Trading News

Emerging technologies are those which are new and haven’t yet been widely adopted among the public. But these trends and new markets that will be developed out of them can lead to outsized gains for traders and investors.   Emerging Tech and Trading Many traders believe the future will be a slightly modified version of […]

Tesla doesn’t trade particularly well on fundamentals like earnings, but instead moves according to flows, positioning, and sentiment-driven momentum.  Its massive options market – typically the largest for any single stock – has created powerful feedback loops that can drive price action independent of underlying performance.  We’ll discuss these more in this article.   Key […]

Interactive Brokers has launched ForecastTrader, letting users trade Forecast Contracts with yes/no predictions on political races, economic indicators, financial events, and climate trends. These contracts offer a fixed payout structure and trade 24/6. Key Takeaways Fixed $1 payout per contract for correct predictions Trade events like CPI, Fed rate decisions, and state elections Zero commissions […]

Probability distributions are one of the most fundamental concepts in finance, markets, and trading. They provide a fundamental framework for understanding, modeling, and managing the unknowns and risks inherent in these domains. Trading isn’t so much about “predicting the future” (i.e., trying to ascertain a deterministic line of how things will transpire) as it is […]

Day trading and gambling are often compared due to their potential for high financial risk and reward. But the important distinction lies in the analytical approach and strategies that can be used in day trading, which differentiate it significantly from gambling.   Key Takeaways – Day Trading vs. Gambling Analytical Edge – Day trading uses […]

Shorting the housing market entails betting that real estate prices (or housing-related financial instruments) will decline. While it’s rarely straightforward, this strategy can serve either as a hedge or as a pure directional trade tied to macroeconomic, credit, or demographic theses. Below are the key pros and cons of shorting housing, along with second-order factors […]

Designing a less volatile equities portfolio requires an approach that blends macroeconomic insights with strategic cash flow management.  The crux of this approach involves focusing on stable cash flow streams and incorporating macroeconomic overlays to better control the short-term volatility. This way, an equities portfolio can reduce downside exposure while maintaining resilience across varying market […]

Tariffs are government-imposed taxes on imported goods that serve as both a revenue source and a strategic policy tool to influence trade balances, protect domestic industries, and respond to geopolitical tensions. In our current times, tariffs, debt cycles, monetary imbalances, geopolitical distrust, domestic political polarization, and deglobalization are converging to reshape capital flows, inflation dynamics, […]

Here’s a list of Insurance-Linked Securities (ILS) – financial instruments where investors take on insurance-related risks in exchange for potential returns, most commonly in the form of premiums or coupons.  These securities transfer insurance or catastrophe risks from insurers, reinsurers, governments, or large corporations to capital markets. Fundamentally, the idea is to earn premiums by taking […]

Dollar-cost averaging (often abbreviated as DCA) is an investment strategy where an investor divides a lump sum of money into smaller, fixed amounts that are invested at regular intervals, regardless of the current price of the investment. The most common example is an individual investor taking their monthly savings and buying assets for their portfolio […]