I tried to read his books and listen to him. I simply cannot. It is boring. Maybe useful but I cannot get myself to finish even one of his books or video presentations. I think I understand what he wants to say but there is no need for so many words to describe it. Gabe
A lot of us had the same experience. His first book had some useful ideas, but he could have benefitted enormously from a ghost writer. He discusses concepts that are very important, but there is only so much to say about them.
I may have posted that somewhere because I have such a system. Grading a trade (20 points each): 1) Valid setup - Is it an in-plan setup? 2) Survivable stop - Is a technically logical price at which to place a stop loss within my max risk per trade? 3) Profit potential - Is the "airspace" to the next level price would be expected to test (minimum favorable excursion profit potential) equal to or greater than the technically logical stop loss? 4) Entry - Did I initiate the trade using an in-plan entry method? 5) Management (exit) - Did I manage the trade according to the rules of my plan? What's really helpful is to ask yourself, as you're about to place any order, "Would this trade be logged as valid if I was doing an end-of-day analysis right now?" If nothing else, just taking the time to consider that question may prevent you from chasing price or from jumping right back into a trade after getting stopped out.
We (those struggling) have to (hope to?) reach an "uncle" point (some of us may not) where we will do whatever it takes to improve by becoming more humble and teachable... This assuming deep down we really know what we want from trading. Yes "In The Zone" was a VERY tough book to read that was three times as long as necessary.
If you truly understood any of what he says in his books, you would be a consistently profitable trader because I believe you know how to identify an edge. You find his books boring because he asks you to learn to think in probabilities and treat trading as a professional instead of as a typical (losing) trader. Thinking and trading like a professional is boring. Douglas makes it clear that to be a consistently profitable trader you have to change the way you think and people are averse to change, especially to changing their beliefs. I recommend that every aspiring trader read The Disciplined Trader and Trading in the Zone multiple times, very slowly. If you really want to take a step in a positive direction, start a journal in which you describe your understanding of every paragraph of his book The Disciplined Trader. Once you get it, it's a powerful breakthrough; once you apply it to your trading, it's an indescribable feeling.
They were okay. I actually thought his 2nd book was way better than the 1st one. But people shouldn't be lured into thinking that if they have the pysch stuff pat down, they are going to be successful. One of the traders I traded with when I traded at a prop desk constantly raved about "The Disciplined Trader" and how I had to read it for that breakthrough in trading. I just joined the firm then and he had been around for a while. He was one of the top ranked traders there, traded successfully for 9 years but strat died and couldn't make a dime in 2010-2011 no matter how many times he read Douglas's book. He's a Financial Advisor with Northwestern mutual now.
That makes sense. Douglas' books are only useful for trading an edge. If you have no edge to start with or if specific conditions no longer exist to support an edge that's dependent on such conditions, Douglas' books will be of no value until you have an edge to trade. He makes it very clear in his books that you have to have a tested positive expectancy system before anything else.
I read Disciplined Trader years ago and I agree with Gabe. Way too long and boring. I put off reading ..In the Zone because of the first book. I was very pleasantly surprised when I read .. In the Zone last year. Worth the time and on my to do list to go through it again.
So how do you find out if your system has a positive expectancy when you cannot execute it properly from day to day (the reason/excuse being "I am not confident in the system!?")? The years we spend in the dark could be significantly shortened with the answer to this.... I think we know the answer.
I know I said I wouldn't be back, but this thread is so much like an accident on the side of the road: you just have to slow down and watch. What is most fascinating to me is that ND keeps pushing outstanding advice and guidance and yet all of you keep resisting her even though you're all failing. I wish somebody would explain that to me. No offense.