Your decision or someone else's ?

B

Bono

I know the one sure thing we all have in common is that we're all traders. My question is, do you trade based on your own decisions/analysis, or do you reply on somebody else's work ?

I, for instance, have never ever relied on someone else's tips, and I'm not so sure whether this is good or bad. I do read/listen to others, yet I've never followed their advice. Your feedback here is also appreciated.
 
for example someone following a trading system he bought somewhere without understanding what it does in detail can be successful as long the markets behavior is regular. But markets are never this way forever... and the that's where the human brain makes the difference and all those followers loose and get wiped out of the game.

you can project this example into everything... even the regular investment. As long a market trends upwards everyone makes money. But when the behavior changes only the pros are able to stay in the game.
 
basically I agree ... but the software could generate hundreds of signals ... and then you filtrate them to pick what's best for you ... in which case it's your decision I guess ...

maybe we should split the case between, human assistance and computer assistance ... and I guess since you took the time to search and decide on which package to buy .. it remains your decision.
 
well... if some trader takes assistance of a computer programmed system or another human then it can be a part of the trading edge. But when someone just relies 100% on someone else or something else(a programed system) this can only fail over the long term.
Trading systems is ok... but being able to manage these systems requires a lot of knowledge and experience. same goes for all other kinds of trading....
 
It may sound odd, but feel that we can only teach people "about trading" ...not "how to trade"....since there is no way to do it (it's been tried for years). Learning how trading works makes it so much simpler, and easier for the new people who are coming into this rather "cold."

Don't get me wrong, there is so much to teach, and so little time (as they say) just about the very basics of trading that it requires continual follow up training (continuing education if you will).

It just doesn't make sense to listen to the guy at the "horse track" tell you about his "picks" for the day, and the same thing applies to trading. You need to follow your own stocks, learn how they trade, and profit from your time and experience.

Good Luck!1

Don
 
I came up with the idea that teaching others "how to trade" can only be done when they go face to face with the market. My idea is to give a beginning trader a simple trendfollowing system combined with some basic knowledge in TA and what indicators measure. Then they should stick to the system and by and by some knowledge (the "about trading" information) will be added. Technical, Fundamental, Psychological, etc. Knowledge.

So they can get to know the markets in the emotional way and the basic elements for trading: probability, position sizing, cutting losses... and they see that fear and greed is much more powerful than they thought it is. And from that point teaching "about trading" is much more effective.

an idea...

Don, what is your opinion on that?
 
let me re-phrase and put it this way ... do you go analyse charts or read fundamental reports yourself, then plan your trade ? Or do you : 1) listen to someone else (who had already done that), 2) get it from a website, or 3) from your broker ? before planning your trade ?

Let's forget about trade planning, trading tactics and discipline for now ... that surely is something which one learns from the market ... i.e. that's experience.
 
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