Sharing Knowledge in Smallcaps

[rayrohn]

lol here more my type of light reading

Stock trader who called three crashes sees 20% collapse

http://www.marketwatch.com/story/stock-trader-who-called-three-crashes-sees-20-collapse-2014-07-28?link=MW_story_popular

lol I like the way this guy thinks ....

>>>>>>>>>

For Cook, that means being flexible enough to change strategies and take a 180-degree turn. “The scenarios we will see in the future will be totally different than what is now,” he says. “You will have to navigate differently. It’s like going through a jungle that ends and becomes a desert. There is only one constant, and that is change.”

he puts down the myth of low volatility and low volume is good for stock {JMO but only in the short run which probably is about over here }

In fact, Cook excels in volatile markets. “I’m amazed that we have gone over two years without a double-digit correction,” he says. “Without volatility, you get a complacent environment like we have now, which can lead to devastation. You can’t stay at these complacent levels forever. When there is a correction, it will be very severe.” Cook says that when volatility gets light (like it is now), traders and investors give up. “A lack of volatility is not good for the market,” he says. “Low volatility begets thinness, and that begets low volume, which equals greater risk.” One day, he adds, volatility will return, and so will the traders.