ZF Capital » StoryTeller

Thought of the Day (October 22, 2009)

ElfLord — Wed, 21 Oct 2009 22:21:34 +0000

Invest your money, not your ego. Even the most carefully-crafted system is going to lead you astray eventually. Conditions change. Markets change. And even a system which is working just fine may have to be altered because of a new data point. Always be willing to adapt. Unwillingness to change your mind can cost you more than you’d believe. Never let a trade become an “investment” merely because you failed to listen to the market.

– StoryTeller, TMF Boards

Thought of the Day (October 20, 2009)

ElfLord — Mon, 19 Oct 2009 22:01:25 +0000

Trader, know thyself. It’s been said that 97% of successful trading is understanding and utilizing one’s own strengths and limitations. If you continually put yourself into trades that don’t play into your strengths, then you’re going to lose money, and you’re going to beat yourself up mentally in the process.

– StoryTeller, TMF Boards

Thought of the Day (September 27, 2009)

ElfLord — Sat, 26 Sep 2009 22:16:09 +0000

When initiating a trade, enter as if it has the potential to be the biggest trade of the year. In other words, plan your trade. Don’t enter a trade until it has been well thought-out. Devise a campaign for adding to the trade (pyramiding). Set contingency plans for exiting the trade. Unless, of course, you need to lose money.

– StoryTeller, TMF Boards

Thought of the Day (September 23, 2009)

ElfLord — Tue, 22 Sep 2009 22:47:21 +0000

Be willing to make mistakes and accept small losses. Trading is trading, markets are markets, and losses are unavoidable. However, they are manageable. Set stops, either mentally or with your broker, and execute them at the planned point without hesitation. This is how you manage your risk. And it is the only way you will protect your capital and stay in the game.

– StoryTeller, TMF Boards

Thought of the Day (August 23, 2009)

ElfLord — Sun, 23 Aug 2009 13:38:39 +0000

Keep a trading journal. It’s difficult to learn from mistakes if you don’t remember them. Always keep your past mistakes, and successes, close at hand. Keep your eyes open, and write down the market actions and reactions you see. Write down how the market moves at certain points. A thorough journal is as valuable as any trading handbook yet written.

– StoryTeller, TMF Boards

Thought of the Day (August 16, 2009)

ElfLord — Sun, 16 Aug 2009 13:09:46 +0000

Think like a guerrilla warrior. Fight on the side of the market that is winning. Don’t waste time and capital on futile efforts to gain fame by buying the lows, or selling the highs, of some market movement. Your duty is to earn profits by fighting alongside the winning forces. If neither side is winning, then don’t fight at all.

– StoryTeller, TMF Boards

Thought of the Day (July 31, 2009)

ElfLord — Fri, 31 Jul 2009 08:16:34 +0000

When sharp losses in equity are experienced, take time off. Close all trades and stop trading for several days. The mind can play games with itself following sharp, quick losses. The urge to “get the money back” is extreme. Never succumb to this.

– StoryTeller, TMF boards

Thought of the Day (July 28, 2009)

ElfLord — Tue, 28 Jul 2009 08:06:26 +0000

The news is in the chart – yesterday’s news, and tomorrow’s. Fundamentalists react predictably to news. Technicians react predictably to chart patterns and “indicators.” If you can read a chart correctly, then it is not necessary for you to follow the news, or even to be aware of what the news is. Make your decisions based on what’s happening in the chart, not on what you think will happen based on the news. Forget the news; remember the chart. It already knew the news was coming.

– StoryTeller, TMF boards