DislikedDear all, I just had a meeting with a very experienced trader. Actually he is a golden boy. Head of exotic equities trader in Citi bank and he has been head of Europe trading exotics in Stanley and Morgan. He now has his own hedge fund in London so I arranged a meeting in his summer house next to my place. I wanted to take his opinion about our strategy... If you have watched any video of Antony Kreil you will understand what it was like...my mind is completely blown . He talked about being crypto-long or crypto-short in a position ....Ignored
I agree with your friend to some degree. We cannot beat institutional money and algos ( not on a large platform anyways ) - however we have an edge they do not have. that is that we can enter the market or choose to sit on the bench. They cannot sit on the bench and wait for perfect entries they have to get to work always. We can get into a trade once the direction is confirmed ride their push and out quickly and before its finished. I would hazard a guess as to why Kostas1 makes his daily target in 3-4 trades then leaves it alone.. he knows that institutions move price to suit their requirements and provide liquidity. 10-15 pips is better than none and Break even is better than minus 20... these small wins add up over 200 trading days to massive wins when compounded. If we get in and out cleanly then we can win in the long term by taking short term targets and staying in control psychologically and following a plan/strategy with iron discipline. Every time i have lost a trade that hurt, i have moved a stop or entered or exited on a hunch outwith my plan... if i lose and i executed the plan then it doesn't hold any emotional pain for me. I just move on to the next.
We have to hold to a plan that suits us individually. Its been proven time and again that people with exactly the same plans do not make the same outcomes. I use parts of this and what i have learned on this thread but i incorporate it with other things i have learned from other books and other threads and conversations about trading with others. I am thankful for these learning opportunities every day. I also like people with opposing views. I love to try and understand why they have those views - maybe they know something i don't and maybe i can incorporate it.
i said on another thread on Friday to someone else- i say this daily to myself and its stuck with me for years
" we win or we learn" when we lose a trade we have an opportunity to learn why - sometimes it means nothing and we must lose in this game as no one has a 100 percent win rate - but we must humbly accept loss as part of our plan, even when we lose a trade we win in the end if we can understand the learning opportunity"