The Tao of Minimalistic Trading: $300 Daily Profit

Stewie said:
Although you are totally correct, I think that schizo is far too experienced. You see, this journal was about showing how its possible to be profitable most days with just a few things. But outside of this journal, I'm fairly certain schizo is doing much more, but who knows more of what.

My point is that although you're right that he is breaking a rule he posted, the fact that a trade sets up is the bigger factor. Having a daily loss limit is usually for new traders, in my opinion, who might keep going when they are doing things wrong, so its a way to put on the brakes. But when you're so experienced, you know that any edge might have 3 losses in a row, maybe even 5, and none of this affects anything long term. Its almost unfortunate to stop trading after a few losses because once whatever area is cleared, another opportunity may present itself. The market after all knows nothing about your entries or your losses.

Now here is the kicker though. You have to have mastered yourself and your trading for this to work. So in the scope of the firm rules of this journal, you are right that he is breaking rules, but in the bigger scope of trading, I think he is more than aware of what he is doing and fully in control. If you saw him adding to losers, if you saw him doubling his size after a loss, etc., these might be things to make you pause. But he is simply taking trades as he seems them and often even says he doesn't look at the PnL until he is done... which to me shows extreme experience and discipline.
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Can't disagree more in your analysis. This is not professional trading. Breaking rules left and right.
 
onemoreshot said:
Can't disagree more in your analysis. This is not professional trading. Breaking rules left and right.
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Ok... so put another way, he is breaking the rules he set out in the journal, but he is putting more money into his account. I think is primary focus is on money, while showing how this can be done along the way. If his income depended on sticking to the rules of the journal that he set out on day one, I think he would be more stringent. But ultimately, the PnL to me is the best indicator of all of trader edge, discipline, skill, experience, etc.
 
onemoreshot said:
I believe focus should be on process and following your rules and the PL will come.
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I agree with you 100%, but when you know what you're doing, the fact that trading is part art and part science can make you be a bit more flexible. You've gotta remember, schizo isn't doing this journal as a struggling trader trying to get ahead, who your advice is perfect for. He's doing this journal to show the ET community. If you want to call this a day of -6 points since he should have stopped for proper stats, then go for it. But I certainly wouldn't hold this against him.
 
schizo said:
short 19.75

Edit:
SL 21.75
PT 12.50
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Stopped out 21.75

Had to run so obviously missed the rally. But that's life. You just can't always get what you want. Was the Rolling Stones or Bowie. Poor Bowie RIP, I loved the man. :(
 
onemoreshot said:
Can't disagree more in your analysis. This is not professional trading. Breaking rules left and right.
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I just crunched the numbers. It appears that I've never crossed the daily loss limit of 6 points. Even though I had a few losers, there were also winners in between that mitigated the total drawdown. So what was the biggest account drawdown? -3.50 points. That means I still had 2.50 point cushion. Luckily, I made 9.50 points on the next trade.

Hence, your otherwise sound point is completely moot since no rule was broken on my point.
 
jimmiebarton said:
sciz is barely profitable:rolleyes:
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Is there any chance you can go and troll somewhere else?
All you seem to do, (under this username and your previous one) is ruin the better threads.
I don't understand why schizo hasn't put you on ignore so that you can no longer post in his thread. Since he posted on the ES journal, I know that he was already well aware of your nonsense
 
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