Quote from jack hershey:
I had to leave for a while and when I returned to complete the post the post had timed out, so it was lost.
A is compounding
B is applying the differentiated mind.
Their product, C, is the wealth you build.
Inital capital cannot be anything but smallest. for commodities it is 1 contract. For other intruments it is one round lot applied to four streams of capital. Cpompounding the profits is the most powerful tool.
To make 60K a year you earn 5,000 a month which is 250 dollars a day.
Divide the 1 contract point value into 250 and you see this is a portion of the ATR.
To see what is possible then use 3x to 6x the ATR to get the annual income with one contract.
For a no slippage partial fill regime use 250 contracts to do calculations on compounding.
What slows compounding down is giving money to others for problem solving. there is no limit to this opportunity.
the objective is to move from one intial contract to 250 contracts.
Component B is how you get to a multiple of ATR by beginning with a fraction of ATR.
Lets look at both sides of the coin for component B.
0perating effectively and efficiently has requirements.
When you discover the the identiy of a trend end and a trend beginning, you are in the final stretch of becoming expert. This is the Failure To Traverse (FTT) from right to left.
By then you know when H1 and H2 are used and you know dominant and non dominant moves.
You know that a cycle is two moves and a tend is three moves and you KNOW they are on different adjacent fractals.
You are very far away from using rule sets to trade; you use your mind to read the market instead by incorporating nonstationarity windows, OOE, WMCN and WWT.
At some point, you change from FTT to FTT trading to point to point trading.
You complete the transition from 1 contract to 250 contracts.
Your bootcamp days were just like in the military. your weapon is the fully differentiated mind and ammo is in the form of FTT's and then annotated points.
You team with the market and do your part and not the market's part. you have MADA and NOT OODA and betting.
Monitoring gives you an information set. It automatically, one-on-one matches with the analysis finite set. You decide to hold or reverse. You take timely action to carve the turns.
The non secret ingredient is the time you have to log each and every event in the passing of RTH's.
It takes about 5 or 6 rows perbar of logging. Note the countdown from 300 seconds to 0 seconds. All trades are within bars. Each column has a glossary which is defined in binary terms. The binary terms are vectors in terms of the RTL and LTL.
There is no probability and certainty in its place, no noise and precition to the tick in its place and no anomalies (all it orderly and interlocking).
