Principles of a simple trading strategy

I got a subscription to Investor’s Business Daily, mainly for their proprietary stock screener with lots of bells and whistles, including deep and complex analysis tools and other paid add-on services.

However, I’m trying to keep things as simple as possible, based on the takeaways from reading the published research and books on momentum trading, my own training in science, and ideas from philosophy of science.

In a nutshell, I want to use the screen mainly for:

  • Relative Strength Rating for the Technical screen

Preliminary ideas and formulation of trading strategy

This post will serve to articulate and refine my beliefs and principles in momentum trading (buy strong performers high and sell higher), comparing and contrasting it with other types of trading strategy I’ve researched or tried out.

I’m writing this to help retain what I learned from my reading (and subsequent re-reading) of both books by Mark Minervini, who was featured in Jack Schwager’s Market Wizards:

  • Trade Like a Stock Market Wizard (published April 11, 2013)

I’ve read many dozens of books on trading, and these were noticeably good, and…

Diamond Hands 💎🙌 🔥🚀🌝

There seems to be much outrage and muddled thinking with the Reddit GameStop trade. Nothing wrong with getting angry or being wrong initially, but at least be precise and have specific reasons, and be willing to change positions upon more evidence or better arguments.

Below are some brief thoughts, will assume readers already know the backstory and trading mechanics, so I won’t waste your time and get direct to the points.

1. Why are retail traders using Reddit seen as bad?

They’re doing the EXACT same thing as the hedge funds, just now on the long side, which also has “other” hedge funds, investment banks, and mutual fund companies going…

Risks of life-changing injuries are always present

It’s been 6 weeks since I learned how to ride a self-balancing electric unicycle (EUC). It’s a King Song 16X that can reach 31 miles per hour and weighs 53 pounds. Luckily, I have not fallen at during those 6 weeks until the present, as I just rounded out my first 450 miles of riding.

King Song 16X with a 2,200 Watt motor, 1554 Watt-hour battery, fitted with side/power pads that can reach 31 miles per hour

I’ve been going relatively slow at around 10 mph, but have been emboldened to go faster as I build up experience and time riding. At first I only wore minimal protective gear involving a half-shell helmet and wrist guards, since it was such as hassle…

What if doctors were overly optimistic about future outcomes?

Many motivational tales of overcoming obstacles and defying odds involves some variation of the following phrase, usually after some traumatic, catastrophic, or life-changing event.

“Doctors said it was impossible, but they were wrong.”

Usually this is based on a doctor’s sober analysis of the situation, aided by common sense and statistics on previous similar outcomes and applied to the most likely outcome. Of course, this doesn’t have to involve a doctor’s expectations and prognoses, since it could also involve such sources as a doubting friend, conventional wisdom, or even an internal voice.

It would be humorous to consider the scenarios…

OneWheel+ XR and the King Song 16S

It Started with the OneWheel…

After putting in 113 miles on my OneWheel, I was hooked!

The OneWheel is a self-balancing electric skateboard with a single wheel, as the name implies. It’s definitely one of the coolest and most fun things I’ve ever tried, and feels exactly like snowboarding. But now I can “snowboard” without wearing winter gear like a winter jacket, multiple layers, and goggles, ride on concrete in the sidewalks and streets of New York City, and can even “snowboard” on flat ground and even “up” hill.

Let’s not even mention waking up early and feeling like a zombie (I’m an extreme night…

Observations on ramping up and achieving Flow

Just had an awesome “Flow” experience on the OneWheel after a 13-mile session rounding out the first week and 44 miles on it. Finally got the correct body mechanics down and was able to put that 13 miles on the OneWheel with minimal breaks, with the final miles feeling effortless.

I felt despair on previous days when I could barely get around one NYC block because the pain and cramping on my rear foot was so quick to come and so intense. This was terrible and depressing, especially after putting in 11 miles the very first day with no problem…

I’ve found a cool life hacking idea. After a few days, it seems like it’s possible to sustain the vegan meal replacements: Vanilla Huel and Chocolate Soylent.

The nutrition is awesome and I REALLY can’t believe I’m actually consuming vegan. I’m craving a huge T-bone steak, double Whopper, and Buffalo wings even just thinking of “vegan” food.

My focus also is the time and money savings. Each 400-calorie “meal” takes about 1 minute to make by just pouring water and adding powder into a mixer bottle and shaking, and it’s dirt cheap:
- $1.78 for Huel
- $1.50 for Soylent

Every moment in life is special, not just some

As we’re closing out the final days of the year, many are celebrating Thanksgiving, Hannukah, Christmas, New Year’s Eve and Day, and a few other assorted holidays. Personally, I also have a birthday in there too.

Some love this time of year since it means time to be with friends and family and take time off of work to recharge. However, others may feel overwhelmed or even depressed around this time where there’s so many clustered holidays and days of significance, since they may believe that they ought to feel, think, or act in specific ways that they don’t like.

True justice must account for the broader context

Today I was very happy to hear the news that President Trump announced full pardons for American service members who are in criminal prosecutions and serving sentences for war crimes.

  • Full pardon for Army 1st Lieutenant Clint Lorance
    Mr. Lorance has already served more than six years out a 19-year sentence for ordering firing on 3 Afghans he suspected of posing a threat to the men under his command.

Kevin Ann

AI/full-stack software engineer | trader/investor/entrepreneur | physics phd

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