Welcome to the Vorsus Capital blog. As the name suggests, the focus of this blog will be financial markets and investing. Great, you say, another financial blog. The blogosphere is positively teeming with great finance and markets related blogs. Why do we need this one?
Great question. The short answer is, the focus on technical analysis, and specifically, the technical analysis of indices. One index in particular will be focused on intensively, the S&P 500. Why the S&P? Firstly, because that is what I trade almost exclusively, and secondly, because it is the broadest, deepest, most liquid and (very importantly) most systematic index in the world. By systematic, I am speaking in terms of price movements; systematic price behavior is drawn from broad based diversification inherent in a major index, and lends itself very well to technical analysis. This allows the technician to draw useful, actionable trading insights that allow one to bend the odds of trading success in one’s favor.
That, ultimately, is the purpose of this blog: To help bend the odds of success in one’s favor. There is no other purpose to technical analysis. Let me be clear on one very important point. I do not predict the stock market, and technical analysis cannot and will not allow you, I or anyone the magical power to predict the stock market. If anyone ever tells you that they can predict the stock market, run, don’t walk, away from them as far and as fast as possible.
Technical analysis is all about identifying points where the odds of success are asymmetrically greater than the odds of failure for any given position. In much the same way as a basketball player will attempt to drive into the box to set up for a higher percentage shot rather than lob Hail Mary shots from half-court, the market technician will search for opportunities that disproportionately favor a move in the direction of the position taken. Hence, the use of the Latin word Vorsus in the name of the blog.
While technical analysis will be the primary focus, I will certainly also be exploring market moving news and opinion at intervals, as well, particularly as pertains to the indices and asset classes I focus on. I will always make sure to include charts and illustrations wherever possible to help make sense of matters, and insure that above all, we as investors and traders are always bending the odds of success in our favor.
Thanks very much for visiting,
William T Mogey,
Founder, Vorsus Capital