If you want to be smarter don't pay for anything
deano
I understand that you are new to forex and searching for gaudiness.
Some people in this forum may forgot how it is in the start. You are looking for practical examples of other traders, funny thing about trading is that whatever works for one trader will probably wont work for the other
However i personally find this website very useful for beginners; http://www.surefire-trading.com/tsl/secret.htm
If you want to be smarter
don’t pay for anything (not a dollar) until u are wise enough to understand what is (if ever) a good buy
U have more information then u can handle for the next year to come free of charge!
listen to what other traders have to say in this forum, but don’t forget that sadly most of them are continuously losing money.
Always remained your-self that in the world of forex trading everybody want a share of your———Mr Deano’s money.
That means brokers, traders, writers, ****** guys that sell signals and so on. the moment u say “i want to trade” is the moment every one else say “give us your money’’.
So u try to keep ur money before you learn all u can about forex world
gl
38-STEPS TO BECOMING A SUCCESSFUL TRADER
38-STEPS TO BECOMING A
SUCCESSFUL TRADER
Steps to Successful Commodities Futures Trading
as published in Commodity Futures Trading Club News
1.
We accumulate trading information – buying books, going to seminars and researching.
2.
We begin to trade with our ‘new’ knowledge.
3.
We consistently ‘donate’ and then realize we may need more knowledge or information.
4.
We accumulate more information.
5.
We switch the trading instruments we are currently following.
6.
We go back into the market and trade with our ‘updated’ knowledge.
7.
We get ‘beat up’ again and begin to lose some of our confidence. Fear starts setting in.
8. We start to listen to ‘outside news’ & other traders.
9. We go back into the market and continue to donate.
10. We switch trading instruments again.
11. We search for more trading information.
12. We go back into the market and continue to donate.
13. We get ‘overconfident’ & market humbles us.
14. We start to understand that trading success fully is going to take more time and more knowledge then we anticipated.
Many Traders Will Give up at this Point as
they Realize Work is Involved
15. We get serious and start concentrating on learning a ‘real’ methodology.
16. We trade our methodology with some success, but realize that something is missing.
17. We begin to understand the need for having rules to apply our methodology.
18. We take a sabbatical from trading to develop and research our trading rules.
19. We start trading again, this time with rules and find some success, but overall we still hesitate when it comes time to execute.
20. We add, subtract and modify rules as we see a need to be more proficient with our rules.
21. We go back into the market and continue to donate. We go back into the market and continue to donate.
22. We start to take responsibility for our trading results as we understand that our success is in us, not the trade methodology.
23. We continue to trade and become more proficient with our methodology and our rules.
24. As we trade we still have a tendency to violate our rules and our results are erratic.
25. We know we are close.
26. We go back and research our rules.
27. We build the confidence in our rules and go back into the market and trade.
28. Our trading results are getting better, but we are still hesitating in executing our rules.
29. We now see the importance of following our rules as we see the results of our trades when we don’t follow them.
30. We begin to see that our lack of success is within us (a lack of discipline in following the rules because of some kind of fear) and we begin to work on knowing ourselves better.
31. We continue to trade and the market teaches us more and more about ourselves.
32. We master our methodology and trading rules.
33. We begin to consistently make money. We begin to consistently make money.
34. We get a little overconfident and the market humbles us.
35. We continue to learn our lessons.
36. We stop thinking and allow our rules to trade for us (trading becomes boring, but successful) and our trading account continues to grow as we increase our contract size.
37. We are making more money then we ever dreamed to be possible.
38. We go on with our lives and accomplish many of the goals we had always dreamed of. ”
http://www2.oanda.com/cgi-bin/msgboard/ultimatebb.cgi?ubb=get_topic;f=15;t=003163#000000
20 GOLDEN RULES FOR TRADERS
20 GOLDEN RULES FOR TRADERS
Want to trade successfully? Just choose the good positions and avoid the bad ones. Poor trade selection takes a heavy toll as it bleeds your confidence and wallet. You face many crossroads during each market day. Without a system of discipline for your decision-making, impulse and emotion will undermine skills as you chase the wrong stocks at the worst times.
Many short-term players view trading as a form of gambling. Without planning or discipline, they throw money at the market. The occasional big score reinforces this easy money attitude but sets them up for ultimate failure. Without defensive rules, insiders easily feed off these losers and send them off to other hobbies.
Technical Analysis teaches traders to execute positions based on numbers, time and volume.This discipline forces traders to distance themselves from reckless gambling behavior. Through detached execution and solid risk management, short-term trading finally “works”.
Markets echo similar patterns over and over again. The science of trend allows you to build systematic rules to play these repeating formations and avoid the chase:
1. Forget the news, remember the chart. You’re not smart enough to know how news will affect price. The chart already knows the news is coming.
2. Buy the first pullback from a new high. Sell the first pullback from a new low. There’s always a crowd that missed the first boat.
3. Buy at support, sell at resistance. Everyone sees the same thing and they’re all just waiting to jump in the pool.
4. Short rallies not selloffs. When markets drop, shorts finally turn a profit and get ready to cover.
5. Don’t buy up into a major moving average or sell down into one. See #3.
6. Don’t chase momentum if you can’t find the exit. Assume the market will reverse the minute you get in. If it’s a long way to the door, you’re in big trouble.
7. Exhaustion gaps get filled. Breakaway and continuation gaps don’t. The old traders’ wisdom is a lie. Trade in the direction of gap support whenever you can.
8. Trends test the point of last support/resistance. Enter here even if it hurts.
9. Trade with the TICK not against it. Don’t be a hero. Go with the money flow.
10. If you have to look, it isn’t there. Forget your college degree and trust your instincts.
11. Sell the second high, buy the second low. After sharp pullbacks, the first test of any high or low always runs into resistance. Look for the break on the third or fourth try.
12. The trend is your friend in the last hour. As volume cranks up at 3:00pm don’t expect anyone to change the channel.
13. Avoid the open. They see YOU coming sucker
14. 1-2-3-Drop-Up. Look for downtrends to reverse after a top, two lower highs and a double bottom.
15. Bulls live above the 200 day, bears live below. Sellers eat up rallies below this key moving average line and buyers to come to the rescue above it.
16. Price has memory. What did price do the last time it hit a certain level? Chances are it will do it again.
17. Big volume kills moves. Climax blow-offs take both buyers and sellers out of the market and lead to sideways action.
18. Trends never turn on a dime. Reversals build slowly. The first sharp dip always finds buyers and the first sharp rise always finds sellers.
19. Bottoms take longer to form than tops. Fear acts more quickly than greed and causes stocks to drop from their own weight.
20. Beat the crowd in and out the door. You have to take their money before they take yours, period
Becoming a Trader - Learning to trade psychology
Master the Various Elements
Structuring the practice with goals and rapid feedback is essential to the learning process. Research in sports psychology finds that athletes gain significantly more from practice if it includes specific goals and prompt feedback regarding the meeting of these goals. An interesting set of studies reviewed by Ericsson found that championship chess players rarely played for fun. When they played, it was to study openings, hone their end game, etc. Similarly, passively following markets is unlikely to have the same benefits as directed practice focusing on concrete guidelines for entering and exiting trades.
There may be a second reason why chess masters avoid leisure play. Research summarized by Singer, Hausenblas, and Janelle in their excellent text, Handbook of Sport Psychology (2nd ed.), finds that learning is enhanced by breaking tasks down into component pieces and working systematically upon each. For example, a beginning chess player would not start his or her training by exclusively playing entire games. Rather, there would be a concentrated focus on learning opening moves and strategies, followed by dedicated attention to the middle game, defenses and endings. Training in the martial arts is similar, where intensive practice of individual movements precedes practice and tournament matches.
Our experience is that beginning traders too often want to learn trading by actually trading. This is similar to the martial arts novice starting with tournament competition. Segmentation of the trading process into component elements, such as pattern recognition, order execution and trade management – combined with intensive rehearsal of the segments – is far more likely to yield long-term skill acquisition.
Time Is a Predictor of Success
Trading is not unique in the length of its learning curve. Studies of young chess masters have found that the single most important predictor of a player’s rating is the number of hours spent in serious study and practice. Janet Starkes at McMaster University in Ontario, Canada, and her research colleagues examined the facets of such practice across such domains as figure skating and musical performance. She found that practice was most predictive of success when the practice was associated with high levels of effort and concentration. It is thus the quality of rehearsal – and not just the quantity – that appears to be important in advanced training. One can practice for months under less-than-optimal conditions of a challenge and fail to see meaningful skill development.
This is where coaching is particularly important in such fields as sports, musical training and the martial arts. It is very difficult for students to gauge the level of challenge that is sufficient to build skills and yet not so difficult as to generate undue frustration and discouragement. A useful analogy is bodybuilding: setting a weight machine at a setting that is too low will not build strength; setting it too high can promote harm. The most helpful training is often at levels of difficulty that lie just beyond the student’s comfort level – a level that can be set and monitored by a coach.
• The learning process does not appear to be any shorter for traders than it is for successful musicians, athletes or chess players. It is not unusual for significant P/L improvements to take several months to occur, with consistent profitability requiring even more time. Significant effort and plenty of patience are needed to undertake such an effort. Most traders fail at trading for the same reason that dieters fail to lose weight. It is much easier to initiate a directed effort than to sustain it.
http://www.sfomag.com/homecoverdetail.asp?ID=-512462950&MonthNameID=July&YearID=2005
Searching for the Holy Grail
Yet Charles LeBeau author of The Technical Traders Guide to Computer Analysis of Futures Markets claims to have tested every possible combination of moving average conceivable and found their performance to be little better than random probability. In any serious testing trend following indicators struggle to have a reliability of above 50%. The MACD histogram, which is thought to be among the best of all indicators, often has a reliability of below 50%. I have personally run a test trading the SPI on an intraday basis by tossing a coin in the morning and found it to be profitable. It is extremely difficult for traders to accept that the tools they use may not be as effective as they thought, or that their methodology may have reliability below that of simply tossing a coin.
What I learnt losing £60,000 my first year as a full-time trader
We need to build up our trading skills one at a time, when we are confident we can cut our losses we can move onto execution, then we can work on holding on to profitable trades etc. Tennis stars don’t become stars just through competition; they hone their skills one by one on the practice court and they continue to practice throughout their careers. As traders we need to identify the individual skills we need to develop and focus on them one by one. Someone new to tennis does not expect to go out and win competitions straight away, they know they will have to spend a fair amount of time practicing and learning first. Short term trading, like tennis, is skill based, and those skills can be identified, practiced and mastered.
Malcolm Robinson
The learning cycle for a newbie trader - bobnat
There is a concept in learning called scaffolding. It functions just like the actual scaffolds used in construction. You can read lots of things about trading in a relatively short period of time, but you won’t learn them when you read them. You may think that because you can remember them that you have learned them. Not true. I’ve seen it in language learning over and over again. Something you read today won’t be of any use to you until you have a better foundation under it. It may be two years from now, but you’ll say, “aha”, now I understand what that means. So, you need to put the pieces in place, one by one. Each piece needs to be securely in place, or in actuality, truly learned and assimilated. This takes a long time.
In trading there are two components. The first is the technical side. It’s probably the easiest of the two, but it takes a lot of practice and that practice takes time. It can be indefinitely prolonged by jumping from system to system. The best thing to do is to learn one system (or a set of systems emanating from the same basic principles of a larger system) thoroughly. However, just getting to the point where one realizes the necessity of this takes time.
The second component is the learning about yourself. There is no guarantee that this will ever be learned. I suspect a lot of folks go broke before they do so. It takes a long time to come to grips with how one really thinks, what one believes and values, and how they act upon those things. It’s a grueling process with many detours and delays.
Putting the two together takes much longer than one can imagine. Now, I’d venture to say that the vast majority of people who try trading think that they are above average. They’ve had success in their life doing other things they deem to have been difficult. They figure they can just apply those qualities that brought them success in the past onto trading. It’s just not that simple.
For starters, half the people in the world are below average. Yet, if you were to poll a thousand people at random, how many people would rate themselves as such? Now this is not a knock at those people. It’s simply to point out the mind games we play with ourselves. Humans tend to delude themselves regularly. I’m the first to agree that there are benefits to doing so. But that same type of thinking doesn’t work in trading.
There are very few professions in the world that require one to strive for self-actualization in order to achieve success in said profession. Trading is certainly one of them.
I’m also sure that many of us here have believed that we also could jump ahead of the learning curve. I’m certainly guilty of that. Yet, I’ve found that it’s taking longer than I anticipated, but not longer than what everyone who has done it has said it would take.
Now, this is not to say that you won’t be a trading wunderkind. It just very well may happen. But seeing as trading is all about probabilities, I’d say the probability of you beating the learning curve is not a bet I would want to take.
Finally, think of it this way. If you do succeed at trading and it does take you 4-7 years, so what? Any thing worth doing takes time. I spent 10 years going to college to get the job I wanted. Think of any profession you want and point out how many of them can be learned in 1 or 2 years. Once I finished my education it took me years to work up the position I wanted, just like any profession requires. But, just like my profession now, I can do it for the rest of my life. The same is true for trading. If you succeed at it, it’s yours for the rest of your life. You’ll be able to make a living at it for 20-30 years. But you’re going to have do it the old-fashioned way….earn it. That takes time.