Inner Circle Trader's Pro Traders Club 2012 - 2013 Series

I mostly see her spinning anti clockwise… but can see here spin the other direction if I stare long enough… I guess Michael wants us to know that if we continue to stare at a chart, buy and sell signals will apear at will :stuck_out_tongue:

(Ps, I guess since I see her spinning mostly anti clockwise, I tend to see more sell signals?)

I don’t think it translates THAT directly to trading! :54:

No brain trick - have her square in your face - you see spinning (direction 1) now scroll up or down so the picture is gone - then come back - spinning the other way.

umm maybe not?

could be a random timed thing? to make you think you can see it?

Or Edited::
it depends on when you look at her - which postion she is in - seems if the leg is coming from the back it goes one way or if the leg is in front it’s going the other way - - When you START looking at it.

Lol I see both ways :slight_smile:

I think that was one of my problems early on. I saw the market could go either way. It wasn’t a definite sell day or buy day. Have had the problem lately. May just come with chart time or experience.

I can see her spin both ways, probably due to the fact its only 2 dimensional, you can make her spin both if you put your mind to it,
bit like my trading I only see long set ups & struggle with shorts due to a couple of years ago I was trying to short the Fiber in an uptrend and got burnt many times, this has now given me a phobia, I can’t get rid of… :frowning:

that’s what I meant :-D. More confluences of short = definite short. Tho I know it’s still not definite. Poor choice of words I guess lol.

[B]Overcoming Emotions: Between The Profit & The Pain[/B]

When we as Traders engage the marketplace… we no doubt, will experience a measure of emotional response to the inherent risk associated with such an endeavor. These emotions range from Fear & Greed and to most… bewilderment.

[B]The Profit[/B]
Let’s face it folks, this is why you are reading this article isn’t it? The Trader identifies the opportunity to make a profit from the market. There is nothing wrong with that and it is why I trade personally. However, this motivator can be the downfall of many would be Traders.

The pursuit of profits can lead a Trader to see things that might not be actually there. Perhaps the hunt for profits has had this effect on your trading? Greed is a real struggle for most in the Trading world. If you are not able to resist the temptation to seek profit, you will become a victim of emotional and reckless trading.

A Professional Trader identifies the goal of profit but has a clear plan of pursuit. He or she is not reacting to the market, no, they are anticipating the market to present them a setup they have clearly defined in a written Trading Plan. Only by working within a clearly defined Trading Plan can a Trader have measurable results and a means of direction in their business as a Trader.

When a Trader considers the Profits… this is the motivator. This is the agent of action… the element of Trading that makes fearful Traders take a trade and assume risk. The actions one takes in the process of making a profit are many times those things remembered by the Trader most. This is directly related to the money and the times when their particular approach was “profitable”. However, let’s look at those things that Traders encounter during the experience of Trading.

[B]Are You Lost?[/B]
Every Trader deals with this one. The million dollar question… is the market going to go up or down from here? I have read many books on trading and various authors over my nearly two decades as a Trader. It’s interesting to me how Traders interpret Price and how they approach trading individually. We can have many similar concepts and or tools, but we each “interpret” Price in our own ways.

One author of the book titled Street Smarts, Linda Raschke, likened Price Action to reading musical notes. Not being a musician this makes no sense to me personally, but I can understand her analogy nonetheless. I always envisioned Price as a young woman that dances and twirls to a song in her head that no one hears but we can watch her move to its tempo.

In the example Test #1Directions

I presented a popular optical illusion of the Spinning Woman. I have a special affinity towards this illusion as it depicts, in my opinion, Price Action. I can ask any number of folks to look at the image as the silhouette of a woman spins in circles. There will be many varied directions given if asked by each viewer. Some may say they see her spinning to the left to others it may appear she is spinning to the right. The image is not changing directions but some may see her spin one direction only to reverse and spin the opposite direction.

I liken Price Action to this example… as it communicates the lack of “Direction” needed to watch Price gyrate or dance. We as Traders make money when there is “movement”… does it matter to a Trader which direction the movement takes place? No… just that the Trader is dancing with the market at the right tempo and tries not to lead… she knows the song we just follow her lead.

Some dances are longer than others and some are short and sweet. Some dances see Price move one direction and then see her change direction. Like actual Price Action… this example continues to do its thing. The image is ambiguous and leaves the viewer to determine the perspective of her. Price is no different in that regard.

Fill a room with Traders and place a real time chart of the Euro in front of them and you will get a disparity amongst directional views. This doesn’t equate to 50% bullish and 50% bearish, if we could in this example equally divide the two groups, as seeing one group as “right” and the other “wrong”. The opposing group may have a shorter dance in mind with her… while the other group may see a longer dance in the works.

[B]Which Way Do I Go?[/B]
When looking at the spinning woman illusion note the direction she spins. If you look at her foot and watch as it spins, you will notice her shadow… under her foot. If you study the shadow and not concentrate on the woman and her lovely grace and curves… you can see your perspective change and her spin will change directions.

What lesson is hidden in this example? IF you look at the shadow of Price Action… that being the left side of the chart… you can see Price Action’s direction. Knowing the current conditions and allowing your trading to get in sync with that perspective… you and the market can share a dance. Short term dances are short in duration and long term trades allow you to hold hands with her longer. Understanding the dance you perform best and move gracefully in… will assist you in overcoming frustration and avoid an emotional trigger in your trading.

[B]Narrowing Your Focus[/B]
One of the emotional responses in developing and unsuccessful Traders is that of chasing Price. Professional Traders have unique skill sets and concepts they employ as a Trader. It doesn’t matter what new trick of the trade makes its way into Trader Magazine this month… they stick to their own skill sets.

In the example Test #2OPPORTUNITYISNOWHERE

The image illustrates the tendencies for Traders to not focus on your specific setups and as a result… chase Price. If you look at the image and study the black squares… you will out of the corner of your eyes see “grey spots” in the intersecting white areas. Notice when you turn your attention to the grey spots, you aren’t focusing on the black squares any longer are you? Note also that you are not able to see the grey spots… but more appear and still you cannot focus on them no matter how hard you try.

The black squares are your specific setups. The grey spots are the common Price Action moves that exist outside your clearly defined Trading Plan. Your job is to focus on the select setups, or black squares in this example, and filter out the grey spots that novice or reactionary Traders chase.

For some the black square represents London Open OTE’s long, for others it might be a Trend Trading Holy Grail Pattern. What select setup you use and focus on matters not… just that you focus there and avoid chasing Price and phantom Price Moves that result in nothing at all. Narrow your focus on the setups you have grown to find easily and make sense to you and your personal Trader’s Profile. By doing this you avoid emotionally charged regret and sorrow by not following your Trading Plan.

[B]The Finish Line[/B]
When you began your journey do you recall your objective? Was it a million dollars? What was the “finish line” to you as a successful Trader? For me it was retirement and a means of living without the need to maintain a job for finances.

Now ask yourself this question… when you began Trading did you have the starting line sharing the same role as the finish line? What I mean by this is, did you permit yourself time to make it off the starting line? Were you giving or are you giving yourself a fair chance to make a run of it?

Runners have a unique experience that each eventually encounter. While each runner enjoys running as a sport and each have stamina in respect to the average non-runner… eventually they encounter a change. The change isn’t physical… it is conceptual and internal.

They no longer run with the “Finish Line” in their sights… but rather adopt the mindset that… there is no “Finish Line”. As a result they grow a deeper appreciation and love for the sport of running and their performance excels as a byproduct. This paradigm shift takes place in successful Traders.

The successful Traders no longer see the “Finish Line” or end result as the task and goal… but rather the process of Trading becomes their passion. It overrides the perspective of win or loss and it replaces with a reflection of whether the process is being followed and experienced with comfort and passion.

The end result in runners with no perspective of a Finish Line waiting in the distance is that they run longer and stronger than they did before. The end result of Traders with no perspective of a Finish Line ahead of them is that they trade emotionless and free from internal struggles.

Think about how limiting your end result becomes if you measure every Trade or step forward in development as a stumbling point or hurdle to your Finish Line. You might have a time objective or a monetary limit or your Trading and when you hold these paramount they no longer act as goals but rather a ball and chain. Think about the process of Trading successfully as your goal and remove the limits of your preconceived Finish Line. The result will be that you avoid uncertainty and doubt while building a passion for Trading successful Traders acquire over time.


[B]Time Is On Your Side[/B]
Many Traders are in such a hurry they skim through notes and resources to get to profitable Trading. Newsflash for those of you considering this… there is no short cut to success in Trading. You will need to submit to time and allow yourself the need personal time to develop.

In the beginning you feel like everyone is already at the party and living the life. I know, I felt like this when I began Trading in the mid-90’s. There is nothing wrong with being excited and jazzed up about the potential for making a living or perhaps a secondary income from Trading. However, it’s important to keep yourself reminded that successful Traders didn’t get there overnight.

The journey of profitable trading is not a race won by the fastest. It is a journey meant to provide limitless experiences and the potential of monetary reward in the process. Traders that hurry up only wind up losing money faster. The secret to successful Trading is the art of taking your time to wait… contrast that with… hurry up and go!

There are some real lessons in yourself and internally you will need to understand and many times come to grips with. These lessons are learned in the early stages and they pay huge dividends in the later years of your Trading careers. Why wouldn’t you provide yourself permission to fully soak up all that is available to you in your learning and hone your edge at a realistic pace?

The result of taking your time and working within the protection, not restrictions, or patience is an asset. Develop the mindset that a calm patient Trader can and will see things more objectively and be more prone to weather loses than that of his or her counterparts. Rushing only leads to overtrading and missing a move is better than taking every losing trade laid before you!

[B]The Law Of Attraction[/B]
If you are a new Trader and found Trading interesting that is awesome. I recall the feeling and the wonder that overtook me in my younger years. Like all things, we are attracted to those things we find pleasure in and or those things we developed sensitivity to.

Trading can conjure up some pretty amazing thoughts and fantasies in folks. It is important to stay positive along the way. If a Trader allows his or her thinking to become toxic it will have an adverse effect on their results and experience as a Trader.

Having positive reinforcement and journaling can assist you in maintaining a positive outlook. You can’t imagine how useful it is to have a journal on the good days to reflect on when you encounter losing streaks in your trading. I use these to help me overcome the downers some losing sets can produce… and you won’t be exempt from the depression that can result from losses.

A Trader that has his or her mind set on the positive aspects of those things her or she is attracted to will be much more efficient. It is hard to change a positively focused Trader out of his or her game when they are routinely reinforced with positive feedback.

Positive feedback can come from the form of a mentor or spouse that shares the same mindset on Trading or it can and many times best delivered personally by journaling. When you have success you will record an entry and talk positively on those things you did correctly and how good you feel when successful.

Make a point to remind yourself that you deserve to be successful and these are the fruits of your labors. Enjoy the good times and reflect on these when you feel the worry and sorrow of losses and doubt that creep in your mind during rough patches. As a Trader, your mind is your greatest asset… protect it! You are what you think and if you are a Trader that takes a loss and thinks that what you are… a losing Trader… then don’t be surprised with your results when you think that way… you are what you think.

[B]Tuning Yourself For Success[/B]
Ever bought a car after weeks or months admiring it on the showroom floor or driveway near your home? Perhaps after purchasing this car you suddenly noticed how many others thought like you did and bought the same car!

The truth is, those owners had those cars probably before you bought yours and now your sensitivity has been tuned to that which you are attracted to. Your eye will be more likely to turn and focus on this car every time you come in exposure to it. There is not a sudden influx of these cars… no, but rather your mind has been tuned into them and your mind permits the attention to shift to them.

This event is actually a result of our RAS or Reticular Activator System. Inside our minds our brain has a huge inflow of information on any given moment. We have all of our senses receiving information and the normal thoughts we spend time on… all at once! Our brains are an amazing creation of God and we can tune our minds to success.

The RAS acts like a gatekeeper and those things we are sensitive to or attracted to we find enters our minds most easily. If we are a pessimistic person and focus on the ugly and gloomy things in life, we are naturally going to have a rather bland existence and quite possibly find depression as a result.

A positively minded Trader that has trained his or herself to spot specific trade setups… and builds a foundation of positive reinforcement and passion for following the process of Trading will tune their mind for success. You will build your RAS sensitivity to your trade setups by repeated exercises of Price Action Study daily. You will build your mindset on the basis of positive journaling and keeping the focus on passion in process.

The RAS is a powerful tool given to every human and can be a real advantage in Trader development. I would encourage you to study more on the RAS and subconscious reinforcing exercises. A sharp positive mind is something everyone should aspire to have… a Trader armed with such a tool is well on their way to overcoming just about any obstacle they may encounter along the way!

[B]The Pain[/B]
The experience of losing money is no fun. However, have you considered what lessons you learn from the losses? We opened this article with the Profit and how this many times if the motivator for taking the trades. The element of Pain is many times the inhibitor to taking trades.

The pain of taking a loss can be uncomfortable but if your RISK Management is ideal or at least realistic… it shouldn’t present you with Trader Paralysis. We as Traders should remember the benefits of successful trades and profit and those pans associated with losses. There are lessons to be learned in both.

However the greatest lessons are learned in the experiences of loss. How we as Traders react and deal with losses will have a great impact on the Traders’ longevity and efficiency. If the Trader is not grounded in solid RISK controls and management, it will make no difference how many trades they make profitably… as the first string of losses can and will likely send them into a tailspin.

If you could ask Traders that blow out their accounts the vast majority of them will tell you they were trying to trade out of a bad string of losses. If they would have accepted less than perfection and allowed time to pass and reduced their RISK EXPOSURE… they would have weathered the storm and probably been around a lot longer.

Learn from the pain of losses and don’t let the pain remove you from following the Trading Plan. Your ultimate success resides in the personal experience you assume as a losing Trader… every Trader is a losing Trader. Successful Traders are those who survive the storms and surf the waves for many years to come!

Here’s to emotionless successful trading folks!

[B]GLGT[/B] :57:


So tomorrow, I’m looking for a short dance, waiting for the long dance another time…

My eyes are sore now and after all the pictures and reading so I’m going bed, out all day tomorrow so I have my limits set, and my notes are coming in the car with me so I know my levels.

Going forward for this week. I will be mainly looking @ cable as Pa is more clear to me on it then fibre.

I have marked on a chart 2 levels with green boxes where i will be anticipating so kind of action. I will be only available to trade up until Wednesday then i am away to workshop.

Although saying all that i did trade the fibre today entry was @1.3003 exit was @ 1.3008 my tp was 1/3328 did not reach there came back and stopped me out for a 7 pip DEMO profit. This trade was on demo as i have been busy today so just wanted to test out if the entry would have been good and it was it’s the exit which i could have done better.
Anyway enough of me rambling


Ps check out the colours PPFX. yOu LiKe :smiley:

Safe trading to you all

She spins clockwise and sometimes counter-clockwise. There was a period where she wasn’t moving at all. For some reason i don’t think my mind is playing tricks on me I know what i see and i don’t second guess it so she spins both ways at random intervals some times 12 seconds each ways some times 1 sec. I tried timing it, but the results where mixed although 12 seconds seemed to come up more often

That is cool!

Probably down to the speed of you PC processor speed maybe…

I’m not sure you should share copyrighted material on this forum.

Could be as i have gazzilions of tabs open so sometimes pc does slow. What do you recon ? both ways or one way only?

She Dances both ways

You have a Workshop this week yes? :slight_smile:


Fiber

42 pip spike up in AS - suggests that a TRex has put its foot in the pond

Did you check cable too? I am long at 1.5835 earlier. It looks oversold to me. So far so good :slight_smile: