Do you use Instincts to trade?

#21
95% of traders lose in the market. These 95% are mostly driven by logic and common sense!!!
yes that is what "they" keep on telling us....

JMHO I think in today technology -internet etc... if there still is 95% losing money, those 95% better changing job or trying their luck elsewhere ;)

but yes the statistic still say that today ... I suppose it is like "lifespans"
one dies other one is born :thumb::D

good day Novice :D
 

rkripal

Well-Known Member
#23
Trading according to your rule and method is the best thing as that would not give you a chance for 'I should/would/could have done that..' You make profit or loss.. is part of business.. but you win when you answer 'Yes' to question 'If you followed your rules?'

Now... Instinct...I guess is something that comes with years of experience with charts(I cant think beyond charts :) ). Many times i have experienced that my mind is telling me something about a particular movement but it is not there in my rule book. I follow that with strict MM (MM should always be strict, rule or no rule). Most of the times that works out. I go to various timeframes that i follow and I notice that there was strong or mild signal on charts too.... Now after years, I have some rules which came as an instinct and produced same paterns on chart and are now part of trading rule.

How does this happen? After years of experience, I guess our subconscious mind keeps recording patterns that we might not be aware of and gives us a signal when the pattern repeats. You trade chart or clear tape, subconscious mind can not record something that is not repeated or will delete it if it doesnt repeat. So keep following your method and rules, when your instinct tells you something try to find on chart if it repeats it will become a part of your trading rule. If your instinct tells you to do something, and there is nothing there on chart, leave it. Let it move even if it goes in the direction your instinct told you. To be successful, you dont have to catch every move.

Last thing, what i said about the instinct above should be applicable to people with minimum two years experience with same method. :D Otherwise we have numurous example where 'instinct' have made people beggars :D .
 
#24
Trading according to your rule and method is the best thing as that would not give you a chance for 'I should/would/could have done that..' You make profit or loss.. is part of business.. but you win when you answer 'Yes' to question 'If you followed your rules?'

Now... Instinct...I guess is something that comes with years of experience with charts(I cant think beyond charts :) ). Many times i have experienced that my mind is telling me something about a particular movement but it is not there in my rule book. I follow that with strict MM (MM should always be strict, rule or no rule). Most of the times that works out. I go to various timeframes that i follow and I notice that there was strong or mild signal on charts too.... Now after years, I have some rules which came as an instinct and produced same paterns on chart and are now part of trading rule.

How does this happen? After years of experience, I guess our subconscious mind keeps recording patterns that we might not be aware of and gives us a signal when the pattern repeats. You trade chart or clear tape, subconscious mind can not record something that is not repeated or will delete it if it doesnt repeat. So keep following your method and rules, when your instinct tells you something try to find on chart if it repeats it will become a part of your trading rule. If your instinct tells you to do something, and there is nothing there on chart, leave it. Let it move even if it goes in the direction your instinct told you. To be successful, you dont have to catch every move.

Last thing, what i said about the instinct above should be applicable to people with minimum two years experience with same method. :D Otherwise we have numurous example where 'instinct' have made people beggars :D .
:lol::lol:
Hi rkripal
very true what you say but my instinct doesn't come from that... maybe you haven't got it ;):D :lol:
I knew earlier I shouldn't have post it ... this type of subject only bring argument - different view ..

it is like the half full glass of water ... some see it half empty some half full ;)

ciao :thumb:
 

rkripal

Well-Known Member
#25
:lol::lol:
Hi rkripal
very true what you say but my instinct doesn't come from that... maybe you haven't got it ;):D :lol:
I knew earlier I shouldn't have post it ... this type of subject only bring argument - different view ..

it is like the half full glass of water ... some see it half empty some half full ;)

ciao :thumb:
Hi Dom

I said that on my experience. It wasn't a reply to your post. :thumb:
 
#27
I don't think that instinct would be a good thing to rely on, it would be best if we rely on the market analysis and the skills that we have.
 

howardroark

Well-Known Member
#28
Instincts come from experience ...
Experience comes from Good and bad judgement ...
That way, Instincts are always part of a decision making process ..
My 2 cents though ...
Trade safe ... Trade well ... Stay Green
 
#29
Instincts come from experience ...
Experience comes from Good and bad judgement ...
That way, Instincts are always part of a decision making process ..
My 2 cents though ...
Trade safe ... Trade well ... Stay Green
bravo howardroark :clapping:
you understand what instincts is all about......

known your self +psychology do your DD properly with years of experiences
one can anticipate many moves and so on ...
instinct ins't IT but it help ;) I can hear teh bell USA is open :D
 
#30
here are few quote of what I was trying to say about instinct

if you can't keep your emotions in check when trading, you will lose money. Lots of it. Pipsychology was created to help minimize this from happening to you. The most significant action that you can do to improve trading profits is to work on yourself. Really knowing yourself and how you think can give you an edge that others in the market don't have.
It is extremely interesting to analyze the way in which new and older trades behave and the big differences in results they have. When you take a new trader and a trader with a 15 year experience and you tell them to make trades based on “intuition” or “gut feeling” the new trader will quickly lose his or her money while the experienced trader will either brake even or make a significant amount of profit. What is so different between the “gut feeling” of an experienced trader and an inexperienced one ? What is the role of “intuition” in trading and how can it lead to the taking of successful positions ? On today’s post I will try to answer this question, the difference between the instincts of a new and an experienced trader and how the development of instinct in trading leads to the perfection of a tool which can prove to be important for success (especially when trading in a discretionary manner).
read more >>>http://mechanicalforex.com/2010/10/the-sixth-sense-intuition-and-trading.html

A trader's "intuition" is basically like pulse reading for doctors. It comes from long, sustained, complete immersion with the markets. In fact, I believe any "intuition" presupposes immersion and experience. It's like how we have deep intuition for social cues.

To build it, you need to:

Watch intraday movements of macro indices (S&P500, 10yr yield) non-stop for months without interruption (preferably at 5 minute interval)
Watch how they react to macro-economic data points as well as news
Watch what large entities like pension funds, hedge funds, etc do to reposition themselves, etc.
As you can see, it requires a lot of time. Reading the markets is a full time job if you want to do it well, and want to have it become 2nd nature to you.

This is also why I believe trading intuition seems like a mysterious thing for most people. They simply just don't spend enough time watching the markets.

# Trading "talent" is, well, talent.

Trading talent is a combination of tangibles (how much effort you put in) and intangibles, like your:

intellectual horsepower
flexibility
competitive drive
integrity
mental preparation
in trading IMO the psychology is one of the most import "tool" ....:)
 

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