Why You Need To Pull Out Your Best Stuff, Every Day
Wouldn’t it be nice if there could just be one very
simple plan for all you do in life? If this happens, do this. If that
happens, do that, etc., etc. Well, as we all know, we need to draw upon all of
our experiences in life in order to draw conclusions. Sometime it is easy,
sometimes it is not. The current market presents traders (HVT) with a very
dynamic environment that does not always fit into a nice neat package in which
if “A” and “B” are in place, then we know that “C”
must be next. Rather, the current environment is one that forces you to pull out
your best stuff on a day-to-day basis. Remember the rule that I mentioned many
times over the last two years:
“Follow your rules, follow your
rules, know when to break your rules.”
This is a quote from Market Wizard Tom Basso. On the surface it suggests
changing your game plan or making a radical departure. While I cannot say
specifically what he meant, I suspect he was referring to those times when you
need to pull out the “fudge factor.” Sure the trade is not set up in a
textbook manner, but you jump in anyway. It is that level of anticipation that
can make the difference between winning and losing on a trade, and in the long
run, it is the difference between good gains and extraordinary gains.
I bring up this discussion for one simple reason: Trading is not the exact
science that most of us would like it to be. Yes, there is a framework that we
all must work within, but it is knowing deep down in your bones what limits can
be pushed without everything crashing down around you. One of my friends/trading
colleagues is a former emergency room physician. The other day he was telling me
that when he first got started and someone came in with an ailment, he would
order every test under the sun so that he could make a diagnosis. Guess what?
All those test results just took him further away from the true diagnosis. It
was only after months/years of experience that he was able to do a general exam
and know exactly which tests needed to be done to arrive at the final diagnosis.Â
It is just like that for new, and some experienced, traders. They want every
indicator on their screen in order to “diagnose” the market, yet what
they end up with is more confusion. So, in the context of the market there are
two camps:
- Newer traders with a solid grasp of chart patterns, and market dynamics
- Experienced traders who possess all the same skills as above, but perhaps
have more screen time, and as a result, know how to integrate subtle changes
into their trading when conditions change. It’s the “been there, done
that” situation.
Sure, this always exists, but I think the distinction is made even more clear
when you have a market that demands perfection. Constant observation and
repetition will only bridge that gap. At the risk of sounding like a salesman, I
will be rolling out a new service the week of April 14 which will offer
subscribers a way to fully understand how to implement the standard and
“not so standard” HVT rules which ultimately may bridge that gap. It
will be a live audio feed with me each day for the first hour and a half (more
if market conditions permit). During that time I will be sharing with you my
observations and tactics for trading. My experience in doing this with people I
have mentored over the years has been quite positive. There will be more
information in the coming week regarding the details.
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Don’t forget, my new book, “How
I’ve Achieved Triple-Digit Returns Day trading…4 Hours A Day” is now
available. Order today and you will receive a 10% discount.
Save 10% on my trading service when you sign up for 3, 6
or a 12 month subscription. Click here for details.
Also, I have a new trading module and a new audio service coming out.
Click here for information about the module, and
here for information about my new service.
As always, feel free to send me your comments and questions.
PS: Buy my book, and get a
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