Trade Futures, Spreads and Options with Confidence.
Whether you prefer to buy something that’s up 100% or down on the year can say a lot about you as a trader. It’s the classic contrarian vs trend follower debate, and it’s playing out in spades among two of this decade’s most novel markets: cannabis and crypto.
This question can plague many attempting to act on what the data tells them, and it’s especially justified for volatile commodity markets like oil and natural gas. Thankfully, crude oil has been around for a while, and there’s enough data to both display an opportunity and measure the risk around it.
It’s time to sideline your opinions of crypto and take advantage of the unique opportunity in front of you. An asset class worth trillions of dollars has sprouted up and developed before traders’ very eyes.
It’s time to sideline your opinions of crypto and take advantage of the unique opportunity in front of you. An asset class worth trillions of dollars has sprouted up and developed before traders’ very eyes.
With two cryptocurrencies – Bitcoin and Ethereum – now well above $100 billion in market capitalization and the former nearing $1 trillion, it appears as though all this crypto stuff isn’t going away.
The first, most obvious way to reduce risk in your long strategies is by reducing the number of dollars that stand between your entry price and $0. Take, for example, last week’s crash in metals.
Ethereum – a cryptocurrency with a $400 billion market capitalization that’s second in the space only to Bitcoin* – fell more than 25% from its highs of a week prior at one point last Tuesday, September 7th. Nasdaq futures made new all-time highs the same day.
There comes a time when stocks grind higher at such an innocuous pace that one starts to wonder if this whole trading thing might be over. Has the mixture of the Federal Reserve and monetary controls taken risk out of the market?
Will this be the down day that kicks off the next stock market crash?! Buy-and-hold investors and contrarian traders alike ask themselves the same question with opposing hopes when equities take a dive like they did last Monday.
The S&P 500 took 27 years to increase by $2,000 (going from $300 in 1990 to $2,300 in 2017). Just last week, the equity index notched another $2,000 in less than an eighth the time.* This exponential rise has been cause for uneasiness and questions among investors.