THIS IS ONE THE WORST POSTS I HAVE READ ON ET. Discretion=emotion. Emotion=Blown Account. Get a strategy that can account for different market conditions. Trade that strategy, rain or shine. If you don't emotions will catch you, not if, but when. I have taken losses that I knew would be losses because my system told me not to get out before a certain point. The benefit? The system kept me in trades that I felt I should take my profits and run, only to turn into a "10 bagger". Get some rules, and stick to them. If you risk blowing your account, Stop. Review your rules. Adjust your rules, then trade your rules. Don't change horses midstream. Best Regards Oddi
See, this is the thing. You will take a series of losses. If you do not know that your system will weather this storm, then you will abandon your system, which will lead to more losses, and worse, you having no idea where you are in the market. You MUST get a system that you know will survive in the times that it was not meant to work in. Or, employ an alternate system. Trending and chopping systems are different. Know when to move from one to the other.
The answer to the opening post of this thread is easy. You are NOT going to make yourself rich trading on discretion. It is NEVER going to happen. If ultimately you are both not savvy enough and not willing enough to make all the effort needed, you will not get to where you need to go. As an individual player you must have a methodology which is accurate. It must nail down all the loose ends. It brings in the points from the huge number of points the markets (CL, YM, ES, etc) offer daily. Therefore to exploit fully a market you have to trade it, Open to Close, buying the upmoves and selling the downmoves sequentially. You are then banging home each day a shitload of points with a very tight and accurate system.
I strongly disagree. There are many reasons why newbie traders fail (e.g. under capitalized, discipline problems, trading environment not suitable et cetera). In fact, I think most traders are not suitable for trading prior to taking that very first trade although I have no facts to support such belief. Mark
I agree and finding a strategy that meets your personal tolerance for risk plays a large part in this theres lots of workable plans out there - but many of them my require you to risk too much capital to be right for you
discretion does not equal emotion. Any successful pit trader will tell you that. Any successful scalper will also tell you that discretion does not equal emotion. Discretion is only emotion for a crap trader because they have not accumulate enough experience in order to use discretion properly Discretion = cumulative experience of the trader. If the person is not sufficiently experienced then the discretion is simply acting on emotion. But with enough experience discretion is far more effective than any simple strategy. i am not advocating not using a strategy. Most people must understand that big profits come only with discretion + strategy. With discretion or cumultive experience being the bigger part of the equation. At the moment i could trade the first strategy i used profitable easily. when i started i had the same strategy and same expectancy yet it was nowhere near as profitable.
you do realise what your saying dont you? You are not going to get yourself rich on discretion. So thatmeans that anyone and everyoen who uses trendlines, S/R and price patterns will never get rich i've seen enough ppl get rich on perfecting those 3 concepts alone that i'm not sure where the extra effort is needed
No, 'discretion' does not mean 'that anyone and everyone who uses trendlines, S/R and price patterns will never get rich'. Do you begin to know what you are talking about? Discretion is the "the power or right to decide or act according to one's own judgment; freedom of judgment or choice;" or acting "at one's option or pleasure". Trendlines, S/R and patterns may directly or indirectly comprise one system or more than one system. I am not defining what systems or methods others use.