Rules/strategy vs. Gut/instinct

Discussion in 'Trading' started by bharley77, Dec 7, 2008.

  1. bharley77

    bharley77

    OK, so i've been watching market movement, charting for 3 yrs. Not very long. I primarily watch ES and have never traded real money, just simulator because i have watched my dad lose over 100k. Most of that in the beginning because of his lack of patience and his bad habits of getting stopped out with a two point stop repetitively. We were given a system 3 years ago from a dear friend of my dad's.

    This guy pulls trades 20+ contracts and makes an absolute fortune consistantly. His father trades 80+ contracts. The difference to me seems to be gut, feel, and instinct of when you enter and exit a trade. Does this just come naturally to some people? I feel it does me, but i've always read and been taught to stick to the rules?


    I was just curious what some of the experienced, profitable traders thought about this? Although you may have a system, strategy, or charting that gives you an entry signal; how much of your trading is based simply on feel? How often do you make a trade without all the rules lining up, because overall you have a great idea of where the market sits, support- resistance, etc and you feel the probability of the trade is in your favor??

    I seem to do very well when I sit calmly, understand price action, volitiliy, etc. and wait patiently for what i FEEL is the right time to enter.

    How often do you stray from your "system" and trade on gut instinct and knowledge? Of course money management being of top priority.

    I am 31yo, use Fibonacci Trader/Esignal, I've been a member for at least 3 yrs, but had to sign up under a new name in order to post in the forums because i never acivated my old account. I have spent at least 200 hours reading these forums in the past but this i my first post.

    Thanks for your replies.