Thought For A Day
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rssWhile Trading Always Remember This……
Niederhoffer on making errors
As a squash player, I was gifted. I had all the right things going for me. I practiced. I was very good with the racket, and I had tremendous anticipation. But I tended to play an errorless game by hitting a slice on my backhand, which took a lot of power off the ball. That wasn’t a disaster, but it was definitely a weakness in my game. My opponents always used to say that on a good day they could beat me, because they could hit more spectacular shots than me. But they never did. I went for about 10 years without losing a game, except to [the great Pakistani squash player] Sharif Kahn. He made about six, seven errors a game—but he also made eight or nine winners. I would make about zero errors per game but only one or two winners. He had the edge on me about 10-4, and I regret that I was never willing to accept the risky shots and confrontations, never willing to play a more error-full game.
In my market career, I took too many risks. In my squash career, I didn’t take enough.
I wish I had applied my squash methods to my speculating. I’d be a very wealthy man if I had.
Forgetfulness Support group meeting…
Sign at Big FII Bathroom
Trading Recipe!
*The recipe for success in trading are as follows:
- *Identify a signal
- *Take immediate action
- Feel good no matter what the result, as long as the trade is consistent with your technical bias based on sound probabilities
On the other hand, experiencing hesitation or self-doubt, just at the moment of action, is the recipe for failure!
An Hour With Arnold Palmer
“It is deceptively simple, endlessly complicated, a child can play it well, and a grown man can never master it. Any single round of it is full of unexpected triumphs and perfect shots that end in disaster. It is almost a science, yet it is a puzzle without an answer. It is gratifying and tantalizing, precise and unpredictable. It requires complete concentration and total relaxation. It satisfies the soul and frustrates the intellect. It is at the same time, rewarding and maddening and it is without doubt, the greatest game mankind has ever invented.” – Arnold Palmer
What a wonderful quote about the game of golf. Although to a lesser extent, the same things can be said about trading as anyone who trades every day in the trenches will tell you.
I was reminded about this perspective this weekend when watching an hour interview Charlie Rose recently conducted with Mr. Palmer. Many people don’t know this, but it was an biography of Arnold Palmer that I read as a child which originally sparked my interest in taking up the game. So, all of these years of both frustration and incredible enjoyment, I owe directly to Mr. Palmer.
Now in the twilight of his years, I found this recent interview really enjoyable particularly after the 30 minute mark. If you have an opportunity to watch this, I thinkhis advice about developing a system is so very important especially for new traders and investors as well as what the discussion after that about what it takes to win. Much like the quote above, the perspectives are priceless. Even if you don’t play golf or even hate the game, don’t miss this interview!
Click Below Link and Enjoy
17 Points for Traders
- Patient with winners, and impatient with losers
- Making money more important than being right
- View TA as a picture of where traders are lining up to buy and sell
- Before they enter every trade they will know their profit target and/or stop exit
- Approach trade no.5 with the same conviction as the previous 4 losing trades
- Use naked charts
- Comfortable making decisions with incomplete information
- Do not think of markets as expensive or cheap
- Aggressive with trade size when doing well and modest when not
- Realize the market will be open tomorrow
- Judge their trading success on anything but money (more…)
17 Maxims for Life
1 Accept the fact that some days you’re the pigeon, and some days you’re the statue!
2 Always keep your words soft and sweet, just in case you have to eat them.
3 Always read stuff that will make you look good if you die in the middle of it.
4 Drive carefully… It’s not only cars that can be recalled by their Maker.
5 If you can’t be kind, at least have the decency to be vague.
6 If you lend someone Rs 1000 and never see that person again, it was probably worth it.
7 It may be that your sole purpose in life is simply to serve as a warning to others.
8 Never buy a car you can’t push.
9 Never put both feet in your mouth at the same time, because then you won’t have a leg to stand on.
10 Since it’s the early worm that gets eaten by the bird, sleep late. (more…)
Here's why you should start to work out on a regular basis
