tech/a
No Ordinary Duck
- Joined
- 14 October 2004
- Posts
- 20,397
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Tools?
Yep. Funnily I use a DOM but don't like the new price action tools. Partly cuz i trade thinner order books and can see what I want to see without any extra bells and flashing lights.
You only need to know what you need to know. But as you have said that is the journey.
Tools?
proctical application
YepThe newer tools are the bookmap style heat maps I referred to....I believe.
On an interesting note, I have a mate that was trading prop in Europe, mostly spreads...I asked him if any of the outright directional traders in Europe were using bookmap, his reply was that almost all of them had started using it immediately as it became available on TT.
We all have - trading books. They rarely offer much practical help with trading. And sometimes they actually make reading a market and trading harder if you believe the nonsense. If someone with unknown trading ability writes a book and 1000s of other unknown punters purchase it and give the thumbs up you can fall into the trap of actually going looking for the rubbish you see printed without having a clue if the patterns offered an edge ever let alone in your time frame and market.
What are you doing each day to test and learn stuff about the market? Are you trading now? Live or Sim? Have you a reliable system for collecting what you actually are doing stats, thoughts, successes and failures?
Its better to spend 1 month testing real application than 1 month planning and talking about basics. Cuz if you are going to trade in a discretionary fashion getting your head around the basic stuff is years off from profitability.
IMO of course.
Ryan, you've received a lot of interesting info in this thread but don't let it distract you from your goal. I agree with TH in that you should continue trading your plan and see if you've are able to apply it in real time. You'll probably need six months before you'll have enough completed trades to start making some informed decisions.
As you're starting you must restrict your losses to small amounts and keep your portfolio heat at comfortable levels. A lot of small losses add up. That's why I use a market filter and don't start as many trades when the market is going down.
Your first task is to see if you can keep your losses small. If you can't do this, abandon trading.
Once you can keep your losses at comfortable levels then you can review the effectiveness of your chart selections, entries, position sizing and of course your exits. You may find that a basic understanding of EW or VSA may help in some of these secondary but important aspects. They may help you discover "your" trading style.
As tech/a as mentioned, "enjoy the journey".
Yep
Probably thick markets and a short time frame?
I am trading with the trend and I am buying on break-outs for both existing trends and trend reversal set ups - buying on the pullback makes me feel uneasy as it does not provide that level of confidence in comparison to a breakout.
Found GXY on the weekend (and last weekend too) when it peaked at $0.68. Last weekend I told myself to let the pullback happen to see if it test the previous resistance and jump in on the bounce off previous resistance if it does occur. Sure enough
Put a buy order in today @ .62 with a stop loss of .52
You've asked for guidance. Here's my first bit of advice. Stick to your trading plan.
Opportunity for an important review: Ask yourself why didn't you follow your TP?
ps: Every trader reading this has tried to fit/justify a "gut feel" impulse trade to their TP. We all did it when we started out.
If your gut feel trades are overall profitable, then I'd suggest two equally probable options. Either you don't keep records and only remember your winners or your intuition has spotted a pattern that you have not consciously identified yet.
You cannot back test a discretionary trading plan??Trading Plans....
If you change your trading plan you will change the effectiveness,which may not always be for the better.Therefore,each time you change a trading plan,you need to back test it to ensure it works for you.
Yeah sure you can test ideas but you are kidding yourself if you think a trading plan thats discretionary can be anything but forward tested in real time.You can back test certain aspects.
You can back test a lot
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