About

I’m a former professional blackjack and poker player, and I’ve made some money betting sports. I now mainly trade the futures markets because the edge is higher than in blackjack, poker or sportsbetting, you can bet more, you can get in the game any time the markets are open, and there are no casino countermeasures if you win.

I also worked for the Chicago Board Options Exchange for a short time many years ago, and my father was one of the early market makers at the CBOE. I helped him maintain his charts back when charts were on paper.

I use technical analysis for trading, although I started as a system trader, and I still sometimes use the entry and exit signals from my original system. Using technical analysis for trading is a lot like playing poker and using the betting action of other players to figure out where you are in a hand.

Technical patterns and indicators look like voodoo to the uninitiated, but they’re not. Humans are hard-wired to expect reversion to the mean and behave according—there is an entire science of neuroeconomics built around such tendencies. In fact, humans are so predictable in their reactions to risk and reward that you can make money betting on their reactions. Technical analysis is simply a way of codifying visual representations of these aspects of human psychology.