobny’s classic The Invisible Hands (emphasis mine): Some people can trade markets using only numbers, prices on a screen but this approach does not work for me. The numbers have to mean something — I have to understand the fundamental drivers behind the numbers. And while fundamentals are…
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Bill Ackman Finally Pukes: Beware Of False Narratives
A year ago we wrote about why Bill Ackman should learn a bit of technical analysis. We weren’t suggesting he become an Elliott Wave nut or anything, but that he should adopt the risk management philosophy of a technician. TA clearly defines when to exit a trade. And with this clarity comes superb risk control…
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Lessons From A Trading Great: Jim Leitner
Jim Leitner is the greatest macro trader you’ve never heard of. He was once a currency expert on Wall Street, pulling billions from the markets, but now he plays the game through his own family office.Leitner understands the Macro Ops “go anywhere” mentality better than any other trader (excerpts are taken from Drobny’s “Inside the…
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Flying Too Close To The Ground
It’s not how close you get to the ground, but how precise you can fly the airplane. If you feel so careless with your life that you want to be the world’s lowest flying aviator, then you might do it for a while — but then a great many former friends of mine are no longer with us,…
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A Review Of George Soros’ “The Way Ahead” Lecture
The following review is straight from Operator James, a member of the Macro Ops Hub. With my TV broken for the last several months, and a useless repairman backed by a company going out of business, I’ve had a lot of time to devote to learning and thinking. Recently I realized I need to dig…
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A Review Of Anthony Bolton’s “Investing Against The Tide”
The following review is straight from Operator Kean, a member of the Macro Ops Hub. To contact Kean, visit his website here.Anthony Bolton is one of Britain’s most well-known investors. He’s managed money professionally for close to 3 decades at Fidelity Investments, and during his time as head of the Special Situations Fund, he’s averaged…
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A Review Of Lawrence Creatura’s “Long and Short: Confessions of a Portfolio Manager”
The following review is straight from Operator Kean, a member of the Macro Ops Hub. To contact Kean, visit his website here.Lawrence Creatura recently shared his insights from over two decades of investing in markets. The following are my takeaways from Long & Short: Confessions of a Portfolio Manager. Identify Your Comparative Advantage Creatura advises…