Apr

17

Bits and pieces

April 17, 2024 |

Zubin Al Genubi on market prices:

Twenty S&P points used to be a good trading day. It still is, but now 50 points is the new normal. Need to recalibrate mentally and recalibrate old systems. It's a dichotomy between points and percentages as the prior Rocky/Vic argument discussed. The higher price has resulted in a stealth increase in leverage. Announcements widen spreads and create great small entry points. The FED speak traders are always wrong and offer great opportunity. Why are they wrong? Bad news is not good news.

I've read that the current market price is always right. I disagree. The market price is set at the margin by a few, maybe several hundred participants with a variety of reasons for transacting. The reasons are often wrong and the price is wrong at that moment. This can be used to advantage either in patterns prospectively, or in the case of liquidity holes on the fly.

Big Al suggests:

Daniel Kahneman on Cutting Through the Noise | Conversations with Tyler

Andre Agassi tennis hack against Boris Becker

Nils Poertner on effortless learning:

When learning a foreign language, we learn the best when being PRESENT and don't fret to get it right all the time. This being right puts a huge amount of unnecessary stress on the student. To some extent it seems the same in trading: we don't need to know everything in advance - far more important is to be PRESENT.

Easan Katir on an old book:

NHK offers a sensitive review of In Praise of Shadows. The book is by Juni'chiro Tanizaki, one of Japan's eminent novelists. Market relevance? One can muse on how much of market activity takes place in the shadows, the dark pools, the anonymous orders whizzing by on level 2… is there a shadowy level 3, 4, 5 where identities are revealed?

Kim Zussman responds:

Relatedly to spec interests, A Taxing Woman, a nice film about Yazuka/tax evasion at Nippon ATH ca late 80s.


Comments

Name

Email

Website

Speak your mind

Archives

Resources & Links

Search