T2W Bot

Staff member
Most people who are interested in learning how to become profitable traders need only spend a few minutes online before reading such phrases as “plan your trade; trade your plan” and “keep your losses to a minimum.” For new traders, these tidbits of information can seem more like a distraction than any actionable advice. New traders often just want to know how to set up their charts so they can hurry up and make money.



To be successful in trading, one needs to understand the importance of and adhere to a set of tried-and-true rules that have guided all types of traders, with a variety of trading account sizes.



Each rule alone is important, but when they work together the effects are strong.



Trading with these rules can greatly increase the odds of succeeding in the markets.



1) Always Use a Trading Plan A trading plan is a written set of rules that specifies a trader’s entry, exit and money management criteria. Using a trading plan allows traders...

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NVP

Legendary member
cant disagree with these rules .....pretty generic though ......and the domain of marketeer fishing trips ......
 
Good advice. It is a pity that the clarification of such advice comes only with experience.
 

Inquisitor

Active member
Rule 4 contradicts rule 8 in that if you have a predefined exit then your profits are automatically limited.

Rule 6 does not make any sense because giving yourself a rule to "not be emotional" wont work. The brain has three parts and emotions are not controlled by the thinking part of the brain and are governed by the mammalian brain. Telling the mammalian brain how it needs to respond is not possible as it works in a different way and there is ample evidence to show this is the case.

It would be much more useful to have a rule that says that when you find yourself becoming emotional then describe what is happening as if it were happening to someone else. This will eventually allow some element of detachment from the emotions being experienced and those that are able to do it are better able to cope with the psychological aspects of trading.
 
Rule 4 contradicts rule 8 in that if you have a predefined exit then your profits are automatically limited.

Rule 6 does not make any sense because giving yourself a rule to "not be emotional" wont work. The brain has three parts and emotions are not controlled by the thinking part of the brain and are governed by the mammalian brain. Telling the mammalian brain how it needs to respond is not possible as it works in a different way and there is ample evidence to show this is the case.

It would be much more useful to have a rule that says that when you find yourself becoming emotional then describe what is happening as if it were happening to someone else. This will eventually allow some element of detachment from the emotions being experienced and those that are able to do it are better able to cope with the psychological aspects of trading.
Good afternoon. Why are you looking for any contradictions in the above rules? Rule #4 makes sense in relation to stop loss. Rule No. 6 just says about the detachment from emotion. We all interpret these rules differently for ourselves. But the meaning remains the same.
 

Inquisitor

Active member
Good afternoon. Why are you looking for any contradictions in the above rules?

You posted the rules and rule 8 states "limit losses" so that would be your stoploss and rule 4 just says have a predefined exit and says nothing about that being a stoploss. So either you have repeated rule 4 with part of rule 8 or the rules are not clear enough to be easily understood.

As for rule 6 saying be detached from emotions, well I have never met any trader who gets emotional when trading being able to not be emotional. Most of them quit or switch to an automated system and just don't look at what the system is trading as they cannot cope with what it is doing without interferring.
 
 
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