please, post your account to verify this truth. psychology is not the answer to trading success. mark douglas quit, he is writiing book to make living, does he trade to make a living? obviously he is a loser in trading. only those naive thinks he is the answer, he is jerk in trading, in psychology analysis he may have some knowledge, but not scientific knowlwege. trading is a very logic science. I trade based on three physics laws: law one: if an object moves in one direction, if no outside resistance inlvolved, the object will continue to move in that direction. I have a friend, he told me BAC is so cheap, he keep buying when it is dropping, today he called me again, ask me whether he should buy more, I told him this pysyics law, he emotionally answered "no, it could not go lower". gravity law: all high fly will finally fall because of gravity, but those drop to ground may never fly again. probabilty law: a double bottom has its statistic distribution, do you know what is? one of my church friend asked me about buying RENN, he thought it was cheap, at that time, it was at 4.5, he told he already bought 3kshares and plan to sell it at 10, I did not know about RENN, so he used his phone to show the chart, when I looked at it, I asked "is 4.5 to 10 farther than 4.5 to 3.0 ?", he said yes. then I asked him again " in prabibilty 4.5 to 10 will most likely to happen than 4.5 to 3.0?", he hesistated, he become emoptional and answered "not sure". even you do not know advanced math, common sense will easily give the correct answer: the chance of 4.5 to 10 is far less than 4.5 to 3.0! that is why those pychologist are losers, they do not follow science!
just a reminder, I shorted RENN just yesterday. that friend tiped me this trade in an ironic way. he bought, i sold.
I agree. The answer to trading success is to develop the ability to intuitively read price action. Once you have acquired that rare skill mastering trading psychology is the next step.
You're misusing the statement that trading is a psychological game via you implying that the psychological aspects of trading is the only thing you need and that you should ignore all other aspects of a trading plan (e.g. money management, proper capitalization, proper trading tools, proper equipment, proper trading environment, good trade method research et cetera). Simply, when ever you see that statement by traders about the psychological aspects of trading...those saying it are not saying that trading is 100% psychological and nothing else matters as you're statement implies. In contrast, their statement is that if you're a discretionary trader (someone not using automation trading), your psychological state while trading will have an impact on your trading results. Thus, it's an important aspect of a trading plan...that's the statement. Therefore, if you have the best trade psychology...you will still lose money while trading if you do not have proper money management, proper capitalization, proper trading tools, good trade method and all those other things that's part of a well designed trading plan. Good trading psychology as a discretionary trader was not intended nor stated as a surrogate mother of everything else. Thus, you're misreading the statement by those that say trading psychology is important. If you're a discretionary trader (someone not using automation trading), trading psychology is just a piece of the puzzle and not the entire puzzle. Therefore, relax and you don't need to become a clinical psychologist to be a good trader. Yet, you do need to understand that it is a very useful and very important aspect of a discretionary traders trading plan.
Successful trading is an unnatural business, mind control is very important. Of course it is not 100% the answer you also need a good method of trading. But if you do have a good method of trading the markets and are still not making money with it then the likely hood is something is mentally messing you up. Some traders think they have a good method (when in fact they dont) and when they dont make money they blame the mental side. However they are kidding themselves as no amount of mental control will turn a profit for them. But lets say a trader has a system that averages 50% returns a year and never loses or draw downs more than 20% in anyone year. That is a good system by most standards. Most people will fail to trade that kind of system successfully due to all the mental biases we all have related to risk taking and loss taking etc
orcl crushed AH. 100 lot put 29 dec. 23 at 0.63, tommorrow it will be woth more. still hold my short on RENN. do you think it is a blind gambling. absolutely not.