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Hey Joe! No matter how hard I try, I still find myself hesitating before a trade. Any comments about that? There are any number of reasons why a trader hesitates before a trade. The main one is lack of planning. Without a plan, there is no degree of confidence a trade will be successful...

Try to find a trading method that will reflect your psychological bias towards trading. Not all traders have the patience to trade a computer system and watch the trades give back large amounts of open equity. Methods are quite different from systems, and it is important to understand the...

Someone wrote to ask: "To what extent can I trust my broker? Is it a good idea to give him full discretion to trade my money without me calling the shots? Do I need a full-service broker?" Actually there are three questions that were asked. My answers, in the same order are: Only a little...

You alone determine whether you will succeed or fail at trading. You alone are in control; take responsibility for your performance and your life. There are always tremendous opportunities in the markets. It is not what happens, it is what you do with what happens that makes the difference...

No one likes to think about the worst-case scenario, or to make a detailed plan to recover should it happen. It's just one strategy for learning how to trade in a relaxed but focused way so that, should you ever face a severe financial setback, you can recover from it. Trading requires intense...

The 45 degree angle is entirely a matter of perspective. Elongate the chart and the angle will become greater than 45 degrees. Flatten the chart and the angle will change to less than 45 degrees. Gann must have been using a logarithmic scale in order to get a constant 45 degrees.

Good point nazzdack

I have been corresponding with a mathematically oriented gentleman who is quite brilliant in his approach to the markets but who is very close to going off the deep end. He wrote me the following email: “I have given the 45 degree - phenomenon a lot of thought. I pretty much would like to...

If your financial losses have injured or hurt your personal relationships, you must apologize and ask those persons for their forgiveness. Most people will forgive you immediately but whether or not they forgive you is unimportant. It is most important that you forgive yourself and resolve not...

Sometimes I get some really strange questions in the mail. The one that follows is one of them. Although I try to be like "Rambo" when I trade, I haven't in actuality fully achieved "Rambo's" degree of "coolness." "Is it really true that you are able to stay calm and relaxed when you trade...

I’m not sure I can describe it in terms of importance. The creative process is somewhat of a mystery, even to scientists who study it. There are a few common characteristics that all creative persons possess (such as an openness to a variety of internal and external experiences and a driving...

To the best of my knowledge, no one has ever figured out a truly accurate way to figure out future turning points. As far as I know, it has never been done. I don't believe that it will ever be done. I have encountered traders who have told me that so-and-so does it, but I have never seen...

Recently, I was asked the following question: DO YOU TRADE STRICTLY BY TECHNICAL ANALYSIS OR DO YOU STILL TRY TO WATCH THE FUNDAMENTALS AS WELL? For years I have differentiated between chart and technical analysis. Please allow me the courtesy of calling what I use as primarily ‘chart’...

mon, I wonder what you put in the pipes you smoke that enables you to be a prophet 75% of the time? You must be an awesome trader. Would you care to name a few of the 99% prophets you know? Gosh, if I could predict price action 99% of the time, I would probably own the planet by now. I...

Consider the following: As a trader you are in a business. Your strongest opponent has plenty of capital. He follows a program and he does it without emotion. He is totally aware of the fact that no one knows where the next tick will fall. Whereas he usually has good insights regarding the major...

Note the yearly ranges for the commodities you trade. What are this year’s highs and lows? Are they higher highs, lows and closes compared to last year? Does the close confirm the price action? What is the long term trend? How does this year’s compare to the last three years' average range...

Here's a question that came in the mail.."Joe! Have you ever found a system that really works?" Most traders move from trading system to trading system, and trading method to trading method. Over a period of time, they may find one that suits them--one that is comfortable to run, and tests...

Very well said HA. I agree with all you added to what I had said. Legal and tax setup is crucial and must be done right. Broker choice, data supplier, trading platform, trading environment--all must be thought out.

The importance of how you learn the business of trading cannot be minimized because of the factors that determine your success or failure. Learning the business of trading is basically no different from learning any other business. Winning means learning major guidelines and concepts that you...

One of the most important things to learn in this life is how we ourselves behave, not only when we are acting on our own, but when we are part of the crowd. And what few of us understand is how many of our important daily actions are not thought out in advance. We are all attempting to survive...