This is a Guest Post from Rolf @Tradeciety (He has some of the best content and trading graphics on twitter). “You only learn from your mistakes” is a very dangerous and misleading statement. And at the same time, it is totally wrong. In fact, there is so much you can only learn from your winning […]
What Your Trading Results Can Teach You. Read More »
Today I would like to explore three concepts in trading that many traders have never thought about. Fragility, robustness, and anti-fragility are concepts that describe a trader’s psychology, risk management, and method. Here are some general definitions: Fragility is a word used to describe something that is easily broken, shattered, or damaged. It means
Traders Must Bend But Not Break Read More »
I have fielded many questions since the announcement of New Trader 101, and while I am happy to answer email, I thought that other folks may benefit from the answers. Q: Why did you make an e-learning course? A: I have been asked on a daily basis if I will create a course for
FAQ: New Trader 101 E-Learning Course Read More »
There is a big difference between a trader and a gambler. Many people think they are traders when they are really just gamblers that could get better odds in Las Vegas betting on the roulette wheel than what they get in the financial markets. The difference between a trader and a gambler is similar to
10 Keys to Being A Trader, Not A Gambler Read More »
“You don’t trade the markets; you only trade your beliefs about the markets.” – Van Tharp Just like there is no ‘Holy Grail’ trading system that never loses, there is also not one ‘best’ trading method. All trading methods have good points and bad points with advantages and disadvantages. Many traders make the mistake
What Is The Best Trading Method? Read More »
“It’s not whether you’re right or wrong that’s important, but how much money you make when you’re right and how much you lose when you’re wrong.” – George Soros Looking at the below chart you will see that the bigger your wins are versus your losses the lower your winning percentage can be and
Why Big Wins & Small Losses = Profitability Read More »
When I asked my Facebook trading group what was the cause of their biggest trading losses, no one had any trouble remembering those painful and valuable lessons. These top 30 insightful answers will benefit new traders and provide a nice reminder for those with more experience. “What was the cause of the biggest draw downs
35 Top Destroyers of Trading Capital Read More »
This guest post is from: Christopher Ebert @OptionScientist There are two VERY DIFFERENT terms to consider when it comes to trading: 1) Prediction and 2) expectation (or confidence) surrounding the prediction. Placing a trade involves making a prediction. It is not possible to place a trade without making a prediction, and that is
Trading: Predictions vs. Expectations Read More »
“The answer to the question, What’s the trend? is the question What’s your timeframe?” –Richard Weissman One of the biggest misunderstandings among traders is the time frame on which they trade. A day trader can believe a stock is going down and be bearish on the intra-day chart, while a longterm stock picker is
5 Trading Timeframes Read More »
Trade #1 I shorted $IWM three days ago by buying $TZA at $13.02 when $IWM was near the 70 RSI on the daily chart. My stop loss was to exit if $IWM closed above the 72 RSI. My trailing stop is to stay short unless $IWM closes above the previous day’s high. There is
3 Trades Explained $DIA $IWM $SPY Read More »
