Before the calendar flips to August, we wanted to take a quick look back at our top stories from July. In case you missed them the first time, these are a valuable read or as the case may be —a valuable reread. Let’s take a look.
Global Events
This Market Laughs At War, Here’s Why by Polly Dampier
The other half of the globe may be burning, but the S&P 500 (SPX) shrugs it off and reaches for the sky. How come?
Markets React To Plane Crash, Russian Stocks Cheap by Charles Sizemore
The biggest reason to own Russian stocks is that they are cheap. After Greek stocks, Russian stocks are the cheapest in the world with a cyclically adjusted price/earnings ratio of just 6.
VIX Seasonal Pattern Starts Now by Ed Carlson
The VIX tends to rally during the period between the first of July and the end of October.
What Could The End Of QE Mean For Markets? By Patrick MontesDeOca
The QE economy —which started in 2009 and has continued through 2014 — saw the banks buying stocks, bonds, and real estate, while loaning money to Wall Street, which sparked an asset bubble. That economy is coming to a halt.
Mind Games
What Is Your Trading Brain Type? By Kenneth Reid Ph. D
There are five general brain types. Among traders and investors, the three most important brain types are Compulsive, Impulsive and Anxious. Find out what type you are here.
Psychology: Accept Your Losses Be A Better Trader by Gary Dayton Psy.D
When was the last time you heard a trader say, “I had a fantastic loss the other day. Let me tell you all about it?” No one likes to lose money and the experience can be painful both financially and emotionally. Read the article here.
Trading Strategy
Trader Tutorial: Learn How To Put On Bearish Put Spread After A Gap by Troy Peterson
Bear Put Spread is one way to play options with a low risk profile. A bear put spread involves a net cost or debit, the maximum loss that can arise from this strategy is the cost of the trade plus commissions. The maximum gain that can be made is the difference between the strike prices of the puts less commissions, of course.
Finger Trap Short Term Momentum In The FX Market by James Stanley
Many have tried, and most fail. Becoming a ‘day trader’ is not as easy as it appears… Learn a short-term trading strategy here.
Use Multiple Timeframes by Mark Sachs
In order to further enhance the precision of a trading entry multi-time frame analysis should be utilized. In its simplest form trades are executed in the direction of the trend on the higher time frame, using a pull back on the shorter time frame as the entry trigger. This is a rational approach to trading.
Free Stuff
We all want to become better traders and don’t want to pay a fortune. Joe Duffy picks his top 10 free trading resources. See the list here.
Finally, speaking of free stuff, TraderPlanet publishes a quarterly trading magazine —and the next issue will be released on Monday.
Don’t miss the issue, which features an exclusive interview with Josh Brown —The Reformed Broker.
“My wife was yelling at me: ‘How is it that you can get up for work, take the train, work for 10-11 hours a day, and only earn $400 in a month,'” Brown recalled. Given the equity market turmoil and collapse which unfolded that year he found himself conflicted with the idea that long-term investors should be actively trading. He questioned whether he should be pushing his clients into investments as opposed to moving into the safety of cash during the financial meltdown. “I told her I was doing the right thing for my clients. Brokers are paid on a transaction basis. They are not paid for holding client money in cash.”
The summer issue is jam packed with trading strategy articles, market outlook, trading psychology tips, educational videos and more. Sign up for your free subscription here and the magazine will be e-mailed to your inbox each quarter.
A big thank you to all our contributors and our readers. Thank you for being part of the TraderPlanet community.
