Volatility

Volatility is one of those words everyone knows, but not everyone understands. "...Volatility refers to the amount of uncertainty or risk about the size of changes in a security's value. A higher volatility means that a security's value can potentially be spread out over a larger range of values. This means that the price of…
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Patience To The End

aI run a lot. In fact I have run the equivalent of two trips around the world over the past thirty years. And the hardest of those miles has always been the last. Whether I'm running five miles or fifty miles, the last mile is longer than the first. Perhaps driven by anticipation that the…
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Trade Size

Let me preface this post by being clear. I am not an advocate of taking excessive risk. Nor am I an advocate of approaching this business as if it were gambling. Though the outcome prior to any trade is never certain, a good trader only enters a trade when probability is in their favor. Probability though…
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Trade Frequency

When it comes to system design there are far more metrics than simply the equity curve. Whether it be win rate, risk reward ratios, drawdowns and more, all of these metrics are important. And like whack a mole, all are integrated. As an example, win rate and risk reward ratio are directly correlated, whether it…
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