Recognize our single purpose when the market opens each morning. We are there to take other people’s money before they take ours.
– Alan Farley, The Master Swing Trader
On June 10, 2010, In Thought of the Day, by ElfLord
On March 6, 2010, In Thought of the Day, by ElfLord
Avoid information overload. Set aside a reasonable time for preparation and limit analysis to focus on key stocks and indices in detail. Reduce watch list, news and charts until they conform to a healthy personal lifestyle. Get recreation, eat right, and get plenty of sleep before the new market day begins. Exhausted swing traders make terrible decisions.
– Alan Farley, The Master Swing Trader
On January 9, 2010, In Thought of the Day, by ElfLord
Traders hate to think about discipline. After all, it’s not as sexy as just becoming a market gunslinger. But the bottom line is that most of us don’t follow our own rules. This is ironic, because the folks who ignore the reasons they lose money are the same ones who spend thousands of dollars attending trading seminars. Personal discipline is the one thing you can’t learn sitting in an audience.
– Alan Farley, The Profitable Trader
On December 10, 2009, In Thought of the Day, by ElfLord
Don’t fall into the complexity trap. Some participants buy expensive chart systems to test, back-test, and optimize complex trading systems. While this process works well with specific tactics, it often reflects an inability to take personal responsibility for one’s results. The best opportunities always sit right under the trader’s nose. They set up now the same way they did 50 years ago and will likely book profits for our grandchildren in another 50 years.
– Alan Farley, The Master Swing Trader
On November 3, 2009, In Thought of the Day, by ElfLord
Long term survival depends much more on personal discipline than on market knowledge.
– Alan Farley, The Master Swing Trader
On October 4, 2009, In Thought of the Day, by ElfLord
Many short-term players view trading as a form of gambling. Without planning or discipline, they throw money at the market. The occasional big score reinforces this easy money attitude but sets them up for ultimate failure. Without defensive rules, insiders easily feed off these losers and send them off to other hobbies.
– Alan Farley
On September 12, 2009, In Thought of the Day, by ElfLord
Each market day spawns excellent trading patterns. But many skilled participants still wash out through bad selection and poor timing. Why doesn’t their experience save them from ultimate failure? The answer holds great wisdom for every trading aspirant. Simply put, long-term survival depends much more on personal discipline than on market knowledge.
– Alan Farley, The Master Swing Trader