Those who can’t do, teach…

Financial education is a complex topic. No, I am not speaking of a degree in finance or a related field from a University. Rather, I want to focus on the vast amount of educators, trainers, gurus… that are out there to sell you the courses you need to succeed....

The risks of using ETFs for long term investing

An ETF (Exchange Traded Fund) can be a great investment option because it allows diversification even with a small capital. Consider for example the SPY, an ETF tracking the S&P500 index. Since you cannot invest directly in an index, how can you replicate the...

What goes up…

What goes up… must come down. All of us have experienced that, it is called gravity. When you throw a ball in the air, you expect it to come down. The same principle applies to the market, but we tend to forget it.I have posted a few articles on how our mind and...

Representativeness

Representativeness is another cognitive error that can impair your decision making. Simply stated, it is when you classify new information based on past categories and you misestimate probabilities. Does it sound complicated? Let me better explain with an example, the...

Japanese Candlesticks

Japanese candlesticks were introduced by the Japanese for rice trading. Today, they are often used for visualizing the price of an asset. The reason is that they provide in an intuitive way information like the low, open, close, and high price.As prices represent the...