The single, most important thing you've learnt as a trader

[Mr J]

Yes, but the dots can only be connected in retrospect. Trading on the hard right edge, the next dot is unknown

Depends on which dots you're trying to connect. Connect the dots to how markets work, and then use that information to shift the probabilities in our favour. One path may only be known in hindsight, but maybe there's another path that leads there.

 

[overit]

Yes, but the dots can only be connected in retrospect. Trading on the hard right edge, the next dot is unknown

This is the basic premise of where I got bedazzled as a newbie. Took me ages to see thru the forest for all of the trees. I can pull a historic chart to pieces like you wouldnt believe. Patterns, support, resistance, waves, overbought, oversold and all the rest. Tell you the reasons for every turn and bend. Looks impressive but totally useless in real time. I thought all those smart people on the internet doing the same were trading it and making lots of money and I just need to get my plan better sorted coz I could do it too. WRONG!!!

Wasnt until I realised that you dont have a clue what is going to happen next until it has happened and that the future is just a game of probabilities. That was when the true step forwards began.

 

[kam75]

Ok, Ok I think we're getting a bit off the topic. This is an excellent response guys. So to summarise, we have:

1. Money management
2. Taking losses while small
3. Positive expectancy
4. Importance of time out
5. Market can do anything anytime
6. Recognize your mistakes
7. Never indulge in hope
8. Keep things in perspctive
9. Concentration, patience
10. Being humble
11. Ride the trends - (Ed Seykota would agree - Kam)
12. Define what success is, for you.
13. Do your own research
14. Use sound risk management
15. Lock in your profits when they're there (Ahhh, yes. A recent $85,000 dollar lesson. - Kam)
16. Accept that you'll be wrong.
17. Keep it simple you stupid!
18. Sticking to your plan
19. Contrary opinion
20. Always have a good exit strategy
21. Knowing when to stay out of the market
22. Control your emotions
23. Never average down.

Did we get them all? What about:
24. DISCIPLINE! (Eat an apple a day - Ed Seykota) -Kam
25. Pyramiding profitable positions to maximize profits in the trade.

A fantastic response again guys.

 

[ThingyMajiggy]

Great summary kam

I think another good one is Timing, Timing is hugely important in trading I believe, can be the difference between a winner and a loser.

 

[tech/a]

Kam.

Do you hold a securities licience or are you just skimming the populace here for Ideas for your seminars.
I'm sure we will see this list on your site nicely packaged as original thinking!

 

[kgee]

Kam.

Do you hold a securities licience or are you just skimming the populace here for Ideas for your seminars.
I'm sure we will see this list on your site nicely packaged as original thinking!

 

[BBand]

Hi,
I have not read the whole tread, just from #63 onwards

Hope the following has not been mentioned already, just trying to be helpful

1 Have a trading plan- without a plan you won't know what to do if/when abnormal conditions happen etc, etc ,etc

2 The market gives us three things, price, volume and time - if you don't use all three then you are short changing yourself

3 Don't take a trade unless the market proves your expected direction
e.g. suppose we see a stock in an uptrend, we get a bar to the downside on low volume - then trail a buy entry on the high of the bar, and subsequent bars (if the volume is still low), stop the low of the bar
i.e you do not enter the trade unless it has moved in your expected direction

4 Always have a plan on how to re-enter a trade which you have been stopped out on. Sometimes we need more than one entry to catch a breakout/reversal etc.

5 You don't have to wait for your stop to be hit, if the trade becomes doubtful - exit and look for a more promising trade

etc. etc

Peter

 

[cutz]

hehe...oh no
We could have a MM in the making : Don't join the dark side!!:vader:

Ha ha,

That's pretty funny, i'll be dicking around for half an hour before i can come up with a quote.

Nice pic BTW.

 

[Naked shorts]

Kam.

Do you hold a securities licience or are you just skimming the populace here for Ideas for your seminars.
I'm sure we will see this list on your site nicely packaged as original thinking!

fk why does the internet have to be full of these people!

 

[GumbyLearner]

fk why does the internet have to be full of these people!

Couldn't agree more!

Annoying as all f***.

 

[kgee]

And a big Heads Up to Tech/A

 

[tech/a]

Kam.

Do you hold a securities licience or are you just skimming the populace here for Ideas for your seminars.
I'm sure we will see this list on your site nicely packaged as original thinking!

I particularly like this touch.
An international muppet in our midst no less.

 

[ThingyMajiggy]

fk why does the internet have to be full of these people!

tech or kam?

 

[Naked shorts]

tech or kam?

kam

 

[kam75]

Kam.

Do you hold a securities licience or are you just skimming the populace here for Ideas for your seminars.
I'm sure we will see this list on your site nicely packaged as original thinking!

Now why do I seem to detect a taste of sour grapes in your post tech/a?

 

[kam75]

fk why does the internet have to be full of these people!

Agreed Naked Shorts. Have to be careful what you say on this forum

 

[sails]

Now why do I seem to detect a taste of sour grapes in your post tech/a?

Kam, I think it has left a rather sour taste for many ASF members. Most here are generous in their posting to help newbies or those struggling. But if you are posing as someone needing help while blatantly milking that information for your own financial gain, it doesn't sit well with me. And then, on the other side of the fence, you seem to be posing as an expert in trading.

Kam, where is the truth?

 

[Timmy]

Geez folks ….

Kam is a regular contributor to the forum. Sure, he offers some sort of service to people, but he doesn’t do it surreptitiously, he has a link to his business posted clearly in his signature. He is upfront and honest about it, if you ask me.

He asked for some input, and plenty of people came forth with their opinions. No-one had a gun held to his or her head to post an idea.

 

[tech/a]

Timmy.

I have this thing about people who pass themselves off as something they aren't. Must be as a builder I cant handle unlicensed morons offering to the public that which we licenced people do with all the costs and verification we who are licensed have to go through.

Nothings more regulated than the financial industry and Joe unwittingly is allowing an unlicensed spruiker advertise on his site.
This is a clever Kam as he is posting US trades on his site and doing seminars O/S.

The guys evidently a "Professional Trader" who---if you take the time to have a look at his posts you'll note that there is little in the way of "giving" and a great deal of taking.

There are copious amounts of woe is me why didn't someone tell me about charlatans---I smell a rat so I post a comment---why would a "Professional Trader" act dumb and start a thread lick this,not even expanding on his comment.

But hey if you think this fine so be it. I expect that free advertising will then be allowed. If he wants to remove his link then OK by me.

Thought the retort was pretty poor!

 

[Timmy]

Understand what you are saying Tech.

I suppose one of the things that annoys me the most is the spruikers who come onto the site posing as satisfied customers or as making enquiries about such-and-such trading seminar/software/product, all the while just plugging their product & the dishonesty of doing that. Kam75 hasn’t done this.

As to the unlicensed aspect of his product; the importance of having an AFSL is something I think we advocate strongly on this site, and while I believe having an AFSL (these are often just ‘rented’) does not guarantee that a financial seminar/software/product/newsletter/whatever will be appropriate for everyone, or even of any use whatsoever, it is a reasonable starting point from which to consider a product offering.

The other points you bring up are going to very useful to anyone assessing whether any such financial seminar/software/product/newsletter/whatever is potentially of use to them.