"Markets can remain irrational a lot longer than you and I can remain solvent." John Maynard Keynes
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rss"A battle goes on in the stock market and the tape is your telescope." – Jesse Livermore
Think Like A Fundamentalist & Trade Like A Technician
Someone once said that to trade successfully, you must think like a fundamentalist but trade like a technician. Do you agree?
A: Yes, I agree with it. Understanding the context and fundamentals, even when you trade the technicals can be helpful as long as you’re able to separate the two when needed. The problem is that many traders will have a bias toward one discipline over the other and will justify poor technicals with faith for the fundamentals. How traders handle these conflicts that arise from time to time and how flexible they are based on market conditions will make a huge difference.
Always Remember :Great Things Never Came From Comfort Zones
Focus On Playing To Win – Want To Know Why?
The focus on avoiding losing is an easy condition to slip into. I found it especially so if you’ve had some tough periods in your life. Perhaps you lost a business, blew up a trading account or went for that promotion and failed to get it.
It is particularly easy when you are taking down data to analyse your performance as most effective performers do. That data is right in front of you. Clear as day. You can see exactly how many losing trades you have had, how many losing days, weeks etc.
You have an understanding that it’s all about probabilities and that if you follow the old saying “limit your losses and let your winners run” you can be a successful trader with a seemingly bad win rate (30-40%). As long as your winners outshine your string of small losers you will be OK. (more…)
Most Important Qualifications for a Successful Trader
I believe that one of the most important qualifications for a successful trader is “POISE”, which to me is defined as stability, a well balanced person with dignity of manner – as it relates to the stock market.
A poised person is a person who can handle their hopes and their fears in a calm manner.
The other qualification is “PATIENCE” to wait for the opportune time, when as many factors as possible are positioned in the traders favor.
Poise and patience are the close friends of successful traders.
The final qualification is “SILENT”. Keep your own silent counsel – keep your victories and your failures to yourself – learn from them both.
Poise, patience and silence are attributes that must be cultivated.
These virtues do not come automatically to the stock market trader.
Naked Truth About Blue Channels Analysts
The chief cause of failure and unhappiness is trading what you want most for what you want right now
Timeless Seykota
1. “Win or lose, everybody gets what they want out of the market. Some people seem to like to lose, so they win by losing money.”
2. “Fundamentals that you read about are typically useless as the market has already discounted the price, and I call them “funny-mentals”. However, if you catch on early, before others believe, you might have valuable “surprise-a-mentals”.”
3. “If you can’t measure it, you probably can’t manage it… Things you measure tend to improve.”
How the rich think differently than the average person
