I just wanted to say thank you for this thread. I've spent the past 10 years trying to learn this business. Worked my way from Penny stocks to normal stocks to futures to normal stocks again combined with futures. I have had my share of ups and downs (mostly downs).
I hardly ever post on FF, but my reason for posting now is that your thread is probably one of the best I have seen on here. Thank you for your advice, teaching, and patience. I have already composed a PDF of about 100 pages with your charts and knowledge from this thread contained in it. I plan to read and re-read through all of it many times.
Sweetaction, I just wanted to say thank you for this thread. I've spent the past 10 years trying to learn this business. Worked my way from Penny stocks to normal stocks to futures to normal stocks again combined with futures. I have had my share of ups and downs (mostly downs). I hardly ever post on FF, but my reason for posting now is that your thread is probably one of the best I have seen on here. Thank you for your advice, teaching, and patience. I have already composed a PDF of about 100 pages with your charts and knowledge from this thread...
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Totally agree with you Atreides! I feel the same.
SuperP
Sweetaction, I just wanted to say thank you for this thread. I've spent the past 10 years trying to learn this business. Worked my way from Penny stocks to normal stocks to futures to normal stocks again combined with futures. I have had my share of ups and downs (mostly downs). I hardly ever post on FF, but my reason for posting now is that your thread is probably one of the best I have seen on here. Thank you for your advice, teaching, and patience. I have already composed a PDF of about 100 pages with your charts and knowledge from this thread...
Ignored
Atreides and Super P
Thanks for saying thanks, its nice to know I am appreciated for the effort.
I had a couple of people teach me in the early days, and whether we like to admit it or not we all need to learn at some point. In some ways computers has made this business much easier but in other ways they have added a whole layer of complexity and confusion that dosen't need to be there.
As I keep saying stick to price action, learn exactly what the market is really telling you and only take the high probability trades, don't be afraid to kill the losing trades and you will do fine.
GBPCAD sitting right on the buying wick now see how this plays as well Simon
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GBPCAD
As telegraphed yesterday you could of bought at 18120 last night and got 80 on this for a 15 to pip SL, its hasn't broken through the channel so you also now have the option if you took that trade to sit and wait for it to do so.
As I always say whats the probability of the trade, there was nothing under 18120 for it to aim at but plenty left in the channel above it and heaps left above that.
GU
did nothing after multiple news events last night so we wait, grinding away so when it decides a direction it wants to go
I will again monitor for targets after that.
Simon
For those of you who took this trade its playing ugly but at least it in our favour. The entry should of been around 7720, a 25 SL did it for sure on this one
There is a block of orders between 7680 and 7695, if it gets through here next stop is 7672 - 7663. The big wick created from 7723 to 7737 will provide a level of comfort for those shorting from within this area, as the market will need some momentum to get back here.
I didn't take this trade yesterday, but I did post the chart yesterday pointing out the levels to look at yesterday and that's where price ended up with the top being 84.49
Check my chart from yesterday and note the high from yesterday and how that correlates to the wicks on the left hand side of the chart where the levels (note levels plural) for this pair were
This is very tradable low risk, high probability, even if this goes against you today you haven't lost you could still take a little now and set BE, if it runs down the hill its a good earner. Friday's in Asia are notorious for a buy in yen
setting up for a push back up through the first part of Asia, intrday high I have marked at 7717
should also say nothing in the news today, so momentum might be lacking, its friday and profit taking will be the motive.
If this pair comes down then I can see room for 7620 intraday, there will be a block of orders there. Its a used and abused level don't expect it to hold, expect slippage.
One of my hobby horses with trading is that charting is human emotion but its also a big part art, and that means you need to have an expansive mind, its why many many analytical people fail at trading because they see things to black or white, charting is not like that, lets have an example:
Ask yourself why price always falls harder and quicker than it rises, this is because fear is a greater human emotion than greed, people are greedy but can wait, if you are fearful there is no waiting. The best example I can give you is the fall GJ experienced at the end of 2008. This is a core human emotion, but its also art, cause people sell off hard then pause cause reality kicks in, they see what changes if nothing fear continues, this is the art part, where the human emotion will go next.
Of all the arts, theatre, movies, music etc, i think that music is the best and the reason I say this is that it forces your mind open, pushes happy hormones into your system, have you ever noticed that when driving in the car with music really loud how many ideas you have coming into your brain, when I first got into business I used to drive the long way to work so I could have more time to think.
As a trader, thinking is one of your core skills, this is the money maker, embracing the arts forces your mind open, makes you a much clearer thinker, so when you look at a chart you see things the average person wouldn't even know was there yet its right in front of them.
At my business office I have music on all the time. I encourage my staff to listen to it all the time. I reward my staff's ideas not their results, as results just happen if the ideas are discussed, validated, and acted upon. This is core to your business, a trade is nothing more than seeing what's really on the chart (idea) and then conducting the due diligence to assess the trade and risk, then putting it into practice. The result is a for gone conclusion for the most part if the idea is treated correctly.
If you haven't noticed by now then you haven't been paying attention, that during the course of this thread I have probably thrown out every convention in the trading books and that's because many of them don't work. My way is very different to how many will teach you to trade. I want to think about this:
If you are running a business and you do it the same way your competitors do it or how some book tells you too, what do you think your results will be:
that's rights average at best, at worst you go broke.
You have to open your mind to everything, be like little kids are, a great big sponge, if someonne tells you something question it. I have posted a lot of what I do on this thread, but do you notice the difference, and that is I back mine up with trades I am taking and have taken, so you know I am not just asking you throw out what the convention says. I am giving you the tools and then proving they work.
I had my grandson at the house the other night while trading and he is 5 now, and he was sitting up on my lap at the computer and do you know what he noticed on my charts:
He said Grandpa what do the different colours of the candles mean, I answered he thought about it for a minute, then he said how come some are bigger than others, do you see how at 5 even his mind is massively expansive that's because he hasn't been "Taught" yet to do things a particular way or think a particular way he is just letting his mind be open because that's the only way he understands at the moment.
So seeing its friday this is a good time to raise this, lets have a show of hands who got uncomfortable this week in trading.
- Who killed a losing trade cause they needed to protect their account.
- Who spent a lot of time analyzing a trade that didn't materialize but wasn't upset about it and who accepted this as spending time for the chance to make money (note the difference employees exchange time for money, business owners exchange time for possible money).
- Who spent a lot of time watching a trade and then watched it come back to break even and didn't feel bad about it, and just moved on to the next one.
- Who couldn't sleep cause they had a trade in the market and they wanted to keep checking on it. (this is a very bad habit by the way but again its human nature to some degree)
If the answer is yes to any of these let me be the first to congratulate you, welcome to owning your own trading/hedge fund business, every week your going to be uncomfortable at some point, don't see this as a bad thing learn to embrace it. This weekend I am going for a long bike (bicycle) ride tomorrow morning through the mountains behind the Gold Coast in Australia where I live, this is a beautiful and uncomfortable experience all at once, it forces you to dig deep, now you don't have to do hard exercise but I like to challenge myself to get out of my comfort zone, this is important for your success if you always do the same thing then the result will always be the same, get uncomfortable, listen to a different piece of music, expand your mind and horizons it will do wonders for your business.
