In the rambling I have written so far, I tried to impart some of the variables that I believe are essential to trading. The great majority of trading books and courses available today focus almost exclusively on indicators or entry strategies.
Other areas of like money management (which I didnt discuss in this text, as it would take way too long), trading psychology, planning and organisation, trade management, and other areas are virtually ignored. Yet these aspects to the business of trading are just as important as market analysis and entry strategies.
I truly believe that trading is one of the most rewarding, yet damn challenging, professions there is. It challenges an individual to continually strive for perfection. It dares us to explore the mysteries of our being, to acknowledge our weaknesses, change our behavior, and cultivate the habitual patterns of behavior that leads to excellence.
The professional trader is always focused on improving performance and gaining the extra edge. This almost always entails a high level of dedication, commitment and discipline. Hard work is a must.
I shamelessly admit to *borrowing* the best techniques, methods and approaches out there and incorporated them into my own trading style. I have read countless of books on trading and investing, have taken dozens of trading courses, and have paid tens of thousands of dollars on my trading education over the course of time. 90% of all that I learned was useless to me. But that remaining 10% made the difference.
Remaining true to my simple approach and philosophy of fanatical capital preservation, I was able to put together a methodology that cuts to the core of the most successful trading methods out there. I strive for simplicity in all I do – which is very important, since I integrated many methods and techniques into my approach. Multiple trend analysis, cycles, time and price (support and resistance) analysis, pattern recognition, low risk entries, trading with multiple contracts for the maximizing of profits and limiting of risk… trade management, risk and money management… as well as essential concepts of trading psychology, behavior modification, and the cultivation of a winning attitude.
This approach has worked for me, and has allowed me to make my living exclusively from trading.
I share this with you all simply to point out that it all has not happened overnight. The road to trading for a living was a difficult one. I made many mistakes. Both in trading and in my personal life. But gradually I learned, and I tried to cultivate methods that made sense, was effective, and limited my risk.
Keep it fun and simple… yet be responsible and disciplined. Have patience and wait until you are ready to trade.So it is with all traders. Be patient and give yourself a good amount of time to learn what needs to be learned. To change what needs to be changed.
Practice, practise, practise. Papertrade as realistically as possible. Develop your confidence in your own compilation of methodologies, always have a plan, and stick to the plan under all circumstances.
Minimize your risk, preserve your capital. Do not trade money you cannot afford to lose. Go slow and easy. Keep it fun and simple… yet be responsible and disciplined. Have patience and wait until you are ready to trade.
When you start, be patient and give yourself time. Dont be hard on yourself when you make mistakes. Just learn from them and keep on going. Keep your head up and stay positive and focused.
If you took the time to prepare yourself, to test and papertrade a method realistically, you will do okay with time… once you overcome the psychological aspects of the business.
My well is running dry. Wish you all the very best in trading and in life.
Till next time,
Fuck. Thirsty now.
This concludes the Long Trading Related Ramble series of articles.