Al Brooks said he took 10 years to become CP. But yes after 2 or 3 years, maybe better to focus on trade and money management rather than multiple variations of the same entry system. It's the other half and no less important side of entering a trade.
Fear in trading is inversely proportional to account size...success is directy proportional to account size...
In other words, the larger the account size, the less "fear" of losing and the greater the chance of success.
Over decades of trading, I've found that money management (and account size), is far more important than any individual entry or exit point.
The following 5 users say Thank You to sptrader for this post:
Perhaps a way to view when to give up or exit trading could be viewed in a similar way in managing/exiting a single trade. There are many outcomes to one's trading career just as in a single trade e.g:
1. Initial Stop Loss - When a objective drawdown has been hit.
2. Breakeven Stop - If over a measured amount of time there has been no improvement to equity, exit.
3. Trailing Stop - Quit while you're ahead and don't give back everything!
4. Profit Target - Quit trading career after X amount of $
5. Profit Target and Let Winners Run - Bank a large portion of money after $X and continue trading to see what happens
6. Keep on Pressing until EOD
As there are many possible outcomes in one's trade, same could be in one's trading career and I think it would help to set objectives in place first just like a trade. It helps in a way to keep perspective and let the trading process flow.
The following user says Thank You to Ming80 for this post:
You are right, giving up is sign of weakness. Weakness must be throw away from our mind and keep go a head...
I never giving up in forex trade, Yeah i always got loses there but do not make my account wiped..
I will never to give up..
I saw that video kind of recently. Just nitpicking although I'm sure it's the same idea possibly to many others, but I could never relate to the word "grit" like from that movie and remake "true grit". Preserverance and Willpower are two other words of a similar vein but they imply having to sustain their meanings. And how long can one sustain something difficult to do and call it "grit", "preserverance" or "willpower"?
One time I was watching basketball with a friend who was an avid basketball fan. And we were watching the usual big scorers of each team (could have been Charles Barkley at the time) racking up the points. Then I curiously asked him , "what makes the difference between <this big scorer> and the other players?" where the other players were gifted and strong and skilled athletes as well. And my friend who wasn't well educated , a typical "joe sixpack" type who had only worked in manufacturing said "shEEr detErmination".
That word "determination" spoke to me better. Because it implies some personal goal to be reminded of everyday, something more than just slaving away at something (sometimes for someone else's success (the bosses' profits?) ) and eventually getting exhausted without a personal interest or goal in mind. It also cuts "better" through naysayers (and their effects of discouragement) sometimes people close to oneself, friends , family even coaches and teachers. One has to want it, desire it, and have some fuel for the sustained ("grit")/"determination" from the desire to reach one's goals.
So becoming a profitable trader I kind of compare to a tennis(or golf or whatever highly competitive sport, and individual trading is more like an individual sport) association. There are many pros in the ATP who make a living and a salary year to year as long as they can but never make it into the top 50 ranked players. And who rarely if never get seen in prime-time of the quarterfinals of any tennis tournament. Yet , like trading they are determined to make their living based on their field. And it's a very small percentage of overall players in the world who can get to that level and then like trading, varying profit levels reaching up to the top "earners". Anyways , just my rambling thoughts about it. And what do I know. I am still struggling with my own trading, and have not given up , but have realized trading is extremely competitive like a coliseum with ways to get hurt more than a sporting event or class exam. But my friend's observation of a competitive sport kind of spoke to me more than the TED lady's idea of motivating students.
Last edited by Cloudy; November 25th, 2013 at 04:50 AM.
The following 3 users say Thank You to Cloudy for this post: