Chapter 1 – Analysis vs Analysis
Technical analysis allows us as traders to get into the minds of the market movers. EMA crosses is a reliable point at which these market movers will buy and sell as a group with price action and volatility. This is a repeating behavioral pattern.
Unlimited possibilities and opportunities to “enrich oneself”.
Increasing my equity curve with bridging the psychological gap. Can trading be mastered?
Yes. Insight about myself and the nature of trading.
Developing a robotic or emotionless action of taking the trade, trading the trade and following the indicators to take profit and reduce loss.
The journey is difficult but worth it because not everyone has the capacity to master something so foreign to how we are raised and trained with traditional education.
Traders who have bridged the consistency gap take money at will from the markets. Money flows into the accounts with ease.
”Seemingly” traders suffer from emotional pain – fear, anxiety, frustration, doubt, anger, betrayal and regret.
The defining factor that separates winners from losers is how they think.
Thinking differently or seeing differently. I am one of those with golf. I see the nuances and the subtleties that higher handicappers don’t.
The defining characteristic is the winners have a mindset that helps them stay above the fray of the emotion to function effectively.
Paradox of trading… definition –
Traders are not categorically risk traders. Outcomes are probable not guaranteed. Acceptance of consequences. Embrace risk. Winners get out of trades when they know it isn’t working and move on to the next trade. They have their profit targets set and their stop losses set.
Our biggest fears in life are being wrong and losing a lot of money.
Remaining focused and confident in the face of uncertainty. I can’t avoid the unavoidable. Every trade has the possibility for a win or a loss and must accept this with every trade.
Acceptance is the key skill in trading as in life. Full acceptance of the possibilities gives me freedom to make trades.
Objective perspective. No dog in the hunt either way. When the market generates a signal get in or get out.
The best traders aren’t afraid. They wait for signals, don’t anticipate.
95% of the errors I make will come from