Here we go.
New traders. I’ll give you all I got.
The question is…what should you stop doing…
Well, since I don’t know each and every one of you. And since every single human being is different. I’m going to approach it at a side angle. This is what you need to do.
Before I get into it, you need to know who you’re dealing with. Me.
I am no one special. Really. I’m not even consistently profitable. I can’t even brag about anything in regards to my results. But…
I am old enough. I have the mind for this. I’ve been desperately seeking all of these answers like nothing else exists in life. I’m in my 7th year now. I feel that I am possessed with more determination, self discipline, mental strength, unlimited patience, than any other human being. This has consumed me ever since I started. And I won’t quit. Cause what’s most important to me is evolving into the person that I was born to become. Once you find that out, then it gets real.
Let me tell you what I think needs to happen. If you accomplish these things I’m going to set out for you, you will succeed. I believe it. And no one can dispute it.
Anchor Trade - It’s the one trade that you are an expert with. You know, without a doubt, that you can make a return on. It’s almost like your guarantee trade. You’ve gotten so good and intimate with it. You’ve earned the right to continue on in the market place. It’s proven.
Defineable and Repeatable - Meaning you can measure any aspect of the details of that trade. Consistency can only happen that way. It’s a repeatable process. When this happens, you do this.
Prove yourself on demo - You cannot move forward unless you’ve proven yourself, and your strategy, in the practice arena. You absolutely need verifiable proof that it works. Confidence will be developed.
Live account experience - There should be no reason you do anything different in this fashion than in the demo experience. Position sizing will be the only difference. Always start out small. You will just be building from previous accomplishments.
Look. Nothing makes more sense. There’s principles in life. Success builds upon success.
It all comes down to finding what works. How about this question…Will it be you or your strategy that does the work? Well, shouldn’t it be the strategy? I mean, all you should be doing is pulling the levers, right? Unless you’re a discretionary trader, then, it’s you. But, how can you measure something like that? The answer is you can’t.
See. It’s you that’s behind the strategy. And once it’s built, it is the thing that does the work. Not you. The market is unpredictable. Sure, we might think we know what will, or might, happen. But in the end, it’s the market that’s always right. Therefore we need to come up with a way that manages the losses along with the winners. Whoever does it better will be the one that is more successful.
I don’t know the myriad of things that we shouldn’t do. We are nothing but a bunch of emotional beings, dealing with uncertainty. The only thing that’s going to work, is somehow finding that way, like the casinos do, in which, in the end, will win out.
I don’t know any other way than to find your anchor trade. You should always be able to go back and say that you followed the plan and except the outcome. Measure and record your results. Over time you will see whether it is what works or not.
Believe me. I’m no one special. I haven’t made it yet. I’m just passing along what I’ve learned from my mentor. That’s what’s going to get you there, though.
Success builds upon success.
It doesn’t come by accident. It’s proven.
That’s the best advise I can give.