To paraphrase another famous quote (Winston Churchill):
"Using stops is the worst way to trade, except for all the other ways that have been tried from time to time."
The 12 Habitudes of Success
- Thread starter areyoukidding?
- Start date
"Using stops is the worst way to trade, except for all the other ways that have been tried from time to time."
The 12 Habitudes of Succes
Rule #13
The Trend is your Friend.
(You got to be able to find it though)
Rule #13bis
Avoid the Chop.
(If there is no Trend, there is Chop)
Rule #13
The Trend is your Friend.
(You got to be able to find it though)
Rule #13bis
Avoid the Chop.
(If there is no Trend, there is Chop)
and Yes I use stops but only as a tool not a gate keeper. lol
Books give you what you take out of them. Like reading a novel with you are 12 and then when you are 42. Different things will come to mind. That is the power of words.
I rated myself as an assessment. One of the axioms of quality control and process improvement is you can't improve unless you measure..
This was back when I was trading NQ, which BTW lost less than 1/2 % over 2 years including commisions. I moved on since.
Formatting is messed up, but you get the idea.
--Luto
=======================
Be Prepared: Rate 3
Strategically: The System verification
Financially: Funding
Psychologically: Habitudes
Infrastructure: DSL upgrade
Goal and Time Frame: Schedule for weak links
Use Detachment: Rate 5
Disinterested concern: Aloof Interest
Identification: âTrade to take a lot of small gains over timeâ
Focus on Process over daily and weekly results (short & intermediate term)
Detach from the RESULTS of any single trade. (or even daily results).
Create Boundaries between intraday trades and daily results. Between self-ego and results
View from Self, Neutral or opposite
Detach the ego: Donât trade to prove your capabilities or self worth
Anxiety: Signal to prepare, then focus on the successful outcome not the negative.
Detach and Enjoy the game, imagine success.
Willingness to accept Loss: Rate 3
Accept the necessity of some loss.
Never Fear Loss. Accept it.
Cost of Doing Business: Ante up to play.
Your job: Recognize the signal and Act in a timely fashion; Not to know if a winning or losing trade ahead of TIME.
Expect to Win and know that there will be some loss.
Some loss does not include huge losses from reckless trades.
Donât Grow Loss: Not taking a winning trade is a loss, Chase a late entry. Never cannonball-pyramid a losing trade.
Donât Hope for losses to reverse; Donât fear loosing profits and jump out. Follow the indicators. Exit when it says to exit.
Easily Accept Loss; One trade is insignificant; No Resistance to a loss since impossible to know beforehand
Probability is stronger than possibility. Focus on Probability of Target not the possibility of loss.
More Probable to make larger amounts than possible to loose all using system.
Imagine Probability of winning and accept possibility of loss
Lossing trades are feedback not failure. Learn from Feedback
Controlled Risk: Rate 2
Risk is exciting not frightening
Risk is worth Reward
Decide and Act: Embrace Choice and choose to Risk for a reward.
Risk to Win using probabilities
Move in direction of Fear (risk) & expect to Win. (requires Preparation, Practice, Alertness, Awareness & superb Control)
Choose Excitement of the large Win over the Fear of small loss. (fun over anxiety)
Use Judgment and Experience to take controlled Risk
Operate at the upper end Knowledge and Skill: Be Absorbed in the Flow
A Flair for risk, courage and control make a good trader.
Optimize risk with number of trades and entry techniques to maximize profitability.
Thinking in Probabilities: Rate 5
Choose Probabilities over fate, gods, cheering, luck etc.
Rate the Probabilities: Low, Medium, High
Derivative indicators are still probabilities.
Fatalism is highly improbable cause of success or failure.
Probabilities are more than enough.
There are no Certainties in trading.
Thinking in probabilities is better than proving self worth (ego) or being right or wrong.
Comfort with Uncertainty: Rate 3
Accept , Welcome and enjoy uncertainty since it provides opportunity for profit.
Act in a decisively when there is still uncertainty, before it is history.
Allow uncertainty to relieve the need to be right
Donât hesitate because of uncertainty, If you are prepared, take the probability and enter the trade.
Donât be so concerned about being right such that it prevents a PROPER entry.
Following the process is more important then being right.
Follow the process and your reputation is never on the line.
Long Term View: Rate 5
Gain Balance from a long term view. One trade of a thousand more to come.
Correct things that are wrong over time.
Group Trades into 20 blocks. Adjust strategy
Detach from intermediate and current results, IF Process is sound.
Create Boundaries between trades, Boundaries between, Trading and Self
View Draw downs as temporary. A prelude to gains in a process that is sound.
An optimistic view of future enables a realistic view of the present.
Be flexible about current reality.
Learn from the Past, Be optimistic about the Future, Focus and ACT IN THE PRESENT.
Abundance: Rate 4
Market provides abundant, reoccurring opportunities.
Unlimited opportunities and amounts with process.
Partake profits liberally if you earned it.
Setbacks are feedback, Refine trading.
Never Fear missing out and overtrade. Plenty of sound opportunities will occur soon.
Donât Remorse a âNo Fillâ. Wait for next trade. Refine fill methods.
Unlimited amounts available. Systems Largest imaginable profit is insignificant to market.
Break a profit ceiling by giving back to a cause.
Enjoy Wealth and Affirm it. Keep a measured balance.
Never squander an opportunity Treasure Opportunities Trade with reverence to opportunity.
Books give you what you take out of them. Like reading a novel with you are 12 and then when you are 42. Different things will come to mind. That is the power of words.
I rated myself as an assessment. One of the axioms of quality control and process improvement is you can't improve unless you measure..
This was back when I was trading NQ, which BTW lost less than 1/2 % over 2 years including commisions. I moved on since.
Formatting is messed up, but you get the idea.
--Luto
=======================
Be Prepared: Rate 3
Strategically: The System verification
Financially: Funding
Psychologically: Habitudes
Infrastructure: DSL upgrade
Goal and Time Frame: Schedule for weak links
Use Detachment: Rate 5
Disinterested concern: Aloof Interest
Identification: âTrade to take a lot of small gains over timeâ
Focus on Process over daily and weekly results (short & intermediate term)
Detach from the RESULTS of any single trade. (or even daily results).
Create Boundaries between intraday trades and daily results. Between self-ego and results
View from Self, Neutral or opposite
Detach the ego: Donât trade to prove your capabilities or self worth
Anxiety: Signal to prepare, then focus on the successful outcome not the negative.
Detach and Enjoy the game, imagine success.
Willingness to accept Loss: Rate 3
Accept the necessity of some loss.
Never Fear Loss. Accept it.
Cost of Doing Business: Ante up to play.
Your job: Recognize the signal and Act in a timely fashion; Not to know if a winning or losing trade ahead of TIME.
Expect to Win and know that there will be some loss.
Some loss does not include huge losses from reckless trades.
Donât Grow Loss: Not taking a winning trade is a loss, Chase a late entry. Never cannonball-pyramid a losing trade.
Donât Hope for losses to reverse; Donât fear loosing profits and jump out. Follow the indicators. Exit when it says to exit.
Easily Accept Loss; One trade is insignificant; No Resistance to a loss since impossible to know beforehand
Probability is stronger than possibility. Focus on Probability of Target not the possibility of loss.
More Probable to make larger amounts than possible to loose all using system.
Imagine Probability of winning and accept possibility of loss
Lossing trades are feedback not failure. Learn from Feedback
Controlled Risk: Rate 2
Risk is exciting not frightening
Risk is worth Reward
Decide and Act: Embrace Choice and choose to Risk for a reward.
Risk to Win using probabilities
Move in direction of Fear (risk) & expect to Win. (requires Preparation, Practice, Alertness, Awareness & superb Control)
Choose Excitement of the large Win over the Fear of small loss. (fun over anxiety)
Use Judgment and Experience to take controlled Risk
Operate at the upper end Knowledge and Skill: Be Absorbed in the Flow
A Flair for risk, courage and control make a good trader.
Optimize risk with number of trades and entry techniques to maximize profitability.
Thinking in Probabilities: Rate 5
Choose Probabilities over fate, gods, cheering, luck etc.
Rate the Probabilities: Low, Medium, High
Derivative indicators are still probabilities.
Fatalism is highly improbable cause of success or failure.
Probabilities are more than enough.
There are no Certainties in trading.
Thinking in probabilities is better than proving self worth (ego) or being right or wrong.
Comfort with Uncertainty: Rate 3
Accept , Welcome and enjoy uncertainty since it provides opportunity for profit.
Act in a decisively when there is still uncertainty, before it is history.
Allow uncertainty to relieve the need to be right
Donât hesitate because of uncertainty, If you are prepared, take the probability and enter the trade.
Donât be so concerned about being right such that it prevents a PROPER entry.
Following the process is more important then being right.
Follow the process and your reputation is never on the line.
Long Term View: Rate 5
Gain Balance from a long term view. One trade of a thousand more to come.
Correct things that are wrong over time.
Group Trades into 20 blocks. Adjust strategy
Detach from intermediate and current results, IF Process is sound.
Create Boundaries between trades, Boundaries between, Trading and Self
View Draw downs as temporary. A prelude to gains in a process that is sound.
An optimistic view of future enables a realistic view of the present.
Be flexible about current reality.
Learn from the Past, Be optimistic about the Future, Focus and ACT IN THE PRESENT.
Abundance: Rate 4
Market provides abundant, reoccurring opportunities.
Unlimited opportunities and amounts with process.
Partake profits liberally if you earned it.
Setbacks are feedback, Refine trading.
Never Fear missing out and overtrade. Plenty of sound opportunities will occur soon.
Donât Remorse a âNo Fillâ. Wait for next trade. Refine fill methods.
Unlimited amounts available. Systems Largest imaginable profit is insignificant to market.
Break a profit ceiling by giving back to a cause.
Enjoy Wealth and Affirm it. Keep a measured balance.
Never squander an opportunity Treasure Opportunities Trade with reverence to opportunity.