For the newer people out there, let me introduce myself. I am clockwork71 (Chris), a Senior Member of the James16 group. In a nutshell, it means I have joined the group, understand the material, and was given my own forum in the private area. I make videos, etc.
Think of me as middle management!
Ok, now that's out of the way....
I would highly recommend something to you newer guys/girls out there. There is a "mystique" surrounding Forex trading. Those guys that make all the money are "superhuman" or something. You get bombarded with all the hyped-up stats and "results". But to be honest, we have one friend in the end: Plain, boring, old-fashioned compound interest.
One non-trading exercise that I started to work on in the beginning of my J16 tenure was to work with spreadsheets. Fijitrader, (a mysterious guru-guy in our group who actually traded his way to living in Fiji...) has a lot of information about this very topic. As I began to "tinker" with them, a few minor things hit me.
1) Compound Interest tends to have a point that is "critical mass" - at a point, it tends to "explode". This is our dream.
2) Normal working-class idiots like myself can obtain large amounts of money from seemingly small amounts, with time, interest, and reinvestment.
What I mean by this is that if you are a normal person, and can only start with something like $2000, it's alright. But this means you might need help to get along. Perhaps you get 3 months profitable in a row. Great! You are now up $300. (an example.) Why not add another $300 to your account out of your pocket to compound your principal?
With a little creative spreadsheet working, you can see how much this little "bump" can help. The truth is it's going to be very hard to make $2000 turn into $20 Million. But if you add to the pool of money getting compounded, it becomes a little more obtainable. (20 million is a stretch, but you get my point.)
As for some of the crazy claims out there on returns.....let me put it this way:
If your managed retirement account gets 20% a year, you are very, very, happy. And those guys are professionals. Some out there have actually given me grief about "only" getting 4% a month.
A quick example.....$500 turns into $54,000 in 10 years at 4% a month. Not a bad return. Imagine what it does with a larger amount of money. Remember this the next time you are reading someone that gets "15% a week." There are plenty of those guys that post on forums. Those people are who I refer to as liquidity. Their testosterone is what will cost them money and accounts in the end. It's about keeping a calm, cool head. (This is coming from someone who actually lead the entire state in penalty minutes in Ice Hockey at the High School level. 2 years in a row.)
I know you have heard it before, but trading really isn't an exciting endeavor. It's not a contact sport. In fact, if you are trading daily or 4 hour charts, (LIKE MOST OF YOU SHOULD BE.) you should be able to put on a trade - set your stops, and leave the house.
My opinion is that you can do nothing but screw up a trade if you watch it. Trust me, Murphy's Law.
Ok, off the soapbox. Sorry gang!
Clockwork71
вторник, 15 сентября 2009 г.
To All Newbies
To All Newbies:
I encourage you all to read this thread from beginning to end. And then, read it again, and again, and again. Finally, pay attention to what James and the senior members say and stick to it.
For the last two weeks, I've taken a step back and just started really focusing on s/r, the location of the bars, and divergence via demo. The result: 100% success. This stuff works, but you have to put in the time, be patient, and never give up (now if I can only listen to my own advice).
It's like, I've fallen in love with this method all over again. Thanks James and the rest of the James16 crew.
I encourage you all to read this thread from beginning to end. And then, read it again, and again, and again. Finally, pay attention to what James and the senior members say and stick to it.
For the last two weeks, I've taken a step back and just started really focusing on s/r, the location of the bars, and divergence via demo. The result: 100% success. This stuff works, but you have to put in the time, be patient, and never give up (now if I can only listen to my own advice).
It's like, I've fallen in love with this method all over again. Thanks James and the rest of the James16 crew.
great question and one that never gets asked mostly because people dont read the entire thread.
great question and one that never gets asked mostly because people dont read the entire thread.
the answer is simple.
a large percentage of my trading to this day IS daytrading but not forex.
why did i talk about it then and not now?
forex factory back then was about 50 people total and i never in a million years saw this happening to this thread. what started out to be "just another thread headed for oblivion" quickly became very serious stuff for a growing number of people. once i saw that i knew the right thing to do was to be upfront and honest. what is upfront and honest?
beginner daytraders never make it in this business. MOST position/swing traders dont make it long term.
I knew i stood a pretty good chance of helping a fair percentage of people find some position/swing trading success but daytrading is different.
You can give most traders a daytrading method that finds a decent profit 80 plus percent of the time and 80 plus percent of them will still fail and find a way to lose all there money.
i also knew when i quit talking about it that a certain percentage of people that followed my stuff would find success with the longer time frames and use the same material to find some success daytrading
my choice has been to let that happen naturally and its probably the single best decision i have ever made pertaining to this thread.
succesful daytraders are not born they are made. made by blood, sweat and tears and countless hours of brutal hard work and self discovery.
succesful daytrading is a personal journey after a succesful method is discovered. its 95 percent between the ears and psychological in virtually every respect.
jim
the answer is simple.
a large percentage of my trading to this day IS daytrading but not forex.
why did i talk about it then and not now?
forex factory back then was about 50 people total and i never in a million years saw this happening to this thread. what started out to be "just another thread headed for oblivion" quickly became very serious stuff for a growing number of people. once i saw that i knew the right thing to do was to be upfront and honest. what is upfront and honest?
beginner daytraders never make it in this business. MOST position/swing traders dont make it long term.
I knew i stood a pretty good chance of helping a fair percentage of people find some position/swing trading success but daytrading is different.
You can give most traders a daytrading method that finds a decent profit 80 plus percent of the time and 80 plus percent of them will still fail and find a way to lose all there money.
i also knew when i quit talking about it that a certain percentage of people that followed my stuff would find success with the longer time frames and use the same material to find some success daytrading
my choice has been to let that happen naturally and its probably the single best decision i have ever made pertaining to this thread.
succesful daytraders are not born they are made. made by blood, sweat and tears and countless hours of brutal hard work and self discovery.
succesful daytrading is a personal journey after a succesful method is discovered. its 95 percent between the ears and psychological in virtually every respect.
jim
Thanks Jarroo and James
Thanks Jarroo and James...
But I must speak. I had to learn to the hard way.
I started to trade with a lot of indicators and I've lost some money. I don't broke my account, but l learned what happens when we want to do the things in the wrong way.
So after read the whole thread, I did a demo trade and only after being profitable after 3 months I go to live account.
One of the best advice that most people of the thread and especially James say is: demo trade, at least 3 months before go live.
Doing that and do successfully it's one of the keys of make money in Forex.
Thanks again to open my eyes
But I must speak. I had to learn to the hard way.
I started to trade with a lot of indicators and I've lost some money. I don't broke my account, but l learned what happens when we want to do the things in the wrong way.
So after read the whole thread, I did a demo trade and only after being profitable after 3 months I go to live account.
One of the best advice that most people of the thread and especially James say is: demo trade, at least 3 months before go live.
Doing that and do successfully it's one of the keys of make money in Forex.
Thanks again to open my eyes
Trade PB's
Trade PB's that pull back on a trend and enjoy a winning 90%. CT trading is just stupid and a good way to blow out a account. Yes when I started doing PB's I CT traded them because that's when they show up 95% of the time. If I did not know what I was doing I would of been screwed many of the times.
Mike has a good point, think of playing the market like playing cards, only trade the rich deck's and dont screw with the 4-9 off-sute's. If you are going to CT something you better have your charts correct and know that it will not be a long term move. I went long off the 5min this am but if you read my chart I posted I knew I was against everything all trends on all times, BUT I had a setup with RSI divergence that I have traded over 2000 times and made a good living doing it for years so I did not even think about it when I jumped into it.
One thing you guys need to look at is trend, yes we do not trend all the time but we get some nice long month long+ trend moves, and this helps show what way we are going, sure you may have a day that is down when the long trend is up BUT you have to know that 80% of the time we are going to be going up.
Here is how I add it all up in my head, my trade soup.
Time = 20%
Long Term trend = 20%
PA = 50%
RSI = 10% *** Unless I am doing a CT trade then RSI is about 50%, price is 20% and TIME is 30%.
Take a piece of paper TAPE it on your screen and write down your rules, print out days you lost and go over them again and again, NEVER trade on emotion, if you get excited trading your doing it wrong.
Mike has a good point, think of playing the market like playing cards, only trade the rich deck's and dont screw with the 4-9 off-sute's. If you are going to CT something you better have your charts correct and know that it will not be a long term move. I went long off the 5min this am but if you read my chart I posted I knew I was against everything all trends on all times, BUT I had a setup with RSI divergence that I have traded over 2000 times and made a good living doing it for years so I did not even think about it when I jumped into it.
One thing you guys need to look at is trend, yes we do not trend all the time but we get some nice long month long+ trend moves, and this helps show what way we are going, sure you may have a day that is down when the long trend is up BUT you have to know that 80% of the time we are going to be going up.
Here is how I add it all up in my head, my trade soup.
Time = 20%
Long Term trend = 20%
PA = 50%
RSI = 10% *** Unless I am doing a CT trade then RSI is about 50%, price is 20% and TIME is 30%.
Take a piece of paper TAPE it on your screen and write down your rules, print out days you lost and go over them again and again, NEVER trade on emotion, if you get excited trading your doing it wrong.
My trading has only started to really work out since
from what i understand the daily and weekly pin bars which is what i look ! are more reliable on the longer timeframes
the stop is normally the highest point of the pin bar, so why do you need to over complicate things for yourself by looking at noise to make decisions ?
My trading has only started to really work out since
1. I got rid of those stupid indicators
2. Only looked to trade pin bars
3. Only look at Daily and weekly time frames
Its a lesson to be learnt in itself, but most people loose because they have to be in the market all the time, making excuses to take trades, what they dont realise is that every trade you take your risking money.
the smarter guys all know that most of the time your either out of the market altogether waiting for a class A pin bar / set up, or your holding a trade you took, until you have a reason to close!
I hope that helps answer part of your question
you only have to look at why there are so many loosers (high 90% ish) and then figure out what are the winners doing that is so different.
N
the stop is normally the highest point of the pin bar, so why do you need to over complicate things for yourself by looking at noise to make decisions ?
My trading has only started to really work out since
1. I got rid of those stupid indicators
2. Only looked to trade pin bars
3. Only look at Daily and weekly time frames
Its a lesson to be learnt in itself, but most people loose because they have to be in the market all the time, making excuses to take trades, what they dont realise is that every trade you take your risking money.
the smarter guys all know that most of the time your either out of the market altogether waiting for a class A pin bar / set up, or your holding a trade you took, until you have a reason to close!
I hope that helps answer part of your question
you only have to look at why there are so many loosers (high 90% ish) and then figure out what are the winners doing that is so different.
N
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