Somebody at CNBC has decided to hype the fact that Apple’s (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that’s true if you’re looking at points but I’d argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure [...]

Here are my responses to the comments left on last week’s “position sizing considerations” post:
nonadamas wrote:
1. What about equipment, ISP failures, do you always write down your trades?
2. What kind of backup set-up do you have?
3. Brokerage problems, problems at their site or with their people making errors?
When I started active trading, [...]

I want to share & expand upon the answer I gave to an email about position sizing the other day. Justin wrote:
[SNIP] After reading your article on 100 R i can now see that it would benefit me to daytrade and use 1 R per trade instead of my old 2 R per trade [...]

I’m always amazed at how often I hear people say that they can’t afford “expensive” stocks. When they say “expensive” they really mean high-priced, as in price per share as opposed to truly expensive based on P/E ratio or some other valuation metric. So these same people would be all over the stock [...]

Looks like Gordon Gekko beat me to the punch. A comment that was left the other day sparked me to write about a pet peeve of mine — people focusing on stock price & number of shares (smoke & mirrors) instead of dollars & percentages (the true equalizer). I’m still gonna write that [...]