Category: Trade like the casino
Trade like the casino episode 2, Last episode, The result wasn’t bad at all. I made 6% but I realized that I have work to do. Here’s my observation so far.. P.s: The observations were made after these trade were taken so I haven’t made these corrections yet.
All rules will be applied in the next episode. In terms of triggers (retest), I have to confirm the trend before I take a trade.
That way the market won’t leave me hanging. A loss is: a loss, and a win: a win. You have to know the current trend, It must be followed—before you take the triggered trade. If you are not sure of the trend, leave the trade! I noticed most of my losses are from trading against the current trend. Either I go in too early or I go in after the action. It shouldn’t be.. I’ll be working on identifying the current trend first before, attending to my triggers. The 3-way (Divergence, doubles and trends [higher-lows or Lower-highs] shouldn’t be ignored. Lastly, only after a supposed higher low or lower high then you can consider the triggers.
Trade(s) should be monitored. I remember seeing a 12-hour seminar of—Late. Mark Douglas: I was given a task. He said, “Take all trades no matter what. At least the next 20 trades calculate the risk, accept it”. Well, I told myself—“This is a task; an obligation”. It had to be done. “I will go through lengths to make sure I succeed at trading, no matter what it took”, I muttered. Albeit, there’re steps to doing it. I’ll list them just in case anyone’s interested in the exercise. The aim of the exercise is to enable the trader to: trade like the casino (trading without expectations or fear).
It’s called—“the consistency exercise”: Steps: Pick a market—Nasdaq100, Confluence—Divergence, doubles and trends, Trade entry—retest, Stop-loss—below or above retest zone, Time-frame—4hr and daily, Taking profits—next structural level, Test it, Accept the risk—you have to be ready to lose all 20 trades. That is, 0.1 by 20 trades—I’m risking $200, and finally, do the exercise.