One Current Market Observation:
For me, market opportunities meaningfully decreased in March versus prior months and many traders are finding the same. Being conscious of this helps one pare back their trading before losing PnL.
One Nugget of Trading Wisdom:
Stock prices are more often a reflection of sentiment as opposed to being a reflection of fundamentals. When the sentiment pendulum swings too severely in one direction is often when stocks, at least temporarily, put in bottoms or tops. Elon Musk astutely noted to employees in a town-hall meeting “If you read the news [around Tesla], it feels like Armageddon.” And sure enough, Tesla prices have since bottomed.
One Reflective Question:
AI is coming and it is my belief that the best traders will be the ones quickest to effectively adapt. How can you incorporate the advantages of AI into your trading?
One 1%-Improvement Idea:
Utilizing ChatGPT to help you parse headlines and press releases or using its Deep Research model for company-specific research.
One Reading Recommendation:
Sam Altman, prior to starting OpenAI, was known for being the President of Y Combinator. I have long followed him and his blog posts have been must-reads for me. Three of them I have had bookmarked and reviewed regularly for years. One of those is his blog post on “How to Be Successful“. Looking back now, it is safe to say he practices what he preaches!
Forget outcome. Let’s get better this month.
