Nope. You've missed the point. Again. Stop trying to "know what the market is doing" whatever that means. Of course trading is more than being able to take losing trades. You need a methodology, a framework, but there ain't no way to "know what the market is doing" every time you take a trade...
For all those yet to grasp what I'm trying to say, please save yourself some time and pain and read Mark Ritchie's book.
http://www.amazon.com/Trading-Bible-Mark-Andrew-Ritchie/dp/0964695200
That's for your reply Joe. Few things;
- I feel you may not have understood what I'm saying when I say learn to be a Loser. I'm not sure though. Just for my guide, what % of your trades are profitable? Do you think that is likely to remain constant, go up, or go down over time?
- how much would...
thanks for the comments guys. Glad to see the thread is still somewhat alive.
Unfortunately I think that most (not all) of the responses suggest that the message hasn't really got across. It's been a year so about time I wrote another post i think in an effort to try again to make my point...
Who's being pessimistic? Manage your money as if the trade is going to be a loser and all you can have from that trade is upside... sounds pretty good to me.
Please can you elaborate on your "trading is like a sport" comment? thanks
CR
you clearly haven't got the point. What sort of moron do you think i am that I wouldn't rather a 90% win rate over a 55% win rate?!
Looking at an individual trade, having a 90% win rate and a 55% win rate does not change the uncertainty over whether that will be a winning trade or not. that's...
Couldn't agree more. Win ratio is pretty irrelevant and that's what I was trying to highlight. If I have a system that HISTORICALLY has proven to make profitible trades 90% of the time, that doesn't tell me with any certainty whether my next trade will be profitible or not. What it may do...