A few years back I held six positions spread across different sectors, the kind of book that looks diversified on paper. On the three worst sessions of that stretch, all…
You close the week with a position down three percent, and there's a question worth asking before you touch anything: does the loss say something about your thesis, or did…
You take a breakout at 50.00 on a stock that spent six weeks coiling under resistance. The next morning it opens at 51.20 and holds. Your thesis is working, and…
A trader can be right more often than wrong, collect two dollars on every winner for each dollar lost, and still drive the account to zero. It sounds impossible until…
Two stocks flash a fresh high on the same morning. One is a quiet utility that moves twenty cents on a busy day. The other is a chip name that…
Picture an account that closes most days in the red and still finishes the year well ahead. The journal reads as a wall of small losses, the equity curve grinds…
Stanley Druckenmiller is widely cited for two reasons. The first is the reported record at Duquesne Capital, often described as roughly thirty percent average annual returns over nearly three decades…
Marty Schwartz became widely known in trading circles through his chapter in Jack Schwager's Market Wizards and through his own memoir Pit Bull: Lessons from Wall Street's Champion Trader. What made him interesting…
I look back at one of my own ledgers and the pattern is always the same. Eight months of small losses and tiny scratches, the equity curve flat enough to…
A swing trader risks 2% of a $50,000 account on every trade. The rule has held since the first month of the journal. Then the VIX prints 38 on a…