Thursday, September 3, 2009

Some trading wisdom

The people who are going to succeed at this long term are the people who are able to get up after they’ve been knocked down, and knocked down again, and knocked down again. It’s a mind-set of being able to put closure to what happened yesterday, or what happened two minutes ago, closing that off and mentally adjusting for the future.
… Don Miller

Everyday I face brilliant opportunities disguised as challenges.
… unknown

I have never been tempted to change my style because I feel that my patterns and strategies don’t change. The market is very basic; you buy pullbacks in a trending issue, you buy divergences, or you buy breakouts from congestion areas. Likewise on the sell side. These things don’t change over time.
…. Linda Raschke

I have spent hours and hours, speaking to the same people … to concentrate on being a machine. Be consistent. Enter and exit trades, manage risk, etc, the same way every single time. Trail your stops the same way every time. Determine your stop location the same way every time. Determine your profit objective the same way every time (did I beat the horse enough?).

They SAY they understand but most find it impossible to actually do these things. The human brain wants to make an adjustment after a loser to compensate, or FIX, whatever the problem was on that trade, to ultimately avoid it in the future. And when you tell them no, your approach and management was fine, if it happens that way again you should do the exact same thing again, I think it's hard for them to stomach. I take losers and tell people, it was a signal, I took it, managed it, and exited it the same way I always do. I say I used runners on the position and got screwed again …but emphasize, I WILL DO IT AGAIN THE EXACT SAME WAY IN AN HOUR FROM NOW IF THE SAME THING HAPPENS.
….Frank Butera


  1. Another good post.

    I've really enjoyed going over some of your, E-mini's, and Ziad's past posts.


    Have a good long weekend.


  2. AT, thanks for reading along. Your nickname says it all. And I love that logo of yours.


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