January 12, 2017

Turtle traders, part I

About the book

I’m about 1/3 of the way through “The Complete Turtle Trader” by Michael W Covel, and I’m enjoying myself.  His narratives about the people are entertaining, though that’s not why I bought the book.  It does give me color into how technical traders think, though. …

January 10, 2017

The Industry Transition of Retail

   In my last blog, I wrote about getting used to the Equities Lab software and how it can be so very useful for finding value in certain sectors with advanced screening. Another useful way to use the stock screening software is to find investments you should avoid. For example, let’s take a look at some big retail names.

August 6, 2014

Where have all the small caps gone?

It certainly feels like all the small cap stocks have had a terrible time of it.  Since the beginning of the year, the Russell 2000 Index fund (IWM) has gone down 3.5%.  The S&P 500 Index fund (SPY) has gone up 4% in the same period.What's going on here?  Is it due to some particular stock or set of stocks in the S&P 500 or in the small cap universe that are acting oddly?  If it were a particular set of stocks, then equal weighting the S&P 500 and picking a basket of small cap stock should kill the effect.  We plot the S&P equal weight (similar to RSP, but rebalancing weekly), along with smallcap(here 100M to 1B), and midcap(1B to 5B), and the picture doesn't change much (notice the clustering).…