Are you ready ?

[bbmac]

Are you ready for the new week's trading?

1. Do you know the overal price action conditions on the t/f's of choice on your trading instruments of choice ? Do you have a methodology to detremine this as price discovery takes place ? ie do you know whether your instrument is ranging or trending and if trending - what type of trend ?

2. Do you know where the potential support/resistance factors are on the t/f's of choice on your trading instruments of choice ?

3. Do you know which of the above are historically more likely to see a price reaction ?

4. Are you aware of the known event risks due during your trading session and the most likley price reactions to each of the main scenarios ?

5. Are you in the right mindset to trade ?

6. Do you have a 'trading edge ' ?

7. Do you know what a trading edge is and as importantly - what it is not?

8. Do you know all the metrics to date associated with your trading edge ? it's strike rate it's expectancy ? and it's typical to maximum distributions ?

If you answer no or I don't know to ny of the above then your chances of a successful trading session are much diminished, let alone your chances of becomming a successful consistently profitable trader with an income you can rely on.


G/L

 

[eighteen]

Missing out sentiment makes the above entirely void.

 

[Shakone]

Missing out sentiment makes the above entirely void.

But he didn't miss it out.

 

[DionysusToast]

Jeez BB - it's only 9am here, I've barely finished my first gallon of coffee.

I have all of the above except '8'. I do not trade mechanically, there's a huge discretionary element and I'm just not a 'statistical' sort of person. I'm more of a 'touchy-feely' sort of person.

Still, I don't just take random pot-shots, there is method to the madness, it's just I don't use stats at all.

 

[hgh]

Could you kindly detail the trading edge? Is it price related? or other facts?

 

[Enzzo]

Still, I don't just take random pot-shots, there is method to the madness, it's just I don't use stats at all.

Hi Dionysus,
As per your words it sounds like you don't think that keeping a record to get stats when you trade mostly with a discretionary method is any vital at all.... could you briefly explain me why you think so?
Thanks in advance

 

[bbmac]

Could you kindly detail the trading edge? Is it price related? or other facts?

I do have a trading edge, it is price related (aren't they all, ?) I know all the answers to the 8 questions I posed above about my own edge and No - I won't detail it on an open forum although spread across this forum there are various discussions about some of the elements that it is comprised of.

My point in posing the questions was to suggest that these are the things that you should know/have in order to give yourself the best chance of being a successful trader.

G/L

 

[bbmac]

Lol, I understand, Thanks for the reply.

G/L

Jeez BB - it's only 9am here, I've barely finished my first gallon of coffee.

I have all of the above except '8'. I do not trade mechanically, there's a huge discretionary element and I'm just not a 'statistical' sort of person. I'm more of a 'touchy-feely' sort of person.

Still, I don't just take random pot-shots, there is method to the madness, it's just I don't use stats at all.

 

[glyder]

Interesting questions bbmac, they get straight to the point in many ways.
I'm not trading much short term this week, nor so much in general, trying to move to
mainly longer term.

I'm going to have a think about how this type of preparation applies to the longer term trades
based on daily and checking EOD positions only. I guess it is pretty much equally applicable. Maybe news events are slightly less relevant, unless they turn out to be game changers.
The first point is essential, long term I will only trade with the trend.