CM, this isnt a trick question by the way, but, is there such thing as an optimist on the financial markets? For every winner there has to be a loser. But what are the ratios of optimsts to pesimists on the markets its got to be 50/50?
Look, the thread was written with tongue in cheek, as are probably some of the other threads and posts. This site is really good, and from a newbies point of view if you trawl the boards you will probably find all your answers. Unfortunately, you cant convey tone of voice on the internet which can lead people into a false argument. ANYWAY! good trading everybody!
Being optimist / pessismist is for long term traders or fools.These sentiments should play NO part whatsoever in the day trading game. You have to view each day as it comes on your screen and trade accordingly. Those that hope for better/worse things can and will lose as they hold onto their beliefs. Boy I've seen it time and time again..... following a lucky/fortunate /skillful play at the market, the person feels invincible and plums for a biggy, only to see it wipe out all before as he holds on for grim death , terrified that he has already lost a huge amount and will risk the lot on a turnaround... Now that's pure gambling. I was almost one of them a long time ago....
CM, i agree with you totally( not tongue in cheek ), ive not been trading with REAL money for that long, my last entry level was a disgrace ( learned from that!), but the position has come good. All i would say is that sometimes you have got to have a little bit of confidence in your analysis. Im not arguing against you just trying to add another angle.
chartman I agree with what u r saying....we should not feel emotional about individual trades & all decision should be based on reasoned logic, but to say u shouldn't be optimistic is a bit of a general statement......forgive me if I have misunderstood your point.
money management does play an important part in trading, but surely u would agree we should have an optimistic view on things.......otherwise what would be the point. I am a big believer in 'u get what u expect' .....so if that is true ...if we expect nothing we will get nothing.
it is the people who have a great belief in themselves that accomplish great things so it would be wrong to bury this emotion.
yes it would be daft to increase & decrease size I believe on your feeling of a particular trade...but a steady & planned increase with optimism & logic surely must be a fair idea.
Another point to add is that surely everybody has different 'comfort zones', so when i talk about increasing or decreasing values i say this with a view to how a particular person manages thier money % wise and obviously what thier own market sentiment is at the time.