Good risk management and trade management should both be part of a good trading system. Your stockchart is very revealing. In the times, it has broken higher, it is on heavy volume. Take note of that! That information alone will make you monies!
The "Aha" Moment!
- Thread starter Sweet Bobby
- Start date
Good risk management and trade management should both be part of a good trading system. Your stockchart is very revealing. In the times, it has broken higher, it is on heavy volume. Take note of that! That information alone will make you monies!
Strongly disagree with the above statements. You are showing classic "survivor bias". Because your efforts brought you success, you're making the claim that it will work for everyone- but you are overlooking the hordes of dead bodies behind you that also believed their methods would eventually pan out but ultimately failed.
Some things are not just about time but ability. If you don't have the intuition and insight it takes to gain enough market understanding to develop an actual and consistent edge, you won't succeed.
You have to weigh the time put into learning how to trade well with the time you could be putting in working on another business venture or corporate 9-5 work. We can't do everything and have to pick and choose where to spend our time capital- that is the opportunity cost in giving up what we could be doing in favor of something else.
A smart person will assess their progress in learning how to trade and make decisions on if it's worth continuing, or moving on to greener pastures. To believe that success is guaranteed to come eventually with just perseverance and hard work is foolhardy and a recipe for disaster if you waste your best years on a losing venture.
What makes trading such a hard grind is that you could be "close" but still not have a true edge, and you have to make hard decisions on whether to continue or move on, knowing your life and opportunity clock is ticking.
Exactly.
I strongly disagree with your statement. Amateurish rebuttal at best.
Capital preservation is the key to be in the game.
Successful traders/investors are hardworking. Not all hardworking ones are successful.
IF a model aka system can prediction the future with certainty, then those with vast technical resource win.
Somehow, the market just have the canny ability to keep the winners to within 1 or 2 out of 10. With the vast knowledge of traders or investors, why wouldn't the winners be 3 ..4.. or 5 out of 10 ? If trading or investing is business, then GE too is out of the DOW index. Every dog has its day.
Successful traders/investors are hardworking. Not all hardworking ones are successful.
IF a model aka system can prediction the future with certainty, then those with vast technical resource win.
Somehow, the market just have the canny ability to keep the winners to within 1 or 2 out of 10. With the vast knowledge of traders or investors, why wouldn't the winners be 3 ..4.. or 5 out of 10 ? If trading or investing is business, then GE too is out of the DOW index. Every dog has its day.
Perfect description of reality.
I daytrade and read that over 90% never make it. I am sure many of them work hard and long. Why do over 90% fail? That is explained perfectly in your posting.
Developing a profitable system is a form of research. All over the world people do research in all areas, and only every now and then this leads to a success. Most research leads to nothing but costs and lost of time. The same applies for (wannabe) traders. Research is very expensive just because only a small part of it will ever generate money, while the major part consists of failures. The failed party is paid by the income generated from the few success stories.
For a trader the situation is however completely different:
- he is alone
- he has only 1 project, so it is all or nothing
- there is no money generated anywhere to sponsor his research and failures
- at the same time he gets older and older and might end up with a lost life...
Yeh it's a nice phase the last two weeks or so, I wish it was like that all the time.
Very uplifting to know there is hope for us if we don't give up. You sounded just like MrScalper. And so we don't know anything, what are we to do?
Yes and while age brings experience it also brings with it a lack of energy and a slowing mind.
Now if the experience could be passed down to the next generation for them to pick up the baton that would be fine, but by and large, retail type traders are an insular bunch enclaved in their own world.
May I ask why your profile is seeing up like this? I understand privacy and I can understand "free advertising," but selective targeting?