Archives of “game” tag

rss

The natural laws of golf

  
Education, Humour, Life
#  #  #  #  #  #  #  #  #  #  #  #  #  #  #  #

golf rules

1)      If you want to get better at golf, go back and take it up at an earlier age

2)      The game of golf is 90% mental and 10% mental

3)      Since bad shots come in groups of three, a fourth bad shot is actually the beginning of the next group of three

4)      When you look up, causing an awful shot, you will always look down again at exactly the moment when you ought to start watching the ball if you ever want to see it again

5)      Any change works for a maximum of three holes – or at a minimum of not at all

6)      No matter how bad you are playing, it is always possible to play worse

7)      Never try to keep more than 200 separate thoughts in your mind during your swing

8)      When your shot has to carry over a water hazard, you can either hit one more club or two more balls

9)      If you’re afraid a full shot might reach the green while the foursome ahead of you is still putting out, you have two options: you can immediately shank a lay-up, or you can wait until the green is clear and top a ball halfway there

10)   The less skilled the player the more likely he is to share his ideas about the golf swing (more…)

Vigilance

  
  Education
#  #  #  #  #  #  #  #  #  #  #  #  #

Vigilance is the non-stop guarding and protecting of important things. In trading there is nothing more important than money. The Professional Trader takes his money very seriously and has given it a more serious term: “Capital”. Capital is everything to the winning trader. It is not just the end goal, it is the means and the source before, during and after the trades. The Professional Trader guards his capital very closely because it will allow him to trade today, tomorrow, next week, next month and next year and beyond. If capital is not protected at all times, then the entire effort for the year can be gone and future opportunities are severely limited. Vigilance in trading means holding the protection of your money, your capital as your constant highest priority. Properly protecting your capital includes starting with enough to trade wisely and be able to stay in the game when the inevitable downturns and losing streaks occur. (more…)

On Trading Psychology

  
  Education
#  #  #  #  #  #  #  #  #  #  #  #  #  #  #

From “Reminiscences of a Stock Operator” by Edwin Lefevre, the 1923 classic pseudo-autobiography of legendary trader Jesse Livermore:

… I didn’t always win. My plan of trading was sound enough and won oftener than it lost. If I had stuck to it I’d have been right perhaps as often as seven out of ten times. In fact, I always made money when I was sure I was right before I began. What beat me was not having brains enough to stick to my own game — that is, to play the market only when I was satisfied that precedents favored my play. There is a time for all things, but I didn’t know it. And that is precisely what beats so many men in Wall Street who are very far from being in the main sucker class. There is the plain fool, who does the wrong thing at all times everywhere, but there is the Wall Street fool, who thinks he must trade all the time. No man can always have adequate reasons for buying or selling stocks daily — or sufficient knowledge to make his play an intelligent play.

Sometimes the best play is to not play at all. When playing the market, you have to let the opportunities come to you, and take advantage of them when the odds are in your favor. If you don’t, you’ll get very frustrated — and you’ll lose money.

Bend your will to focus on the war

  
  Education
#  #  #  #  #  #  #  #  #  #  #

bendyourwill

  • 1) Allow yourself to enjoy the victories. Traders have a tendency to get very upset about busted trades and in so doing burn memories strongly in their minds. The same traders get little satisfaction from the good trades, thus not burning as strong a memory. If you have done your homework, followed your rules, entered and exited the trade as planned, then give yourself credit and enjoy it. You deserve it.  
  • 2) Take control of your beliefs. Successful traders are realistic about trading when accepting the fact that trading is a game of probabilities. Successful traders believe in probabilities and in so doing know that with each trade there is a higher probability the trade will work than not. How do they know this? Because they have tested and traded their set up(s) enough times to know that the odds are in their favor. However, the successful traders also know that favorable odds do not guarantee success 100% of the time. Successful traders believe with each trade that the odds are in their favor but they also believe that the trade will not always work. By knowing this successful traders will be able to enter every trade with a clear mind open to the fact that anything can happen NO MATTER WHAT HAPPENED ON THE LAST TRADE! If you believe this then you will never focus on the last trade, only on the present one.

 You cannot live in the past so there is no need to trade in it either.  Just as every day is a new one so is every trade.  Focus on the present battle and in war you will be victorious!!

Traders need 3 Keys

  
  Education
#  #  #  #  #  #  #  #  #  #  #  #  #  #  #  #

#1 Trading is not about winning percentage, being right all the time, or predicting the future. What it is about is having bigger winners than losers. If you are profitable after each long string of trades then you are a winning trader in that time frame. You can make money through winning percentage as long as you keep losers small and you can make money through huge wins even with lots of losses. The key is not how many times you are right but the size of your winners versus your losers. That is the magic elixir of profitability.

#2 Trading is first and foremost about surviving, the vast majority of traders not only don’t make money but they lose most of their trading capital. The only way to have a long profitable trading career is to manage risk and survive a string of losses. If your trading losses are more than 1% to 2% of total trading capital per  losing trade you are in danger of blowing up your account with a string of losing trades or one big loss. To make the journey from new trader to successful trader you have to survive losing streaks and completely unexpected market action. Trading and betting big will eventually take you out of the game, it is only a question of when.

#3 Trading is one of the roughest things a person can do mentally and emotionally. Even if you win in the markets you have to keep up a large amount of personal human capital in perseverance, passion, dedication, focus, and faith in self and system. If you are missing one of these six psychological elements the odds will be against you. You have to cultivate your goals and drive into a vision of success that you are willing to pursue until you get it and pay the price as you go to have the prize you seek.

Go to top