Buy when other are fearful & sell when other are greedy ? Does not bother about minor fluctuations ? Know thyself and themselves ? Scares and victories ?
wisdom it's an abstract concept that cannot be defined, measured or monitored. However a successful trader can be defined as a profitable one and profitability can be measured and monitored . A profitable trader has been defined as one who earns the median US annual salary, which is $64,800 a year, about $1290 a week for 50 weeks or about $260 a day on average. If you can average that everyday you might be defined as successful or effective or even wise.
%% Read charts + people like a book. So few traders make money / so include investments. M Webster'$ old dictionary is > than online Websters, so i check both ; insight, good judgement, teachings of ancient wise men, wisdom of Solomon. Wisdom implies judgement + sense far above average May or may not have read the chapter ''Wisdom of Solomon ''[Solomon Cohen/Gazelle Fund] Impulsive types [talkers]; or thinker types could both be wise. Actually i'm a thinker type, so i make sure to listen or look @ talker types But like M Steinhardt ,FORBES MAGAzine called him ''the worlds greatest trader'' Pitbull Marty called him[his book] names, a lot less than thatLOL. M Steinhardt [Hedge fund + WisdomTree ETF helper] noted one of the joys of this bu$iness /is an ignoramus can make a lot of money,
%% THATS not David's faith or any kind of faith or any kind of common sense. A UK or US pic of David v Goliath is much better . David wins; named his son Solomon., Slingshooter+ king; both kings enjoyed that power poetry + hunting.
A wise Trader knows he will make money. and GPT 4.0 says A wise trader possesses a combination of knowledge, skills, and psychological traits that set them apart from others in the market. Here are some key traits that differentiate a wise trader: 1. **Discipline:** Wise traders have the discipline to follow their trading plan and stick to their strategies even during challenging times. They don't let emotions drive their decisions and avoid impulsive actions. 2. **Risk Management:** They understand the importance of managing risk and use appropriate position sizing, stop-loss orders, and risk-reward ratios to protect their capital. 3. **Continuous Learning:** Wise traders never stop learning. They stay updated with market trends, economic events, and continuously improve their trading strategies. 4. **Patience:** They know that the market is not always predictable, and opportunities may take time to develop. Wise traders are patient and wait for the right setups before entering trades. 5. **Adaptability:** Markets can change rapidly, and a wise trader can adapt to different market conditions. They are not overly attached to a single strategy and can adjust their approach as needed. 6. **Emotional Intelligence:** They have control over their emotions, such as fear and greed. Emotional intelligence helps them make rational decisions and avoid impulsive mistakes. 7. **Long-Term Perspective:** Wise traders understand that trading is a journey and focus on long-term success rather than short-term gains. They don't get discouraged by occasional losses. 8. **Humility:** They are humble enough to acknowledge that no one can predict the market with certainty. Wise traders are open to learning from others and admit their mistakes. 9. **Independence:** While they may seek advice and opinions, wise traders rely on their own analysis and judgment rather than blindly following others. 10. **Goal Setting:** They set clear and achievable goals, both for individual trades and overall performance. This helps them stay focused and measure their progress. 11. **Risk-Reward Assessment:** Wise traders assess potential risk-reward ratios before entering a trade. They only take trades with favorable risk-reward profiles. 12. **Detachment:** They do not let their trading results define their self-worth. Wise traders maintain a healthy detachment from their trading outcomes and don't let losses or wins impact their emotions significantly. Overall, a wise trader combines knowledge, experience, and emotional intelligence to navigate the complexities of the financial markets successfully. It's a continuous journey of growth and improvement, and the ability to learn from both successes and failures is essential for long-term success.
They base their decisions with greater weight on objective quantifiable data and less so on discretionary subjective interpretations. Until one does collects the data and done the math, inexperienced traders usually go for high-winrate/low R:R methods. Experience in the fore mentioned factors, causes a shift in interest to low-winrate/high R:R systems. A good demonstration of the concept;
%% Good; but [#11] /that risk manage seems to conflict with your early post 'bet the house or bet the ranch ,post LOL'' [NOT that it's gambling or even a bet] SO which one is it. ?? I know; i'm asking you+ its a trick but good question?? Lifelong Learner.