Is it that simple to follow "simple" trading rules?

Discussion in 'Trading' started by Liberty Market Investment, Sep 16, 2020.

  1. It doesnt matter if the end result of your learning process is a system, skills, a healthy body, driving skills...
    But if you did it your own way, if you are the engineer behind your success, it will be so much harder to take it away again from you. You will not only have results, but you will UNDERSTAND those results, and the mechanics behind them. I totally agree with you, expiated. It is a whole different level.
     
    #11     Sep 17, 2020
    eternaldelight and ffs1001 like this.
  2. traider

    traider

    Because trading is not simple.
    Simple rules usually don't work otherwise everyone will be billionaires
     
    #12     Sep 17, 2020
    rb7 likes this.
  3. smallfil

    smallfil

    We are all human, have emotions, will react to outside stimuli in various ways. At some point in life, you make bad decisions. And when you make bad decisions, you have to suffer the consequences. I ignored my stop losses in this last, deep market pullback. Had I stuck to respecting the stop losses, I would have lost $2,000 instead, I am looking at $4,000-$5,000 in losses now. On the plus side, it is coming from profits I have been accumulating since, January 2020. Up until July 2020, I was making monies. August 2020, I had a small loss and September 2020 was the worst because I let a small loss turn into a large loss. So, I wasted maybe, $2,000-$3,000 trading capital by losing it in the market instead, of keeping it in my pockets. Moving on, we cannot dwell on past mistakes. It is over and done with. Focus on those rules and stick to it.
     
    #13     Sep 17, 2020
  4. deaddog

    deaddog

    Or is it possible that everyone isn't billionaires because they can't or won't follow simple rules.
     
    #14     Sep 17, 2020
    dennis86 likes this.
  5. traider

    traider

    Machines follow simple rules. Anyone who has a trading program should have billions if your logic is applied
     
    #15     Sep 17, 2020
  6. deaddog

    deaddog

    Billions is probably an unreasonable expectation. Do you know anyone with a trading program that isn't making money?

    We are all concerned about trading against algos and bots, I wonder why?
     
    #16     Sep 17, 2020
    yc47ib likes this.
  7. VEGASDESERT

    VEGASDESERT

    simple generally doesn't work.

    if it did, you would pay a programmer to code something up for a couple
    grand, and create your own atm machine.

    the market is dynamic so needs constant adapting.

    thats why people cant follow rules.
     
    #17     Sep 17, 2020
    yc47ib and eternaldelight like this.
  8. smallfil

    smallfil

    Victor Sperandeo said it best, if you follow your rules 80% of the time, you will be okay. Nobody expects perfection and even the top traders have their moments when, they go against their own rules and pay dearly. You will make mistakes is a given and this is still a game of percentages and if you have the percentages in your favor, you will be fine. Just like the Las Vegas casinos do not sweat it when one of their whales wager $1,000,000 and wins $5,000,000 for instance. They know eventually, over the coming days, they will get back that $5,000,000 and millions more on top of that of the whale's monies. The odds favor the Las Vegas casino, that is why.
     
    #18     Sep 17, 2020
    murray t turtle likes this.
  9. That was a detailed & insightful way to articulate it, thanks!
     
    #19     Sep 17, 2020
  10. I have no idea or interest in whom I am 'trading against'. It's a market and one person's buy is another person's sell for reasons unknown. Be interesting to see what happens when real traders take a day off and let the machines go nuts
     
    #20     Sep 19, 2020
    murray t turtle likes this.