Thank you for taking the time to post. I like to offer a couple of counter points about real time paper trades: 1. The fact that there is no skin in the game has its value in assessing the theoretical expectancy of a method. Afterwards the new trader can work on the psychological aspects with live trades. 2. In the last two sessions, I actually started to do both live and paper trades in my daily session. After live, I then paper traded for practice and for trying different tweaks to the system to "optimize". Best regards,
After re-reading it a few more times and after reading @tiddlywinks' comments/explanations, I got it. Schwab platform doesn't have that feature but it is easy for me to record it on the excel spread sheet that I am using to keep trading statistics. Thank you again.
Thank you. Your comments didn't sink in until I reread them a few more times today. I really appreciate you sharing your thoughts and plan.
Because I am keenly aware of the psychological effects of winning/losing real money in trading from my very own experience. In one of your posts you said even trading for a Mac money it’s a big deal. Indeed, that’s exactly what I felt too! I believe it’s human nature as long as real money is involved. Unfortunately, that’s not something we can change at all, perhaps only to control/mitigate to some degree.
it IS what he says...ad nauseum...and after he repeats it, for the 99000 th time, i understand what he says.....shows the greatness of the man for having thought of it,first. while most people think he over complicates, he actually makes it ridiculously simple.
in trading real money is involved. but when you drive on the road your life is involved. why are you not terrified for losing your life? you drive without fear. you have been taught to drive you have been trained to do it in certain way. the key in trading is not to fear losing or even aiming not to lose BUT to lose little and win big. well you get the idea. how do you do that? trading 2nd entries is one way. a second entry is a second trade wiith the same logic as the first where the first did not actually work out and 'failed'. for eg you get a break out which then fails and becomes a BO pull back which then breaks out a second time. the blue line are the second entries that worked the red are those that failed and note that these failures became good entries in the opposite direction. Lose little win big. now you tell me is Brooks complicated?
You have a good point about driving without fear. It’s become a natural part of us after some experience. In general, severe car accidents are far and between. Trading loss is hard to become natural to us due to the inevitable frequent losing trades. The emotional impact is quite different. For pro traders losing has indeed become natural to them so they don’t feel much of losses. Another reason is pro/winning traders are confident that they can win consistently even with many small controlled losses, so they can take losses like a champ.
markets are there all day.... yes 90% of losing traders are in that categary..... but most of them lose because of no or horrible technique rather than thrill seeking...... In Vegas, you actually win sometimes, so guys, usually work out, that Vegas is the better alternative. and you get online casinos too.