Trading & Wisdom Quotes

http://blog.traderslibrary.com/traders-library/2011/01/time-tested-trading-tips-january-15.html

Steve Palmquist

There is no magic to trading. It is about putting the odds on your side and not trading unless they are. This sounds simple, but it takes a few years to get good at it.

And like most things, while you are learning it is best to work with someone. The learning time is long because traders have to see how things behave in different markets, and learn to trade the odds and not their feelings. The market will not adapt to us, we must adapt to it.

Successful trading is not about predicting what the market is going to do. It is about knowing how to react to whatever it does.

Trading is a statistical business where it is important to manage risk. Every trading system has a certain percentage of winners and losers.

Create A Vision For Your Life
"Dream big dreams and think tall. Very few people set goals too high. A man becomes what he thinks about all day long." - Raschke's Trading Rules

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"Move out of your comfort zone. You can only grow if you are willing to feel awkward & uncomfortable trying something new." - Brian Tracy

Success seems to be connected with action.Successful people keep moving.They make mistakes, but they don't quit. - Conrad Hilton

You want to be greedy when others are fearful,and you want to be fearful when others are greedy. - Buffet
- asr: with OIL OVER sold , this applies , at 73 on friday 11/27 with Dubai world bank problems


Good Trading Quotes from “Techniques of Tape Reading”

This (Trading) is not a job where you get paid by the hour.You get paid for doing the right thing.

Forget that your money is at stake. Money in trading account is just a tool for making money. Preserve your tool. You need it to make money.

Don’t let the outcome of one trade alter your trading discipline. One trade doesn’t make a system…

Trading is a game of probabilities. You don’t have to be right every time. You just have to follow your rules.

You decide your fate; the market doesn’t.

Pure followers of stock pickers will never be around… Learn or you are bankrupt.

Be aggressive in trending market and conservative in choppy market.

Take home runs when you can, but don’t beat yourself up about missing a few.
One trade should never make or break your account.

Vadym Graifer & Christopher Schumacher, Techniques of Tape Reading

Great minds discuss Ideas,
Average minds discuss Events,
Small minds discuss People.

Never risk more than 1% of your total equity in any one trade.
By risking 1%, I am indifferent to any individual trade.
Keeping your risk small and constant is absolutely critical.


Successful traders know that discipline is what allows them to enter their trades when the odds are in their favor and, more importantly, to get out when they’re wrong.
Being right is not the problem. What you do when you’re wrong is the crucial issue.

There are a lot of traders who buy then pray while the market goes against them, because they think that it will eventually go their way.
Most traders average down and wait for the market to turn their way.
Trading my way, I always have defined amount of money that I am willing to lose.
I let the market decide how much money I’m going to make.
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http://www.chicagosean.com/2010/10/in-trading-time-does-not-always-equal.html

When I managed a small hedge fund from 2002-2004, my trading style was trend following futures and commodities. I scanned the markets after the close seeking triggers to enter trades. When a trade was triggered, I entered a market order to execute at the open the next day. Upon getting my fill at the open, I would immediately place my stop order for the trade. And then forgot about it. I didn't sit at my screen watching the market all day. There was no need. During this period of 18-months, my fund returned 58% to my investors AFTER my 20% performance fees and 2% of assets.

asr: yes , I wanted to do this with OIL , place good trades then place STOPs and leave it for EOD ..

Most recently, I've had my best success when I've taken steps back from the market and formed a "big picture" idea of what I thought the market would do over the next few weeks or months. I then figured how I can best profit from my idea if I'm right, and how I can best limit the damage if I'm wrong or my timing is off. The plan I've currently put together involves me executing one, maybe two trades per week. And, predictably, I've had a good run.

Trading doesn't have to be fast. It doesn't have to be hard. It doesn't have to be complicated. Some of the most successful traders in the world could probably write out their entire trading plan on the back of a business card.

Lastly, I'd like to end with another great quote from Howard in this interview:

If success means survival and doing something I love, then I guess I'm a success

Yes indeed, Howard.