I’ve wrote this in a private forum. The discussion was about traders who have been studying for years but are stuck running in circles. It kind of pissed me off so i decided to be brutal.
I swear the amount of guys who should know how to trade by now is outstanding. I feel many are missing the point. Having an edge is only a portion of what needs to be done. You can keep on studying trading material for a decade and you won’t get anywhere. Because that’s not what you need to focus on at this point. In the words of others:
Read again that picture. “Knowledge of technical factors has little relationship to success.” Let that sink in for a minute.
Also read this: 5 Steps to Professional Trader and this: You Won’t Consistently Win Until You Fix This First (X this one is for you and your overtrading problem)
A note on journaling, from The New Trading For A Living by Alexander Elder (2 pictures attached):
“Good record-keeping is the best tool for developing and maintaining discipline. It ties together psychology, market analysis, and risk management.” (See the stool picture, replace “trading” by “record-keeping”)
I’ve been screaming on every roof how Edgewonk has helped me improved my trading but it feels like i’m talking and no one listen because i’m not an “authority”. How many of you have a professional trading journal, religiously maintain it, and study it when the market is closed every week-end? When you have in front of your eyes how much money your behavior costs you it’s hard to deny the truth. Myfxbook doesn’t give you that.
Combined with Dr. Steenbarger journal template you are BOUND to improve. It’s the updated/professional version of Tom Dante’s “How to Solve a Problem“.
Watch these videos.
Understanding the edge can take years. Finding out how to apply the edge in line with your personality traits is the key. And that’s what a good/pro journal is for.
You either act, or keep crying on the forums. It’s time many of you step up.
Hopefully i’ve annoyed a few people but deep down they’ll know it’s the truth and will stop running in circles.
Some pictures that were attached to the original post (no such option on wordpress):