Characteristics of a Successful Trader

ChkitOut · Dec 18, 2008

Quote from Dustin:

Out of all the guys I know who make good money, I am the only one who uses any indicators. Then again they all make more $ than me so maybe that's a clue.

The only one I use is stochs on a 3 min ES chart, and that is only to guide me to whether I would rather be on the long or short side of the market overall. For example if stochs are telling me that ES <i>should</i> fall for the next hour I would rather be selling some weak stocks that will outperform ES on the downside. That way when I'm right about market direction I make more % than ES, and when I'm wrong I lose less.

Trying to apply any indicator to individual stocks will not work, and even when you apply them to indexes they are going to be wrong enough to not rely on as trade signals on their own. Just imo.

Interesting.. good stuff.

EricP · Dec 18, 2008

Quote from ChkitOut:

If you're not using canned indicators then you're creating your own I suppose.

Yes, exactly. You have your own strategy for making trade decisions, but it's not based upon a MACD cross (using your own secret set of MACD parameter values) along with the proper RSI, stochastic, Dual moving average crossover, with a parabolic stop loss, etc, etc... Those sorts of indicators, IMO are grossly overrated and I don't know many people that successfully use them. That's not to say that it can't be done, just that I don't personally know of many who do.

talknet · Dec 18, 2008

Quote from EricP:

Characteristics of a Successful Trader

I will define Characteristics of a Successful Trader in one simple statement-:

A Successful Trader is one who has been paying profit of 35% - 40% p.a. (without compounded interest) for past 10 years.

BlindLemonBoosh · Dec 18, 2008

Quote from EricP:

Characteristics of a Successful Trader

A successful trader treats a paper profit as a paper profit & a paper loss as a real loss.

eagle · Dec 18, 2008

Let me say in other words. You never win until you cash in, you stop losing until you exit. You're continuously facing losses in one of the following scenarios.

1. Lost that was happened right from the start.
2. Winner turned into loser.
3. Big winner turned into small winner.

Quote from BlindLemonBoosh:

A successful trader treats a paper profit as a paper profit & a paper loss as a real loss.

talknet · Dec 18, 2008

Quote from talknet:A Successful Trader is one who has been paying profit of 35% - 40% p.a. (without compounded interest) for past 10 years.

My post is a true example because my Swiss forex broker has for past 8 years paid average profit of +34% p.a. (without compounded interest). He has 30 years of experience in forex.

Compounded profit comes to +1000% in 8 years. January 2008 to November 2008 profit is +155% for "new 4 hour system".

He trades with Maximum risk is 5% per new trade (conservative risk structure). These profits are for "Forex managed account"

So, Swiss forex broker = Successful Trader.

fluttrader · Dec 18, 2008

Quote from talknet:

My post is a true example because my Swiss forex broker has for past 8 years paid average profit of +34% p.a. (without compounded interest). He has 30 years of experience in forex.

Compounded profit comes to +1000% in 8 years. January 2008 to November 2008 profit is +155% for "new 4 hour system".

He trades with Maximum risk is 5% per new trade (conservative risk structure). These profits are for "Forex managed account"

So, Swiss forex broker = Successful Trader.

How many times have you already posted the same thing ?

Advertising ?

talknet · Dec 18, 2008

Quote from fluttrader:

How many times have you already posted the same thing ?

Advertising ?

4 months back, I had a discussion with a "Big player" and he said to me "We are the ones who move the markets".

This "Big Player" is from Saudi Arabia. He has business contacts with Prince of Saudi Arabia.

Do I need to advertise anything?

Just sharing true example I have.

eagle · Dec 18, 2008

Tom Baldwin had the ability to "make market move" then had a handsome profit. While the Prince had the influence to "move the market" then lost $4B.

Quote from talknet:

4 months back, I had a discussion with a "Big player" and he said to me "We are the ones who move the markets".

This "Big Player" is from Saudi Arabia. He has business contacts with Prince of Saudi Arabia.

Do I need to advertise anything?

Just sharing true example I have.

Sniemiec · Dec 18, 2008

Quote from TraderZones:

Precisely. That is what I said a few posts back. It is about an edge and money management. Psychology and all the other fluff do not overcome the house advantage

He lost me, when he tried to get the moderator to move some of the responses after his first 8-10 posts, so he could pontificate without interruption.

Many words, little value.

Feel free to post your P&L. Put up or shut up, as it were.