分類:Guidelines

Reference: Book:CHAPTER 25 Trading Guidelines

Think yourself as a hunter. You live alone in deep woods in Siberia. You hunt to survive, and you are also the hunted one.

Guidelines‎ (11 個分類)

Understand how mother nature works‎ (13 個頁面)

Guideline 01. Understanding how markets work is fundamental

Guideline 02. If something looks like a reliable pattern, it will likely trade like a reliable pattern

Guideline 15. 60 percent is 60 percent in only 90 percent of the cases and can be 90 percent sometimes and 10 percent at other times

Guideline 17. The market constantly exhibits inertia and tends to continue what it has just been doing

Guideline 19. The market can stay irrational much longer than you can stay solvent

Guideline 23. Price action is based on human behavior and therefore has a genetic basis

Guideline 30. Market inertia can be stopped only by excess

Guideline 35. Failure of failure has high probability of success

Guideline 36. When you see that one side is suddenly trapped, the reliability of a scalp in the opposite direction goes up

Guideline 48. Good fill, bad trade, and the corollary of bad fill good trade is not as reliable

Guideline 53. A tight trading range trumps everything

Guideline 56. Trends constantly form great-looking countertrend setups and lousy-looking with-trend setups

Guideline 68. Good trades catch you by surprise and are easy to miss

Understand yourself as a hunter‎ (9 個頁面)

Guideline 03. Edge exists, but small and fleeting

Guideline 04. Again, edge is always small and fleeting

Guideline 06. A trader needs a mathematical advantage to make money

Guideline 07. Positive trader’s equation is the key to success

Guideline 09. Again and again, edge is always small

Guideline 45. The two most important feelings of profitable traders are uncertainty (confusion) and urgency, not fear and greed

Guideline 59. Trader’s equation has three variables, and any setup with a positive result is a good trade

Guideline 60. Experienced traders can scale into (or out of) trades to improve their trader’s equation

Guideline 64. You will not make money unitl you find a trading style compatible to your personality

Divorce your ego from your hunting‎ (10 個頁面)

Guideline 10. Be open to all possibilities, including the exact opposite of what you expect

Guideline 14. If you are too confident, your arrogance will make you lose

Guideline 20. Never argue with what the market is telling you

Guideline 22. Indeed, it is not fair

Guideline 24. Always have a protective stop in the market to protect you from the greatest danger of yourself

Guideline 45. The two most important feelings of profitable traders are uncertainty (confusion) and urgency, not fear and greed

Guideline 65. You will not make money if you lose your discipline

Guideline 66. Don't trade during a report, emotional, or when you are tired

Guideline 75. Discipline is the most important characteristic of winning traders

Guideline 76. The second most important trait of great traders is the ability to do nothing for hours at a time

Begin with "I don't care" mindset‎ (3 個頁面)

Guideline 27. You need to be trading a size where you are comfortable with any decent signal and remain comfortable if you lose two or three times in a row

Guideline 28. "I don’t care!" is the most useful mantra

Guideline 29. Use the "I don’t care" mantra correctly

Begin with only the best target‎ (7 個頁面)

Guideline 40. Trade only the very best setups until you are consistently profitable

Guideline 42. Beginners should start with trading pullbacks in a trend and using a stop order for the entry

Guideline 43. When starting out, you should consider trading the SPY instead of the Emini

Guideline 58. Until you are consistently profitable, take only trades where your potential reward is at least as large as your risk

Guideline 61. You will not make money until you start trading with-trend pullbacks

Guideline 71. Keep your trading as simple as possible until you are profitable

Guideline 74. Beginners should take only the best trades

Refine your skills‎ (15 個頁面)

Guideline 08. The single most important determination is whether there will be more buyers or sellers above and below the prior bar

Guideline 11. Every time before entering a trade, make sure to consider what the market is telling you if instead it breaks out of the opposite end of the signal bar

Guideline 12. Understanding trend bars that create breakouts is one of the most important skills that a trader can acquire

Guideline 13. If a setup fails to take an opportunity to do something strong, the setup is weaker than it looked like

Guideline 37. If the market suddenly runs stops and then resumes its trend, this is a reliable setup for at least a scalper’s profit

Guideline 44. Only buy high when the market is in one of the established clear and strong bull trend patterns, vice versa

Guideline 46. When a trader is uncertain or confused, the market is in a trading range and he should only buy low and sell high

Guideline 47. When there is a trading range, buy low sell high

Guideline 49. The first hour or two is usually the easiest time to make money

Guideline 51. Always ask yourself if the setup is one of the best of the day if you are about to take it

Guideline 54. Decide on the always-in direction and trade only in that direction until it changes

Guideline 55. The best signal bars are trend bars in the direction of your trade

Guideline 67. Always look for two legs

Guideline 73. If seven of the past 10 bars are mostly above the moving average, do not look to short

Guideline 77. Work on increasing your position size rather than on the number of trades or the variety of setups that you use

Be careful, as you are also the hunted one‎ (3 個頁面)

Guideline 16. The single most important thing that you can do all day is talk yourself out of bad trades

Guideline 18. If ever you feel twisted inside because a pullback is going too far, you are likely mistakenly seeing a pullback when in fact the trend has reversed

Guideline 24. Always have a protective stop in the market to protect you from the greatest danger of yourself

Only yourself can be trusted‎ (2 個頁面)

Guideline 25. You will not make money until you do your own analysis and ignore all external influences that promise you success

Guideline 26. Don’t watch TV or read any news

Avoid making mistakes‎ (14 個頁面)

Guideline 31. It is difficult to reverse a position for most traders

Guideline 32. Never trade countertrend unless there first has been a strong break of a significant trend line, and the signal is a reasonable setup for an always-in reversal

Guideline 33. Again, countertrend trade needs strong setup

Guideline 34. Too early is always worse than too late

Guideline 38. Never make a quick decision to place a trade on a sudden, large trend bar when you have lost touch with market

Guideline 39. You goal as a trader is to make money, not to make trades

Guideline 41. Trading is a job, not a hobby

Guideline 52. A tight trading range is the worst environment for entering on stops

Guideline 57. You will not make consistent money until you stop trading counter-trend scalps

Guideline 62. Trading reversal needs strong setup

Guideline 66. Don't trade during a report, emotional, or when you are tired

Guideline 69. The key to success is avoiding the losers

Guideline 72. If you find that you frequently take swing trades, but quickly convert them to scalps, you will probably lose money

Guideline 77. Work on increasing your position size rather than on the number of trades or the variety of setups that you use

Continue to do the right thing, even when you are wounded‎ (2 個頁面)

Guideline 50. If you are down on the day, the smartest thing to do is just make sure that you follow your rules into the close

Guideline 70. Use "What if I am flat" mindset to handle the "What should I do" situation

Practice, over and over again‎ (5 個頁面)

Guideline 05. There is a world of difference between knowing and doing

Guideline 21. The goal for chart reading is to learn how to read fast enough so that you can understand what is happening in real time

Guideline 63. You will not make money unless you know what you are doing

Guideline 64. You will not make money unitl you find a trading style compatible to your personality

Guideline 78. If you perfect the skills of trading, you can make more money than you could ever have imagined possible

子分類

此分類包含以下 11 個子分類，共 11 個。

G

Understand how mother nature works‎ (13 個頁面)
Understand yourself as a hunter‎ (9 個頁面)
Divorce your ego from your hunting‎ (10 個頁面)
Begin with "I don't care" mindset‎ (3 個頁面)
Begin with only the best target‎ (7 個頁面)
Refine your skills‎ (15 個頁面)
Be careful, as you are also the hunted one‎ (3 個頁面)
Only yourself can be trusted‎ (2 個頁面)
Avoid making mistakes‎ (14 個頁面)
Continue to do the right thing, even when you are wounded‎ (2 個頁面)
Practice, over and over again‎ (5 個頁面)