A Traders daily plan 5
so on to the next point in stacking useful tools to create a setup that provides a consistent edge over time.
first as an encouragement since not everyone is happy with the thought "over time" and us as humans not having a sense for actually thinking/feeling in sample sizes.
imagine the following:
you have 20 trades out of those 20 trades you have 13 loosing trades and if you with discipline would have exited each of those trades never larger than a 1$ loss per trade per share than you have lost 13 Dollars.Now if the rest of those 20 trades were winners =7 winners and each of those had a two dollar profit than that profit would amount to $ 14.So it isn't necessarily important to be right all the time or even more often than you are wrong since in this scenario mentioned you are actually 2 out of three times wrong and only 30% of the time right-but you still come out a winner.
So the system does not necessarily have to be outstanding but it has to be solid and executable and as such we need edges to stack.
One such edge is an old Japanese representation tool of price called Candlestick charts-Most of you are familiar and all newbies know how to use google (Steve Nison is the expert in this field)but i still will make a very rudimentary quick presentation of how crowd psychology is represented through this tool.
ever forget that market trade mainly sideways/up/sideways/down meaning trend direction is rarely changed instantly so f.e.: doji by itself is not necessarily a reversal candle but rather a pause or uncertainty and as such a good exit tool to take some profits but by itself not necessarily an entry signal-at least not by itself:
the longer a dojis wick is the more meaningful the candle becomes:
the meaningfulness of a doji becomes accentuated in its position either after a prior extended move
or in the context of a bigger picture formation:
so the same principle applies within an edge like for example candlestick as it does between the various edges wich is as an individual element it might be meaningless but stacked within patterns it can become powerful or with other words stacking upon stacking upon stacking at some point becomes the "0" and "00" at the roulette table and you are the casino owner
feel free to ask any questions about this or prior posts and thank you for your time
@allthereisislove
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thanks!!!
very good checklist, I'll copy it, adapt, print and put on my wall above the monitor. This is a classic winner mindset. I'm still learning and absorbing everything i can (i'm on day 16 of my 30 day challenge, if you wanna take a look i make daily updates on my blog here on steemit). But I was a professional poker player for a long time and I can say this is the classic warmup that can put you in the zone to play your A-game.
Following to learn more...
Best of luck!
thank you so much for your post and following me-this will be a comprehensive series and prior posts might be value for you to review-this is just a warm up and I will share all the advanced stuff just as well down the road-thanks so much for the heads up and i will check out your blog now-wish you a marvelous evening
This wonderful post has received a bellyrub 1.98 % upvote from @bellyrub thanks to this cool cat: @allthereisislove. My pops @zeartul is one of your top steemit witness, if you like my bellyrubs please go vote for him, if you love what he is doing vote for this comment as well.
fantastilicious
This post has received a 17.71 % upvote from @booster thanks to: @allthereisislove.
thank you so much !!!!!!!!!!!
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not sure if i completely comprehend the depth of the project but love the general underlying principles
will do my best to understand better-just a newbie here
thank you very much for commenting on my post-it is truly welcome
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much obliged