TLC Weekly Update September 18, 2020

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This is the quarterly option expiration week. As I explained in my past writings, the stock market behaviour during option expiration week is not the same as the other ones which often caught traders on the wrong side of the market. And it is happening again this week with people all cheering for a strong start for the week and then everything flipped upside down going into Friday. Awareness of these pattern changes can really help traders improve their performance into the next level.

I watched a good video from Veritasium on success – how luck play such an important role in our world really matters.

I came across an article about our bones being an important organ in maintaining our health. It looks like there are a lot more to research on this subject in coming years. For me, it gives me the motivation to not skipping regular exercise.

And here is an article that really mess with those of you who hate astrology so much – about the oysters and their sensitivity to the environment.

I have a lot to do this weekend so I will keep this post short.

Have a great weekend all!

TLC Weekly Update September 4, 2020

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What a week for the stock market – when everyone was talking about the market would never go lower because of the Fed policy, next thing you know we got a one day drop of more than 6% in Nasdaq 100 and 3% in S&P500. Usually September and October are the more volatile months so more fireworks is very likely in coming few weeks. On top of that, we have US election in early November. This is going to be very interesting for aggressive traders going into the end of this year.

Robert Greene just released a new video on human irrationality. It is a long video (about an hour) that I think everyone should watch and learn from it.

For those of you who grew up with the Apple II computers, you probably played the game Prince of Persia. Here is an interesting video on its creator Jordan Mechner who figured out how to break the Apple II hardware limitations. What he has accomplished shows the importance of having multiple voices in any large scale projects. If he had stayed the course of doing what he thought the game was all about, Prince of Persia would not have becoming the iconic classic games of all time.

And remember, never ask a surgeon whether you need a surgery – interesting talk of clash between Canada’s CMHC outgoing chief and Canadian real estate industry.

Looks like this weekend I will have a break from my marathon meetings. I need this badly as my biological clock is totally messed up over the past few weeks. Some “me time” for meditation and exercise sounds like a plan.

Have a great long weekend all!

TLC Weekly Update August 28, 2020

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A very productive week coming to an end while leaving me quite happy and exhausted. For one, finally closed a deal that has a marathon run of six months of negotiation. On trading side, I am making great progress with MultiCharts automated trading. Persistency and being patient have again proven to be useful when you want to accomplish something that worth the effort.

I am learning how to take night sky pictures lately. It is very different from taking regular photos due to the need of long exposure and other complicated settings. Will post some of the results here when they are reasonably enjoyable. Since I don’t have anything good yet, I have to use a stock photo this time.

Here is an interesting story on why the Sistine Chapel does not allow people taking pictures. I have been to Rome many times and stayed there for quite a bit in the past. Never thought of the reasons behind the no picture rule are so obscure.

For those of you who are trying to do intermittent fasting, you should read this good research paper on fasting from Japan. It will add to your understanding and help you stay the course.

I found a good video on YouTube with Jeff Gundlach talking about the problem of finance illiteracy. There is a link to the complete interview in the description as well. The fully interview is long but it is a very enjoyable one covering many aspects of his life. It is like reading his biography uncensored. I found the part on astrology about him very fascinating. As someone like myself who have a similar scientific background and beliefs, yet accepting the fact that astrology can be useful and helpful to people.

Have a great weekend all!

TLC Weekly Update Aug 7, 2020

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Another hectic week passed with me not knowing what time it was until the alarm clock fired off for the next meeting. It was not pure business meetings though. My friends who need my help called more often during this outbreak. Glad that I can give them a hand in this crazy time. Things are getting difficult everywhere in the world while the stock markets and precious metals are flying to the moon.

One thing I learned from friends with connections is that many Canadian banks are no longer willing to renew mortgages for clients who are self-employed. Or that they would tighten up the requirements so much that these self-employed individuals are forced to take on second mortgages. I never get the logic behind this line of thoughts by the Canadian banks.

Maybe, it has nothing to do with the banks because they are forced to follow a stiff guideline from Bank of Canada on all mortgages. Any irregular income makes it very difficult to satisfy the one-size-fits-all metric. At the end, Canada and other countries taking a similar approach to banking regulations are destroying their economies from within.

Latest discussion about the zero bond yield situation from Bridgewater should be useful to those who are wondering what to do with their retirement funds.

Lately, I have to help quite a number of friends with their life crisis due to COVID-19. Be that losing their jobs, businesses and lockdown depression, I found I keep referring them to this old video from Tim Ferriss on defining your fears instead of your goals. And for those who manage to find meaning from the video, I ask them to go read either The Obstacle is the Way by Ryan Holiday or a easier read, The Subtle Art of Not Giving a F*ck by Mark Manson.

If you know of anyone who may benefit from the video or the books above, spread the words.

Life is tough. But there is always hope.

Have a great weekend all!

TLC Weekly Update Jul 24, 2020

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Birthday week for me so perfect excuse to meet up with people. However, on trading front, it has been an upsetting week due to more problems with Tradestation. I am deciding if I will move all the automated trading away from Tradestation onto other platform.

An article from Maria Konnikova on What She’s Learned from Poker. It is a good read for anyone just started out with playing poker, and, of course, trading. The concepts mentioned are equally applicable in life.

Just in case you are wondering, yes, she also won a poker tournament after learning from Erik Seidel.

A very interesting discussion on shadow banking by Marin Katusa and Robert Kiyosaki. Most people, who know what a swap line is, assumed that they are used the way they are described. Well, they are not.

I am thankful to all my friends celebrating this birthday with me. I rarely celebrated my birthday for years. It is nice to do something different for a change.

TLC Weekly Update July 3, 2020

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Today is a US market holiday making this a long weekend for me. Many of my friends in Toronto find it odd that I rarely take a break on Canada Day (July 1st) while enjoying my time the weekend after. Well, they are not aware of my trading mainly deal with US markets so my holiday schedule is really the American one.

Just heard the latest podcast Tim Ferriss Show with Hugh Jackman this time. A very interesting podcast packed with a lot of details that is never disclosed before. Tim Ferriss did an amazing job getting his guest to spill his guts. Enjoy the show if you have 2 hours to kill. And in case you prefer to listen to it on Youtube, here is the link for that.

A short clip with Ray Dalio summing up perfectly the kind of financial markets we are dealing with. It is difficult environment to navigate if you do not have a big picture understanding of what is going on. Mr. Dalio summary can help you pay attention to what matters most at this point in the economic cycle.

Long weekend is often a good time to reflect and contemplate what to do next. Many people tend to imagine too much and try too hard to develop a plan that they can never follow. I am a true believer in the accumulation of results. Or as Steve Jobs’ famous speech put it, “You can’t connect the dots looking forward; you can only connect them looking backwards. So you have to trust that the dots will somehow connect in your future.”

Dive deep into one subject or topic at a time and do your best to learn as much as you can is a very empowering experience. Don’t tell yourself you are “trying to learn as much as you can”. That framing of “to try on something” already put you in a state of not learning, or, in a state of rejecting whatever coming out of the experience. Words have power and programming yourself with the wrong words have consequence.

For those of you struggling with trading over the past few months, maybe it is time to dig deep and refine your skills related to trading. 10% better in one area within a month may not do much. But after getting better by 10% (or more) in several areas of your trading can be a game changer to your overall performance. There is always room for more improvement in our line of business, and in life too.

Have a great long weekend all!

TLC Weekly Update April 17, 2020

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An article on how these ancient computer systems are still in use today by the governments that leads to the mess we are seeing during this crisis. I know about this all along as I have friends who are expert in these old programming languages that are very well paid to maintain these systems. The sad thing is that transition to more modern computer technology is not likely because it implies automatically obsolete the existing management teams …

On YouTube Bloomberg channel there is a good video talking with Ray Dalio on his take on the current situation. I find his objective reasoning still as sharp, that the Fed has no choice but to choose who to save, and as an investor you have the choice to choose to invest based on that information. In other words, don’t mess with the Fed until they blow up.

DaytradingBias is undergoing major server upgrade these few weeks. After that we will also update the site itself again, this time to comply with the Google transition to so-called secure internet connection. All these will be done with the hope that users access will not be affected significantly.

After the hardware upgrade I will release my video lessons on the site. It should be good enough to handle the load by then.

Many people email me asking how the stock market keeps going higher as they see more and more people are out of work. Well, remember that the stock market by design is not a tool to reflect the true value of anything. During time of high uncertainty, the expectations of the future by the investors will not be as united as in stable time. And that creates extreme swings as people of opposite opinions duel it out.

It is really not the time to think about investing. All the major players I know of have stopped all their near term investment projects. Deals that are in the middle of negotiation are all dropped. All savvy investors are sitting this out until we have clarity. That’s common sense.

While I am waiting for the server upgrade this weekend, I will work on more video lessons.

Have a great weekend everyone!

TLC Weekly Update April 10, 2020

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Easter Friday is a US market holiday. So, here I am taking my time to write this while drinking my morning coffee.

Another week of extreme market actions with US Federal Reserve going all-in with yet one more $2.3 Trillion bailout program on Thursday. We all know the claim that it is done to support the small and mid-sized businesses is just a lie. I don’t even want to guess which pockets those money will go into.

This is the fun part in watching all these news over the years on all these b.s. government aids claiming to do whatever for the economy. The money almost always ended up in the hands of those not targeted by these programs. It happens every single time. People choose to not vote for a reason – after years of disappointment in the actions of the politicians.

Can you blame them?

But US Federal Reserve governors and chairman are not even elected by the people …

I am asked about my view of the stock market. I have been bearish all along as I know the outbreak is something we cannot foretell if it is over. In addition, the end of the outbreak solves nothing. However, given the way Fed did what they did this week, I am guessing they are using the same 2019 playbook they did to print the market higher with the hope that people will turn into buyers again buying on all weaknesses.

It may not work this time, because all the stock market did was just 20% correction from year 2019 close. It is not even remotely corrected enough. That tells you how freak out the Fed really is. Remember baby boomers are not going to buy stocks from here. They are net sellers since year 2018. And the younger generations have no money in general, let alone investing in the stock market. The year 2019 run was hot-air created by the Fed and now that illusion is all gone.

The one nightmare the Fed trying to avoid is the redemption of index ETFs, once that started, it will not end well because it will exaggerate the declines that not even the Fed can put a brake on. Well, maybe they can if they start buying the stocks off the retirees now.

Switching to a happier topic here. No point grinding on doom and gloom.

Here is an article about college students constructing their colleges in the virtual world of Minecraft. Everything in scale and they even add special mods to Minecraft so that everything looks like the real things!

I am getting close to release my video lessons for TSB and ESDTC. The illustrations are taking more time to do as I am doing it myself. I used to sketch them by hand and then my staff will turn them into nice graphics magically. Well, good use of time though as we are all stuck at home until the lock-down is over.

Happy Easter!

TLC Weekly Update March 6, 2020

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I spent significantly more time with the market this week due to the wild moves all week. My automated trading models all have built-in filter to avoid trading in such high volatility environment so nothing much happened there. Engage in manual trading was fun riding all these 50 to 100 points moves.

I came across this video on How to Control Your Negative Thoughts. If you want to achieve anything in life but you are stuck right now, watch it. I can’t explain the subject and the concepts better than this guy.

If you have not watch Tim Ferriss on Mastery: Start with End Game and Make Space for Creativity before, do it. You may not get the message first time around though, perhaps it is not the right time for you yet. In that case bookmark the video and watch it again in the future when you need to shake things up in your life.

Workload still on the high side due to sudden need to assist my friends on several business deals. In turbulent time like this, looking out for friends and family is of high priority.

Have a great weekend all!

TLC Weekly Update February 28, 2020

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I saw so many articles and news media quoting brokers that “they have never seen anything like that”, referring to the 500 points drop in Dow over last 45 minutes trading on Thursday. That is just absurd. I remember that it was no big deal back in 2008-2009. It was also nothing comparing to year 2000 dotcom bubble burst. People really have a short memory of these things …

Here is an interesting read about Magnus Carlsen, the best chess player alive, who groove around internet chess websites for fun and excitement.

A good video summing up the COVID-19 situation, watch it so that you are properly informed.

The CORVID-19 is spreading all over the globe. If your community is a high risk area, make sure you keep up with your personal hygiene routines so that you can minimize your chance of contracting the diseases. I was asked by some friends wondering if there is any Chinese herbal medicine can help in terms of prevention. There is really no magic solution so don’t fall for any scam out there.

I am experimenting with making videos myself instead of having someone else handle that. Sometimes the idea is so simple, like I am just trying to show a clip of my trading strategies working in real-time, it is much easier to assemble the video quickly and have it uploaded.

Stay safe and have a great weekend everyone!