The stock markets have rallied strong in the first half of July. Until Monday, most stock indexes were up by 3% from the beginning of this month, and up 8% from the panic lows of “Brexit”. Investor sentiment has turned extremely optimistic… The financial talking heads are bullish… And financial…
A few days ago I explained how our brains can make wrong decisions. I said that high emotions and fast thought patterns can be destructive to good decision making… specially in trading. A good trader needs tools to assess the risks better. Specially if those tools can also calm down…
One of the most important lessons I learnt as a trader is that “pigs get fat and hogs get slaughtered”. This phrase is meant to warn those who get too greedy at the wrong time… I’ll show you in a few moments exactly who the hogs are that are about…