Some tidbits on a Saturday Morning.
Hockey or Trading? -Here's a quote from the Eastern Conference Leading (I can't believe I just typed that) Boston Bruins' coach Claude Julien, in referencing last night's sloppy 7-3 win over Atlanta: "Maybe we didn't make the strong plays all the time," said coach Claude Julien. "We're trying to work ourselves out of a little bit of a funk. You're going to say it's 7-3 and we're still doing some good things. The way we played the month of November, I guess the expectations are high for everybody. I think that's why we have a tendency to look for all those sloppy plays at times. There's still a lot of good things going on, but we have to kind of settle ourselves down a little bit to make some stronger plays at times."
Hmm .... you'd think he was describing my recent trading. Just goes to prove once again that trading is indeed a sport ... game, set, match.
2008 Win-Loss Ratio - OK, here's something for the stats folks. Through 11/30, my daily win-loss ratio for the year was 4.15. Keep in mind I define a net gain at the end of the day as a "win" and a net loss at the end of the day as a "loss" ... regardless of the results of specific trades. And you know my feelings on stats ... they're simply an interesting after-the-fact anecdote, and I don't do anything to "manage" to get to a certain number. Doing so would be like a pitcher saying he's planning to throw 80 strikes and 20 balls in the next game.
I can't draw many conclusions from the 4.15 figure, other than perhaps that I screw up about 20% of the time.
Christmas Wish List for the Industry - It's a short list: (1) Either full regulation or abolishment of free and subscription trading-based chatrooms, and (2) Full disclosure of performance results for anyone providing trading or investment results/advice, including "mentors" and chatroom "gurus".
Make a stock or futures "call"?, I want to know if you're trading it, your exact entry and exit fill (missed fills alone would eliminate 90%+ from room "calls"), and your result with full audit rights. If you're not trading it, why the hell not?? And don't give me the "First Amendment", "we can't legally disclose our client's trades", "we're precluded from trading what we advise", "it's simply entertainment", "I'm not really providing advice", "buyer beware", or "I'm a mentor, not a trader" arguments -- all of which are self-serving either for subscription revenues or their own front-running purposes.
As for the last point re: mentoring/teaching, sorry, I wouldn't want to learn to stop smoking from a coughing doctor, learn to lose weight from the hot dog eating champion, or learn to fly a plane from someone who's a "good teacher" but has never flown extensively and successfully. Frankly, I want to see the detailed records of Suze Orman, Jim Cramer, Mario Gabelli, every interviewee on CNBC with a recommendation, and every chatroom "leader". This will of course all but seal I never get invited again to a chatroom interview.
Sorry folks, but we're talking money here and accountability should be first priority. The gig should be up and it's time the curtain is fully opened. If you're legit and can comply with ramped up regs, you'll have no problems. And yes, everything I've posted in this blog would withstand a 100% audit. You can take away my exchange seat if it didn't.
Heading to Foxwoods for a day of poker cash games and to take the mind off trading. Enjoy the weekend.