CONSISTENCY
Hi,
I read some of you reported losses this week. What happen?
Did you lose your consistency?
This is a common problem with many traders. It is very difficult to maintain consistency to be a profitable trader. To be consistent in our trading that requires a clearly defined trading method and the discipline which goes with that method. Trading TMS 4H requires a certain setof discipline. Also it requires sufficient trading capital, a proven money management and trade managementskills, and a lot of self-control in how you manage your emotions while trading.
When you mix different rules from different methods when trading TMS 4H, you are bound to make some mistakes when you do not separate the trading methods rules and some of the rules are timeframe dependant.
Trading H1 and M15 , there are different rules. I hope you all realised these and stick to one method for trading different timeframes.
PATIENCE is one of the several cause of inconsistency.
What cause you to be impatient when you trade?
Impatience could come from your lack of clearly defined trading methodology and the understanding of it. You may think you know TMS 4H trading method well enough, but when you see the price bars moving in real-time, you are not really 100 percent if that is TMS setup. But you jump into a trade.
Boredom is the common cause of impatience and inconsistent trading. Many traders just want to open trades when they boot up their PC and fire up thier trading platform. They don’t really have a trade plan for that trading day or session. They simply don’t want to miss anything when they see price move on their chart. Some are even afraid of missing that expected ‘big move’ when someone had mentioned.
Until you know what are the causes for your impatience, you will not be able to solve that.
You need to know how many trades you should have per trading period for you to achieve your financial goals. For 4H swing trading, all you need is 5 good A+++trades every 20 trading days. I am not talking about one month but 20 trading days.
These A+++ trades will give you the multiple Rs when you use a proven money management and trade management method.
Therefore think of looking for that 5 A+++ trade every time you open up your trading charts.
You must have the skills to trade different methods during the same trading session. If you are trading intraday using H1, your rules for entry and exits are different from H4. So unless you know how to reconcile different methodsand blend them into one, my suggestion is that you do not trade multiplemethods in the same trading session. By blending, I mean entering a trade setupbased on H1 trading rules, then when the trades goes in your favour and you seea 4H setup, you convert that to a 4H trade and manage it as a 4H trade. You may consider to re-do your position sizing and make add-on positions which I do often
Note:A trading session is not market session. It is the defined hours you have availableto trade. Usually this must also coincide with one of the market session, for example the London session or the overlap hours of London / New York sessions.
Just focus in picking those A+++ trade setups and gradually you will develop patience in an unconscious state. It is about the QUALITY of your trades and not the QUANTITY of trades.
Ido not recommend trading M15 timeframe as it requires very different setups and rules. I know a few members tradingM15 has damage many traders confidence over the past year. They have not recovered their losses and drawdowns since.
Take care and trade carefully next week. It it the crossover week with one week candle straddle two months - April month end - May new month open.
Regards,
EMMANUEL
Hi,
I read some of you reported losses this week. What happen?
Did you lose your consistency?
This is a common problem with many traders. It is very difficult to maintain consistency to be a profitable trader. To be consistent in our trading that requires a clearly defined trading method and the discipline which goes with that method. Trading TMS 4H requires a certain setof discipline. Also it requires sufficient trading capital, a proven money management and trade managementskills, and a lot of self-control in how you manage your emotions while trading.
When you mix different rules from different methods when trading TMS 4H, you are bound to make some mistakes when you do not separate the trading methods rules and some of the rules are timeframe dependant.
Trading H1 and M15 , there are different rules. I hope you all realised these and stick to one method for trading different timeframes.
PATIENCE is one of the several cause of inconsistency.
What cause you to be impatient when you trade?
Impatience could come from your lack of clearly defined trading methodology and the understanding of it. You may think you know TMS 4H trading method well enough, but when you see the price bars moving in real-time, you are not really 100 percent if that is TMS setup. But you jump into a trade.
Boredom is the common cause of impatience and inconsistent trading. Many traders just want to open trades when they boot up their PC and fire up thier trading platform. They don’t really have a trade plan for that trading day or session. They simply don’t want to miss anything when they see price move on their chart. Some are even afraid of missing that expected ‘big move’ when someone had mentioned.
Until you know what are the causes for your impatience, you will not be able to solve that.
You need to know how many trades you should have per trading period for you to achieve your financial goals. For 4H swing trading, all you need is 5 good A+++trades every 20 trading days. I am not talking about one month but 20 trading days.
These A+++ trades will give you the multiple Rs when you use a proven money management and trade management method.
Therefore think of looking for that 5 A+++ trade every time you open up your trading charts.
You must have the skills to trade different methods during the same trading session. If you are trading intraday using H1, your rules for entry and exits are different from H4. So unless you know how to reconcile different methodsand blend them into one, my suggestion is that you do not trade multiplemethods in the same trading session. By blending, I mean entering a trade setupbased on H1 trading rules, then when the trades goes in your favour and you seea 4H setup, you convert that to a 4H trade and manage it as a 4H trade. You may consider to re-do your position sizing and make add-on positions which I do often
Note:A trading session is not market session. It is the defined hours you have availableto trade. Usually this must also coincide with one of the market session, for example the London session or the overlap hours of London / New York sessions.
Just focus in picking those A+++ trade setups and gradually you will develop patience in an unconscious state. It is about the QUALITY of your trades and not the QUANTITY of trades.
Ido not recommend trading M15 timeframe as it requires very different setups and rules. I know a few members tradingM15 has damage many traders confidence over the past year. They have not recovered their losses and drawdowns since.
Take care and trade carefully next week. It it the crossover week with one week candle straddle two months - April month end - May new month open.
Regards,
EMMANUEL
Honesty is a very expensive gift. You wont find it in cheap people.WBuffett
