Trading is not that easy otherwise your ass (and mine) would be super rich already Trading is really hard because we will have to book a lot of losers. I wish this wasn't the case. Everybody wants lots of winners and few losers. The good news is, sometimes for short periods of time this does happen. And even with a low win rate system you will still get very good winning periods. So it is important to print money when this is happening, ride your winners and book big profits when your luck is in. The bad news is these periods don't happen as often as we would like, so you need to maintain discipline and take your losers while you wait for the good times. This is really hard to do because when your system is in a drawdown period (which is most of the time) it is demoralizing as fuck and you feel like shit.
Hello Millionaire, Thanks for responding. Before I respond, are you referring to discretionary or systematic trading approach?
I am talking about rules based approach (the title of this thread) Even discretionary approach, i you can maintain above 65% win rate you will get very rich very quick. So I am not sure how many people can maintain that kind of win rate for long periods of time. Without doing things like averaging down or taking quick profits (which screws up the risk to reward ratio to below 1:1).
Man that nq will put hair on your chest. And rip it off too, lol. What timeframe charts do you like to trade again?
Hello Millionaire, I responded in red. I agree with you if talking about discretionary trading. In my keep in simple opinion, day trading the small time charts is challenging if swing and managing trades. Even though my buddy Al Brooks highly recommends swing trading, that drawdown is a motherfucker to deal with from a discretionary stand point.
Hello easymon1, Lol, yes NQ is a Bitch. That bitch got big fat plumb ass, I can not stay away from her. She is good for quickies. I hit NQ and Run. Hit and Run
Hello Millionaire, I 10,000% agree with you on that. That damn drawdown when manual discretionary trading is a evil monster. It will make you do some strange things you thought you will never do in trading. Discipline goes out the window, rules goes out the window, logic, ALL that bullshit goes out the window when you starring at that chart in real time, and you begging the instrument to just PLEASE breakout. PLEASE breakout, please just move, just go far. That motherfucking drawdown will have you up all night making changes to your trading plan. And the rabbit hole digging begins. In short, drawdown is bitch.
Trading is not all that difficult. What IS difficult: A: Learning HOW to trade. B: Learning how to think and behave as a professional trader. Most will never accomplish A and fewer yet (arguably more difficult), B.