5-13-16

Real Estate Journal — NJAA CONFERENCE & EXPO — May 13 - 26, 2016 — 9D

www.marejournal.com

M id A tlantic

2016 NJAA C onference & E xpo

By Eric Plateis, 5 Exploring some trader truisms

T

in but it can be scary. Just think about the stock market in 2008. 4. “Don’t stand in front of a moving train.” Markets tend to continue moving in the same direction they’ve been going. This one is good to keep in mind when thinking about truism #3 above where the idea is not to buy while the markets mov- ing in a direction but rather to wait until it starts to move in the opposite direction. 5. “Hope is not a strategy.” When you hear yourself saying “I hope the market will…” it’s time to get out of

his article will focus on how to simplify looking at markets

as well. 2. “Markets have memory.” Markets will test previous highs and previous lows. These areas remain good lev- els of support (prices below the current market at which the market will stop moving lower) or resistance (prices above the current market where the market will stop moving higher). Once the market moves above an area of resistance that area then becomes support and vice versa. 3. “The best trades are the hardest trades to make.” Baron Rothschild, an 18th

century British nobleman and member of the Roth- schild banking family, is credited with saying that “The time to buy is when there’s blood in the streets.” This refers to the difficulty of having a contrarian view. In trading it is best to ensure that large market moves will be in your favor and balance this with the probability of a market move in a direction. Once the market has had a large move, there are likely many market casualties or “blood in the street”. When the market starts to recover from this, it’s time to jump

your position. Do not wait for the market to give you back any of your losses; get out immediately. 6. “Bulls make money, bears make money, pigs get slaughtered.” In simple terms, don’t try to buy the bottom or sell the top. If you’re hesitating in order to ensure that you transact at the exact bottom or top please reread truism #5 above. Eric Plateis is chief risk officer at 5 and has 30 years of experience in commodity trading and risk management. n

by exp l or - i n g s o m e trader tru- isms. These are sayings that traders have come up with over the ages that are reason-

Eric Plateis

ably easy to remember and give surprising insight into market analytics and risk management without ever looking at a chart. 1. “A market that doesn’t do what it is supposed to do will do the opposite.” If bearish news (news that should move a market lower) results in the market either not moving or moving higher, then it is likely that this is a bull market and will move higher. The converse is true Columbia Bank “teams up” with Newark Habitat For Humanity FAIR LAWN, NJ — A vol- unteer crew of Columbia Bank employees recently teamed up with Newark Hab- itat for Humanity to help build a new, affordable living home. The Team Columbia volunteers completed various construction assignments, providing the “elbow grease” necessary to move the project along. “We are extremely pleased to assist Newark Habitat with their charitable mission to create new affordable hous- ing,” said Thomas Kemly , Columbia Bank’s president and CEO. “As a true commu- nity bank, Team Columbia remains committed to helping local charities that make a dif- ference in people’s lives.” Since 1993, Columbia has sponsored grants totaling more than $1.2 million which provided fund- ing for more than 150 New Jersey habitat home rebuild- ing projects. n

Mid Atlantic Journal_8 x 8.25 5/4/2016 3:09 PM Page 1

Multifamily Lending

Construction & Permanent Loans

Visit us at Booth # 407 NJAA Conference & Expo May 24 th - 25 th Stop by to win our special door prize

For 125 years Amboy Bank has been financing NJ’s building and housing needs. We provide commercial construction and permanent loans with flexible terms and, of course, quick local decisions.

Domenick Margiotta Chief Lending Officer 732.591.8700 dmargiotta@amboybank.com

Voted Best Bank!

Made with FlippingBook HTML5