Bits I found interesting from an interview with Paul Rotter in the July issue of Traders’:

Q: What are your strengths as a world-class trader and what are the differences between you and other traders?
A: I have the ability to get more aggressive in winning phases, to take bigger risks, and to scale back during losing times. This is contrary to human nature. The best thing is to have somebody around who is neutral to trading, who switches the screens off when a certain level of loss has been reached for the day.

Q: What role does risk management play in your trading?
A: I set a daily goal for my profit and loss, with the most important thing being the stopping limit, the maximum loss I take, before I switch off the screens.

Q: Shouldn’t a trader stick to his opinion?
A: No, definitely not. An analyst or some kind of guru has to stick to it, but a trader should have no opinion. The stronger your opinion, the harder it is to get out of a losing position.

Q: Do you do any kind of daily mental preparation?
A: Nothing specific. Actually I am motivated all the time… I see trading more as a sporting challenge and try to eliminate thoughts of money.

Q: How many hours do you spend in front of your screens?
A: Usually 5 hours, when I trade actively… in case of special events it can be up to 11 hours.

Q: Isn’t it hard to spend that much time in front of your PC? How do you maintain your concentration for such a long time?
A: That is something my Japanese colleagues asked themselves as well. I think of it as a kind of game and I forget the time, so the real trouble is more physical (eye strain) than psychological.

Q: What does one have to do to become a scalper?
A: He has to watch the orderbook for a very long time.

I love his response to that last question, it’s appropriately zen.

Should I be ashamed to admit that I enjoy Andy Williams? Unlike most GenX listeners, I’m not interested in winning post-ironic-cool points. (I also like Dean Martin and Perry Como!) Here’s another album recommendation from the Chairman:

The Notes really got hammered yesterday. You can see how catching the lengthy second wave is very profitable. Of course that assumes you haven’t mis-identified it as a subminuette IV. (I never tire of Idiot Wave jokes.)

10-Year T-Note futures, 5-min. Chart

Rude Pundit writes that the Bush administration “understands the unique hucksterism of deceptive language.” Ain’t that the truth.

– via BAD ATTITUDES –

Doug Casey gives “two thumbs up” to The Passion of The Christ.

“When it comes down to moral values, it seems to me that Norse theology is far superior to Christian theology. The Norse virtues speak to nobility and heroism. Values like strength, honor, courage, pride, forthrightness, hospitality, steadfastness and the like, are admired. A proper Viking would see Christian virtues as contemptible vices. Meekness, mildness, benignity, faith, hope, charity, chastity, humility, etc. are habits to be inculcated in slaves. And, indeed, Christianity was viewed as a religion fit only for slaves, as it transformed itself from a localized Jewish cult.”

John Dorfman’s mid-year update on the Bunny and Robot Portfolios, among others.

“Through June 25, the Robot is up 3 percent, compared with 2.8 percent for the S&P 500 … This year the Bunny has posted a total return of 18 percent, beating the S&P by 15 percentage points.”

Putting Gas Prices in Perspective:

“While Americans paid an average of $1.78 per gallon of unleaded gas in April 2004, a gallon of gas cost $4.77 in France, $5.00 in Germany, $5.25 in Denmark, and $5.40 in the United Kingdom … Gas costs currently account for about 2.7 percent of consumer spending, compared with 3.87 percent in 1974, 4.8 percent in early 1982, and 5.14 percent in mid-1980 … Americans’ personal incomes have risen eight-fold since 1973, twice as fast as gasoline prices.”

Here in London gas is 83.9 pence per liter… one American gallon is 3.79 liters so that’s about 3 pounds 18 pence, which is around $5.84 at current exchange rates (I’m doing this in my head so it’s rough).