The Traders Journal

Gatis Roze
About the authors: , CMT, holds an MBA from the Stanford Graduate School of Business and is a past president of the Technical Securities Analysts Association (TSAA). He is also the co-author of Tensile Trading: The 10 Essential Stages of Stock Market Mastery (Wiley, 2016). A full-time investor for over 25 years, Gatis has taught sold-out investment courses throughout the Pacific Northwest and beyond since 2000. Learn More

Grayson Roze
is the author of Trading for Dummies (Wiley, 2017) and Tensile Trading: The 10 Essential Stages of Stock Market Mastery (Wiley, 2016). He has worked in the financial services industry for StockCharts.com since 2012, and now serves as the Business Manager for the company. He holds a Bachelor's degree from Swarthmore College. Learn More

Latest Posts

The Traders Journal

Academics Agree: Asset Allocation is the Only Free Lunch in the Investing Arena

by Gatis Roze

Upfront, it’s important to note that unlike most investors who hear asset allocation and conjure up three asset baskets (stocks, bonds, cash), Tensile Trading presents an exhaustive all-inclusive buffet of 59 different asset classes from which you choose.  Our book also shows to what extent each of these various assets classes is correlated to the S&P 500.   For example, if you buy the Vanguard Total Market Index (VTI), the correlation to the S&P 500 (SPY) is 0.99 — virtually the same risk and performance, so therefore no Read More 

The Traders Journal

Now Might Be a Good Time To Review 8 Previous Market Corrections ( I have been thru 6 of Them )

by Gatis Roze

Straight from the pages of my own trading journal. These are my charts from all the market corrections since 1981.  Here’s why I want to share these with you. The beauty of technical analysis is that it represents human emotions expressed by the buying and selling behavior of investors – emotions which are predictably repeated in times of crisis and have not changed over time.  In the midst of the present correction, I find that looking back at these charts stops me from doing anything rash or stupid. Dan Ariely, a Professor of Behavioral Read More 

The Traders Journal

Charts I'm Stalking: Action Practice #20

by Gatis Roze

The reality is that markets operate within the law of groupings. This is precisely why I have formatted my unique chart view in a pull-down  menu under ChartStyles. You simply click on “Gatis Roze” at the bottom of “Predefined Settings” and up pops the Tensile Trading analysis format that clearly shows the following: A) How your stock is performing relative to the market. B) How the Sector for your stock is performing relative to the market. C) How your stock’s Industry Group is performing relative to its Sector. D) How your stock is performing relative Read More 

The Traders Journal

The Investor's Curse: "If It Ain't Broke, We Fix It Until It Is"

by Gatis Roze

This phrase is most often heard in reference to lawmakers and bureaucrats in Washington, DC, but I think it’s an appropriate reflection of what many investors struggle with as well.  As an investor, you’ll seldom be destroyed by outside forces.  If you falter and lose your assets, more often than not it will be because you ignored your own rules and disciplines, thereby destroying yourself from the inside.  When my trading buddies ask me why I spend my free time teaching continuing education courses at a local college, I tell them that teaching investment classes Read More 

The Traders Journal

Get Inspired, Get Profitable, Get a Vacation

by Gatis Roze

It’s been my experience as a full-time trader over the decades that investing muscles need to take a vacation regularly. I’ve learned the hard way that vacations must be part of my money management routines. If I procrastinate and wait until I realize I need a vacation, the markets inevitably will have already told me the same thing in subtle ways. By then, it will have cost me money. My advice to you is to extract yourself from the investing-is-life box before reaching this point. I’ll concede that vacations are not real living but they need to be a regular Read More 

The Traders Journal

Charts I'm Stalking: Action Practice #19: Sector Funds & Their Top Holdings Offer Many Profitable Insights

by Gatis Roze

It’s hard to believe but exchange-traded funds (ETFs) have been with us now for 24 years. Who would have guessed? Perhaps John Bogle. As a rule, investors buy Sector ETFs to smooth out the ride and decrease volatility. The classic measurement of volatility is, of course, the statistical measurement of standard deviation which shows investors how far a series of returns swings from the average returns over a time period of their choosing. I maintain that by peering into the Sector ETFs actual composition — studying the specific nature of their individual Read More 

The Traders Journal

New ChartPack (Q2 - 2017) Providing Timely Tradeable Insights to Help You Invest Smarter

by Gatis Roze

Remember the bygone advertisements from years past about hair replacement?  The gentleman stares into the camera and says “I’m not just the president of the Men’s Hair Club, but I am also a client.”  Our ChartPack deserves a similar endorsement.  “I’m not just the creator of the Tensile Trading ChartPack, but I am also a daily user.” When I think back 25 years to how I traded and the tools I used, I’m stunned.  These days, the ChartPack does all the heavy lifting and truly simplifies the market for myself and all its users.  Not only am I infinitely Read More 

The Traders Journal

100% of Investors from Lake Wobegon Are Above Average

by Gatis Roze

Ninety percent (90%) of Americans believe that they are above average drivers.  Multiple studies have corroborated this impossibility over the years.  I’m certain that the equivalent surveys of American investors would yield a similar fanciful number. It reminds me of Garrison Keillor’s radio show featuring Lake Wobegon — the fictitious midwestern town where all of the children are above average.  My point being that most drivers and investors — like those Lake Wobegon kids — believe they are exceptional.  When you have a Ferrari for a brain but brakes made for a Read More 

The Traders Journal

Charts I'm Stalking: Action Practice #18

by Gatis Roze

So, how did you stack up the equities of the Dow 30 based on Money Flow in Action Practice #17? The first question you should have asked yourself is “what is my personal investing timeframe?”  Clearly, a day trader would not analyze money flow the same as a position trader or as an intermediate-to-long term investor.  The second suggestion I would make is to revisit your own knowledge set about Money Flow.  An ideal place to start is the StockCharts glossary. Read More 

The Traders Journal

How Not to Lose Sight of the Forest (the Market) by Focusing on the Trees (Individual Equities)

by Gatis Roze

Have any of you ever found yourselves so overly focused on your individual positions that you are missing the market’s essential big picture?  For profitable investing, maintaining a birds-eye view is imperative. This is what asset allocation is all about, and from the academics, we know that this provides the “biggest bang for your buck” in the investing arena. Many investors’ backgrounds are such that they have been trained in their professional lives to focus on the individual details  The downside of this is that by devoting a disproportionate amount of their time and Read More 

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