Professionals vs Amateurs

[barjon]

I thought it was worth repeating a quote (from John Carter maybe ?) in view of all the discussion lately on 100% and all that. Here it is:

Professionals focus on limiting risk and protecting their capital. Amateurs focus on how much money they can make. Professionals always take money from amateurs.

good trading

jon

 

[0007]

I thought it was worth repeating a quote (from John Carter maybe ?) in view of all the discussion lately on 100% and all that. Here it is:

Professionals focus on limiting risk and protecting their capital. Amateurs focus on how much money they can make. Professionals always take money from amateurs.

good trading

jon

Agree with that. In my experience - look after your trading techniques and the £££s will look after themselves. You can be an amateur and trade like a professional (in the sense above).

 

[timsk]

Spot on Jon!

I've recently updated the FAQ entitled: 'Realistically, How much Money can I Expect to Make?' This quote is from the Short Answer in post #1:

The secret to trading success is not to focus on reward, but on risk. You must minimise risk and keep your losses small. Coupled with this is the need to focus on trading really well, rather than the money you’ll make if you do. In this respect, good traders are like the best premiership footballers. First and foremost, footy stars have to focus on their training, fitness and how to excel on the field of play. The fame, money and beautiful WAGs come second.

Realistically, How much Money can I Expect to Make?
Tim.

 

[foroom lluzers]

I started a different thread , because I did not see this thread .After reading this thread there is not much qualitative information /discussion on this thread .

http://www.trade2win.com/boards/first-steps/223250-difference-between-amateurs-professionals.html

The subject is far more detailed and beyond the knowledge of most posters , the superior knowledge is obtained by listening to many webinars and reading articles /books by top trading psychologists and other non trading psychologists .These psychologists are Rande Howell , Dr Br Steenbarger , Dr Van tharp , Mark Douglas , Dr Andrew Menaker and a few others .The knowledge of the subject of psychology of these psychologists is way superior to the discussions by non psychologists on forums.These PSYCHOLOGISTS give a far superior understanding of the differences between professionals and amateurs .

The main differences are
1) Trading mindsets 80 % is pychology and 20 % the method .Professionals understand trading psychology
2)Professional's Methods incorporate psychology
3)Professional's Methods have an edge

This thread is in the psychology section , but it has hardly any pychology

http://www.trade2win.com/boards/psychology-risk-money-management/45686-trading-psychology.html

Professionals trade because they have a trade , amateurs trade because they have to trade , when there is no trade.

 

[foroom lluzers]

Professionals master this .

 

[foroom lluzers]

Spot on Jon!

I've recently updated the FAQ entitled: 'Realistically, How much Money can I Expect to Make?' This quote is from the Short Answer in post #1:

The secret to trading success is not to focus on reward, but on risk. You must minimise risk and keep your losses small. Coupled with this is the need to focus on trading really well, rather than the money you’ll make if you do. In this respect, good traders are like the best premiership footballers. First and foremost, footy stars have to focus on their training, fitness and how to excel on the field of play. The fame, money and beautiful WAGs come second.

Realistically, How much Money can I Expect to Make?
Tim.

But the risk is controlled by the amygdala , the amygdala is responsible for processing base emotions that come from sensory inputs, like anger, avoidance, defensiveness and fear. The emotions control risk , the successful traders have methods /systems which trigger less of the amygdala reactions and are avoiding the arousal of emotions.

The 5 % could include vendors and costs.

https://www.wired.com/2007/03/security-matters0322/

 

[barjon]

But the risk is controlled by the amygdala , the amygdala is responsible for processing base emotions that come from sensory inputs, like anger, avoidance, defensiveness and fear. The emotions control risk , the successful traders have methods /systems which trigger less of the amygdala reactions and are avoiding the arousal of emotions.

The 5 % could include vendors and costs.

https://www.wired.com/2007/03/security-matters0322/

bllx

 

[mike.]

The FL virus infected another thread ?

 

[foroom lluzers]

I thought it was worth repeating a quote (from John Carter maybe ?) in view of all the discussion lately on 100% and all that. Here it is:

Professionals focus on limiting risk and protecting their capital. Amateurs focus on how much money they can make. Professionals always take money from amateurs.

good trading

jon

Jon

I am not disagreeing with you on this , as this is what I wrote earlier today.Your statement is entirely correct.

This is what I said.

Just manage your risk , as in first post.Follow successful people and their traits.Follow successful football managers like Mourinho who manage defensively.

 

[itspossible]

^^^^a 7yr necro -got to be a record

 

[foroom lluzers]

The FL virus infected another thread ?

I made a mistake , traders don't make mistakes , I thought this was only the psychology section .Now i know this was risk and psychology section.

 

[malaguti]

I made a mistake , traders don't make mistakes , I thought this was only the psychology section .Now i know this was risk and psychology section.

have no fear Foroom, noone thinks your a trader

 

[EnlightenedJoe]

have no fear Foroom, noone thinks your a trader

I thought he's a trader, but a losing one.

 

[foroom lluzers]

have no fear Foroom, noone thinks your a trader

What do you think "Am i a wind up merchant "?.I would have the only live advance calls with results and system posted in advance.Only real traders can do that!

 

[foroom lluzers]

I thought he's a trader, but a losing one.

If they knew the difference between risk management and psychology , they would have argued in a non sex pistol discussion .

 

[EnlightenedJoe]

"Am i a wind up merchant "?

Since you continue to spread misinformation, you may not be a merchant, but you are connected with them.

 

[foroom lluzers]

Since you continue to spread misinformation, you may not be a merchant, but you are connected with them.

NO they are the team is

 

[NVP]

I thought it was worth repeating a quote (from John Carter maybe ?) in view of all the discussion lately on 100% and all that. Here it is:

Professionals focus on limiting risk and protecting their capital. Amateurs focus on how much money they can make. Professionals always take money from amateurs.

good trading

jon

amen :smart:

 

[foroom lluzers]

“I think investment psychology is by far the more important element, followed by risk control, with the least important consideration being the question of where you buy and sell.” – Tom Basso

 

[Quantt]

I do agree the psychology is an important part, but for me the only way not to panic or make other mistakes is to have a robust trading system - by developing it and by testing it, you are becoming 100% sure in it and this is giving you the confidence and takes care of the psychological aspect, the other is automating the system, with automated system, you cannot make any mistakes (provided no bugs in the program)