This is my first journal so bear with me
Please print all pages and number them
Punch into a three ring binder
Somehow everything will work out
I will make an topical index as we go along
this is the second post of the thread
Lets merge all the work everyone is doing. For convenience I will post this as if a person just strumbled into the thread and wants to catchup fast.
Post # 1 scopes and bounds our efforts. We are going to be making money by using a simple system in a partnership with the market. So here is the plan from the top down.
Work is done to build our minds.
We learn by doing drills. To catch up you cheat and cheat as fast as you can. You do a copycat approach by writing on sheets of paper the work others completed and posted. This is a form of work that is a poor one BUT it will work for you if you think as you do the cheating.
We are learners. You found out in school that all you did to learn was do drills. Drills build the long trem memory of the mind. 5 x 5 is easy for you to do . you remember the product from the multiplication table. The mind needs tables to trade., You will do drills to have the tables in your mind. This creates a working vocabulary.
We treat the market and the trader as a combination of two systems. You are a system; the market is a system.
A system is three things: a structure; a process within the structure and the results outputted from the process within the structure.
Te structure is composed of parts. we put the parts together to form a Lego type structure. The process is several entwined Orders of Events. read the last five posts to see the flavor of OOE's appearing. The results come from the market/trader partnership whereby profit segments are taken as the system operates and the MADA routine is done.
The first 8 drills provide the foundation.
We did a drill on five charts to discern that the market maks money continually via the concept of price change in a trend. The trend has two ends and a middle.
you prepared a legal agreement to establish the tasks of each partner in the partnership. You established that overstepping the bounds of responsibilities leads to failure. The MADA routine is repeated to make the money the market offers.
In summary, you have found that turns define the ends of trends. A hold/reversal trading technique assures that the full offer of the market is taken segment by segment all during RTH's.
Almost no capital is required to trade. The BP of the ES e-mini is 1 contract to begin. You make 20 points and you have doubled your money roughly speaking. You are required to begin with trading only 1 contract.
The trading cycle permits you to use both types of trends (long and short, alternating) to make money all of the time. OOE's permit you to "anticipate". The independent variable (volume) determines the action of the dependent variable (price). Both exhibit, now known, OOE's.
As the mind is built, a spectrum appears. the infilling process is automatic and controlled automatically by the brain. the brain asks questions it needs answer to infill the spctrum. This process of generating the questions is done as you sleep.
Trading is done by being conscious of your emotions. You sideline when you have emotions of anxiety, fear and anger. you are in the market making money when your emotions precipitate feelings of support, comfort and confidence.
The perception equation applies ccompletely. Perception is a sum of sensing (10%) plus inference (LTM) (90%). Sensing uses three operators: space, shapes and change of shapes). We build the mind (LTM) with drills. You learn price and volume shapes. You learn the OOE's of change of shapes. Your emotions are in place to let you "know you know". If you do not know (unconsciously) you are told unequivacably by signals from below the neck.
This is the state college version of intellect (applied science) and NOT the Ivy League version (theoretical sciences). I can answer both types of questions since we built this designing nad developing the complete theory.
QED.
