Trading Rules

Disclosure.  The following list contains some original content, as well as a good deal of material that I simply wrote down because it sounded good.  Here's a raised martini to the inventors of the copied content.

• When looking for trend reversals start with low beta names.
• When a new macro trend is set deploy into small cap reversion.
• Do not trade options before 345 if intending to hold overnight.
• Most of your money is made when the markets are closed, through preparation.
• Remember that institutions are cumbersome, press investments until the chart makes a blowoff.
• When a stock closes at or near the high of the day on volume, think about taking half overnight.
• Do not miss a good trade over penny pinching the execution, pick good spots and pull the trigger.
• Scaling is the only way to trade unless a major macro move is on.
• The longer a sector non-leader defies comparable intraday gains/losses the larger the reversion candle will be.  (Attributable to ETF rebalancing?)
• Try to determine early on if the issue at hand (stock or market) is in for a trend day or a range bound day.
• Always be accountable for your plan and always hold your plan accountable for its results.  Existing conditions factor into the plan, they are not excuses for its failures or successes.
• Fade the loudest crowd in a counter-trender on any scent of a reversal and reversion to the broad market.
• When in doubt, palms out.  (Love that, just saw it on Twitter a few weeks ago.)
• Create a risk limit before buying.
• Do not overnight uncertainty.