Proper Trading?

Sunday, May 14, 2017

11:44 AM

Editorial By George Ambrose

(Special thanks to Oliver V)

What is proper trading?

Trading in many respects is a byproduct of proper thinking. The purpose of a trader is the have
a revolution in their mind and to become aware "we do not trade stocks/futures/currency, we
trade people." In every transaction we perform, their someone on either side of the
transaction the question is, "who is the smarter trader?"

Trading tactics and techniques will have little to no value if the mind behind those techniques
has not become adequately prepared. Excellent traders are those who continually sow seeds
of wisdom within to develop high in states of awareness and deeper levels of understanding.
We called this in the trading world "depth".

Sound trading methods equals those who have a sound mind. Proper trading suggests proper
thinking. Each time a pearl of wisdom is digested it will help bring a deeper sense of
understanding, heighten mental awareness, and greater emotional mastery.

The goal of the trader is to become a master. No one can quantify the actual cost one has to
pay to master their thinking. It will vary from person to person. Yet the cost is usually higher
than one is willing to pay. If you bring me someone who was willing to quit their job to
become a day trader, I will show you someone who likely does not understand what it takes to
become one. We may learn tactics and trade setups and still fail as a trader. It may take many
months to several years of relentless effort to obtain a market proficiency, yet excellency
seems to emerge after one has learned an experienced in every conceivable way how to lose.

Each trader will experience losses, then emotional turmoil, lack of resolve, a loss of passion
yet each trader must pay the price to gain a deep sense to the unwillingness to for forsake all.

Day trading is not investing. The tuition to be successful is very high and there's no use in
denying it. However the reward goes to those who are willing to pay the unmeasurable price.

Trading setups are easy to learn. Learning when to use them, an art form.

Successful traders enjoy independence. What master traders can earn in under 2 hours tends
to be more than what people gain at employment the whole month. A simple mouse stroke
can bring great rewards. O the allure of day trading! It will either bless you or take away your
capital.
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capital.

Day trading mastery requires some acquired skills, right knowledge, and experience.
It's not about surviving. It's about understanding what to do and when to do it.

The burning desire of trading mastery is a passion. Make it your sole mission in life to
overcome all obstacles to ascertain the success. Let a burning desire be the wind behind the
sails so you will be able to get past the booby traps in your mind.

The master trader requires only a few tools.

In day trading those who possess limited trading knowledge had a much better chance of
becoming effective market players than those with high experience. Why is that the case?
Too many different types of training can cause inaccurate beliefs. They can create false ideas
and cause the trader to make false decisions. If what you know is the right knowledge, the
knowing = empowerment.

The best traders work on minimal tactic. They find two or three tactics, techniques that work
consistently. Once they found them they simply implement them over and over and that
repetition is value. However, some traders have dynamic brain function. This capability offers +
10 techniques to incorporate within different market conditions. Why? Their cognition is like
broadband. Each trader has opportunity to improve cognition function.

Each trader will make a personal decision as to what tactics and techniques they wish to
employ. If the tactic is to gain small amounts of profit, they must discover the knowledge that
they can repeat at the right time and do it over and over again.

If the tactic is to gain a larger profits, then they must discover the knowledge they can repeat,
to perform at the right time, doing it over and over again.

Tactics may not win every trade but if its the right knowledge they will have consistent success
when they employ it at the right time.

It is extremely important for each person to develop the sense that is forward looking. It is less
important to look backwards yet always holding a premise of what the future will be.
However, the past holds valuable keys to indicate a potential future.

Here is one of Wall Street's golden rules, "when an uncertain and crippled by doubts give
yourself a 6 to 8 months market outlook". Why? It buys you a good deal of time to hone in on
the process of that outlook. Should your view not become consistent to price action you can
always change your outlook. You may not believe that to be a valuable tool seeing your day
trader however each day you will come up to the plate and say to yourself, " and this is what I
feel the need to be aware of and this is how we can profit from it". Then our role is to be
patient and interpret the activities of others and execute respectfully.
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patient and interpret the activities of others and execute respectfully.

As day traders, our goal is to live in the context of 2 to 10 days. We look forward to breaking
up the market into digestible to 2 day to 2 week periods. Should we get this correct we stand
to make a great deal of money and if we get it wrong, which we will at times, we can quickly to
regroup and move on with limited drawdown vs waiting 6-8 months for fundamental numbers.

Most of the market activity is determined over the next two days to two weeks. We certainly
can look back and distinguish prior day's activity. We have been given dominion to look
forward to the near future. In trading terms this is called the Here and Now. Most traders on
Wall Street find comfort, success, and higher accuracy when thinking along those terms.

Successful day traders always have some sense and actual knowledge of fundamentals.
They then perform technical analysis against the data. Technical analysis such as proven price
patterns, supply and demand, volume characteristics, resistance, tend to be the choice of short
term traders.

A truth we must accept: technical setups and chart patterns are only guides nothing more
nothing less. They offer us probabilities and a degree of risk to manage in the current moment.
They are not guarantees, they're not foolproof.

We learn much from resistance: resistance to the seller, resistance to buyers.

When resistance is broken we learn from that information about the current situation.
Resistance tends to be only useful up to four times in a row. It is a technical concept that
reveals very strong value.

Fundamentals are very important. Whereas technical analysis offers greater interpretation
when we making decisions in the Here and Now. Remember, the Here and Now = 2 to 10 days.

Charts do not lie. Price charts do nothing more than graphically display "foot prints of money".
They reveal the psychological work and repetition cycles of fear greed and uncertainty. What is
evident about the price charts is that they are factual. The prices are either laddering up or
they are laddering down. The charts do not lie. Despite news or earnings reports, despite
press conferences... The charts show us the true convictions of where the money is laid to
rest.

All price movement is driven by one of the three emotions: greed, uncertainty, and fear.
Greed and fear of the two dominant emotions. And we can visualize this from the history of
every Chart. Tracking the movement of prices helps us to remove any misleading exterior
statements. Price movement reveals the genuine intent of the majority of players. Despite
external information the charts are always telling us who is lying and who was being truthful.
The charts are our true friends they represent the footprints of money.

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Although Perspectives4Trading LLC offers excellent wisdom, technical concepts, trade setups,
technical tools and how to use them... P4T cannot prevent other traders from losing money.
Its purpose is to make sure that a trader does not show up to a war with a dull knife.

The truth of the matter is that no one can transfer trading proficiency. We cannot wave a
wand to handover of mindset, mental attitude, discipline, and the ways of being a winner. Only
you can do that... only individuals can earn for themselves the right to win.

The only thing Perspectives4Trading and other mentors can do is to help guide and direct the
trader along the way. We can show a trader what works and what doesn't. P4T offers its hard
earned knowledge and reveals tactics proven to be reliable. But no matter what we can do, we
cannot control what players do with them. We cannot change their fear or alter the emotional
makeup beyond degrees of influence. We cannot make their brain cells grow or die. But we can
certainly make sure they show up to the charts with what they need to play the game.

Despite all our hard earned effort and knowledge, despite all of the encouragement and
motivation we can offer, the trader is actually on their own. We cannot pass their tests for
them, we are here to help them prepare. Let it never be forgotten that you fight the battle
yourself. No one can take your place or alleviate an inevitable hardship. Only you can bring
about success... With the proper guidance, you can, and you will bring about your success.
Here are a few seeds of wisdom

1. When in doubt its best to get out

2. You can always get back in
3. Clearing your slate, selling out, also clears your mind
4. There are times when the market rewards a coward
5. A 2% loss against 20% move against your position, is not a loss
6. A good defense at times is the best offense
7. Stepping aside guarantees you live to play on another day

In day trading you can buy the right sentiment of the market at the wrong time.
You can buy a bear market sentiment at the right time, and still make a lot of money.
There's either more buying then selling or more selling than buying... And that a trader
develops the art of interpretation and mental awareness of what other traders who have the
bulk of the money are about to do.

Astute traders understand that stock prices move before Wall Street fundamental numbers do.
This is what is called discounting. Collectivity, the market tends to anticipate events by 2 to 6
months. Traders who wait for the fundamental numbers to come out find themselves a few
months late and thousands of dollars short. Moore overly, traed reading, bind with a few
technical rules is the only form of analysis which answers this question, " now that I know what
the trend is when do I buy or sell in?"
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the trend is when do I buy or sell in?"

And herein is where Perspectives4Trading techniques and analysis practices assist the trader in
making their own personal determinations of when to buy and when to sell. APR Process, 240K
Plan, SVL Indication, N-RG, Indicator Insights, Space Time, Candlestick, Energy-2, Gann Fan,
PRZ's...assist the timing of intraday decisions. We cannot force cycles or tell traders globally to
do something. We offer live trading knowledge for cognitive information to master to assist
the decision making.

If you've made the decision to become a day trader you have given up the desire of certainty.
Certainty can only come into being when the future is fully known. As the traders we have not
been afforded the full benefit of knowing the future. We can presume what tomorrow holds
and at what times to be right. But we can never be sure of being right.

In a sense the search for certainty is a false image. We can only afford the whole for a superb
ability to assess the odds of being right. It must have realized that certainty can never be
found in life nor the stock market. Every trader must learn to accept that fact, to we can never
be absolutely certain of what the future holds. Once it's accepted by the trader you will
experience relief. True rest, clarity, and peace of mind can only come into being when you
realize certainty cannot be achieved.

We can never know fully with tomorrow holds, we can only acquire a few tools and techniques
that are designed to help us assess those odds.

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