Wednesday, March 07, 2018 11:25:30 AM
I was going through my old charts from 2013 this morning. I was curious to see how I used to approach my trading. To my surprise I was already using Phase charts at that time.
But the most important thing I saw was an old NERS (Nocona Early Retirement System) chart. I tried several times to trade Nocona's chart, but I just couldn't do it. At the time I accused him of having rules that he didn't talk about.
However the problem wasn't with Nocona's chart it was with me. It is a perfectly good chart. The problem was that I didn't have enough experience to know how to read the chart. The only thing that can fix that problem is screen time.
Below the NERS chart is my 15min chart. You can see that the signals are going to be very close if not exact.
So why was I not able to be successful with that chart in 2013? I already talked about not being able to read the chart, but also patience.
Patience - it used to be very hard for me to sit at my desk and not make a trade. After all how can you make money if you don't trade? I have learned the fallacy of that question and now don't have any issue waiting days for a setup.
But here is what I have preached for years. If you want to try out a new system just trade 1 share. Paper trading is not the real thing. However most brokerage firms offer what looks like live trading screens which would be fine. If you can make money with 1 share you can make money with 10 options. If you can't make money with 1 share, you better work on a new system.
Trading is not easy for sure or else everyone would be doing it. Some get it and some don't. What gets a lot of people in trouble is trying to follow someone else's system. Sure we can look at what other people do (and this is good), but in the end you better make changes to the system so that it is your system and you fully understand how it works.
But the most important thing I saw was an old NERS (Nocona Early Retirement System) chart. I tried several times to trade Nocona's chart, but I just couldn't do it. At the time I accused him of having rules that he didn't talk about.
However the problem wasn't with Nocona's chart it was with me. It is a perfectly good chart. The problem was that I didn't have enough experience to know how to read the chart. The only thing that can fix that problem is screen time.
Below the NERS chart is my 15min chart. You can see that the signals are going to be very close if not exact.
So why was I not able to be successful with that chart in 2013? I already talked about not being able to read the chart, but also patience.
Patience - it used to be very hard for me to sit at my desk and not make a trade. After all how can you make money if you don't trade? I have learned the fallacy of that question and now don't have any issue waiting days for a setup.
But here is what I have preached for years. If you want to try out a new system just trade 1 share. Paper trading is not the real thing. However most brokerage firms offer what looks like live trading screens which would be fine. If you can make money with 1 share you can make money with 10 options. If you can't make money with 1 share, you better work on a new system.
Trading is not easy for sure or else everyone would be doing it. Some get it and some don't. What gets a lot of people in trouble is trying to follow someone else's system. Sure we can look at what other people do (and this is good), but in the end you better make changes to the system so that it is your system and you fully understand how it works.
Trade the Charts and not the Heart - Expect the trend to
continue until it doesn't - Realtime is the real deal
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