Technical indicators are not magical and they are not a Holy Grail. Market price action changes from trends to price ranges, and from low volatility to high volatility. They are good for building systems so you can measure your risk on each trade, and use them as trading tools to quantify your entries and exits. They are […]
Technical Trading Tools 101 Read More »
“If markets were rational, I’d be a waiter” – Warren Buffett If the markets were efficient Warren Buffett would be a waiter and not the richest man in the world and Paul Tudor Jones wouldn’t be a billionaire. The traders and the investors that beat the market in the long term had an edge. Warren Buffet bought the best companies
We Can Beat the Market Read More »
While trading systems have to be built for an individuals risk tolerance and personality type the principles used to build trading systems are basically the same . Here are the 10 key universal elements to successful trading system development. You have to chose if your system will be profitable from a high win rate or big wins and
Elements for Building Trading Systems Read More »
Single trades mean nothing outside a trading system that is executed consistently with discipline and risk management. One trade can be as much luck as skill. Any single trade entry has a 50/50 chance of moving in your favor on entry and being a short term winner. 10 Reasons Why Short Term Results Mean Nothing:
Why Short Term Results Mean Nothing Read More »
“There are just four kinds of bets. There are good bets, bad bets, bets that you win, and bets that you lose. Winning a bad bet can be the most dangerous outcome of all, because a success of that kind can encourage you to take more bad bets in the future, when the odds will
The Anatomy of a Good Trade Read More »
So many new traders come in with only the thoughts of profits dancing in their heads. This is equivalent to a football team only focusing on scoring points, and not planning their defense. In trading, you must play both sides of the ball. A boxer has to punch so they can win and also block
Offensive and Defensive Trading Read More »
First you stop trading until you do some homework and learn what leads to profitability in the financial markets. Once you start to understand what makes traders money then you begin to build a trading system that fits your personality and is profitable over the long term. You have to test your system across historical price action
10 Steps to Profitable Trading Read More »
I asked my Facebook trading group this question: What is your best trading habit that makes you profitable? Here are the great answers from the group as they shared their best trading habits: Cutting losses short. Letting winners run. Following my trading rules. Following my trading plan. Planning. Preparation. Being patient. Being disciplined. An exit
25 Good Trading Habits Read More »
Let me guess. You’re into trading because you want financial freedom, to make lots of money, and to fire your boss. You learn everything you can get your hands on. Trading books, courses, forums etc. 1 year has passed… 2 years have passed… 3 years have passed… And you’re still not profitable. The bad news
How to be a Profitable Trader in 180 Days Read More »
