of being right all the time, its a question of being more
profitable when you are right, than when you are wrong. Then you
only have to be right half of the time to make money, which puts
the law of averages on your side.
That was one of the most difficult lessons I ever learned, and I
still have difficulty applying it.
I think our most formidable enemy sits inside our heads! I've
read a little bit about trading psychology (Brett Steenbarger has
written some exceptionally good articles), but really must read a
lot more. Does anyone else here think that psychology is important,
or can we simply follow trends and apply indicators and be
profitable? As Matt and Steve always say, one mustn't allow
emotions to interfere with one's trading; I still have a way to go
before I have a proper handle on that! Am finding BPT and
invaluable source of help and inspiration. Thanks to everyone
here!
I'm not sure we will ever overcome our emotions entirely when
trading, but having a plan which details where to enter and exit,
how much to apply, and at what risk if it should fail, keeps
emotions under as much control as is required. As long as you are
disciplined.
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DOW 5 min
Posted by isplat on 25th of Sep 2009 at 03:22 pm
flag retest
Nice!
Posted by saturn6 on 25th of Sep 2009 at 03:27 pm
Hehehe,
Posted by isplat on 25th of Sep 2009 at 03:29 pm
thanks Saturn... trying to apply lessons learnt from Ravun!
You just learnt another lesson.
Posted by saturn6 on 25th of Sep 2009 at 03:48 pm
Nothing is guaranteed. But the Fibs can help..
Thanks,
Posted by isplat on 25th of Sep 2009 at 03:54 pm
that's very valuable advice for the future!
$%&/() spike down stopped me out of my AIG long, though... oh well, live to trade another day!
Yup Saturn,
Posted by isplat on 25th of Sep 2009 at 03:50 pm
Mr Market is the boss... does what he likes! :o)
isplat - Its not a question..
Posted by saturn6 on 25th of Sep 2009 at 03:55 pm
of being right all the time, its a question of being more profitable when you are right, than when you are wrong. Then you only have to be right half of the time to make money, which puts the law of averages on your side.
That was one of the most difficult lessons I ever learned, and I still have difficulty applying it.
saturn6 - yes,
Posted by isplat on 25th of Sep 2009 at 04:05 pm
I think our most formidable enemy sits inside our heads! I've read a little bit about trading psychology (Brett Steenbarger has written some exceptionally good articles), but really must read a lot more. Does anyone else here think that psychology is important, or can we simply follow trends and apply indicators and be profitable? As Matt and Steve always say, one mustn't allow emotions to interfere with one's trading; I still have a way to go before I have a proper handle on that! Am finding BPT and invaluable source of help and inspiration. Thanks to everyone here!
As emotional beings..
Posted by saturn6 on 27th of Sep 2009 at 07:00 am
I'm not sure we will ever overcome our emotions entirely when trading, but having a plan which details where to enter and exit, how much to apply, and at what risk if it should fail, keeps emotions under as much control as is required. As long as you are disciplined.