Tuesday, July 10, 2007

Tuesday Trading Resources

* Principles for New Traders - This post summarizes my views on trading psychology for developing traders and how new traders can further their development.

* Resources for New Traders - Hats off to Value Blog Review for providing this set of blog resources that have aided their trading profitability. Do check out the site's book reviews and blog reviews, as well.

* Fascinating Research - The Sharp Brains blog does a wonderful job of tracking recent research in cognitive neuroscience, including brain functioning that affects trading behavior. This post covers the link between the sociability of a species and the size of its frontal cortex. The importance of improving those executive functions of the cortex for detecting meaning and deception in markets is but one implication of the article.

* Stock Picking Resource - I attended the Chicago seminar for the Blocks program mentioned earlier. The software is able to screen stocks for various technical and fundamental criteria on the fly--including intraday scans. Its unique feature is an ability to backtest these criteria over user defined time frames and with user defined stocks or stock baskets. While the output of the backtesting is not as detailed as that in TradeStation, Blocks accomplishes the test with no programming whatsoever--just drop down menu selections. Lots of good applications here, including the ability to track indicators for sector groups.

* Socially Responsible Investing - Here's a very worthwhile perspective from The Kirk Report. Also, check out an interesting site devoted to the topic and an article on the growth of SRI alternatives within retirement plans. Some investment themes that capitalize on this trend are worthy of consideration, including alternative energy and the development of water resources--especially given the press devoted recently to pollution and resulting health problems in emerging nations.

* More Good Reading - Abnormal Returns finds some excellent posts on the hedge fund bubble, the prospects for a rate cut, and reversal effects in the UK market.