SOCRATES
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Part 3A ~ Continued from post No 64 of this thread.
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Dave JB,
We were discussing teaching.
To continue with what I was saying so far, it is not just good enough in this profession to have hazy ideas.
To have hazy ideas is a luxury that poets can afford, not traders. Therefore it is the duty of the tutor to deliver the correct ideas that are perfectly clear. This clarity presents a problem. The problem is that what we are dealing with is an intangible concept, overlaying a discipline whose primary nature is mechanical.
Markets are not random. Markets contain structures. These structures are specific to individual instruments because each instrument has a dedicated professional following of its own. Therefore all instuments possess a certain similiarity, but they differ in character for this reason. The element of intangibility arises because there is no one you can ask as to why a particular move is developing, it is a matter of acceptance. Most ordinary people cannot accept this. They try to force. Forcing does not work.
Force fitting does not work either. This is why certain indicators work and then suddenly they don't work.
What does work is a Mark 1 eyeball properly paying attention.
But this Mark 1 eyeball is not accustomed to observing what it percieves to be random and perverse in the extreme. This is because in ordinary life there is nothing to compare with the development of price action and development in an active market. Ordinary people are not in the habit of having to "accept" or of, as
DBP says "being available". They want to force. Yes, TO FORCE.
The reason for this human condition is that in ordinary life all is repairable except death.Ordinary people take it for granted that any blunder can be put right in some way or other. This may be the case in ordinary life ~ but not in the markets !
When they first encounter the relentless mercilessness of price action and price development, they may be intrigued, perhaps bemused and fascinated. When they encounter the same again this time they start to get "ideas". These ideas have no basis in fact, because they are prevented from fathoming the mechanism that causes these changes. When they look and encounter not the same but similar (through their untrained vision) they start to develop opinions. When they look and encounter not the similar but something different, they develop convictions. All of this is very dangerous indeed. It is dangerous because they do not realise they are prevented from understanding what drives all this.It is as if they are looking at the face of an ornate clock, but know nothing of the mechanism that drives it or sounds the chimes. They would argue, from their perspective(which is an incorrect one for the purpose of trading) that it would not be necessary to understand the mechanism behind the clock face, as they are in a hurry to tell the time. This is OK in ordinary life (you don't buy a car and take it all to bits and put it together again now do you? Although I have a friend with whom I shared a red porsche 356 who used to do just that, and then rang me late at night howling with dispair ~ of course we sold the car !) What I mean is that in ordinary life it is not neccessary to do this, in order to understand properly how something works, how it is expected to work and if it does not work, why not ?
But it is necessary for a trader to know how markets work, really work, and not the way they might hope, wish, percieive, believe or assume that they work. It is necessary because the profession demands it of the trader, otherwise we would all be flipping coins in the air and guessing.
Must go, sorry. To be continued. Part 4A followed in post No 107.
#######################################
Dave JB,
We were discussing teaching.
To continue with what I was saying so far, it is not just good enough in this profession to have hazy ideas.
To have hazy ideas is a luxury that poets can afford, not traders. Therefore it is the duty of the tutor to deliver the correct ideas that are perfectly clear. This clarity presents a problem. The problem is that what we are dealing with is an intangible concept, overlaying a discipline whose primary nature is mechanical.
Markets are not random. Markets contain structures. These structures are specific to individual instruments because each instrument has a dedicated professional following of its own. Therefore all instuments possess a certain similiarity, but they differ in character for this reason. The element of intangibility arises because there is no one you can ask as to why a particular move is developing, it is a matter of acceptance. Most ordinary people cannot accept this. They try to force. Forcing does not work.
Force fitting does not work either. This is why certain indicators work and then suddenly they don't work.
What does work is a Mark 1 eyeball properly paying attention.
But this Mark 1 eyeball is not accustomed to observing what it percieves to be random and perverse in the extreme. This is because in ordinary life there is nothing to compare with the development of price action and development in an active market. Ordinary people are not in the habit of having to "accept" or of, as
DBP says "being available". They want to force. Yes, TO FORCE.
The reason for this human condition is that in ordinary life all is repairable except death.Ordinary people take it for granted that any blunder can be put right in some way or other. This may be the case in ordinary life ~ but not in the markets !
When they first encounter the relentless mercilessness of price action and price development, they may be intrigued, perhaps bemused and fascinated. When they encounter the same again this time they start to get "ideas". These ideas have no basis in fact, because they are prevented from fathoming the mechanism that causes these changes. When they look and encounter not the same but similar (through their untrained vision) they start to develop opinions. When they look and encounter not the similar but something different, they develop convictions. All of this is very dangerous indeed. It is dangerous because they do not realise they are prevented from understanding what drives all this.It is as if they are looking at the face of an ornate clock, but know nothing of the mechanism that drives it or sounds the chimes. They would argue, from their perspective(which is an incorrect one for the purpose of trading) that it would not be necessary to understand the mechanism behind the clock face, as they are in a hurry to tell the time. This is OK in ordinary life (you don't buy a car and take it all to bits and put it together again now do you? Although I have a friend with whom I shared a red porsche 356 who used to do just that, and then rang me late at night howling with dispair ~ of course we sold the car !) What I mean is that in ordinary life it is not neccessary to do this, in order to understand properly how something works, how it is expected to work and if it does not work, why not ?
But it is necessary for a trader to know how markets work, really work, and not the way they might hope, wish, percieive, believe or assume that they work. It is necessary because the profession demands it of the trader, otherwise we would all be flipping coins in the air and guessing.
Must go, sorry. To be continued. Part 4A followed in post No 107.
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