Psychological Journal

[Pension_Admin]

7 trades were placed last night. 1 win, 1 broke-even, and 5 losses. I am perfectly fine.

I will just enjoy the weekend like nothing happened and start off fresh next week.

Pension_Admin

 

[Pension_Admin]

http://www.youtube.com/watch?v=CNB1EUJg1-w

 

[nutmeg]

Quote from Pension_Admin:

7 trades were placed last night. 1 win, 1 broke-even, and 5 losses. I am perfectly fine.

I will just enjoy the weekend like nothing happened and start off fresh next week.

Pension_Admin

No disrespect PA, but I had designed the "7 trade" system after perfecting the "6 trade" which I'll explain further in a moment. The advantage of trading an "odd" number, is the "odd trade" is the "win" factor.

For example, in my "6 trade" system. 3 trades would show a profit, 3 with losses, the first day (holding all positions for 3 day set-ups, I also perfected). Let's review, the first day 3w 3L. The second day, the three that went up the first day, retraced and now were losers but the three losers from the prior day went up for a profit.

On day three of target exit.
The three losers remained losers, the three that had gains on day 2, had retraced and were now losers. The entire postion was under water.

Day 1) 3W - 3L = even money
Day 2) 3L - 3W = even money
day 3) 6L = Exit

As you can see, after much research, I realized my elementary mistake, I need the "7th" trade

 

[Pension_Admin]

Quote from nutmeg:

No disrespect PA, but I had designed the "7 trade" system after perfecting the "6 trade" which I'll explain further in a moment. The advantage of trading an "odd" number, is the "odd trade" is the "win" factor.

For example, in my "6 trade" system. 3 trades would show a profit, 3 with losses, the first day (holding all positions for 3 day set-ups, I also perfected). Let's review, the first day 3w 3L. The second day, the three that went up the first day, retraced and now were losers but the three losers from the prior day went up for a profit.

On day three of target exit.
The three losers remained losers, the three that had gains on day 2, had retraced and were now losers. The entire postion was under water.

Day 1) 3W - 3L = even money
Day 2) 3L - 3W = even money
day 3) 6L = Exit

As you can see, after much research, I realized my elementary mistake, I need the "7th" trade

Hi nutmeg,

Thank you for your posting and for your concern regarding the exit and trailing stop rule in my system.

I have multiple profit targets in which the first profit target tells me when I could raise my stop to break-even. The rest of the profit targets tell me when I should trail my stops and when I should add on to the position (of course, price action will then come into play)

I keep track of all my trades to see if they either, go straight up, go straight down, or head to one direction and then retrace.

Unfortunately/fortunately, of all those 5 losing trades, all of them just shot through my stop loss and went further down. None of them were even close to my first profit target. This is fine, because:

1) My SL's were effective
2) In the market anything could happen. It could have easily gone to other way and shot through my final profit target. I just have to wait until my luck comes

For the odd number trade that I utilize, it really has no underlying concept in it.

Thanks again for your posting.


Pension_Admin

 

[Pension_Admin]

Right now, it is Saturday afternoon. I know I should go out and do something to achieve a balance life but instead I am going through some of the archives in this board. I think I am really addicted to learning about trading. It is very enjoyable to learn about different systems, concepts and thinking, and how our minds have changed over time.

Pension_Admin

 

[jaronimo]

Quote from Pension_Admin:

Right now, it is Saturday afternoon. I know I should go out and do something to achieve a balance life but instead I am going through some of the archives in this board. I think I am really addicted to learning about trading. It is very enjoyable to learn about different systems, concepts and thinking, and how our minds have changed over time.

Pension_Admin

Worry about balance in your life AFTER you are consistently profitable.

ps: I have plenty of balance in my life, its over-rated.

 

[Vienna]

Quote from Pension_Admin:



BTW: I am just curious: Does Jack really speak like this in person?

Pension_Admin

Have no idea, never met the man. I know he is considered obtuse or enigmatic, but I still find him amazing... don't trade like him (I don't use channels to determine potential turning points), know next to nothing about SCT, but this man has a much bigger perspective than most people. Who cares if you have to read twice or between the lines. The parts I do understand I like very much. Just my personal opinion, don't want to make this about Jack. My point was that the low risk trades are retracements in the direction of the trend, because you get great R/R. Even Douglas wrote about this.

Last hint: Entering your orders in the morning and going to work can be great as long as you have a clear edge. No chance of your mind interfering once you made a decision.

 

[nkhoi]

Quote from Pension_Admin:

I..

BTW: I am just curious: Does Jack really speak like this in person?

Pension_Admin

no

Quote from Pension_Admin:

Right now, it is Saturday afternoon. I know I should go out and do something to achieve a balance life but instead I am going through some of the archives in this board. I think I am really addicted to learning about trading. It is very enjoyable to learn about different systems, concepts and thinking, and how our minds have changed over time.

Pension_Admin

welcome to da club.

 

[nutmeg]

Quote from Pension_Admin:

Right now, it is Saturday afternoon. I know I should go out and do something to achieve a balance life but instead I am going through some of the archives in this board. I think I am really addicted to learning about trading. It is very enjoyable to learn about different systems, concepts and thinking, and how our minds have changed over time.

Pension_Admin

I hope you're not apologizing or feeling guilty. Regardless of the results of your trading, studying the markets requires a person to think, the markets have a way of teaching you about yourself, self discovery, which is an asset.

 

[Pension_Admin]

Quote from nutmeg:

I hope you're not apologizing or feeling guilty. Regardless of the results of your trading, studying the markets requires a person to think, the markets have a way of teaching you about yourself, self discovery, which is an asset.

I am not feeling apologetic nor feeling guilty, but if I did offend anyone, please let me know, since I am not well schooled in interpersonal skills and forum etiquette.

So far my result is below par, but my account balance is still in good shape. It's only down by 3 trade-equivalent-amount----way better than when I was making the decision.

From looking at some of the old ET archives, I know my logic and my concepts used to develop this system is sound. I will continue to use this system, collect enough sample size, before admitting failure. If indeed, this system is a failure, then I will have to figure out the underlying weakness first before I toss it out. I know in order for me to improve as a trader, I need to learn the underlying concepts and not just from the result.

Pension_Admin