Should You Be Searching the Web for Expert Opinions?
This is one area that I have always tried to steer you clear of. That is listening to the herd and listening to people who don't know any more than you or even myself.
You cry "wolf" long enough well generally one will show up. However that is not how you want to trade your account. I can't stress enough how important it is to do your own research and learn strategies that protect your capital. If you make money great but if you don't protect your capital you will lose it all. Case and point is here:
https://www.zerohedge.com/news/2018-02-06/xiv-trader-loses-4-million-and-3-years-work-here-his-story
While I can feel for his pain the person is a total idiot. He needed to be reading my blog for the past few years and I assure you that this would not have happened to him. Where is his risk management. Where is his take profit strategy. Worse why didn't he take profits at certain points?
Just pure, foolish and amateur like trading.
You see I always told you that when you make 100% of your money, take it off the table and play with house money. The second failure point was when he was up 2.5 million. Why on earth didn't he take at least 1.5 million off? He was short for goodness sake. Exactly how much more downside did he expect? There was virtually none to be had.
Here is the more important part to remember. Everyone was on one side of the trade. The Fed even warned it was looking to begin deleveraging its huge short in the VIX.
This is how colossal mistakes happen. Way too much arrogance and way too much greed. None of it had to happen. I was extremely temped to go long the VIX when I mentioned the Dollar turn. However I too did not want to have too many positions going one way.
Missed opportunity?
There will be many more.
It never ceases to amaze me that memory is so short lived. Did people all of a sudden forget about the Swiss crash of late 2014? A mere four years ago? I guess they did.
Here is another reason why you want to do your own research. I rarely ever go to these sites at all although this is a good site in my humble opinion.
https://www.fxstreet.com/
Look down the home page as see the predictions for 2018.
I would speculate based on my own research that they are almost all wrong. Every single one of them. However people will base their decisions on the fact they believe because they have no idea of what they are doing themselves that these people know.
Now here is the thing.
They could all be right for all I know. However that is NOT what my own analysis says at the moment. Using risk management properly and using stops keeps you in the game. Derivatives are born of leverage. That makes them risky by themselves. Leverage is NOT a good thing. Especially in the hands of people who have no idea how to use it.
The Fed is trying to deleverage a bit. Not a lot but a bit. There will be some hickups in the market as a result. Don't be caught in the middle of a bad bet that you refuse to let go of. Most of all avoid the herd like the plague.
You cry "wolf" long enough well generally one will show up. However that is not how you want to trade your account. I can't stress enough how important it is to do your own research and learn strategies that protect your capital. If you make money great but if you don't protect your capital you will lose it all. Case and point is here:
https://www.zerohedge.com/news/2018-02-06/xiv-trader-loses-4-million-and-3-years-work-here-his-story
While I can feel for his pain the person is a total idiot. He needed to be reading my blog for the past few years and I assure you that this would not have happened to him. Where is his risk management. Where is his take profit strategy. Worse why didn't he take profits at certain points?
Just pure, foolish and amateur like trading.
You see I always told you that when you make 100% of your money, take it off the table and play with house money. The second failure point was when he was up 2.5 million. Why on earth didn't he take at least 1.5 million off? He was short for goodness sake. Exactly how much more downside did he expect? There was virtually none to be had.
Here is the more important part to remember. Everyone was on one side of the trade. The Fed even warned it was looking to begin deleveraging its huge short in the VIX.
This is how colossal mistakes happen. Way too much arrogance and way too much greed. None of it had to happen. I was extremely temped to go long the VIX when I mentioned the Dollar turn. However I too did not want to have too many positions going one way.
Missed opportunity?
There will be many more.
It never ceases to amaze me that memory is so short lived. Did people all of a sudden forget about the Swiss crash of late 2014? A mere four years ago? I guess they did.
Here is another reason why you want to do your own research. I rarely ever go to these sites at all although this is a good site in my humble opinion.
https://www.fxstreet.com/
Look down the home page as see the predictions for 2018.
I would speculate based on my own research that they are almost all wrong. Every single one of them. However people will base their decisions on the fact they believe because they have no idea of what they are doing themselves that these people know.
Now here is the thing.
They could all be right for all I know. However that is NOT what my own analysis says at the moment. Using risk management properly and using stops keeps you in the game. Derivatives are born of leverage. That makes them risky by themselves. Leverage is NOT a good thing. Especially in the hands of people who have no idea how to use it.
The Fed is trying to deleverage a bit. Not a lot but a bit. There will be some hickups in the market as a result. Don't be caught in the middle of a bad bet that you refuse to let go of. Most of all avoid the herd like the plague.
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