• Investing Insights & Exclusive Offers → Get Our FREE “Market Brief”
    Sign-up for our free weekly newsletter. Get unparalleled investing insights and exclusive Summer Sale discounts on Hedgeye research.

    Disclaimer: By joining our email marketing list you agree to receive marketing emails from Hedgeye. You may unsubscribe at any time by clicking the unsubscribe link in one of the emails. Use of Hedgeye and any other products available through hedgeye.com are subject to our Terms Of Service and Privacy Policy

Editor's Note: Below is a brief excerpt and chart from today's Early Look written by Hedgeye CEO Keith McCullough. Click here to learn more about the Early Look.

Over time, I just make better decisions than a clueless version of a market Mucker would have 15-20 years ago. Rather than making emotional decisions (selling low and covering high) I’m constantly using the #process to fade those feelings.

“Over time” means over the course of The Cycles that, God willing, I’m alive to risk manage in full (yes, they take time, and long-term investors get crushed if they disrespect them at the turns). 

“So”… while it’s fun to send you short-term signals and be held accountable to each and every one of them (I challenge you all to try it in the fishbowl like I do!), the short-term Risk Range is really what I use to get the longer-term right. 

Is the daily Risk Range always right? 

Obviously not. Also, don’t forget that with every second, minute, hour, etc. of market PRICE/VOLUME/VOLATILITY changing, the Risk Range changes. What I publish daily is a static range based on the prior day’s closing prices.

CHART OF THE DAY: Our Trade/Trend/Tail Risk Management Process - Chart of the Day