Trading News

Traders and investors increasingly recognize that concentrated portfolios are very risky and unnecessary for meeting their long-run return objectives. This is leading more asset allocators to the balanced beta approach, which we’ll explore in this article.   Key Takeaways – Balanced Beta Risk Balancing Balanced beta focuses on equalizing risk across different economic environments (rising/falling […]

Intermarket Sweep Orders (ISOs) are a specialized type of order used in electronic trading. They are mostly used in the context of high-frequency trading and regulatory compliance.   Key Takeaways – Intermarket Sweep Orders (ISOs) Purpose and Execution ISOs are specialized limit orders designed for immediate execution across multiple exchanges. They allow traders to bypass […]

Trading involves the use of various order types, each with its own specific conditions and purposes. It isn’t just about deciding what to buy or sell; it’s also about how you buy or sell. Understanding these order types is important for traders to effectively manage their trades and risk. Here, we will explore the most […]

High-frequency trading (HFT) involves the use of sophisticated algorithms and high-speed data networks to execute orders at extremely fast speeds. HFT strategies are designed to capitalize on very small price discrepancies that exist for a very short time (often a fraction of a second). Given the technical nature of HFT, the strategies often require an […]

As the number of day traders grows, so does the debate: Is day trading a good investment or business strategy, or is it more akin to a game? We’ll look at the various aspects of day trading – both the elements that can make it seem game-like to some and the factors that set it […]

Day trading is often perceived as an exciting and potentially lucrative pursuit.  The reality of day trading is nonetheless far more complex and challenging than many realize.  We look into the difficulties associated with day trading and the various aspects that contribute to its complexity and high failure rate.   Key Takeaways – How Difficult […]

Trading, whether in stocks, commodities, currencies, or other financial instruments, is highly competitive and demanding.  Those who are successful and rise to the top in this field have a unique set of cognitive skills that enable them to navigate markets, manage risk, and make quick decisions under pressure and with imperfect information.  This article goes […]

Day trading is often debated in terms of its zero-sum nature. We’ll look at various aspects of day trading, examining which elements can be considered zero-sum and which may not fit this categorization.   Key Takeaways – Is Day Trading a Zero-Sum Game? Alpha generation in day trading is zero-sum Your profits relative to a […]

Hot keys, also known as hotkeys or keyboard shortcuts, are used by traders looking to optimize their efficiency and speed due to the fast pace of certain trading styles.  These pre-programmed commands allow traders to execute trades, manage positions, and navigate trading platforms with just a few keystrokes, reducing the time and effort required for […]

Many traders use standard brokerage accounts for day trading, but some consider using Individual Retirement Accounts (IRAs) or Roth IRAs as vehicles for day trading.  This approach combines the potential for short-term gains with the tax advantages of retirement accounts.  It nonetheless also comes with unique challenges and considerations that traders must carefully evaluate.   […]