| We are our worst critic and tend to punish ourselves when trading poorly. Trading is one of the hardest professions, yet most fulfilling and rewarding. It’s critical not to magnify our struggles and challenges, but to focus on solutions on how to improve our trading by asking the right questions and really digging into what is going on in our minds. Majority of the time it is psychological rather than technical. Be sure to take breaks and get away for trading. It is vital to engage in not trading activities. |
Archives of “February 13, 2019” day
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The Old Is Forever New-Trading Wisdom
It does not really matter whether you have just begun your trading career or have been trading for years, at times we need to go back to the basics.
The very first group of skills and reasons that brought us into trading can be the very foundations that can lift us to new heights.
It does not matter how old an idea is, when it is revisited, it will have a new impact on us, because we now have additional experiences to apply them to which will bring about new results.
All of us as traders can easily slip into some bad habits and never know it. If we stop and return to our first learning sessions, we will find powerful skill sets from some very basic knowledge.
Remember, it is not how much knowledge that you have that determines your success, but what you do with that knowledge that really brings about the levels and rewards from your efforts.
Introduction of “Quantitative and Qualitative Monetary…
Richard Weissman explains the "psychic trader syndrome"
Wonderful
Lack of Discipline -Killing Your Trading Performance
Global Demographcis
Losers Average Losers
There are so many concepts about the stock market that are taught in the classrooms, promoted throughout the media, and passed along from generation to generation but, unfortunately, most of them are FLAT OUT WRONG!
I decided to write a 5-part series (this is part 2 of 5) on the common misconceptions that really need to stop being promoted. Keep in mind, these are all my humble opinions, but after 16 years of trading and studying market history, one really begins to notice what works and what doesn’t.
Common Misconception #2 – Dollar Cost Averaging
Paul Tudor Jones is one of the greatest traders in market history. Why? Because he’s consistently profitable. The best “anything” in the world are the best because they perform at a consistent, superior level for long periods of time. Michael Jordan isn’t considered the best basketball player ever because he scored 30 points ONCE in a game. It’s because he averaged 30 points per game over his ENTIRE career. (more…)
The Ten Things Profitable Traders Do Differently
The following 10 reasons may be why the 10% of long term profitable traders take the money from the 90% that are unprofitable. I see these differences in real life all the time. There is a big difference between profitable and unprofitable traders that usually comes down to homework, mental discipline, and risk management.
- Winning traders let winning trades get as big as possible before exiting. They have the really big winners to pay for all the losers.
- Winning traders have no patience for losing trades, they keep losses small. They know how not to give back their profits with big losing trades.
- They are focusing on trading actual price action not their own opinions or beliefs.
- They are experts on the trading vehicles that they trade.
- The trade with the trend in their time frame.
- Good traders know that their trailing stops are smarter than they are.
- Profitable traders know that it is their robust methodology that makes them profitable not any one trade.
- Winning traders are great risk managers. Their #1 concern is how much they can lose, their #2 concern is how much they can make.
- Profitable traders have put in the time, usually years and thousands of hours to learn what really makes money in the markets.
Profitably traders have studied historical price data, chart patterns, trends, and price action.