Traders Thought for the Day

FTMO Trader Scouting
“Every winner needs to master three essential components of trading; a sound individual psychology, a logical trading system and good money management. These essentials are like three legs of a stool – remove one and the stool will fall, together with the person who sits on it. Losers try to build a stool with only one leg, or two at the most.”
– Alexander Elder
 
rod178 said:
“Every winner needs to master three essential components of trading; a sound individual psychology, a logical trading system and good money management. These essentials are like three legs of a stool – remove one and the stool will fall, together with the person who sits on it. Losers try to build a stool with only one leg, or two at the most.”
– Alexander Elder

Great quote!
 
rod178 said:
My stool has three legs, although I suspect that one leg is sometimes shorter than the other two.

As long as it has 3 legs within decently similar lengths, it'll work. ;D
 
garry said:
That resistance is way too close, I really shouldn’t have taken that signal.
I should definitely trade that breakout. My method doesn’t trade breakouts,but that’s a really good-looking trade.
I’m long, this is a downtrend. What the heck was I thinking?
This going to be a loser, for sure.
Price has ripped so far away from me – please don’t turn into a signal.
This is clearly in a congestion range. I’m going to ignore that signal and wait for a breakout.
Buying spikes – this short is doomed. See ya, money.
Yippeee! It’s not turning into a signal!
Ooh, nice profit – I should take that while it’s still there.
Take the profit. TAKE THE PROFIT. TAKE THE DAMN PROFIT!!!!!

This calls for something I thought up in the shower this morning: don't expect your results to be consistent if your actions are not consistent.
 
"If you have an approach that makes money, then money management can make the difference between success and failure... ... I try to be conservative in my risk management. I want to make sure I'll be around to play tomorrow. Risk control is essential."
- Monroe Trout
 
“Our complexity is much more likely to lead us astray than any simplicity we may follow.”
- Roger Kimball
 
“Good luck is what happens when preparation meets opportunity, bad luck is what happens when lack of preparation meets a challenge.”
– Paul Krugman
 
"Beware the chartist’s illusion. It is characteristic of human minds to perceive links of cause and effect where none exist"
- Max Gunther (The Zurich Axioms)
 
"Younger generation are hampered by the need to understand (and rationalize) why something should go up or down. By the time that it becomes self-evident, the move is over." - Paul Tudor Jones
 
“We keep our cool when others don’t. The point is, markets adapt. Don’t listen to all the crap out there.”
– David Tepper
 
"The first step toward success is taken when you refuse to be a captive of the environment in which you first find yourself."
- Mark Caine
 
"There isn't anything noble about being superior to another person. True nobility is in being superior to the person you once were."
- Ziad K. Abdelnour
 
" Human behaviour cannot be predicted. Distrust anyone who claims to know the future, however dimly".
- Zurich Axioms
 
“Man’s mind, once stretched by a new idea, never regains its original dimensions.”
– Oliver Wendell Holmes
 
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