Posted on

Trading – The mistake of relying on past successes

Trading Room – Fri 9 Nov 2018

Most common traders and investors are always searching for the holy grail in trading. Past success is no guarantee of future performance yet they mistakenly believe that there is some single solution to defining market behavior and are looking for the magical bullet and formula to define all market actions.

However, not only is there no single solution to the markets, but those solutions that do exist are continually changing. The range of the methods used by the top traders in the world, some of which are even polar opposites, is a testament to the diversity of possible approaches.

There is a multitude of ways to be successful in the markets, albeit they are all hard to find and achieve. However, this does not mean that all methods are born equal or are applicable to all market conditions.

Continue reading Trading – The mistake of relying on past successes

Posted on

Market – US elections results: Will it work out?

Trading Room – Thur 8 Nov 2018

The U.S. mid-term elections results are in. And the world markets are watching closely. The Democrats have won control of the House of Representatives in the U.S., granting them a check of President Trump’s power and policy. The Republicans, meanwhile, have kept the Senate.

It was reported that both sides in the US have claimed the result as a victory with President Trump tweeting about the “tremendous success tonight.” But he will also know that the result will allow Democrats, who could control the House for the first time since 2010, to thwart or frustrate his more controversial social and economic policies.

Continue reading Market – US elections results: Will it work out?

Posted on

Trading – Beware of trades of emotion and euphoria

What do common traders do when faced with a conflicting news that sends the market and share prices rocking back and forth?

Just like the roller coaster seen in the market and the stocks they are trading in, their emotions go on a roller coaster as well.

And that’s when they start to make bad decisions or overrate their trading ability and skills against the market.

Continue reading Trading – Beware of trades of emotion and euphoria

Posted on

Institutional – How to trade the aftermath of Budget 2019?

Trading Room – Mon 5 Nov 2018

The government has revealed Budget 2019 on last Friday where it will continue with an expansionary budget with a budget deficit of 3.7% that takes into account the need to repay unrefunded taxes and maintaining economic growth at a high level.

While we will not go into the specifics of the Budget as it is widely reported, the budget turned out to be expansionary instead of a contractionary budget expected by the market.

Continue reading Institutional – How to trade the aftermath of Budget 2019?