Why Is The Obvious Not So Obvious?
- Thread starter nysestocks
- Start date
You did a lot better than me. After about 70 pages, I still could not figure out what was obvious so I gave up reading.
MrScalper,
You actually sounded a lot like nysestocks!
What I got out of this after reading over 70 pages are:
1. Trading is easy if you know the obvious.
2. The obvious, whatever it is, is not obvious to us amateur mom and pop retail type.
3. Therefore, don't follow us, we are the ones supplying $/profits to the elite traders.
4. TA is just mumbo jumbo.
5. Trading is like gambling, so trade to get a number of small wins instead of swinging for the fence.
6. Trade small so to avoid the chance of wipeout.
7. Make sure BLASH, SHABL are the majority of your trade.
8. Entry is a lot more important than exit. Hard to profit if your entry is wrong.
Actually, except for the obvious, everything else make a lot of sense to me.
Regards,
p.s., _eug_, If you don't agree or can think of anything else please chime in.
OH damm, I did not expect to be right this fast... we sure did break thru that 2430 and go test 2416.... HMMM let's see if we break down to 2400 and get a bounce? already ES is down 5 points from the regular session close, I will be watching over night. But today was a gift froom the trading gods... I love the short side, I always have
MrScalper,
You actually sounded a lot like nysestocks!
What I got out of this after reading over 70 pages are:
1. Trading is easy if you know the obvious.
Yes
2. The obvious, whatever it is, is not obvious to us amateur mom and pop retail type.
Not necessarily..it is obvious to any person that understands and uses it
3. Therefore, don't follow us, we are the ones supplying $/profits to the elite traders.
More mumbo jumbo talk..what is IS..it is up to each individual to understand what is best for them..many will never do so as they are easily led by others..BIG mistake
4. TA is just mumbo jumbo.
Most of what is written in text books is..all it does is keeps you from acting and reacting to what is actually happening
5. Trading is like gambling, so trade to get a number of small wins instead of swinging for the fence.
No..the best way to trade is to trade the here and now and what you see developing in front of you..wishing and hoping will really get you nowhere in this game
6. Trade small so to avoid the chance of wipeout.
Never overtrade..that is the big killer for most..there is nothing wrong with trading larger size when the opportunity presents itself..in fact..it is a requirement in order to maximize on presented opportunities
7. Make sure BLASH, SHABL are the majority of your trade.
The BIG question is how do you know when to BLASH and SHABL..or..to be more precise..when is the best TIME
8. Entry is a lot more important than exit. Hard to profit if your entry is wrong.
Yes..if you perfect your entries so that price moves in your favor soon after entry..you are automatically reducing your risk on every trade..that is the essence of good and effective trading
Actually, except for the obvious, everything else make a lot of sense to me.
You actually know what the obvious is..you just have not realized it yet
Regards,
p.s., _eug_, If you don't agree or can think of anything else please chime in.
I sound like a lot of people..have even been called Mr Surf by some people
Many moons ago I posted many charts with "exact" targets hit..I actually thought that I had it cracked and started to pile up the $$ in the account..THEN..I got cocky..and instead of making around $20k in a month I wanted to make $50K..so..I started to OVERTRADE !!!
I soon got my first introduction to my first big loss..lost over $9k on ES options over 1 weekend..this was just the start..my next loss was over double that..my third loss was not as bad..bout $8K..and then..I siad to myself..right..time to STOP
As soon as I stopped overtrading (trying to make lots of money by opening too many positions at the same time) the small profits started again. What I discovered was that I really knew nothing about options trading and had just got a lucky streak for a good while..and when I really needed to know about adjusting positions and re-balancing the numbers I had neither the experience or the expertise!
It was a costly..but a very enlightening experience..for it opened my mind to what is now very obvious..but which I could not for the sake of me understand beforehand..no matter how hard I tried!
I found an old scrapbook from when one my children was a toddler..in it was a small picture of a clown..half colored in with crayons..I cut out the picture and stuck it onto my laptop next to the keyboard..and I left it there for many years..to this day..I still have that old laptop in my garage with the clown picture still stuck on to it..I plan to never have to take it out again
oh yes MrScalper... I too had to learn the same lesson. When I started to trade the E-Mini I was trading like a crack addict! sometimes as much as 20 trades per day, average was about 12 ! Blew that account up pretty fast. STUPID. now I execute 4.5 trades per day and things are much more controlled and I do not feel out of control.