Path to Consistency

[pannet1]

Agreed. But 'knowing' something is in the platonic stage, 'doing' is where "the poet cried". We all know smoking is injurious to health, still the smokers smoke. It is similar.

How it works in trading (giving example of my failures, none else, albeit 5-6 years ago, these days it is rare).

1st trade -correct trade size - Loss, setup failed
2nd trade - correct trade size - Loss, entry was wrong
3rd Trade - correct trade size - went in profit, hold it too long to cover earlier losses, market went aganist, gave away the profit
4 trade - really anxious now ("Knowing the right thing" is just being thrown out of window) - 4 X normal trade size = Market swinged a MAE, Panicked and exited with decent loss only to see entry was right and trade would have gone in favour if held

Sounds familiar? If not, you are a born trader (yes, they exist) and got good control on greed and fear

or

you are yet to see this happening, just matter of time.

I probably did all the possible mistake a trader possibly can do in his life. Probably if I write a book on my Failed Trades, it will be a good read. I never had any quality of a trader, the market litterally smoked me, grilled me in its fire to make what I am today.

Even now, Far from perfect, but this is why I know - Knowing somethingg and Doing samething is most difficult when you are in trading.

I am not Pro or anything but Pros who are top of the world trade in a very similar way. Atleast I now know how it is done. The clue is in my signature.

 

[TracerBullet]

Agreed. But 'knowing' something is in the platonic stage, 'doing' is where "the poet cried". We all know smoking is injurious to health, still the smokers smoke. It is similar.

How it works in trading (giving example of my failures, none else, albeit 5-6 years ago, these days it is rare).

1st trade -correct trade size - Loss, setup failed
2nd trade - correct trade size - Loss, entry was wrong
3rd Trade - correct trade size - went in profit, hold it too long to cover earlier losses, market went aganist, gave away the profit
4 trade - really anxious now ("Knowing the right thing" is just being thrown out of window) - 4 X normal trade size = Market swinged a MAE, Panicked and exited with decent loss only to see entry was right and trade would have gone in favour if held

Sounds familiar? If not, you are a born trader (yes, they exist) and got good control on greed and fear

or

you are yet to see this happening, just matter of time.

I probably did all the possible mistake a trader possibly can do in his life. Probably if I write a book on my Failed Trades, it will be a good read. I never had any quality of a trader, the market litterally smoked me, grilled me in its fire to make what I am today.

Even now, Far from perfect, but this is why I know - Knowing somethingg and Doing samething is most difficult when you are in trading.

hehe, link just for fun. Matrix is my favorite ...

 

[HappyLife]

Agreed. But 'knowing' something is in the platonic stage, 'doing' is where "the poet cried". We all know smoking is injurious to health, still the smokers smoke. It is similar.

How it works in trading (giving example of my failures, none else, albeit 5-6 years ago, these days it is rare).

1st trade -correct trade size - Loss, setup failed
2nd trade - correct trade size - Loss, entry was wrong
3rd Trade - correct trade size - went in profit, hold it too long to cover earlier losses, market went aganist, gave away the profit
4 trade - really anxious now ("Knowing the right thing" is just being thrown out of window) - 4 X normal trade size = Market swinged a MAE, Panicked and exited with decent loss only to see entry was right and trade would have gone in favour if held

Sounds familiar? If not, you are a born trader (yes, they exist) and got good control on greed and fear

or

you are yet to see this happening, just matter of time.

I probably did all the possible mistake a trader possibly can do in his life. Probably if I write a book on my Failed Trades, it will be a good read. I never had any quality of a trader, the market litterally smoked me, grilled me in its fire to make what I am today.

Even now, Far from perfect, but this is why I know - Knowing somethingg and Doing samething is most difficult when you are in trading.

Seen all this…. nothing new …… every successful trader could write a book on their Failed Trades, it will be a good read but same old story. (me an old player in trading)

Control on greed and fear will come only when you know your limitation/ expectation / your mindset…

Bhi loss & risk part of any business …. share trading nothing special ….
if you know which segment / share / quantity / no of trade per day / your risk amount % ….. then no problem to trade........
but without prior knowledge or experimenting with the thing just simply copying some online knowledge or relying on someone then knowing & doing may problem hoga….

 

[Happy_Singh]

This thread is going a bit astray.....Subhdip,steer it in the direction you have in mind.

ST

well . .. so far, nothing here, just some weekend chit chat . . .

anyway seems like new trend on TJ to make lots of posts with just 2/3 lines


Happy

 

[XRAY27]

For getting to the path of consistency ,you should have a plan and it should answer following questions

Do you have trading rules for entering, adding to, and exiting positions

What you will do if your trading computer, internet connection, broker, power, telephone
etc. fails

What you will do if you are unable to trade

What you will do if you lose X% of your account

Unless you write the answers down to all these issues, you cannot be consistent and disciplined in your approach to trading and if you lose money you will not know whether it is because you didn't follow your plan, because your plan is incomplete, or your system is not at work, or simply because you are going through a losing period.

 

[rjshem]

Great sir..


But question is are we utilizing the best thing in our trading??

Sir, with due respect to all, one thing I want to say that, I have not seen many CONSISTENT trader in my life.

The two words are the key to make it big..

CONSISTENCY & COMPOUNDING.

Consistency is all about having a trade plan and sticking to it .different capital sizes requires different plan and s most cant stick to it till they attain their trading nirvana or quit altogether.compounding if u understand it well and implent that correctly in ur trading it can take u to diizzy heights ."turtle traders" is one very good book in following regard.

 

[mohan.sic]

Yes Da :thumb:
Compounding is really key to a successful system.
Just like anyone can start a food store (restaurant etc) or a soap factory or a s/w firm or a clinic but the key is compounding, to turn into multi-M or B organizations.

Ppl don't get me wrong, its not only about large $$$ but that's when management really kicks in.
For the path of MacD in a food truck to a multi-B across the world Franchise system, consistency is a must.

What is this improper comparison between trading and a food business.

what compounding is key to successful system ?

Why only one side of the coin ? Why ignore the fact that compounding will wipe out the capital if trades go wrong.

 

[mohan.sic]

In trading Consistency is the most important thing..

What do u guy say about it?

How many of you have done consistently?

Consistency in following a trading method/plan or consistency in winning trades ?

what are you referring to and what is your definition of consistency ..

Trading terminology is very subjective. Please give your view of the terms, so that we can tune in accordingly.

 

[Smart_trade]

I think here he is going to discuss some low risk option selling strategy which can be used to deploy large capital generated as a result of compounding....let us see what he discusses...

Smart_trade

 

[travi]

What is this improper comparison between trading and a food business.

what compounding is key to successful system ?

Why only one side of the coin ? Why ignore the fact that compounding will wipe out the capital if trades go wrong.

Its not just food business, the reference here is small scale vs large.
Why did you miss the soap factory/clinic?

I second ST Sir, wait for the thread to unfold.