Posts Tagged ‘trading advantage’

Trading Indicators Reflect Price part 2

Tuesday, January 10th, 2012

Today is Tuesday January 10th, 2012 as the market has been very quiet with low volume for the past several session.

We saw a large gap in today’s action and then the market went to sleep, again. It is hard to make money with low trading ranges and you need extra patients to let things come together and then again, let them get played out. Before I get going to far, I will post my last three trading session since my last post, Friday, Monday and Today’s. This kind of slow environment is best to be on the cautious side and not push the envelope and certainly not to over-trade, of which I am aware of. All three days came out good with the lightest day being today, but its enough if its on the positive side of the market. The screen-shots below.  Friday’s here;

Monday’s day here below;

Today’s trades below;

Trading indicators reflect price

Trading indicators are a tool that reflects the behavior of the price action it mimic’s. It is a reflection, but it is not the original. The original is always first and in this case that is the price. The price is the original and the indicator is a copy or reflection of the price.

That is so very important. We as traders need to be able to interpret the price first. If you can do that, you will know which trade is stronger and which is in a weaker position. We don’t have to trade every twist and turn the market generates, but only those trades that lends us the “low risk trading advantage” towards our efforts.

Limiting yourself to those low risk trades puts you in control of your trading and your results. We don’t have to hope or wish for things to swing our way, we only need to position ourselves where we have that trading advantage or market edge.

The market is predictable at certain points. You don’t have to know every move it makes but just accept it at its current value. When the market pressure is built and factored in, and time has run its course, the last part is for the market to express itself back onto the screen in an upward and or downward move. Position yourself properly, and you have a low risk entry and high reward return. Trading is not easy, but it can be simple in some ways.

Many come into this thinking that it could not be that hard, but the market is filled with emotions and it can make you do things that you would not normally do, to take the wrong side.

If you understand how to read the price action as it is reflected in support and resistance, you can find those low risk entries and profit form it, but you need a method that will keep you looking and doing the same types of things over and over again. Without one, you will be all over the map, and left with losses.

Recap, which comes first, the price or the indicator?  The Chicken or the Egg ? I would say, the first one on both of those, but some might argue that. The first question, it is undoubtedly the price. The price drives the indicator and that gets projected onto the screen. Learn to read the price and understand its nature and behavior and you will better understand what and when to trade. The trade indicators are a guide and they can be helpful to get you to see what is already there, but your eyes are just not trained to see and interpret it at that time.

Being successful is very possible if you take the steps that will get you there. It is up to each individual to find his or here way, but we can get help that will take us in the right direction.

There are many ways to trade the market, some of them are good, and other not so good, but the key is up to you. Do you have the drive, will and determination to overcome all obstacles.  If the answer is “Yes”, I would say, take your time. Don’t rush into anything, do your own homework and first see what type of trader you are?  Short term scalper or position trader? How much time do you want to invest in following the markets? All day, or only a couple of hours? Answers to those questions will help to uncover a few key objectives and match yourself up with a good fit as far as style.

There are lot more questions one could ask, but just remember, price is always first and if you train your eyes to see and learn what drives the price action on the screen, you will be on your way to building a solid foundation. Anything else, will just leave you unsure and loosing valuable time and energy. Think about it?

Trade Well, Trade Committed !   Vince

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Valuable Trading Lesson

Tuesday, November 15th, 2011

Today is November 15th, 2011 and was a good trading day, not because of points made, but was a nice regrouping from yesterdays loss. The method is there to follow, and when I don’t follow it, it becomes a gamble on it working or not.

You could see in yesterdays posting, that I took some non method trades. The indicators are only a reflection of the method, but a good way of seeing if one is following it or not. If you are going off the reservation, it will be clear to see and when you are on track, that is also clear to see.

Today, I got back on track as it has been weeks of modest daily gains before this. Losses happen, but they don’t have to induced by lack of patients, or lack of allowable trading time. If one does not have enough time to trade, it can be best to not trade. I need to remember that, as that was my downfall yesterday. I did not want to take the time to wait out the market to best get into position that would allow me to get the trading advantage on my side of the table and it cost me. It was just a few point loss on the day, but that is not the point. I could see I was off and for the fact of me stopping, I get an extra bonus for that and makes up for my mental short comings at least in my mind. Let me post today’s trades below before I get to far along.

Just three trades here, with the first one a 5 tick loss. That is really not a problem as it was an acceptable loss for the entry taken. You can see a reverse signal and that is my confirmation that a stop there was appropriate. The move was a last ditch effort by the market to take out the shorts before it actually does go down. My re-entry was spot on and I did not hesitate as the shorts were right in taking the market down.

It was all in the bigger picture to take the market down, so that it could then take it up higher in a big way as shown. I did miss that next wave up as I was doing a training video for my group as things were developing. I can honestly say, I missed the move as it just got past me. The secondary move higher, was caught as I could clearly see higher prices and did point that out in great detail in the training video I was just finishing up.

The market did move higher after my last exit and that is OK.  I don’t have to get it all and enjoy selling into strength a lot more than selling into weakness.

In a recap of the daily’s, we did get the second day of pull back early on as the market sold off in the night session and again just after the open, only to then recover and move higher on the session modestly.

The market is now in a position any time to make that next move. It could go either way and I won’t say it can not go down, but I do have a bullish bias and would not be surprised to see things resolved to the upside. We always have to remain open minded, which is what allowed me to see the huge reversal at the bottom of the market 6 weeks ago or so.

The same thinking will allow me to accept and see that the resolve could yet again be to the upside, to the complete and utter amazement of the masses and guru’s.  We need to learn to think for ourselves, to see for ourselves, and then trade for ourselves. If we become dependent on others to lend us insight and that means even me, we will not be helping ourselves long term. I think it is fine to get different opinions from others, but that should not be the only thing we do to see what we should be learning and calculating on our own.  If you just don’t know how to go about that, then that is a legitimate concern and there is no fault to bear.

To make trading progress, we need to learn and gather insight from the market as it relates to a proven methodology that will be consistent over time. Next is to not overlook what we are going to do to ensure that we have the ability to follow that trading method and execute it in a way that leaves us profitable.

To do that, we need to always work on ourselves and uncover any mental weakness and replace it with mental fortitude and determination. That can only come by facing the hard cold facts that traders don’t like to face the facts. Are you willing to see what your trading weaknesses are and do what ever you have to change that within you to get the desired goals you aspire to achieve?   Many would say, Yes; but the truth is they are not willing to face those issues and change. It is a lot easier to blame past trading troubles on the method, system, the market, or any other outside factor but ourselves.

In order to take your trading to a higher level, you need to look within. There you will most often find the answers that you seek. Yes, you need a solid trading method, and without it, you will be lost, but you also need everything I just mentioned above as well. I respect my readers enough to tell them the truth.

You may have a good enough trading method as you stand today and all that is needed is the inner strength to maintain control, to follow your personal trading plan as it relates to you.

I had a nice reminder from a member this evening of this simple fact and feel compelled to share that. We all need a personal trading plan within our trading method to succeed. Find yours and you could be on your way.

Trade well, trade committed, Vince

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Additional Market Risk & Exposure

Wednesday, August 10th, 2011

The markets are in a hot zone right now, with volume and moves accelerated greatly. This can be a good market to trade if your trading platform is solid and trade execution speed lightning fast. That is not to mention, if your timing is off and you are not precise with your entries, you will take unwanted draw downs and losses. You need to be on your game if you want to participate. Anything less and you will be taking on a lot of additional risk and losses and your efforts will seem more like a gamble.  Anytime you do not posses the trading advantage, you are just guessing and I don’t have to tell you the results of that kind of effort.

Be selective, wait for the best entries with this kind of market. You don’t want to over expose yourself to this market as it can chew you up and spit you out. So, an underexposure is really best, but trade if you must with as much precision as you can. A stop loss for a typical trade a few weeks ago might have to be doubled and or tripled to have the same margin, but the targets need to be double or triple as well, to compensate for the additional risk. In addition, traders should consider to lower there contract size if they do not want to take on additional risk. Being aggressive in this kind of market can bring in windfall profits, but it has a lot of additional risks and can be a double edge sword.

In today’s trading, I wanted to trade the pre-market, but I was not up and ready in time, I just took a little extra time to relax and prepare after the markets active opening. We did see a little slower action a couple of hours into the day, as compared to the open and made two trades in total for the day. The first one, had good timing on the entry, very little draw down and ended up getting stuck in the trade as I tried to exit on a limit order in a falling market. A couple of attempts and I found myself all the way back down and then some for a stop loss of 3.50 points. Next trade was the same type of entry in a quiet small consolidation area, with very little draw down and great movement with the first exit a market order for +9 points and the second one for a stop market of 8.50 points. A good day, with no need to push it in about 60 minutes of trading.

I have the turning points marked up as per the trading indicators, but this is not the trading method. My trading is price based which takes into account time, space (movement) and energy. I won’t go into it, as I usually don’t, but I like to show those who look on that there is a basis for price movement that they can understand. Trading indicators are used by many a trader and it is something that others can relate to. So, I make that part easy in showing how price correlates to the indicators. This can be very helpful for many as they learn the price action part of the method, which is where the real power of this method comes in at. The indicators do a nice job of confirming the method as you can see hundreds of times in the daily postings I put up.

What ever your method, be consistent in doing the same types of things when they are warranted. This way, you will be able to repeat your success as you move forward. I wish all my reader the very best.

Trade well and committed, Vince

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Stock Market Sell Off

Thursday, August 4th, 2011

Thursday, August 4th, 2011 we saw the Stock Market sell off. Down over 411 points at one time late in the session as I write this at 12:00 pm West Coast time.

Last week, I wrote about how Corporate insiders have been selling at the largest ratio since this kind of data was being collected, 1974.  The ratio was 13 to 1 selling vs buying. It may have gone unnoticed for some, but that was a big piece of news that should not have been taken lightly. That piece of news could have tipped you off to this stock market sell off. The extreme was recorded about two weeks ago now and it has proved to have been a good sign to sell at the top. Market sentiment had also gotten very bullish, to the point which was another warning sign. Those readings work in reverse as the majority is usually wrong.

Some will say, this is signaling another recession and they may well be right, that is assuming that we were out of the first one. For many people this has seemed like a depression, but will it get worst?  That is for the markets to decide right now and they will. I think we could see 1188 on the charts at a minimum, but you never know how fast it might come. The Fed may come in and decide to do QE3 and pump more money in the system and or they could drain it. They hold the power to move markets indirectly and it happens.

I did not post yesterday, but will put up my trades for yesterday and today. It was a quick session for me yesterday about 20-30 minutes, and it lasted a little longer today, about 90 minutes. Both days picking up my daily goal. I got a late start today and just as well. This gave me a chance to see what the markets real intentions were. Rally back up to fill the gap, or continue the down trend lower.                         Today’s trades here first

Yesterdays Trades

Note;  The trading indicators are not the trading method, but it is consistent with it. It makes for a nice confirmation and guide for sticking to a structured market trading plan.  You can and will know when you trade out side that, as the trading indicators will let you know and the market will often let you know by stopping you out for a loss as I did in today’s session with two trades.  I was able to come back pretty easily, when I waited for the trading method to tell me what to do. Following our emotions can be misleading and that is why having a disciplined approach will take you to your trading goal, that is, if you have something that works.

You need three things to happen to get the results we are looking for. The right “Time – Space – Energy”.  When you have the right time to enter, you have the trading advantage, when you have the right space or you can say, place on the chart, which takes up space, you have the trading advantage and when you have the right amount of stored energy, you have the trading advantage.

All three of those things work together to get you what you want, price movement and profit. You have the ability to harness those three things as they work together all for your advantage, if you know how to do it and do it consistently.

Having and keeping the mental advantage is just as important and the two go hand in hand. Here you need both as well, to get the whole picture working for you.

There is plenty a trader can do to get his mind in shape, with one being my free E-Book on “The Power of Concentration”.  It is on the front page of my website and is a great addition for those seeking to get a handle on focusing your energy to accomplish a desired goal. Its an easy and interesting read and its free.  I won’t be pounding you with follow up queries to do any more than your free request for the E-Book. If you have questions or comments, you can always email me, but that’s it. The book is just to help those in that area.

What ever your method or trading plan, be consistent or as best you can. That way if you find something that works, you will have a good chance to duplicate it again and again. If not, your efforts will be left to chance and we all know that is a gamble. Which would you prefer?

Trade well, trade committed.

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Timing your Scalp Trade Entries

Tuesday, February 1st, 2011

2-1-11;

Timing your scalp trade entries is the key in a day traders success. Trade management is also just as important, but first is your entry. Without a good entry, a trader will be fighting the trade from the get go. This will cause unwanted emotions and the mind games will have begun. This is some of the hardest things to overcome once a pattern has taken place.

If your entries are good from the beginning, you are not allowing yourself to give birth to the problems we at times face after the trade. If you take an unwanted amount of heat after your entry, you are not helping yourself in reaching your goals. I know there are those who say that what I am talking about is not possible, but I beg to differ. They only say that it is not possible because they have not been able to do, so it must not be possible for anyone else.

That does not sound like good energy to me. We need to enter our orders with a positive expectation that the move is going to go in our favor. If not, then we lean more towards the side of guessing and that is not a professional platform for us to move on. It becomes more of a gamble if we don’t solidly possess the trading advantage.

I am not willing to gamble. I don’t like the odds, never have. Every day, traders attempt to take on professional traders. They will either do it from a position of strength or a position of weakness. Which one will you be?  Get educated. It doesn’t have to be with me, but find your way through this maze.   To often we all at times think to highly of ourselves, which can only leave us open to overconfidence and a false sense of security.

We have all heard the term, “knowledge is power”. I subscribe to that thinking, because with new knowledge we can open new doors. One of those doors should be opening our eyes to new idea’s. What the majority is doing will not likely work for you. If it did, most would be making money, but they are not.

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In today’s trading, I only took two trades and pick up a few points. There was more to take out of the market for sure, but I shut down my computer and left for the rest of the day. This evening, I just turned things back on to write, as I see we had a big day. I have no regrets as I saw many other possible trades that could have been taken.

You will notice in the screen shot above, that the two trades I took had virtually no trade heat. That can only come about by knowing what to do and when to do it. It is not an accident as all the previous months and months of trades I have posted. Not every single day ends up positive, but the majority of them do.

Timing your scalp trade entries so that you have the move working for you right away is exactly what you want to see. Do this and you will have the advantage. Get educated. Find the answers and you will improve your trading results.

Best to you All !

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Day Trading against other Traders

Wednesday, December 15th, 2010

Today is Wednesday December 15th and the market pulled back a bit today with the Dow off -19 and the S&P -5 points.

Today we saw a little more action with the trading range expanding from the tight range of the past few days. That is welcomed by many I am sure. It can be hard to make money when the market moves are so restricted, but having a short term scalp model that offers small risk tied with small rewards works just fine.

If your trading model is only as such that you need the big swings to make money, what do you do when things quiet down. You can trade other markets and that is an option, but many traders prefer to trade what they know and will stay with it. I would say, if your trading model is not equipt to make money on small moves, you either need to stop trading until it changes, or trade something else that is moving. If you force trades in a low volatility environment, you will only loose money.

Knowing how to trade in any condition, trending  with nice multiple point swings, or short choppy moves you can make money in either condition. Many traders do not like to scalp trade, as they say that is too hard. I would say that it can be harder at first, but after one knows how to handle the market by understanding who is moving the market, he can retake the trading edge.

What I mean by that is, traders trade against other traders. They are not trading against indicators. If you know how other traders will react under certain conditions, that is the first step in getting that trading edge. Knowledge is power and those that possess that knowledge have the power or trading advantage. That is what every trader needs, otherwise, you are entering a game with other professionals that feast on those who only think that they are ready to do battle.

That is not meant to put anyone down, by no mean, but to build you up so that you are ready to handle the challenges.

Their are four levels when looking at a market. Traders first are trading against other traders. Knowing what is their likely next move ahead of time and positioning yourself in front of them is first. There reactions is what causes the price to move, so you know ahead of time what they are thinking and their likely reactions will put you in the right position. The price only moves as a reaction to their actions.

That all translates into the price moves that we see on the screen and would be the second level. Again this is a reaction to the first. With that said, based off of these price adjustments we see follow through, played out onto the screen. That follow through with price, causes trading indicators to move and adjust. On time indicators will be the closest thing to price and that would be the third level. The last level is lagging indicators and those are behind price, sometimes significantly. This often is the one most traders are following to help them interpret the market and its direction.

In my opinion, traders need to be looking at the first level, which quickly moves into the second level to help give them the trading advantage. There are ways that traders can know with a pretty high degree of certainty, that price is going to react in a predictable fashion. This is first understanding the first level. We are not born knowing this and will have to be taught it. Some traders can stumble upon it, but it could take several years and or never to find.

There are ways to project where prices will go after you have entered, giving you a road map to follow, if in-fact you can hold on for the full trip. If not, scaling out along the way is a great way to reduce risk and lock in profits. When conditions say, just take 1 point, you can do that, knowing that you are not really risking any more than 1 point, a one to one ratio.

Most people who try and scalp trade any market can not find the lowest risk entry points to give them that low risk entry. One that will not come back against them, causing painful draw downs and stop outs. That is why I have called my trading method, Sniper Day Trading. I have been able to identify the low risk area’s where 1,2,3 points or more can be captured. The key is low risk. Their is a way, to not only find the low risk entries but project where prices will move too, very often. I have a few unique things that I do, that I have never really seen anywhere else.

I have never bought a trading method or system or service of any kind since I have been following the markets back in the early 1980’s.  I can’t say why, but I just never did. I discovered some unique things about the markets that most traders are never able to uncover and have put them all together to make up Sniper Day Trading.

I am proud of my accomplishments, but I am working towards a much bigger trading goal and know that I can do better. When I feel I am ready, I do plan on trading a significantly larger amount of contracts, but that can be a topic for another day.

I will pick this up form here in tomorrows post. Until then, Good Trading to all.

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New Highs for the Stock Market and it not over !

Wednesday, October 13th, 2010

Today is Wednesday October 13th, 2010 and the market is moving higher posting solid gains in the face of adversity, with +75 on the Dow and +10.25 on the S&P.

We saw more upside as I mentioned we would in the last few posts. We had a nice reversal day with yesterdays gap lower and then higher close. That is a good sign in a bull run that their is more to come. I have a few targets that I called out many weeks ago. I called 1225 or better on the S&P and we are not really that far from it now, with today hitting 1181. My big mantra for a bull move surprise started when the S&P was hovering around the 1040 area. That is now 140 S&P points higher. It has take a little while but we finally are over the long term weekly resistance that was over head and on to the upper end of the target area I called for in late August. You can go back and read my posts, as it was overwhelmingly pointing to a surprise rally taking most by surprise. All during that week of consolidation back then, I was commenting on the coming move again and again.

The third week of July was when I was getting strong indications of a major move up. We saw that for a few weeks and then a correction which set up this longer advance and here we are. Take it one day at a time and know that the trend is up, until other wise notified, by the market. The price tells all and indicators are only a reflection of what is happening within the price. So, if you learn how to read the price, the indicators will only confirm what you already know. If you try and learn the indicators, you will never know why they are giving buy and sell readings and you will be confused with which one to follow. If you know the language, you will posses the trading advantage. That is what every trader needs. Without it, you are only guessing and the odds of long term success do not show well with this.

The stock market is fractal in nature, which means what ever time frame you are looking at, you should be able to see, read and learn what the next move of the market will be at select times. No one will know ever twist and turn and we don’t try and figure out every wiggle, but when the language becomes very clear, as to its next move while keeping your risks low, that is when you move. At that time, you posses the trading advantage.

In today’s trading I hit just a few trades, all winning moves, but just small. I was in scalp mode and just wanted to get a few points and be done. I only spend 30 minutes at it today and got what I needed.  I totally saw exactly to the tick 1181 as a potential high for today’s market. I thought of trading for it on the second have of my last trade, but I did not have my chart set up for that. If my target gets hit, my stop will automatically cancel itself and I could actually walk away from the trade and be OK, but I did not have it set up for that this time, that was fine and just closed it out and left.

I am trying to finish up a few things and it is time consuming. I may share more of that later, but it is not trading related. People in my area need help, and I am making myself available to them. This is what I love about trading the markets. You can put in a little time, get rewarded and move on. That is one of the big benefits of being able to trade. You are able to get a modest goal or return for the day and go do something else. “Time Freedom”.  With it, you have endless options as to what you do with your free time.

So, don’t give up. If you have it in your blood to master trading, in what ever form, keep trying, but be responsible with your passion. It is hard to trade with funds that are not part of true risk capital. Just getting to that spot, can really help your own trading. It will help you relax and take the edge off. That is not to say, you can be reckless and loose, but just the contrary. If you are not worried about other obligations, it is a lot easier to get to where you want to go. How ever you proceed, take your time. Going to a 4 year college is expensive and many times, you don’t really have all you need to succeed in the real world. So, if you can allot extra time to what ever you think achieving your goals will take in your trading pursuits, you will also be releasing pressure off of you expectations and this too will help you in the long run.

We are trained to get what we want and get it now, unfortunately, being apart of a small minority of traders who can pull money out of the market will take time and dedication. I truly believe, for those that want it badly enough, they will find it eventually. It may be that you have had to put your dreams on hold now and then, but with the right method, you can prosper. That does not even have to be my trading method. Their are good approaches available, but knowing which is good and which works, is another thing. All I know is, that what I do works and can be duplicated.

If you have questions and want to know more about what I do, or just need some advise, drop me an email message and I will do my best to help. If you have questions about what you are doing, and want my advise, I will help where I can.

Good trading to all, Vince

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Market Rally Feels & Looks Strong

Sunday, September 5th, 2010

This post is for Friday’s market September 3rd, 2010 as the market closes strong into the close and sits on major resistance.

That is how it is right now, as the market is sitting on big resistance in the 1100 area.  This is like a self fulfilling prophecy, as this was the likely target area we were to trade to from last weeks markets lows. This was clearly defined in my blog postings with a few warnings to help us keep our eyes open.

We have come all way up to this temporary resistance level and now what?  In Thursdays posting, I had said it would be natural and normal for us to trade back down for just a spell, until a likely breakout above the 1100 area gets taken out. I wrote that just before I saw the new readings on investor sentiment, with my alert at the bottom of the post. Given that development and the fact that the market closed strong into the close for a second day, I would have to give a bias to the breakout occurring right here from this level without the pull back. If that happens and it is looking likely, the next area of major resistance is about 400 Dow points higher and a bit more for the S&P to around 1160. It could be a few points more or less, but this area is where we will likely go to very quickly if the 1100 area is broken to the upside. I would have to give it about 80% likely it is going to happen from here. Either case, if we pull back to the middle of last weeks trading range, I still believe that we are going to see higher prices and that likelihood is +90%.

So, either way, I think we are going higher, which is good news for the bulls and those who want to try and get a better price on their equities. I don’t think we are in a long term hold here, but again, all of this is just my opinion and take it with a grain of salt, so to speak. Their is another level I do see as the next level of resistance and could then be the ultimate trade to level. This could take several months to complete and do believe we do have a pretty good chance for this to occur. For right now, I see it as the most reasonable and likely place for prices to travel and that would be, S&P 1245 or so. It could be a little higher, but this is just a touch light, just in case it comes up short.

Over the weekend I showed my students how I had come up with all of these price targets and projections as so many of them have been right in the past. They may not be right in the future but we can only base our price projections from where we are today and given the current trading environment.

I had showed how I came up with the short term top in the S&P in May of this year and how we were able to spot the March 2009 lows in the Dow exactly. There is nothing out there that is absolute, but we use what we have to give us the best possible projections and go with it until proven wrong.

That is how we are to look to the short term swings within  the trading day. Each day, the market gives us clues as to what it will do next. We need to be able to read the signs and clues and exploit those readings, thus giving us the advantage. We need to have the advantage or trading edge so when we put on the trade, it is not a gamble, but a very high percentage trade. If you don’t poses a consistent statistical advantage, placing a trade long or short then just becomes a gamble.

If a trader does not have a set established trading method that posses a statistical advantage, he is just gambling. That was a hard one for me to deal with at one time, as it brings into play many other moral aspects or trading at all. The only way around it, is to be one of the “investors”, (is a better word) who has done the hard work to bring him or herself to the point that they consistently are able to posses the trading advantage over the other traders who do not see what you see or have done the work.  Having a proven trading method that looks at all of these things is what is needed.

I am a firm believer that all traders need to learn and understand how and why the price moves, or better stated, price action. It is there that all of this comes together. Knowing and having a solid and often unconventional way of looking at support and resistance that is not obvious to the masses, is essential. With that, you will see things that you never knew existed and come to be able to trade any trading instrument in any time frame with a trading advantage.

I don’t often show much of any of this in my blog writings, but on occasion I do show just a little. The market posses a natural rhythm that we all need to be in tune with. Its all found in the price structure of each instrument. I remember a movie called “National Treasure” with Nicolas Cage. In that movie their were clues and signs that lead them and their pursers in the direction of the treasure. The things that were obvious were really of no value, but the unconventional idea’s or signs that kept them thinking and expanding their minds is what lead them to the treasure.

Trading successfully is similar to this. The answer is not always so easily seen. If it is, it will probably not be of very much value. So, we need to look beyond what knowledge you now may hold, to help unlock the secret of profitability. Do not forget we can often be our worst enemy from reaching our goals, so controlling things like greed is essential. That is a hard one for many of us, but we need to ask ourselves, what we want from the markets. To make a steady income or try and get rich as fast we as we can. This is a process that first starts with that question.  What do you say?

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Fridays trading below. I had an OK day, but I did struggle just a little as I got caught up in some slow chop, which caused a few small losses. This could have been avoided by trading the early open, which we saw some easy and obvious trades with good moves tied to them. I was getting a bit tired as the session carried on and did have a bit of indecision on a few trades but I snapped out of it and did pretty good overall. It wasn’t a perfect day, but that is how it turned out, the good the bad the ugly. That is trading. Enjoy the rest of the long weekend.

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