In trading and investing, risk management is defined as the process of understanding, identifying, adjusting and managing all of the potential risks that an account is exposed to so the size... Read more
A death cross is one of the most popular bearish moving average crossovers in the trading world. It is a bearish signal that means the stock market is in a downtrend and could go much lower... Read more
While many traders love volatility and need it to trade in their timeframe it creates as many risks as it does opportunities. If you are on the right side of volatility you can make a lot of... Read more
Moving averages are primarily used as trend indicators and trend filters. They are quantified technical trading indicators that can be used for backtesting and signal creation. Using moving... Read more
Why did the Coronavirus drop the stock market so fast? The stock market is a forward looking investment mechanism and is always pricing in the future earnings expectations today. The Coronav... Read more
A stop loss is a risk management tool that keeps your losing trades small. The point of a stop loss is defensive and to eliminate stop losses from your trading. Here are ten tips for thinki... Read more
There are two different types of stop orders you can place with your broker to exit a trade when a specific price level is reached that triggers your stop loss on a position. Both of these t... Read more
A margin call is when a broker requires that an account holder deposit more capital into their account or sell an open position to maintain it at the required minimum security value for marg... Read more
The definition of financial hedging is to buy insurance to limit the risk of the downside if an asset falls in value. Hedging is a multi-position strategy that purchases insurance for an in... Read more
The Calmar Ratio was created by Terry W. Young in 1991, it is short for California Managed Account Reports. The Calmar ratio is usually based on recent and short term data. The Calmar ratio... Read more
