Trading is a Quest, and money is only a way of keeping score. Trading is a battle between you against the Market. You cannot even wince for a second or the Market will eat you alive. But there is a weakness to the Market, and it lies within you. There is a safe zone for you to stand on. As long as you stay within the bounds and away from the wrath of the Market, you are in control of the Market. Thats the sole goal of trading, to stay in control of yourself and never let the Market take control of you. You have to stay on the attack, you have to stay on the offensive and never ever deviate from it for not even a second.
Its not you against the market, its you against yourself. The market is just information in constant motion and you decide when to enter and exit. Once you learn how to control yourself, then its just a matter of reacting to the information presented by the market.
Good Luck. Once you get the ball rolling its not too hard to get there. ozzy P.S well said Steve. That's exactly how I see it as well.
Steve, That is the Holy Grail summed up in three sentences. Trading in the Zone baby, trading in the zone ........ Cheers
I got news for you ! It's YOU against ME The one that is better equipped and prepared will win, sooner or later.
The "Market" is composed of some very diverse strategies. Many of these strategies hold that the "Market is INEFFICIENT" Thereby, through their buying and selling of the inefficiency, they return it to an "EFFICIENT" state. Efficient markets, by definition, are priced efficiently, and react to future events, which are random. Therefore the outcome of trades placed in an efficient market will be approximately random or 50/50, as they will react to the new information presented. Trades, placed in an inefficient market, their expectancy will rise much higher than the 50/50 or random outcome, as they are less susceptible to random events, viz. news etc. moving them further into the inefficiency, as a completely different class of market participant becomes involved at these stages. Therefore, logically, to make consistent profits, your methodology should be seeking to execute in areas of market inefficiency. cheers d998
Day 1 # of Disasters: 8 HORRIBLE.... Met profit target by noon, and due to my inability to take a small loss, I ended up giving it all back and more. I need to learn how to protect profits I made for the day. I also need to get stopped out. I cannot lose money.