Did you know your right brain(intuition) is several hundred thousand times more powerful than your left brain(logic) ? It's a fact. "Intuition/Discretion is the only advantage that individual traders have which institutions cannot overpower" - Adrienne Toghraie www.tradingontarget.com "Discretionary traders...develop their intuition from a foundation of technical analysis..."... Intuition can be quantified and reliable.." "In fact, it may be the most reliable indicator a trader has..." - Adrienne Toghraie,MNLP,JCH, Bonus Issue 2002, Technical Analysis of stocks & Commodities magazine, P.55 "You have to leave the city of your comfort and go into the wilderness of your intuition. What you'll discover will be wonderful. What you will discover is yourself." - Alan Alda "The only really valuable thing is intuition" - Albert Einstein. "Stop looking for the holy grail ouside of yourself, it is within you" - Sabena.
Sabena, Just for discussion, how does one develop sound intuition without the use of logic? It seems to me that things that I now consider intuition came from situations in the past positive/negative that I now know how to deal with via intuition. If I were presented with a situation that I never had to deal with before, say diffusing a bomb, my only true intuition would come from pulling what I know from the past together to the present. This would require logic. For instance the battery is the power supply and so forth. Ultimately we have to use intuition/instinct to drive our lives or it would take forever to get started each day.
Trdrmac, Logic is located in the left part of your brain intuition in the right part. Both logic and intuition should work together in perfect harmony. The logic part of trading is that you choose a logical entry point, for example buy at support and put in your stoploss at another logical point. Now the art part, based on intuition, based on past experiences is to let the profits run as far as possible.
I have no doubt about the validity of the general thesis of what you are trying to say, however, my right side of my brain tells me that the logic part should be left to the risk mangement in the trade, and leave the getting in to the right side. Just my right side's .02c nitro
Nitro, The entry point of your trade is not that important. It just seems that important because your entry brings you into the world of risk. The father of Robert Tharp has done a study about this and the conclusion was that when choosing a random entry and applying sound risk and trade management, one could make consistent profits.
Sabena: When you jump off your theoretical diving board into the pool of real time trading, you might want to leave behind all of this hypothetical jibberish you pass along as wisdom... The markets are awaiting your 500 lot mini trades and Larry Williams is anxiously awaiting the chosen one...