They say you can't trade if working under stress. Which is not true. When one (me) has a losing year, it forces one to reevaluate methods. The stress becomes a driver to improve.
The idea that "needing the money" or achieving a monetary goal is detrimental is also BS. I needed to meet a goal after paying for a RE-call option and hit it in 18 months. People are built differently. Some need stress and others can't trade under stress.
Yup, never allow stress to stop you from trading unless it were something traumatic in the middle of the day. Stress is like fire, it purifies the mind. Pain is a good teacher.
Who's the great Trader who said that to become a great Trader you need to be able switch off outside distractions even if your Wife said she was leaving you that Morning. How many people here could concentrate on Trading if their Family said they were leaving. Some things are more important - Trading gets priority, right!
well now it's live on the net for all to see. if you need money forget trading it will do the opposite of give you money. trading is a sport - that may pay or may not.
Most traders are looking for consistency of profits. Like I said before a trader needs to have a trading method with a Sharpe ratio well above 2 to be able to make profits consistently. Otherwise profits arrive in lumps, feast and famine. Which is how my profits arrive. You need at a minimum Rentec medallion level of performance, 85% winning months, Sharpe ratio just above 2 in their case. If you want consistent profits like they generate. I always use Rentec medallion as an example as they have a public track record that good, no one else seems to have a public track record that good going back decades. Option sellers like Victor Niderhoffer had a high monthly win % selling options but he blew up, so a high monthly win rate has to be via a method that won't blow up. I guess there are retail traders out there with long term Sharpe ratios of well above 2.0. But public track records for those traders?
Good Evening Businessman, Thank you for the response. I always appreciate your comments on trading. See my comments in red
>Or do you mean, I should always be position sizing as my equity curve goes 45 degrees? If you want to make big profits fast, always size up as you make profitable trades, you never know when the next hot streak is going to start. Your latest winning trade could be the start of a long one. Or do you mean, both? > When your luck is out then scale down and bet small. I do not understand this, please explain? I mean if you hit a good period and run your 5K account to 50K by scaling up your lot size, then if your account drops below 40K or 35K, you might want to go back to trading smaller lot sizes. Otherwise you risk giving the whole lot back. >The only example I can think of market condition wise was 2020 and 2022. Yes that was good period, but during other years there can be good periods as well. The last six months of last year was very good to me. Maybe it was election volatility.