High Probability

I read recently how a professional trader who strictly follows his discipline considers a losing trade as simply a business expense.
A bad trade is one that is taken not following the system.
A losing trade that is taken following the system is simply a business expense.

a perfect landing

okay the trend is confirmed on the 5 min as down
appear to have missed a large move down when seen on the 1 m but without confirmation from the 5 m the risk is very great that it will not actually trend.
tgt would be r1, or 200 ema..
not a clear entry signal on the 1m, but trading below 200 and rsi is strong bearish..

it is a relationship.
just see,
by remaining faithful
such a nice reward....
this may seem silly,
but I feel love for my trading system...
how could be so foolish as to cheat???
+13 pips +21 pips for being faithful
-19 pips for running after who knows what....

okay, I'm here at work it is slow, very slow, and watching this huge move down in EURUSD, but ....
I have made a promise not to trade at work...
Soooo.
I'm just watching it, reading some mags, having a little fun with http://www.forexfactory.com/showthread.php?t=166501
and trying to keep my focus.
Sacrifice for a higher purpose.
No trading during work, for higher purpose of becoming disciplined and professional.
No counter trend trading. same principle.
And to strengthen my relationship with my trading system.
The trading system is actually an extension of myself..
So to disrespect it is in fact undermining myself, my own efforts...
These things are very subtle but no less real and influential...
the system is not a one time effort it is an effort to create an entity of sorts that will function repeatedly.
My creation. I am seeing how personalizing will help me to stay focused. I am not dealing with just dumb inanimate figures and cold stiff laws and rules, I am dealing with a living breathing extension of myself...clothed in mathematical rules and pattern perceptions...
Extreme view? perhaps...
But certainly not boring...
My system is myself... and expression of myself... and expansion of myself... To disrespect it, or minimize it is to disrespect and minimze my self. To cheat is to cheat my self. That is not to say improvements or changes cannot be made. Respectfully and with full consideration...
So I am watching the big downward move in EURUSD and will wait until later when I am home in the trading room to see how to trade.

I know exactly what you are saying Jiva, remember what I told you awhile back. You, yourself is the last piece of the puzzle to figure out. Your system is set. Rules are in stone. Now it is up to us as traders to trade as a trader and not a "being" with emotions. I think you almost need to be drone like to trade successfully. I myself am going through the same problem at the moment. Except, I have not been as faithful to my system. I keep changing it. I have become a "system whore" i guess, to the point I don't trust my system. I spent all day yesterday trading my new "mistress" system and not trusting it. I failed miserably. But I am going to trade the same systems again today ( I have 2, one for M1 and one for M5) and both systems I witnessed 2 combined false signals. I was in a ton of moves yesterday but did not let my system work. If I would have followed the rules and let the system work for me, I would have had a banner day.

Anyhow enough of my long winded post. You are getting there. Keep up the great work.

Lohad

entered on a valid signal, 5 min uptrend with macd divergence, 1 min signal, complete with rsi 5m and 15 confirmation, tgt s1..
then a retracement, that seemed to take for ever,
time for doubts to creep in, 5 min uptrend never breached, tested but not breached..
finally a move to the upside, and at the first opportunity I jumped out, for no reason other than whew, not a loss, but it was for 0 pips...
the move proceeded toward the target s1 and 25 pips, without me...
so here I have another hurdle, my trading system is an extension of my self, it works, it is a very good system,
but I am still new to it,
like a baby trying to learn to walk,
I am ever amazed at how accurate the system actually is
and ever amazed at how inept I am at using it.
the system is an extension of myself, but I am very clumsy...
Like a baby trying to put food in their mouth, it goes everywhere but in the mouth..
or for a westerner like myself to learn to eat with chop sticks..
The system is still like something foreign to me, but it is not...
Like an organ transplant, I have some immunity issues..
I am trying to use it and at the same time I am rejecting it...
Do I feel threatened by it? Do I not trust it? Is it a control issue? That if I surrender to the trading system I somehow will lose control? Down with organized trading!!! Down with the system!!! Let anarchy prevail!! I will retain my individuality!!!
But the system is an extension of myself.. It is not a threat to myself it is an enhancement of myself for a specific purpose.. A tool.
Down with hammers and screwdrivers they threaten my sense of control. They can do something I can't do with my bare hands. Who needs them!!!
I am remembering the feeling of helplessness I felt when I first starting using a computer. I had to learn to think a different way from what I was accustomed to. Organized. Logical. If I did that then we could communicate very nicely, the computer and myself. But it was on the computers terms, not mine.
So my trading system is like that, logical, organized. I must learn to communicate with it on its terms. Not mine, illogical, irrational, disorganized, impulsive. These forces will not get the desired result in trading. A cat with ball of yarn has no useful purpose to serve in the trading environment.
Other than comic relief......

I will stick to this..
I must.
Here's the thing
When I become good enough I can quit work..
trading will be my work...
Then I can trade London open no problem.
But I can benefit from practice so I will practice in the demo..
when it is slow at work, the test will be not to take a real trade even when the demo is going great guns..
My own integrity is at stake here.
I am not interested in a quick buck,
I am interested in a sustainable trading strategy..
A quick buck always opens the door for a big loss....

trend down on 5m
signal on 1m.
am trading as signal provider in zulu so cannot show screenshots
not a live trade but I can use these trades to build up a trading history in zulu..

pa went to within 1 pip of the exit.
support is there on 5 min because the 200 ema is just below the pivot.
and there are most likely some orders waiting at the 200 ema,
so after a little retrace I would expect more downside at least to retest the pivot and then probably to continue on down to 200 ema on the 5.
stop is just above the hi on the 5m.

-11 pips
tgt was almost reached
the downtrend on the 5m was actually a countertrend on the 5,
although i was trading the 1 min and so for the 1m I could consider that a downtrend and tred down on the 1m,
but the move was not very strong and reversed quickly so I missed the tgt by 1pip and ended up with a loss of 11 pips...

I will look for entry long signals
should be a fresh signal on the 1m to minimize risk

stop just below pivot
tgt 200 ema on 30 min
little impatient
better to have waited for a clear signal on 1m
now there is some retracing.. probably to the 200 on the 1m
would have been a better entry point,

the rectangle shows what I should have waited for, the start of a fresh entry long signal, with minimal risk...
practice practice practice

stuck between the 200 above and just below the pivot on the 15 minute
consolidation... after all it is fed day, maybe gonna stay right here all day... non farm, ism and oil data come out later... then the fed..
for defining a trend I may go up 1 time frame higher,
to the 15 minute...

I entered too early, impatient.
the entry point did manifest,

tgt on the 30 m
200 ema

if we get another pullback, I will open another long position...

difficulties in closing, hit the close button twice and twice it just stared back at me like, huh?
so many obstacles.
would have been out with +13 pips and happy
now I have to sit through some retracing and with that there is always the added risk of a reversal..
it's only a demo linked to zulu so it's not a market maker fretting over $.10 per pip.

try something I have not been accustomed to do, but know is what professional do
let me add to my position on this pullback if there is a valid signal....