Wednesday, 1 January 2014

Final 2013 Country Stock Market Performance Numbers

With the 2013 trading year now closed for business, below is a look at the final stock market performance numbers for 76 countries around the world (% chg in local currencies).

As shown, Dubai finished up the most in 2013 with a gain of 107.69%. Japan was up the fourth most with a gain of 56.72%, making it the best performing G7 country. The US ended up in 9th place globally with a gain of 29.6% -- not bad!

Of the other G7 countries, Germany finished third with a YTD gain of 25.48%, followed by France (17.99%), Italy (16.56%), the UK (14.43%) and Canada (9.55%).

Only 16 of the 76 countries shown finished in the red in 2013. Peru was down the most with a decline of 23%, while Brazil was the second worst performer on the list at -15.50%. It ended up being a rough year for the BRICs (Brazil, Russia, India and China). Of the four BRIC countries, three finished down (Brazil, Russia, China) while India was up just 8.98%. Will 2014 be the year where the BRICs make a comeback? We'll get our first data point on Thursday. Happy New Year!


Three popular trading personality types

Three popular trading personality types are intuitive, data crunchers, and impulsive

The data-oriented trader focuses on concrete evidence and is often very risk averse. Seeking out as much supporting data for a trading decision as possible. The trader who prefers to do extensive back-testing of a trading idea exemplifies data-cruncher type. Consider incorporating elements of data oriented trader personality into your trading style regardless of your natural inclinations. Make sure that you have adequate information (a reason) before executing a trade. Particularly important is to have and trade a detailed trading plan in which risk is minimized and entry and exit strategies are clearly specified. Most often however, the data-oriented trader may take things a little too far. Searching for "the perfect" set-up or other criteria, that just doesn't exit in the trading world. At some point, one must accept the fact that he or she is taking a chance and no amount of data analysis can change this fact.

The intuitive trader is the opposite of the data-oriented trader. Trading decisions are based upon hunches and impressions rather than on clearly defined data. There's a difference between being an intuitive trader who develops this style over time and one who is naturally intuitive. The experienced intuitive trader, bases decisions on data and specific market information. A seasoned trader, analyzes the data quickly and efficiently. It happens so quickly that it seems like it occurs intuitively, but it is actually based on solid information. Ideally, all traders should gain extensive experience to the point where sound decisions are made with an intuitive feel.

A third trader personality type is the impulsive trader (gambler). This is the most dangerous style. The impulsive trader allows his or her decisions to adversely influence trading decisions. Rather than looking at information logically and analytically, information is discounted completely. The impulsive trader seeks out risk and enjoys taking risky, exciting trades. Impulsive traders can often make huge profits one day and see large draw downs the next. Your personality can have a huge influence on your trading performance. Identify your assets and liabilities, and work around your personality when it is necessary.

Source Extracted article from