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Showing content with the highest reputation since 07/31/08 in Posts

  1. 7 points
    bootstrap

    I Look Back Now and Wonder

    I wasn't sure where to put this, so the powers that be can move it if they see fit. I put it here for anyone who is just starting out and wondering what it really takes to become part of that elite club of profitable traders. I lurk on several trading forums. I join a few and make a few posts. One thing that I rarely see is the painful path one took to becoming successful. So for all you beginners here is what becoming successful took. For my fellow brethren that are already in the club have a good laugh. The markets had always lured me as a kid. I would read the paper and make predictions. Sometimes they were right; sometimes not. Then one day I got that famous commodity-trading flyer, sent my money off and took the plunge. My first stab at trading was commodities and I started with $5k in 1991. I was using the strategy as outlined by the guru. The account was gone within a few months. Well that didn’t work. I thought, people do this everyday and make money why not me. So off to the library. I read every book the Memphis library had on trading and investing. I paper traded the strategies I found while I built my bankroll back up. I learned exits, set-ups, position, expectancy, market psychology, and portfolio management. I soon realized that I was reading the same thing over and over no matter which book I checked out. Time to build my strategy. I am ready to do this. I bought a new computer, Metastock Pro 6.0, and opened an account with $30k. Its 1995, and this is my shot. By 1997 I was toast again. The family life went to hell in a hand basket, and I thought I could trade through the difficult times. The result was an account with a balance of $2500. Back to the drawing board. Took care of the personal stuff. Lived like a monk raising capital. Worked nights and watched the market during the day. Took a second job on the weekends to raise more money. Then one day out of the blue, the little red and green candles started to make sense. I saw patterns develop over and over in the same spots. I placed a trade and made a profit. But I had done this before. I removed the MACD from my charts. Placed another trade and made a profit. Maybe I am on to something. Removed the channel indicator that I stumbled across. I could still see the action and new what the MACD was doing and where the action was in the channel without them even being on the chart. I even stopped drawing trend lines. It was just me and the screen. I planned every trade. I knew exactly when, where, and why I entered and exited. I was patient. I became a predator. Lurking and waiting. I took every shot the market gave me. If it started to go wrong, I got out quick and waited. If the market did not give me an opening, oh well. There is always tomorrow. By the fall of 1999, I was consistently profitable and have been ever since. For those that are waiting for the sales pitch, there isn’t one. For those that are waiting for me to expose some great secret, well there isn’t one of those either. What I will give you are a few simple pointers that I learned the hard way. And the sad part is, most will stilll learn these the hardway. 1)Take everything you read with a grain of salt. That includes this post. 2)Never pay for a system. It is just not that easy. 3)If something comes up in your life that is distracting, stop trading. 4)Plan every aspect of your trade down to the smallest detail, and plan for every possible outcome. 5)Develop your own strategy. Don’t let someone tell you that you can’t trade a simple moving average if you truly believe you can. 6)Test the strategy in the market that you will be trading. If you like the results, trade it in another totally unrelated market and see if it still holds up. 7)Paper trading is ok, but there is nothing that truly tests the strategy like hard earned cash. 8)You will have to make sacrifices in order to make it. I still do. In the middle of my learning period I was working 18 hours a day during the week and 12 on the weekend. 9)You are responsible for everything when it comes to trading. That includes stop running, bad fills, limit moves, your PC crashing. I mean everything. See #4 10)And last but probably most important, don’t be afraid of failure. Just do like Edison and go, “Well that didn’t work”. Good trading to you all.
  2. 3 points
    LindsayBev

    Best Candlestick Book / PDF??

    Donald, here is the pdf version of the book, if you are interested. While a bit "salesman-like" in its approach (all of what he claims cannot possibly be true or it would be the Holy Grail), it was packed full with pictures, commentary and helpful information. Enjoy. Profitable_Candlestick_Trading-HERE.pdf
  3. 3 points
    rangerdoc

    Wyckoff Resources

    I'm not one to make a habit of bumping old threads, but based on earlier discussion, this is clearly the best place to post a link to the original Wyckoff course: The Richard D Wyckoff Method of Trading and Investing in Stocks: A Course of Instruction in Stock Market Science and Technique. Wyckoff - Course.pdf
  4. 2 points
    thalestrader

    Reading Charts in Real Time

    Hard to believe its been almost 11 years since we had a great year in this thread. I think of you guys still. I wish we could have a reunion week here for any of you who are still trading ... or even if you're not. Maybe the first or second week of June 2020. If interested, drop a note here and perhaps an email address if you don't plan on checking back. No more forex for me - just stocks, ES, and NQ. As always, Best Wishes, Thales
  5. 2 points
    bootstrap

    Why Screen Time Is Important

    Here is something that should get pretty lively.. Since everyone keeps telling you that screen time is important, there has to be something to it. But nobody is telling you what you should be looking for. What is it going to teach you? There has to be something that those who do this for a living see that you don’t. Well there is. And just like the magician that exposed the secrets to magic tricks on national TV, I am going to tell you what we see. But before I do remember one thing. Take everything you read in a forum or book, or hear from a guru or in a seminar with a grain of salt. Question everything. Only when you prove it to yourself, does it become the rule. What I am about to share can be found on thousands of sites and in countless books. If you have done any research at all, you have come across Dr. Elder’s triple screen, or some permutation of it. You understand the principles behind using multiple frames of reference. What has most likely not been explained to you is why it works or how to apply it correctly. In most cases you are only given a single example. Single example you say? Yes, when most first stumble across using multiple time frames, they follow the rules of: Use the upper time frame to identify the trend, the middle time frame for the set-up, and the lowest time frame to enter. If by chance you are not familiar with the triple screen just goggle “triple screen +elder”. Trading instruments exhibt three different types of market action in any given frame of reference. You use multiple frames of reference (i.e. Time or ticks) to identify the current market environment. These markets are: Trending, Trading, and Volatile. Why screen time is so important is that all instruments do not exhibit the characteristics of Trending in the upper time frame, Trading in the middle, and Volatile in the lower at all times. They can be in any one of the following combinations at any given time: Trending/Trading/Volatile Trending/Volatile/Trading Trading/Volatile/Trending Trading/Trending/Volatile Volatile/Trending/Trading Volatile/Trading/Trending Or any one of 84 possible market combinations if you consider Volatile/Volatile/Volatile. Like the major pairs in Forex, the combinations I listed are what I consider the major market combinations. The elusive secret that you are looking for, and what screen time teaches you, is to identify which market combination you are in and then how to trade what you see. Or better yet, when to stay on the sidelines. Each combination requires a different strategy, and some may not be tradeable at all. If you are trading across a broad range of instruments, you only need to master one. The fewer instruments you trade, the more market combinations you may have to learn. But you have to learn them one at a time and only add the next one once the first is mastered. But you ask what about Trending/Trending/Trading? Or how about Volatile/Volatile/Volatile? Or if I use Weekly/Daily/Hourly I get Trending/Trading/Volatile but if I use Daily/Hourly/Min I get Trading/Volatile/Trending. One step at a time grasshopper. One step at a time. As I mentioned there are 84 possible combinations. Multiply this across thousands of instruments and countless frames of reference, and I hope you get the picture. You do not have to learn them all. You only have to learn the few that fit you, your chosen instrument and frames of reference. Find the market combinations that are most prevalent and learn to trade only those. This is why it takes screen time to learn to do this, and why each trader is different. It is also why three traders in the same instrument will be doing something different. Trader A will scalp, trader B will be a buyer, and trader C will be seller, and they all make money. They are using different frames of reference and therefore see a different market
  6. 2 points
    To become a full time traders, it will take years. Full time trader is smiliar to becoming a lawyer, Doctors, etc. The problem is many people believe day trading es is "get rich quick." If it takes 5 yrs to become a doctor, it will take 5 yrs to become a full time trader. I have no clue why people believe they can become a full time trader less than 1 yr. If that is true, why does it take a long time to become a doctor, lawyer, etc. According to the Gov report, 97% of the people lose trading in the futures market. One of the reason they lose is, they failed to understand trading futures involves substantial risk and only risk capital should be used. All brokerages and few trading school websites have those risk disclaimer. But for some reason, most people FAILED or ignore the risk disclaimer. For those who are a successful full time traders took them yrs to get there. Plus, they fully understood that trading es is NOT A GET RICH QUICK and trading futures involves SUBSTANTIAL RISK!!!!!! hope this help
  7. 2 points
    DbPhoenix

    Trading The Wyckoff Way

    Put simply, support is the price at which those who have enough money to make a difference are willing to show their support by retarding, halting, and reversing the decline by buying. Resistance is the price at which those who have enough money to make a difference attempt to retard, halt, and reverse a rise by selling. Whether one calls this money professional or big or smart or institutional or crooked or manipulative or (fill in the blank) is irrelevant. If repeated attempts to sell below this support level are met by buying which is sufficient to turn price back, these little reversals will eventually form a line, or zone. Ditto with resistance. A swing high or low represents a point at which traders are no longer able to find trades. Whether that point represents important support or resistance will be seen the next time traders push price in that direction. But everyone knows this point, even if they aren't following a chart. It exists independently of the trader and his lines and charts and indicators and displays. It is the point beyond which price could not go. Hence its importance, both to those who want to see price move higher and those who don't. The first two posts to this thread address these matters, as do others here and there. However, finding S&R in real charts in real time takes more than just a couple of posts. But one must understand the nature of support -- and resistance -- itself before he begins to look for it. Otherwise, he will find what he thinks are S&R in some very peculiar places. Before coming to any conclusions about what “works” or “doesn’t work”, and thus does or does not provide an edge, one ought to keep in mind that a given event -- such as price seemingly finding support or resistance at a trendline (or moving average, candlestick, Pivot Point, Fib level or whatever) -- may be only incidental to what is truly providing that support or resistance. A fundamental misunderstanding of how "indicators" are calculated and what they're supposed to do can lead to all sorts of off-task behavior. We think we see the indicators indicating something, or not, and believe we have made an important discovery. We then devote our efforts to improving the hit rate and the probability of whatever it is we think the indicator is indicating when our efforts ought to be focused on determining whether or not the indicator is actually indicating what we think it's indicating. In most if not all cases, it isn't. Consider the virgin being tossed into the volcano: sometimes it results in a great crop, sometimes it doesn't. Maybe tossing her in earlier or later will change the probability of a healthy crop. Maybe two virgins are better than one. Maybe six. Maybe tall virgins are more effective than short ones. And surely age is important. But does the robustness of the crop really have anything to do with tossing the virgin into the volcano in the first place? The money under the pillow is not evidence of the existence of the tooth fairy, and spring will arrive regardless of whether the virgin is tossed into the volcano or not. (Db)
  8. 1 point
    ridhuanuzz

    What are the best trading courses?

    Here are some trading courses that I know they have experienced trader as a teacher: - Stock Trading & Investing for Beginners by Udemy - Consistent Profits from Stocks With AI Assistance In Just 10 Minutes a Day! by Snap Academy - Trend Following For Stocks by Decodingmarkets Give me advice which one is the best to join?
  9. 1 point
    alexa-moore

    Forex signals

    The forex market is like boxing, if you train well and are good you can earn a lot of money and have free time. But if you go there without training you will be very bad, places to invest there are many, and while they are regulated you will not have fraud problems, however even if you have the best broker in the world if you do not know how to analyze markets, you will hardly avoid losing your money.
  10. 1 point
    I really dont understand why people are still searching for reliable signal provider, as we all know they all are scam. None can give you 100% true result for few bucks.
  11. 1 point
    landorra

    Best Forex Broker?

    The most important aspect by far is the regulation backing that broker. I prefer a more expensive but decently regulated broker than a cheaper one in Belize/Cyprus/other places like that.
  12. 1 point
    I really don't know why people cannot understand that trading is not difficult. Yes you heard me right - NOT DIFFICULT. Everyone makes it looks so hard. Yes i agree that if you want to know all the ins and outs of technical indicators, macro and micro indicators, and all the stuff they teach in the MBA courses in Universities, then it will take many years. But to simply trade a system and make a living is very simple and can take a few minutes to several hours to learn. Depends on you as an individual. The catch is people do not have the proper mindset to treat trading as a business or a job. They do not treat it accordingly. They go in with fear that they gather from the public. I thought it was so hard in the beginning, but finally i came to realize that i have to leave all the gossips and negative baggage out the door. And i have been successful since. I do not have an MBA degree, i am only a Nurse. I trade 4 hours in the morning because i am selective of my trades. You can trade for 30 minutes or less - depends on how much you want to make and what your system tells you. My trade last between several seconds to several minutes. And i only take selected trades. I did not develop a system of my own, i acquired one and follow the rules as instructed. And i am comfortable making a real living without having a boss on by back. If you can follow instructions such as, A + B = C, buy or sell, without any emotional attachment, then you are on you way to success. Please do not ask me for strategies or systems as i don't think this site will allow it. And i will not post account or anything else to brag. My success is kept quiet until now because i am tired of watching people talking and writing things that are discouraging to others. And believe me, i have met and seen many small traders making a good living with day trading the e-minis. You have to choose an instrument that you like, find a strategy that works for you and trade it. Do not let people tell you otherwise. Any job will be hard. Think of it. If you do not apply yourself and have fear in front of you always, then no job will be successful. That's all for now.
  13. 1 point
    zdo

    ,,,just Sayin...

    Reflexivity So let’s go ‘beyond’ ... Yet if you review his trades, including normal trades and his outlier ‘country killer’ trades, and dig a little bit, rather than developing a knack at ‘narrative trading’ it turns out in each instance he had agents providing inside knowledge previous to the emergence of the situation, and he then spent considerable resources buying influence to manipulate each situation to the trade’s advantage. Rich and famous, he “felt obligated” to write books about it, but (What I’m just sayin’ is) - he is lying in his books. If some permutation of the concepts have not already occurred to someone engaging in narrative trading, the term and concepts of Reflexivity may help one conceptualize narrative trading better and maybe even help to participate more fully in the middle of moves... but they will not help in (instigating) and participating at the beginning... or in pressing and assuring that the outcomes go to extremes ... and the painful truth is many trend traders go broke 'successfully' participating in the middle of moves.
  14. 1 point
    Yeah! That's my pleasure
  15. 1 point
    Gamera

    Testing Times.

    Actions for the 31st. Volume seemed to be all over the place along with the PA.
  16. 1 point
    Learn to identify momentum and scalp. If you need leverage, trade futures or options.
  17. 1 point
    Today Indian Stock Market moved down on ending session. Tomorrow is the day of big quarterly results. Three companies of Nifty index, Bajaj Finance, Bajaj Finserve and Kotak Mahindra will announce their quarterly results. Mid-cap companies like Aditya Birla Money, ABB India Limited, D.B.Corp Limited, GNA Axles Limited, RBL Bank Limited and Sterlite Technologies Limited will also announce their results.
  18. 1 point
    WildPete

    Reading Charts in Real Time

    Took this Long on the bullish candle after chasing the entry somewhat @ 1.3253, ..RR still attractive. Will be looking for areas to raise the stop to a more favourable level. God Bless.. WP
  19. 1 point
    What I've learned so far that you really should have a record of what you've done on the market. Not necessary every position and detail, but the outcome, mindset and the triggers of your actions. This way you can examine your motivation behind following a plan or a gut feeling etc. This way you won't only have numbers, but the documentation of what was going on in your mind while you made a given trade.
  20. 1 point
    Guess I would add to have a trading journal. Which helps you have a better understanding of the other rules and help closing out emotions.
  21. 1 point
    The answer to this question is relative. I mean, it depends upon you. It depends how quickly you understand the market and the company in which you invest. If you study the life of successful traders, it is analyzed that it took them years.
  22. 1 point
    Stocks4life

    Breakout and Gap Stocks

    $TEVA (TEVA) stock nice opening breakout, from Stocks To Watch,analysis http://chart.st/TEVA
  23. 1 point
    It depends on the person that how he can manage his skills with trading and learning the basic with a demo or any other way. We can suggest them but after all, learning is the procedure which takes time.
  24. 1 point
    Hello everyone! I am very new to this forum. I find this forum really interesting because of the community here is really active and they respond to the thread accordingly. I am really excited to share you guys my thoughts, knowledge, and experience in trading. Happy trading everyone!
  25. 1 point
    daveyjones

    Trading for a Living

    You can't reinvest everything you make. Eventually, you will need to take money out of your trading accounts and pay bills, take your family on vacation, etc. But how often and how much should you transfer from your trading accounts to your personal accounts? Should you take out a fixed amount each month or a percentage of your earnings? What if your accounts are currently sitting lower than your opening balance? Should you wait until you move above that point before you reward yourself with a salary?
  26. 1 point
    mitsubishi

    The obscene practice

    Black=white Peoples Party= There's a few million reasons why I'm not into collectivism You see, this is why Farage is such a giant in politics. What he instigated with Brexit is difficult to measure at this point in time. It may be the beginning of the end of the one way street that is the tyranny of politics. History says the victory will be fleeting. There are certain things that you can count on continuing throughout your life time. THE BASIC RULES OF POLITICS 1- The truth is irrelevant. Therefore liars do well in politics. 2- The goal is to maintain power regardless of the human/monetary cost. Therefore socipaths do well in politics. 3- The working practices of power are to carry out the agenda at the expense of the people. Therefore pedophiles and anyone open to blackmail do well. 4- The only way to remove a political party is to replace it with another one. History has shown that this is an utterly futile process. There literally is no difference between one pedo or sociopath or KLEPTOMANIAC to another. 5- The only way to keep the people in this pointless voting charade is to allow a few human beings into the mix occasionally - just enough to give people hope that things might change. However, this is risky as we have seen with Farage. (I'm tempted to mention Trump but only because of how shocked the system was to see him win, not because he will change anything more than Obama did) 6- There is a way to defeat this endless negative cycle but most people believe somebody else will come along and do the job for them. When humanity realizes that real change begins with the individual, things wiill change. (Hence why collectivism is the go to system for all parties regardless of what they call themselves). However. the longer we leave it the more difficult the task will be -The prison is becoming ever more sophisticated at an alarming rate. 7- The trend can continue for longer than you can stay alive. There are only 2 choices at this point in time. 1- Help to change things, regardless of the personal cost. Thanks for your sevice Nigel. 2- Learn to love your slavery.
  27. 1 point
    zdo

    ,,,just Sayin...

    ... https://www.youtube.com/watch?v=oBmp8OOJ8sE Everything to the right on your chart is free information
  28. 1 point
    mitsubishi

    ,,,just Sayin...

    This is the near future for everyone else.Enjoy.
  29. 1 point
    mitsubishi

    ,,,just Sayin...

    Hailing the city’s infamous equal pay policies which set off long-running bin strikes as a success on Thursday, Ms Daniel said that women are now paid six per cent more than men at the council. Rather than apologise for this “gender pay gap”, councillors boasted that this showed “the way forward” for other local authorities. The staggering hypocrisy of the neo liberals' useful idiot semi moron delta minus shitheads. It's not worth your time to debate fkcheads like these. It's far more productive insulting the the crap out of them instead. Why do they mentally ill need to advertise themselves to the rest of us?... I really don't get it. http://www.breitbart.com/london/2018/03/10/council-pronoun-trans-identities/ Remember, it's not the fascist neo liberal ideology that is the problem. That can easily be deconstructed. The problem is that way too many of your fellow citizens are born to be nothing more than useful idiots. Stupidity is THE growth industry. Everything else is being built around it..
  30. 1 point
  31. 1 point
  32. 1 point
    bakrob99

    Trading With Market Statistics - LINKS

    I have put this thread together because I wanted a place which had all the links for J.Perl's TRADING WITH MARKET STATISTICS threads for easier access. Trading With Market Statistics I. Volume Histogram Trading With Market Statistics.II The Volume Weighted Average Price (VWAP) Trading with Market Statistics III. Basics of VWAP Trading Trading with Market Statistics. IV Standard Deviation Trading with Market Statistics V. Other Entry Points Trading with Market Statistics VI. Scaling In and Risk Tolerance Trading with Market Statistics VII. Breakout Trades at the PVP Trading with Market Statistics VIII. Counter Trend Trades in Symmetric Distributions Trading with Market Statistics IX. Scalping Trading with Market Statistics X. Position Trading Trading with Market Statistics XI. HUP
  33. 1 point
    I wanted a simple trading plan to follow. I thought I had one. The problem was It didn’t work as well as it should., Leaving aside the patience/discipline type issues what are we left with? Too much, that’s what we’re left with. At some point I began to realise that there were several useful character traits that I was not only failing to utilize, I was actively suppressing them. Does suppressing something, anything, sound like healthy activity to you? “try not to ‘fix’ it” I’m going to shock a few guys here. I have to tell you that after all these years I still don’t have a system that compels me to enter here, exit there. Did you notice the key word in that sentence? That’s because I’m not a rule based trader. I’m a trader. The rules are there to help me, not get in my way. OK, so now more experienced readers know (or think they know) where this is going- Discretionary Trading. A no go area for many. A big scary taboo subject that a lot of vested interests would like you to stay the hell away from. The scarecrows of the vendor industry prefer empty cliché’s like ‘Plan your trade, trade your plan’ Well, you’re going to find that difficult for a long time. The thing about scarecrows is they’re rooted to the spot. And the danger is you might get rooted there as well. The scarecrows have got a song they like to sing. In fact they’ve only got one song, it’s called The Gospel- A Traders Bible. And every line in that song is every cliché you ever heard. And the chorus goes like this: 90% of traders lose. I know most of you are hell bent on dotting all the eyes and crossing all the tees in your trading plan and a rule for every eventuality. The whole industry just loves it when you do that., you know why? because they can package something to cater for that desire. Next time you miss your entry by 1 tic and price takes off without you.. try not to ’fix’ it. Let’s call your trading plan -a sword, and the market -the battle. If every time your sword gets blunted in battle you feel compelled to go back to the drawing board and sharpen it, be aware that there’s a point beyond that process. What I’m saying is, there comes a time when the sword gets sharper in battle than it can ever be made on the drawing board. What do you do when you break one of your trading rules (yet again) and you lose money? 1- Put a little note on your trading screen: “Must remember to follow the rules no matter what” 2-’Improve’ the rules. 3- Take a closer look at someone else’s rules. 4- Take a closer look inside your head. You’ll probably have to work through that list in chronological order and get to number 4 before you can even put yourself in thinking outside the box mode. How do you know when you’re ready to go beyond? When you can swim, there’s not much point in staying in the shallow end. I was ready when I realised my discretionary decision making was working better than going back to the drawing board. My learning curve had taken longer because I thought I was being disciplined by not making discretionary decisions, when in fact, that belief was holding me back. The Key Point Here Not every trader should be making discretionary decisions, certainly not a new trader. You won’t have anywhere near enough experience to do it. But if it takes you 2 years to realise that it might become part of your trading plan, then that’s 2 years where you could have been working towards it. Here’s the biggest reason why ‘discretionary’ might be a no go area for you. You designed your trading plan with the express intent of ruling yourself as a trader out of the equation. You decided from the very start to be the passenger instead of the pilot. The key reason why discretionary worked for me was that I realised that my trading strategies were very compatible with me being the pilot…. or co-pilot if you like. A happy coincidence you might think. But I suspect that it was no coincidence. I suspect it might have something to do with having a certain personality trait- resistance to rigidly imposed, inflexible rules. If an aircraft is in trouble, who’s got the best chance of safely landing the plane, the passenger or the pilot? See 4 above- Take a closer look inside your head. Then take a look at trading 101. Don’t wait 2 years to realise you got it the wrong way round. Next- Discretionary Trading isn’t anything like you think it is. Actually, you and a lot of others who won’t admit it are doing it too. The biggest traders in the world make discretionary decisions. Today, as a usefool mental exercise I'll be counting from 649 backwards to the number 2.
  34. 1 point
    In preparing to become a trader I would compare the early days to a man attempting to perfect the butterfly stroke but then giving a good rendition of a man flailing about in the water as he's being dragged under by a big shark. Pathetic really. But I think the big clue that I would find myself in this scenario is my experience on the simulator with 10k. ‘This Is pointless..’ I thought, just trade like you intend to trade for real. That lasted about 2 weeks. I had a much better idea. Let's see how fast I can turn this into 1 million. So... after half a dozen attempts I got it up to about 900k before saying, OK, let's stop screwing around, this is pointless.. ..Or was it? One thing it taught me was that if you had sufficient funds (preferably someone else's) and you traded with real balls, full on, all the time, you can in theory make a lot of money really fast (if it was real money) And you can do that with very little real trading knowledge- that's one key point. (Trading experience and knowledge takes a lot longer to accumulate than the ability to make big returns in this (unrealistic for most guys) paradigm). The key point though is that this is the mental aspect that’s at play here. When using real money the tendency might be to want to trade defensively rather than aggressively.-I don’t mean aggressively as in recklessly- but ‘real money’ should not be the main focus should it? The market and the correct strategy should be the focus. Putting this into a real world trading context it could be argued that; Defensive – at the right time is an appropriate strategy for today/this week Defensive- at the wrong time leads to under-performance. For example, pyramiding into a position could be an appropriate strategy, which would better illustrate what I mean by ‘aggressive’ Bottom line on this particular point. The market rewards your correct decisions. So if your decision is to be cautious because you’re a beginner and not because it’s the right thing to do right now, then that will contribute to under-performance. Losing money is not the only issue for any trader, under-performing is an issue that doesn’t seem to get discussed on forums very much. So, in your next trade are you playing defensively for the right reason or are you trading ‘scared money’ due to inexperience/lack of funds? ‘risk control..risk control’ Now, I know that while reading this, your mind is screaming risk control,, risk control. Consider this, risk control doesn’t go out the window at any time, but there’s always a danger that when one is overly focused on one aspect of the trading plan another aspect is being neglected. Under-performance is like an empty hotel room. I can potentially fill the vacancy tomorrow, but the lost opportunity is the issue. You may think that pyramiding is difficult for a day trader.. Pyramiding is not the issue, attempting to do the right thing at the right time is the issue. Maximising the opportunities the market offers is the issue. As I said earlier, I was focused on turning negatives into positives. Screwing around on a simulator was not a wasted exercise since it lead to useful lessons and conclusions. Making the best use of those lessons took a long time though. But that’s pretty much true for most people. Your experience in terms of lessons and conclusions will vary from mine. I would just suggest that you may find useful lessons in places you’re not expecting to find them. I’m willing to bet that, right now, there’s something staring you right in the face that is a big clue to who you are as a trader. So from the first post- 1-You Don't Know Anything You probably know things right now that are more useful to you than you realise or appreciate.. In the next post I'll talk about how this was a problem for me and how I solved it.
  35. 1 point
    mangolassi

    Forex Broker

    Are you serious with this post? Name one institution that trades with MT4. MT4 is a joke that is used by beginner forex traders for two reasons: 1) it is free, and 2) it is very simple to use. Institutions that are managing large amounts of money use custom platforms that are tailored for their needs, especially if these institutions are banks trading currencies with each other. MT4 doesn't even meet the standards to be called a serious retail trading platform. Comparing MT4 to something like Sierra Chart, Multicharts, Tradestation, etc., is like comparing a plastic tricycle to a Ferrari. I am going to go ahead and call you out on this - if you really think MT4 is the "best platform" you've ever tested, you have only used MT4. Tradestation and Ninjatrader and others like Sierra Chart and Multicharts are used by a large amount of professional traders who trade various markets like futures, stocks, commodities, forex, etc. MT4 is simply used by beginner forex traders. I'm sorry, but MT4 is one of the worst trading platforms out there. You won't find any serious professional trader using MT4... if they are using MT4, they are usually a beginner still new to trading.
  36. 1 point
    MidKnight

    Reading Charts in Real Time

    No matter how you say it, he's a top bloke. Those were good days on this forum back then. Who says all good things must come to an end???? With kind regards, MK
  37. 1 point
    MidKnight

    Become a Better Trader

    Develop a plan. As one goes on their trading development journey and they are exploring a variety of markets, timeframes, and methodolgies - you'll need to develop a plan. The plan doesn't have to be some objective extremely specific set of rules. It can be a loose set of guidelines that makes sense to you that gets refined over time with your experience. The goal is to start acting consistently so you can get consistent results. There will probably be times that you violate the plan for whatever reason and I think that is normal, especially for more discretionary plans. But the key is to consciously violate it rather than getting lost in the throws of the market or in ones emotions. If you are consciously violating the plan you will note it in your daily review and over time you will collect enough data that may or may not indicate that the violation improves your plan. Develop a plan today.
  38. 1 point
    Mysticforex

    38 Steps to Becoming a Trader

    I didn't see this posted here anywhere so I thought I would. The " I Look Back Now " thread inspired me. I read this several years ago in a commodities magazine, I have also seen it around on the web: 38 steps to becoming a trader They are as follows: 1. We accumulate information - buying books, going to seminars and researching. 2. We begin to trade with our 'new' knowledge. 3. We consistently 'donate' and then realise we may need more knowledge or information. 4. We accumulate more information. 5. We switch the commodities we are currently following. 6. We go back into the market and trade with our 'updated' knowledge. 7. We get 'beat up' again and begin to lose some of our confidence. Fear starts setting in. 8. We start to listen to 'outside news' and to other traders. 9. We go back into the market and continue to 'donate'. 10. We switch commodities again. 11. We search for more information. 12. We go back into the market and start to see a little progress. 13. We get 'over-confident' and the market humbles us. 14. We start to understand that trading successfully is going to take more time and more knowledge than we anticipated. MOST PEOPLE WILL GIVE UP AT THIS POINT, AS THEY REALISE WORK IS INVOLVED. 15. We get serious and start concentrating on learning a 'real' methodology. 16. We trade our methodology with some success, but realise that something is missing. 17. We begin to understand the need for having rules to apply our methodology. 18. We take a sabbatical from trading to develop and research our trading rules. 19. We start trading again, this time with rules and find some success, but over all we still hesitate when we execute. 20. We add, subtract and modify rules as we see a need to be more proficient with our rules. 21. We feel we are very close to crossing that threshold of successful trading. 22. We start to take responsibility for our trading results as we understand that our success is in us, not the methodology. 23. We continue to trade and become more proficient with our methodology and our rules. 24. As we trade we still have a tendency to violate our rules and our results are still erratic. 25. We know we are close. 26. We go back and research our rules. 27. We build the confidence in our rules and go back into the market and trade. 28. Our trading results are getting better, but we are still hesitating in executing our rules. 29. We now see the importance of following our rules as we see the results of our trades when we don't follow the rules. 30. We begin to see that our lack of success is within us (a lack of discipline in following the rules because of some kind of fear) and we begin to work on knowing ourselves better. 31. We continue to trade and the market teaches us more and more about ourselves. 32. We master our methodology and our trading rules. 33. We begin to consistently make money. 34. We get a little over-confident and the market humbles us. 35. We continue to learn our lessons. 36. We stop thinking and allow our rules to trade for us (trading becomes boring, but successful) and our trading account continues to grow as we increase our contract size. 37. We are making more money than we ever dreamed possible. 38. We go on with our lives and accomplish many of the goals we had always dreamed of. Most traders will identify with this list and should be able to place themselves within these steps. Keep in mind that very few people progress through these steps in an orderly fashion. Developing your trading skills is an iterative process. For example, you may reach Step 13., find that although you were making money, your basic premise for trading was flawed (you might have been benefiting from the bull market, rather than your own trading prowess and then have been rudely awakened when the market entered a bear phase) and you may drop back to Step 4. and start 'climbing' the steps again. Having the proper mindset, attitude and psychological makeup becomes increasingly important as you progress through the steps. The focus of the earlier steps is on external issues, i.e. developing proficiency in the mechanics of trading while the focus of the latter steps (particularly from Step 30, on) is on internal issues, i.e. improving ourselves mentally and psychologically, maturing as traders.
  39. 1 point
    mitsubishi

    Next Big Thing

    Next big thing?..........Looks like the same old thing to me.Here's the recipe. 1) Get yourself a PR story that sounds too good to be true that the system is based on. In this case it is a maths genius (apparently,who,besides them say he's a genius?). Other famous PR stories are eg :a code based on a bunch of numbers mentioned in the bible (The Daniel Code).And: A genius who found the hidden order within markets,sold it to Welles Wilder,who called it The Delta Phenomenon. Or,if you are Steve Copan you call it The Market Matrix and pretend you're a recluse who only writes books,Cd's and once in a blue moon,seminars for a lot of money-because... you're a recluse. 2 )Do not tell anybody how the indicator works or what it's really based on (except it can only be based on past prices,therefore it lags and is not predictive) 3) Make a video showing the mysterious indicator "working" at the bottom of the cherry picked example chart. 4) Leave no doubt in the mug punter's mind that trading skills of any kind are not required just follow the "signals". 5) SIgn up to a trading forum,and in your first post tell us how you're thinking about signing up for this service and what do people think? 6) Get another spammer with 5 posts or less to say he's making money and it's the "next big thing" 7) If anyone bad mouths your operation or asks too many questions throw them out of your trading room. 8) When a trade set up is winning claim you are already in it. 9) When a trade set up isn't working claim you didn't get in it for reasons ABC. 10) If anyone calls you out on that throw them out of the room,but keep taking their credit card payments until they finally manage to cancel them-keep all the money and point them to the small print in the contract. 11) When business is slow,and after being thrown off various forums for soliciting,and after working with some of the biggest frauds,conmen and snake oil salesman in the "business",sign up for traders Laboratory and pretend your here to make friends and help struggling traders.When the long term residents call you out on your bullshit,turn pretty shitty pretty quick and cry like a baby that everyone's picking on you for no good reason.Threaten to leave -repeatedly without actually leaving.Carry on as if nothing is wrong and nothing happened until everyone is so sick of you the management is forced to act.(finally) Then,finally leave.Then come back almost immediately before finally understanding fully and intimately the phrase "go fkcu yourself" Then sometime later crawl back to give your expert opinion on the best way to run false accounts and statements while failing to see how transparent and ludicrous you look. 12) When things completely fall apart,leave the sinking ship owing 1000's to your customers and act like nothing happened. Hi Oliver,how's "business" these days? 13) Rinse and repeat until someone finally sticks your ass in jail (low probability) But hey,it's different this time isn't it?
  40. 1 point
    WHY?

    Beyond Taylor

    Well guys I may disappear for a few weeks. I gotta do some other things and all this posting takes time and I ain't very bright so I have to peck the keyboard. I'll check back in occasionally and maybe add a post here and there. Just study the charts and posts and you will see how I trade Taylor and scalp at the same time. Why let time waste? Do both, if you think you might like scalping. Anyway, hope something was said that helps someone. Trading can be kept simple but it is hard work. I try to keep it simple for me and uncluttered but use these techiques that allow me to scalp, and trade the Taylor moves, at the same time. Here is forecast for tomm. It is a SS day in my Taylor count. I see it trading up first. It may or may not penetrate the high of 3-29 of 1404 but who knows. If it trades up early and gets close to 1404 I read the tape using techniques I gleaned from Arms, Taylor, Gann, Williams, Brooks, Droke and a few others. That would take too long to explain but in short I let the tape dictate to me my entry point. My pre-market Taylor analysis gives me a view on what may happen and helps me determine the day of the cycle. But the tape tells the real and final story so I fine tune my entries to it as I make my Taylor entries and exits. Anyway, the Taylor strategy calls for shorting any penetration of 1404 once the tape indicates it to be good to do so. My forecast give three possible highs with the highest being 1407.16. IF the price action takes place early in the session. If it doesn't make it early (like during night session or first couple hours after day session) then short when the decline begins but that will take some tape reading skills to determine that. If it makes or penetrates the high in the night session and looks like it may continue on up then I would wait and see how it goes and maybe even wait for the day session before shorting. However, if I think the high was made in the night session I will not hestitate to short in the night session. Whatever, happens if you take a short position on a SS day always be flat by the end of the day. That is Taylors rules. If there is no decline then pass on any Taylor trade for that day unless you have a mechanism that lets you recalculate the days on a the fly and work on the new info. My scalping techiques .....well most can be found in Brooks 3 volume set. One can then make minor modifications/adjustments. Anyone interested in scalping 1 to 3 points multiple times per day ....well I would strongly suggest they study Brooks well. Read his books several times. Don't buy his first book. Very hard to understand. Go to Amazon and order his new three volume set. You can also get them on PDF from Wiley Books, I believe. Mark them up. Study them for months. Next trade his concepts on a sim for 3 to 6months every day until you can get convinced. Then go live. He claims all you need to make money in the markets are in his 3 volume set. That is a bold statement. But, he is correct. However, it does take time and practice to get good at it (Brooks methodolgy). Don't think you will read the 3 vol in 3 weeks and start make money trading. You will have to study his techniques over and over and trade on a sim over and over until they become second nature. Please don't forget to use the 89 SMA and the 20 EMA if you scalp. The first is a concept I give you to help in scalping. Please use it. Don't just trust your eyeballs. Watch the relationship between the 2 MA's, their relationship to price and the distance they are from each other and from price. They tell a story about the trend and you generally want to be scalping the trend. They will give you some confidence if you feel a bit disoriented one day while scalping. If you scalp counter trend then you better be nimble as jack on your feet and don't take much. Grab what it gives you and move on. Scalping WITH trend produces much more high probability, and safe scalps. To Learn Classical Tape Reading then read and study: 1) Tom Williams (The Undeclared Secrets that Drive the Stock Market on.. the net as a pdf or buy his book Master the Market..you don't need the VSA software. Just learn the concepts) 2) Gann (the Truth of the Stock Market Tape..can be gotton at libraries) 3) Tape Reading for the 21st Century by Cliff Drokes..buy directly from his website as Amazon will charge you an arm and a leg. Cliff has it for under 20.00) 4) Brooks books for a view on what I would call classical tape reading bar by bar (thats not pub by pub for you UK people) using candlesticks. Of course, his books also to learn great scalping techiques. He also has a website ..brookspriceaction I believe it is. 5) Rollo Tape and other books by same author 6) Of course, the Livermore Remin. book is a great read and worth reading multiple times 8) ARMS Equivolume for some concepts on Volume. I think there is a ARMS website with some free downloads. One download is called Armsbookwcontents.pdf. I don't remember the site. If you can't find it with google send me a private message and I will help. 8) Finally don't forget Taylor. His book can be found at Traders press but I also like the pdf version (can be bought at Traders press and much cleaner than the free scanned version floating around on the net) and use the free PDF-Viewer program (google download and install) to mark it up and make notes on my digital copy. My hard copy is falling apart after so many years of reading and marking. All of the above are worth studing to learn the art of tape reading from a chart as opposed to tape reading on the DOM or time and sales..etc. These concepts propounded in these books will help you tremendously in developing a skill for tape reading from a chart which will in turn help you pick correct entries for Taylor trading. If you pick wrong entries for Taylor trading you will be forced to go through big drawdowns. If you get the day of the cycle wrong you won't make as much money as you could have made but Taylor will still work for you. I just can't stand big drawdowns. I do not like the pain. I grovel over a substancial loss.. paper or real. I hate losses.. paper or real. I know I have to accept them but STILL I do not like them and try my hardest to have as few as I can but when necessary I will quickly take a small loss knowing I can always get back in. And small losses don't eat at me. I have had my share of big losses in my journey and they eat at me for days and weeks on end. Tape reading from charts is a skill that takes time to develop. Give yourself 2 to 3 years to practice it well. But, you need the basic concepts planted in your brain. The books I just mentioned will give you those concepts. You have to plant them in your own brain. Nobody else can, or will, do that for you. Once they are planted there, and you have practiced them long enough, they will become second nature..like riding a bicyle. You will not have to think about every concept. Your brain will drive the car and do that for you. But that will take a few years to develop IF you work hard at it. But, the payoff is worth the effort. One more thing. Pick one or two things to trade and learn those instruments well. Do not jump around from market to market. Pick one or two as you plant the conepts in your brain and practice them. Why? Your brain will automatically learn the style of movements in those markets and will begin to correlate the concepts you are learning and apply them in that particular market. If at first, while learning the concepts, you jump from market to market it will take you much longer to learn how to apply them. After a few years you will be able to apply them in most any market. Spend alot of screen time just watching your one or two markets with nothing but 5 minute chart and the two moving averages, with volume. Please overcome any "I don't need volume to trade mindset"..Alot of that is out there on forums but please just think about it. Volume represents money..big money. Why would you want to ignore that element in your trading? Don't try to trade at first. Just get the screen time in. Hours and hours. Days and days. You are training your brain to pick out the patterns of that particular market. Then, when you begin to apply the concepts you have been studying you won't have to be conciously trying to decide if this move will continue or not. Your brain will let you know the probabilities. Get alot of just screen time in. If you work a regular job just record the sessions and watch them on weekends over and over...not even trying to apply watch you are learning. That will come later. You are just training your brain to pick out and read the movements of one or two instruments. Later you will apply what you are learning on a sim and then after that live Look guys if I can do it most anyone can. I didn't finish college. I read alot but but am not that smart. Really. Just your average bloke as you people in the UK might say. Trade well, see you around.
  41. 1 point
    Tams

    Vendors Vendors Vendors

    YOU are not adding to the discussion, and I do not appreciate that. You sound like a desperate vendor, bitter about the success of your competitors. If you want any respect around here (even as a vendor), you should start your own thread and start to share something of substance. You post leaves a bad taste in your mouth.
  42. 1 point
    phantom

    What Really Works for Technical Traders

    Using this chart of yet another euro breakout, allow me to instruct you on another form of price rejection, the false breakout-reversal. Pay strict attention to the price action around the red arrow. Following a break below the 20 period moving average at around the 3:40 mark, the market moved into a sideways channel consolidation. The market moved up to a close near the high end of the channel range after peeking above the prior range high (the green bar just prior to the red down bar signified by the red arrow). The red bar moved all the way across the range and closed below the entire channel range. Following a short test, ie the "rattail" portion of the subsequent bar, the market plummeted. I sold the break of the arrowed bar with my risk stop one tick above that same bar. Let's take a closer look at the market dynamics behind this form of price rejection. Prior to the breakdown the market tested the range high and even broke above the high. But the key element here is that the market did not FOLLOW THROUGH (false breakout). Instead, it moved all the way in a single bar through the trading range with a close outside the range on the other side (reversal). In other words, the market rejected the attempt to breakout on the high side of the range and opted to breakout strongly through the low side of the range. If the market doesn't meander back into the range and stay there any longer than it had to to complete the test (rattail portion of next bar) I am short this market! I call the red-arrowed bar a volatility breakout bar due to its relative length with respect to the other bars in this consolidation. Also note that the MACD turned down with this vol breakout bar, confirming market direction and momentum. This is a case whereby a hammer wasn't used to enter the market, but was replaced by a volatility breakout bar. In either case, price rejection was the "signal" used to enter the market relatively safely. Once again, the driving force behind the huge follow-through was the breakout of the much larger range that preceded the small consolidation breakout, providing enough "potential energy" to convert to the kinetic move you see at the right of the breakout bar. That's the lesson for the day. Now go locate these opportunities for yourself and make some money! Luv, Phantom
  43. 1 point
    phantom

    What Really Works for Technical Traders

    This is the July Beans showing a perfect consolidation breakout followed by a hammer. Notice the "rattail" that helps identify the hammer. See if you can identify the other two hammers in this down move (both excellent places to pyramid your position). This is only one of several breakout systems I developed and trade but I'm able to get in on several sustained breakouts each week with this method in just the currency futures alone. Hope this helps. Luv, Phantom
  44. 1 point
    MightyMouse

    38 Steps to Becoming a Trader

    Step 39 is when Shrek and Feona have a family and live happily ever after
  45. 1 point
    wind_

    Best Forex Broker?

    Check out Dukascopy (Forex trading, ECN Broker, Managed accounts, Swiss FX trading platform). They are ECN forex broker located in Swiss. Their spread is very tight, and recently they lowered their min. lot size to 1,000 (micro lot).
  46. 1 point
    first i must state that i consider optimization as the mother of all f**kups. Having said that, the best tools are both Ninjatrader and matlab Matlab, when one has the ability to program at a certain level, goes beyond anything. For quick and dirty (and for people not familiar with programming) NinjaTrader is excellent. I have the opportunity to use NT7 and indeed solves a lot of problems regarding resources use. Two additional interesting programs for system design are quant developer and rightedge But I repeat the best actually is matlab
  47. 1 point
    Shamal

    Pure VSA

    Eiger, presume you meant "No Supply" on D & G bar rather than "No Demand"
  48. 1 point
    In this post, I explained to the OP that following your system when things are not looking good is easier said than done sometimes and thought I'd explain further. Today (Dec 12) was one of those days where if I told you the end result of my P&L you might say, nice day. Ending P&L: $779.89/ct after commissions Not the greatest, but acceptable. Now, allow me to take you through how this day progressed and you can see why it's easier said than done to follow your system 100% and not lose faith. I am currently focusing on 3 markets to trade - ES, EC/6E and ZN. The main reason being that I am trying to be more particular in my setups and instead of forcing on the ES only, I find it easier to be patient using 3 markets. ES trades for Dec 12: +1.25, -2.25, -2, -2, -1.5, -1.75, -1.5, +5.75 = -4.00 on Day EC trades for Dec 12: -13, -12, +26, -9, -9, +6, +36 = +25 on Day ZN trades for Dec 12: +21, -4, +19, +10 = +46 on Day As you can see, not the easiest path to get from point A to point B. We know that the shortest distance between 2 points is a straight line and while it's much easier having a day where you start at 0.00 to +1,000 with no losses, that's not entirely realistic IMO. But if you were to look at starting at 0.00 and ending at $779.89, it'd be hard to argue that was a bad day. I posted this b/c in the other thread the OP is showing some solid faith in his system and following it. Once you know that your system makes money, then it's a little easier to do this. Of course you need to get there, but once there, you can do it. In the end this business is first about knowing that your system makes money over time and then doing it while minimizing emotional impact. I still get frustrated at times but days like today remind me of how important it is to keep doing it. I had no idea going into the day that the ES would be so rough today. I had no idea that the EC would make money, but only after a few losses. And I had no idea that the ZN would be like taking candy from a baby. And I have no idea what tomorrow will hold. I just have the faith that I can do the job and follow the plan. As soon as I stray from that, then I am subject to P&L fluctuations not planned for.
  49. 1 point
    DbPhoenix

    Price Action Only

    Trading by price -- and "volume" -- requires a perceptual and conceptual readjustment that many people just can't make, and many of those who can make it don't want to. But making that adjustment is somewhat like parting a veil in that doing so enables one to look at the market in a very different way, one might say on a different level. One must first accept the continuous nature of the market, the continuity of price, of transactions, of the trading activity that results in those transactions. The market exists independently of you and of whatever you're using to impose a conceptual structure. It exists independently of your charts and your indicators and your bars. It couldn't care less if you use candles or bars or plot this or that line or select a 5m bar interval or 8 or 23 or weekly or monthly or even use charts at all. Therefore, trading by price and volume, or at least doing it well, requires getting past all that and perceiving price movement and the balance between buying pressure and selling pressure independently of the medium used to manifest or illlustrate or reveal the activity. For example, the volume bar is a record of transactions, nothing more. The volume bar does not "mean" anything. It does not predict. It is not an indicator. Arriving at this particular destination seems to require travelling a tortuous route since so few are able to do it. But it's a large part of the perceptual and conceptual readjustment that I referred to earlier, i.e., one must see differently and one must create a different sense of what he sees, he must perceive differently and create a different structure based on those perceptions. As long as one believes, for example, that "big" volume must or at least should accompany "breakouts" and clings to this belief as ardently as he clings to his rosary beads or rabbit's foot or whatever, he will be unable to make this perceptual and conceptual shift. If you can work your imagination and use it to travel in time, you will have a far easier time of this than most. Imagine, for example, a brokerage office at the turn of the 20th century. All you have to go by is transaction results -- prices paid -- on a tape. No charts. No price bars. No volume bars. You are then in a position wherein you must decide whether to buy or sell based on price action and your judgment of whether buying or selling pressures are dominant. You have to judge this balance by what's happening with price, e.g., how long it stays at a particular level, how often price pokes higher, how long it stays there, the frequency of these pokes, at what point they take hold and signal a climb, the extent of the pokes, whether or not they fail and when and where, etc., all of which is the result of the balance between buying and selling pressures and the continuous changes in dominance and degree of dominance. One way of doing this using modern toys and tricks is to watch a Time and Sales window and nothing else after having turned off the bid and ask and volume. But this wouldn't do you any good unless you spent several hours at it and no one is going to do that. Another would be to plot a single bar for the day and watch it go up and down, but nobody's going to do that, either. Perhaps the least onerous exercise would be to follow a tick chart, set at one tick. Then follow it in real time. Not later, but real time. Granted this means a lot of screen time and only a handful of people are going to do it. But those few people are going to part that veil and understand the machinery at a very different level than most traders. Once this is understood, the idea of wondering -- much less worrying -- about what a particular volume bar "means" is clearly ludicrous, as is the "meaning" of a particular price bar or "candle". If it is not understood, then the trader spends and wastes a great deal of time over "okay so this volume bar is higher than that volume bar but lower than this other volume bar, and price is going up (or down or nowhere), so...".
  50. 1 point
    Sledge

    Edge VS Mentality

    Do you know why their is a 95% fail rate in this business? I do. And the reasons are simple: 1. New traders are lured by this idea that "this is an easy way to riches." The Market Makers have brilliant Marketing departments and they do a stellar job- believe me I have a B.S. in Marketing and over a decade in the field- I know good marketing. They shoot fish in a barrel. They tout short term trades. They WANT you to scalp for two reasons. One is the more trades you take, the more commissions they make. Secondly, Marketers are trained with psychology- they know what makes you tick- they know people and how they work. They know that even if the long term trend is bull, human nature to a "get rich quick" minded person will take tiny profits out of fear. 2. After they have baited you into doing something as silly as opening an account with $250 being as green as an Irish countryside- letting you overleverage the crap out of yourself- they part you of your $250 and hundreds of others. Knowing psychology again, they know that most people with be revengelful- they will fund the account with another $250 and take another crack at it- this time, they have you even MORE by the short and twisty's because you are pissed and want to get your first $250 back. They take you to the cleaners again! The cycle repeats over and over with millions of "get rich quick" greenhorns. 3. If after you have blown two accounts, and still want some more- you then set out on your search for the "Holy Grail." You start picking from the list of the 1000 indicators that your broker who just cleaned your clock TWICE gives you. "Must be a gift from the trading gods" you say- "all the answers are right here" you think- so you apply them, try them and eventually get parted from even more money. 4. If you are now beaten down for the third time- you can either A. Keep fighting the good fight and demo trade until you finally get it right or B. Give up on the markets all together. 5. If you choose A, you will study and learn what the markets are really all about, you will search not for "The Grail" but for the reasons the markets do what they do. You will search to find out how to read a chart instead of trying to take trades when one line crosses another or some Indicator tells you it is time to pull the trigger. You will take the hard road and work long hours to get to an edge. You will make money with your edge, and sometimes you will want to tweak the edge or realize that you can have multiple "edges" to draw money from the market. You will look at the market from a completely different perspective than you did when you started. You know that the market is not "out to get you." The market is there to do what it does- and either you are in harmony with the movements- or you are a dead man walking. The lesson: This is a hard road, this takes time, this takes patience to learn, this takes dicipline, it takes blood, sweat and tears. During your learning phase you will either crumble and give up, or you will have the heart to plow on ahead. 95%of people fail in this business because they don't have the balls to do what it takes to succeed. They don't have the gumption to fight through the learning stage to make it. PERIOD! Aaron
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