Trading does go really deep, in fact, far deeper than the technical aspect that many focus on. From Reminiscence of a Stock Operator: "The next day the directors of the Union Pacific Company declared a 2 per cent dividend on the stock. At first ...

The Trader's Academy - by Traders for Traders

Usefulness is subjective. My point is that whether you use derivatives of price data or only price data, both approaches are equally sound or unsound depending in your opinion on the usefulness of analysing price data.

Fibonacci Indicator? Is it a big Joke?

It certainly is just an indicator. While most people have a special reverence for 'pure' price action trading I don't see how using only price data in one's analysis is any different from using a derivative of it.

Fibonacci Indicator? Is it a big Joke?

I feel like delving further into your post today Cat. How can it be a good analogy? Trading is nothing more than placing buy or sell orders with one's money to speculate on price. It is not a game of skill or wit. Sure, some may approach trading ...

The Trader's Academy - by Traders for Traders

Understating the facts again Mingary. The actual figure is 99.99999999999999%

Trading is your Primary Income or you have Multiple Incomes?

Well Cat, thats quite a post. I agree with a lot of what your have said and I think so do many others. We differ in our definitions. I define 'trading psychology' as all encompassing because trading has no 'muscle' aspect. When people say that ...

The Trader's Academy - by Traders for Traders

Oh, I thought this was going to be a civilized discussion. The trading metaphor that you adopt is quite common among beginners who try to anchor their conception of trading to a familiar reference point (like competitive sports). The good news is ...

The Trader's Academy - by Traders for Traders

Here is a good method for trading naked charts: 1. Look at the chart and decide if its going up, down or sideways. 2. If its going up, go long. If its going down, go short. If its sideways, stay out.

How To Trade With a Naked Chart

If you wanted to be a top sportsman you would have to have trained yourself for the role from a young age and also be endowed with the proper physique. If you wish to be a good trader all you have to do is desire to be one. You confuse the game of ...

The Trader's Academy - by Traders for Traders

This is all true, but I would even go further to say that trading strategies are misunderstood. Strategies by themselves do not provide a calculable edge (as in professional gambling). What a person learns about the market is only ever a reflection ...

The Trader's Academy - by Traders for Traders

I don't know where one starts and the other stops. Indeed. An average trader will not transform himself into a good trader because thats the kind of thing that only good traders do.

The Trader's Academy - by Traders for Traders

Hmm ok. Edit: Im still wondering what that analogy has to do with trading unless you consider trading a tennis ball between two players to be applicable to the craft.

The Trader's Academy - by Traders for Traders

Trading is 100% psychology. Your psychological makeup influences your attitude towards risk and that defines the strategy that you adopt. For most people, their trading system/method is a manifestation of all the feelings they do not wish to feel.

The Trader's Academy - by Traders for Traders

Hi Randika, Define 'manual trading' please. In the realm of speculation, its older than dust. Still, systematized trading has many strong points. In arbitrage, yes. In speculation, no. The game of speculation is the same today as it was a hundred ...

How does algo trading affect manual traders?

Hi Va, Money management should be a simple task. I use the Pillow Criterion approach to money management: If you are still thinking about your positions when your head touches your pillow, cut down to the sleeping point.

Bad time to really dig into money management?

That assertion is just a personalization of the nature of markets which persists regardless of the plans that retail traders make. I think the problem has less to do with the technical aspect and more to do with undertaking too much undiversified ...

0 to 10000%: Big RR

I don't view the points made as limitations to TA. Trading is fundamentally about dealing with uncertainty and TA offers the best chance at success if used to quantify and manage risk. Thats probably just self promotion. There are no secrets when it ...

High hit rate vs big R:R - Which one do you prefer and why?

I think that exploiting inefficiencies occupies the realm of arbitrage. Speculative traders tend to select markets that are efficient. The reason for the profitability (or edge) of technical trading may never be fully understood. To the outsider it ...

High hit rate vs big R:R - Which one do you prefer and why?

Much of the discussion here revolves around hypothetical systems. Price data has infinite variance, there is no useful application of the much discussed ideas of 3:1 or 1:1 with high hit rate. These are simply trying to fit the market into an ...

High hit rate vs big R:R - Which one do you prefer and why?

Thats actually the most plain and obvious part. To me at least. I find that feelings aren't the best things to run tests on. Like everything else in trading, its better to just accept one's feelings than try to figure them out.

High hit rate vs big R:R - Which one do you prefer and why?