Or try these threads: http://www.elitetrader.com/vb/showthread.php?s=&threadid=99283 http://www.elitetrader.com/vb/showthread.php?threadid=113456 Priceless knowledge you will not find in books...
Nothing beats descrection in trading, no system no method. If you trade a system or method you are restricted to your positive expectancy and if your target is reached as predetermined you are out while the market can go to the stars. Like somone else said before the best traders trade discretionary and have systems/methods running besides. The discretionary trader knows when to stay aside and when its time to pump in. You get the feeling by time and experience which are the best chances and will ignore most of the rest (or system trade).
From my limited experience, I can say that I have lost money trading discretionary and won it back trading mechanically. Of course, that does not mean that that is the way to go, but I do think it is a lot easier as a beginner. Over time, one might develop a 'feeling' for the market but that takes a lot of time and trading.
This thread is rather conflicting. The Author says that strategy is pointless and a trader should rather just use their discretion to trade. The definition of discretion is the power or right to decide or act according to one's own judgment; freedom of judgment or choice. One's own judgment is the key word. If a trader has no proven method or strategy then they have no profitable discretion. Some methods and strategies are amazingly easy but your telling inexperienced traders that they don't need proven and profitable systems, they just need discretion. That is like telling an inexperienced golfer that if they have the discretion to hit the ball with no second thoughts they will be a successful golfer. Profitable discretion is transformed over time through study of the market and one's own profitable methods. Another word for profitable discretion is true confidence in ones strategy. Discretion is purely automatic when you have a profitable strategy and method.