🔍 Key Reasons for Variability: 1. Business Model Differences 2. Risk Appetite & Internal Risk Models 3. Complexity of Operations 4. Trading vs. Lending Focus The U.S. Federal Reserve mandates that banks maintain regulatory capital to safeguard against insolvency stemming from three primary risk categories: credit risk, market risk, and operational risk. The chart presented reflects the proportion of capital held by the ten largest … Continue reading Understanding the Variability in Regulatory Capital Ratios Among Major U.S. Banks

Reversal point trading, where traders attempt to predict and capitalize on market turning points (tops or bottoms), can be appealing because it offers the potential for high returns by entering at an optimal price. However, there are several reasons why this strategy can be risky and why many traders, especially less experienced ones, should avoid it: 1. High Risk of False Signals • Difficult to … Continue reading Why reversal trading point is NOT for newcomers