The Psychology of Fear

When markets become volatile (the media euphemism for declines) fear often takes hold.  In this environment investors and traders who are operating on "feel" or advice from media sources often react emotionally.  Dr. Brett Steenbarger, who writes extensively and expertly on these subjects identifies the operating elements today in his article on how to handle […]

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Housing and Recessions: A Proposed Relationship

Floyd Norris, the noted financial columnist for the New York Times, has recently begun blogging in addition to writing his regular column.  He recently posted some research he had conducted on the housing market and recessions. Norris takes a three-month moving average of housing starts to smooth out the volatile series.  Next he notes that […]

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Build your own trading system? Hmm…

Not so long ago, designing a trading system was viewed as a highly technical problem that required talented developers, special background, and great skill.  An individual investor would no sooner build a trading system than he would a refrigerator. Advertisements for brokerage firms signal that this has all changed.  Several of the leading discount brokers […]

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