-Trading mistakes-

[maxpi]

Quote from Algorithm:



Read somewhere about Steve Cohen where he said he hires his traders to trade their specialty in a concentrated area and has many traders. Stick with what you know and concentrate on it.

That is straight out of the Art of War. The author there said to not put too much responsibility on any one soldier, to instead give each one just a small responsibility and make sure he knows how to perform it.

 

[Pabst]

Quote from steveosborne:

- averaging down;
- revenge trading;
- keeping a position while "hoping" that things will turn around somehow;
- rushing in a trade with the fear of missing out on an opportunity.

Are you my alter ego, Steve?

 

[steveosborne]

LOL. That's what I think when I read your posts in Chit Chat (everything besides 9-11).

 

[golablue]

Biggest mistake I made was using stops that were tighter than a nun.

Sometimes being too conservative is just as deadly as being too loose.......

 

[knifecatcher]

My biggest mistake is not learning from my mistakes.

 

[steveosborne]

Quote from knifecatcher:

My biggest mistake is not learning from my mistakes.

I thought you were going to say <font color=brown><b>catching a falling knife</b></font>.

 

[ElectricSavant]

How about using proper trade size compared to equity, which should be a microscopic amount and also with an exceptable yield, just to give back half a months profit with one trade...

It takes a professional to be able to sit back down and continue trading....

I took today off and the weekend to beat myself up over it...

This is the hardest Job I have ever had in my life.

Michael B.

 

[knifecatcher]

Quote from steveosborne:

I thought you were going to say <font color=brown><b>catching a falling knife</b></font>.

The trick is when the knife is falling, you have to keep your body moving and make sure if you fail to catch it by a bit, it goes straight to your heart... This way it is a quick death...

 

[knifecatcher]

Quote from ElectricSavant:

How about using proper trade size compared to equity, which should be a microscopic amount and also with an exceptable yield, just to give back half a months profit with one trade...

It takes a professional to be able to sit back down and continue trading....

I took today off and the weekend to beat myself up over it...

This is the hardest Job I have ever had in my life.

Michael B.

Shit happens. Take a small break (go to neutral). You will see new equity high in no time IF YOU CAN PUT IT BEHIND YOU.

 

[steveosborne]

Knowledge of the typical emotions involved is the biggest breakthrough most will realize. The emotions listed on this thread and other threads created for that purpose have the following characteristics:
1. They tend to be universal. Most will relate to the majority of mistakes (made with the wrong state of mind) shared by fellow traders.
2. Even with the all mighty element of luck, profits are almost never realized when one of the classical misleading emotions is involved.

This tells me that <b>we are equipped with a powerful emotional filter</b> that can tell us when we are wrong. Whatever your method is, seek information with which you will trade comfortably. Somehow, refusing to commit any of the classical mistakes will naturally lead you to the information you need to make a <i>beautiful trade</i>. Providing you're passionate enough.