Brand new traders..........read this

Discussion in 'Psychology' started by lilduckling, Jul 10, 2005.

  1. If the writer is Mark Douglas (and I think it is) he's not concerned about ego (a misunderstood and maligned beast) but simply about our beliefs and our conditioned responses (primarily the former).

    I think that he would say that if ES hadn't received a terminating signal on his edge then to exit was an Error.

    I am currently working thru TITZ in my continual improvement efforts and exiting a trade early, without a terminating signal, is a classic example of not truly believing that trading is a statistical game. Chapters 6 and 7 address this area. You must relax and let the probabilities (your edges) play out.
     
    #121     Feb 18, 2007
  2. ak15

    ak15

    It is not Mark Douglas. Please go back and read my post where I mentioned that it was an article I came across. This concept is very different from Douglas.
     
    #122     Feb 18, 2007
  3. omniscient

    omniscient Guest

    fwiw, the excerpt ak posted is from an article by Edward Allen Toppel.
     
    #123     Feb 18, 2007
  4. ak15

    ak15

    Spot on. Thanks omniscient.
     
    #124     Feb 18, 2007
  5. you're welcome ES! :)
     
    #125     Feb 19, 2007
  6. bump! :cool:
     
    #126     Aug 28, 2007
  7. Thanks for bumping up the thread. This is gold.
     
    #127     Aug 28, 2007
  8. topmo

    topmo

    yes, thanks for the bump.................caught sight of this post this am. I needed this review. Have been away from trading short term since 02. Been "investing", with not much in-and-out- action, just watching how the funds perform.........doing OK....9-20%/yr.
    Starting back into day trades or short term swing trades. Forgot a little, some of the "knowledge" is coming back. (How I love trading!! What a life......I enjoy the posts... so I can dream, plan, shoot for the 2-3% gains a week!!! heheheh)
    I enjoy the positive comments and the hopefully helpful comments. Sometimes I really do not like the extreme negativity and the "I'm the greatest trader in the world and everything everyone else says is wrong!!" posts. One thing I do remember from past experiences is that as soon as I leave my comfort zone and "my simple, effective way of trading and start getting greedy and looking for faster, greater, profits, and follow someone else's idea of how to trade or when I start thinking I KNOW THESE MARKETS and I'm the greatest! WHAMMYYY!!
    For me, money management is very important, being patient, not overtrading, KISS, and "trading" my way. And I hope to always keep learning.......
    Thanks again ducky for the post and all the contributers, also.
    Aren't we here to help each other and to learn from one another? And if we can make a little money along the way, so much the better.
     
    #128     Aug 29, 2007
  9. Trading is the exact antithesis of human nature.
     
    #129     Aug 30, 2007
  10. Gyles

    Gyles

    An interesting thread with good posts, Congratulations, Lilduckling, you seemed to have hit the hammer in the head and found the real secret to winning and influencing people by writing what has turned out to be the most desired topic

    Trading is a bitter-sweet pill and there are some facts, one should know of it as quoted below:

    “Trading is a way of taking money from many people and giving it to a few.”

    In fact, you need to approach trading with this in mind, and the surprising fact is as follows:

    "The majority of newsletters surveyed by Investors Intelligence seem to be greedy when they should be scared and scared when they should be greedy."

    So, the above means when a situation I the market is such that 80% investors think that it is going up, while 20% think the other way. The 20% are right and 80% are wrong, and that almost always.
     
    #130     Sep 7, 2007