Elitny

Warning: Banking May Be Hazardous to Your Health - WSJ.com Step 39: Follow your OWN intuition Step 40: Go against the grain and do what everyone else is not doing. Find the black swan opportunities. Step 41: Come to grips with reality, you will not make 500k this year sitting in your bedroom Step 42: No matter how much experience you have you will always make bad calls, finance is your opinion on the future, and you will be wrong no matter how many times you have been right

I guess with those kinds of returns you should be able to lease a bloomberg terminal

Sure I would of used a simulator back in the day too, however they do not teach you one of the hardest aspects of trading: controlling emotion. Nor are they very accurate in terms of volume or fills. Personally, I would of avoided listening to the many bellwether analysts and done more of my own due diligence/modeling. At the end of the day, learning the hard way is usually the most effective. I would of cared less about my alpha tracking error and focused more on higher growth plays as opposed to momo bounces. Technical analysis is most certainly not the only thing to focus on as you will be correct about the same amount of times as someone only using fundamental analysis will. (Slightly over 51%). This is the number one thing that pisses me off about internet trading forums, is that 90% of the focus is on charting, yet it will yield nearly the exact same outcome as someone who can properly utilize fundamentals. Also, I would also look into, passive and active management and decide which best suites your needs. It is a lot cheaper to make ~6% with a vangaurd ETF than it is to potentially lose everything and not beat the market after taxes/transaction costs. Contrary to the above posts, I would NOT recommend Forex to someone new to trading, learn to scalp before you kill.

The quoted interest rate (discount rate or intrinsic value) is how you find whether or not the bond is selling at a premium or discount to par, while the coupon rate is the payment you receive per period specified by the particular bond. Bond Value = PV of Coupons + PV of par (face) The return on a zero coupon bond comes from the appreciation in its price rather than the payments received per period. Also recall that the Yield to Maturity only holds constant if you are able to re-invest the coupon payments at the YTM rate, (discount rate that equates fv cash flows to current price)

A commodities market would be a lot harder to write a program, but I don't doubt that they are out there. A signal such as unusual volume would be a pretty easy tip off.

A better example is lets say you have a bond with a 5 year YTM, that is priced at lets say 2 percent interest (rr) with a 6 percent coupon rate and a 1000 face value. The PV of said Bond is = 1188.5 meaning it is selling at a premium Same bond with no coupon rate has a PV of 905.73 So in other words a bond with a coupon rate will trade at a higher rate. Also to your question of re-investment it means that in an ideal world your coupon would have to return the same amount as the interest rate on the bond.

Depends.. if your account value is enough to cover all of your open positions margin is the way to go. However, if you are leveraging beyond what your balance is, if the market gaps you can end up owing.

Hello all, I have been trading for about 3 years now, currently I participate in Equities mainly, Options partially and dabble in FX every now and then. I am still looking to hone my strategies and enhance my trading abilities. I am still a student unfortunately so I have limited free cash flow, but I am still dabbling in the markets. Right now, I am trying to get a copy of CDOROM, but I am not sure if that is going to happen. Anyways, I thought I would introduce myself. I love to talk about trading and finance. I hope that this forum is what I have been looking for. Thank you.