Nope. I said stochastik, that is a special subject of statistics. This has nothing to do with the indicator stochastics invented by george lane. I was talking about statistics, where the subject calles stochastic is to predict future odds. Like in weather forcasting, this is for example used stochastic. They are mostly correct in their forcasting, its the same in trading. Got it. Its not my fault, that george lane named this indicator stochastics, he could also have named it momentum average measure, or something like that. This here is stochastic: http://en.wikipedia.org/wiki/Stochastic then comes combinatorics: http://en.wikipedia.org/wiki/Combinatorics after all fit into a bigger picture with statistics: http://en.wikipedia.org/wiki/Statistics Not to be confused with stochastic oscillators in technical analysis.
The mouse stands out sharply out of its background; trading setups are blurred into its "background", invisible to most traders.
No, the mouse is usualy hidden in its hole. The cat does not know if the mouse is in it or not. The cat only knows the odds are higher to wait in front of the hole, than walking around and searching where the mouse is. This 5% of traders are seeing the mouse acting and running around in its hole all the time, we just wait until it comes out...... :eek: :eek: :eek:
I have traded methods where I wait for setups all day and I have traded "always in" strategies. How many of the 95% trade "always in" reversing trades sequentially through the whole RTH session in a market like natty gas or oil grabbing volatility? I would guess not many. How many of the 95% are sitting there "waiting for their setup"? I would say the majority. Both can work , With either way , a proven tried, true, and tested methodology with discipline must be present which basically eliminates any of the 95% off the bat. Vig is a big invisible hand also that 95 percenters don't see. They'll jump in and out 10 times in a 5 tick range using market orders and wonder where their money went. If there is only 10 swings of 70 cents on avg during the day in oil for example, then one shouldn't be trading any more than 10-12 RTS while Trying to capture the meat of each move.
Same old story, nothing much changes The top 5% own 90% of what's going. The crumbs ( 10% ) is just enough to keep the workers housed and fed. As someone said - there's people and there's sheeple.
Pffffffft... 12 pages allready and nobody has sayed anything about the moon and other planets in orbit... "How can I become a winner in trading?" You do not want to know... "Yes, yes tell me." No, you really do not want to know... "Come on, please, tell me!" Okay... Look up what do you see? Air. What do you see further? Space. What is in space? Planets and stars. Know how they move, know how they influence people behavior and you will know all you need to know to trade succesfully. Naay, no way... You are crazy!!! Yep, 20 years and counting (not only money)...
they're probably not looking at charts or indicators or anything that us retail crowd are even aware of. They're privy to special information. They are likely capturing the spread intraday, too.