If you want to succeed in trading, you must have the ability to think independently.
Instead of asking “what” or “when”, learn to ask:
Why.
By asking why questions, you’ll come up with a hypothesis to your questions which brings me to...
Do you know what separates professional traders from losing traders?
Here's my answer and it's not what you think...
If you want to succeed in trading, you must have the ability to think independently.
Instead of asking “what” or “when”, learn to ask:
Why.
By asking why questions, you’ll come up with a hypothesis to your questions which brings me to...
Just because you came up with a hypothesis, doesn’t mean it’s correct.
That’s why as a professional trader, you must validate your trading ideas.
You must get your hands dirty and do the work like backtesting and forward testing.
Most new traders enter trading with the wrong expectations and end up quitting trading altogether.
The truth is…
* You won’t make money every day
* It’s not a get-rich-quick scheme
* Learning curve is steep
No strategy works all the time, that’s why you manage risk all the time!
You can use stop-loss, options, position-sizing, etc.
A losing trade must be managed so it feels like an ant bite—not a shark bite where you lose a chunk of capital.
An edge is something you do repeatedly that yields a positive result.
It doesn’t matter if you have the best trading psychology, risk management, favourable risk to reward ratio, etc.
Because without an edge, none of it matters.
You might have a trading strategy that has an edge.
But after series of losses, you might start to doubt the strategy.
So:
* Have a trading account <50% of your net worth & risk 1% per trade
* Reward yourself for consistent effort, not the outcome
The market is always changing and your learning is never-ending.
Don’t let your P&L dictate how you feel.
Don’t be too happy if you’re winning as losses are always just around the corner.
Don’t be too sad if you’re in drawdown as there’ll be better days ahead.
Stay in control.
Your trading strategy won't work all the time as market conditions change.
This means you need to know when to stay in the markets and when to stay out.
You’ll learn new trading strategies & techniques to help you beat the markets.
Plus I’ll send you the ultimate guide to price action trading.
Click the link below to get started..
https://t.co/yxU28KEsML
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I’m torn on how to approach the idea of luck. I’m the first to admit that I am one of the luckiest people on the planet. To be born into a prosperous American family in 1960 with smart parents is to start life on third base. The odds against my very existence are astronomical.
I’ve always felt that the luckiest people I know had a talent for recognizing circumstances, not of their own making, that were conducive to a favorable outcome and their ability to quickly take advantage of them.
In other words, dumb luck was just that, it required no awareness on the person’s part, whereas “smart” luck involved awareness followed by action before the circumstances changed.
So, was I “lucky” to be born when I was—nothing I had any control over—and that I came of age just as huge databases and computers were advancing to the point where I could use those tools to write “What Works on Wall Street?” Absolutely.
Was I lucky to start my stock market investments near the peak of interest rates which allowed me to spend the majority of my adult life in a falling rate environment? Yup.
Ironies of Luck https://t.co/5BPWGbAxFi
— Morgan Housel (@morganhousel) March 14, 2018
"Luck is the flip side of risk. They are mirrored cousins, driven by the same thing: You are one person in a 7 billion player game, and the accidental impact of other people\u2019s actions can be more consequential than your own."
I’ve always felt that the luckiest people I know had a talent for recognizing circumstances, not of their own making, that were conducive to a favorable outcome and their ability to quickly take advantage of them.
In other words, dumb luck was just that, it required no awareness on the person’s part, whereas “smart” luck involved awareness followed by action before the circumstances changed.
So, was I “lucky” to be born when I was—nothing I had any control over—and that I came of age just as huge databases and computers were advancing to the point where I could use those tools to write “What Works on Wall Street?” Absolutely.
Was I lucky to start my stock market investments near the peak of interest rates which allowed me to spend the majority of my adult life in a falling rate environment? Yup.
"I really want to break into Product Management"
make products.
"If only someone would tell me how I can get a startup to notice me."
Make Products.
"I guess it's impossible and I'll never break into the industry."
MAKE PRODUCTS.
Courtesy of @edbrisson's wonderful thread on breaking into comics – https://t.co/TgNblNSCBj – here is why the same applies to Product Management, too.
There is no better way of learning the craft of product, or proving your potential to employers, than just doing it.
You do not need anybody's permission. We don't have diplomas, nor doctorates. We can barely agree on a single standard of what a Product Manager is supposed to do.
But – there is at least one blindingly obvious industry consensus – a Product Manager makes Products.
And they don't need to be kept at the exact right temperature, given endless resource, or carefully protected in order to do this.
They find their own way.
make products.
"If only someone would tell me how I can get a startup to notice me."
Make Products.
"I guess it's impossible and I'll never break into the industry."
MAKE PRODUCTS.
Courtesy of @edbrisson's wonderful thread on breaking into comics – https://t.co/TgNblNSCBj – here is why the same applies to Product Management, too.
"I really want to break into comics"
— Ed Brisson (@edbrisson) December 4, 2018
make comics.
"If only someone would tell me how I can get an editor to notice me."
Make Comics.
"I guess it's impossible and I'll never break into the industry."
MAKE COMICS.
There is no better way of learning the craft of product, or proving your potential to employers, than just doing it.
You do not need anybody's permission. We don't have diplomas, nor doctorates. We can barely agree on a single standard of what a Product Manager is supposed to do.
But – there is at least one blindingly obvious industry consensus – a Product Manager makes Products.
And they don't need to be kept at the exact right temperature, given endless resource, or carefully protected in order to do this.
They find their own way.
