Tag Archives: trend following

Pyramid Trading: Enhancing Returns without Increasing Risk

Last week I introduced a framework for adding to losing positions safely.  It is also possible to enhance returns without increasing risk by adding to your winning positions.  The approach is called pyramid trading (not to be confused with pyramid … Continue reading

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Trend-Following Strategy Insights

Trend-following has been around for 40+ years and is one of the most widely-used strategies among commodity trading advisers (CTAs).  In my personal library, I have six different books dedicated to the subject. I have experimented with futures trend-following strategies … Continue reading

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Posted in Futures, Market Timing, Risk Management, Strategy Development, Technical Analysis | Tagged , , , , , , , , , | Leave a comment

Take the First Step Toward an Investment Process

Most investors do not use an investment process.  Instead, they ask their friends for stock tips, watch CNBC, read a few newsletters (or blogs), and hope for the best.  There is no consistent rationale behind their decision-making process, very little … Continue reading

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Posted in Fundamental Analysis, In-Depth Article, Market Breadth, Market Commentary, Market Timing, Relative Strength, Risk Management, Seasonal Tools, Security Selection, Stock Screens, SWAMI Charts, Technical Analysis, Zacks | Tagged , , , , , , , , , , | 5 Comments

The Secret Weapon of Technical Analysis

The vast majority of technical indicators perform a computation on the price or volume of an individual security.  While these indicators can provide valuable insights, most traders ignore the most effective type of technical indicators. 

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Posted in Economic Indicators, In-Depth Article, Market Timing, Risk Management, Strategy Development, Technical Analysis | Tagged , , , , , , , , , | 24 Comments