The Dimensions of a Successful Trading Entity

Many considerations go into creating and running a successful trading entity. We’ll look at the most popular which get the most attention, right through to the most important, which usually get the least attention.

Here is the list:

1. Entry signals
2. Risk management
3. Exit signals

4. Reliability
5. Reward to Risk
6. Opportunity
7. Capital management

8. Objectives
9. Familiarity with Markets
10. Resources
11. Mindset
12. Style
13. Management

Most, and by most I mean probably close to 80-90% look at number 1 and that is it! That is a startling reality, but a reality nonetheless. But there is a reason this happens. Most new traders are unaware that such a large number of traders ultimately fail in this business, and more importantly, this fact is well known by the very people who market trading in this way.

But enough of that, let’s look at some serious considerations you should make and the order in which you need to do it.

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Which one are you?

Some traders will go through system after system, teacher after teacher, wasting thousands of dollars not only in useless systems but in lost trades before they realize they’ve been approaching the markets from the wrong standpoint because they’ve been trying to trade the wrong type of system.

The two types of traders are the mechanical type trader and the discretionary type trader. Therefore, there are two types of trading systems, a mechanical system and a discretionary system. The difference between the two is quite large not only in the way the market and possible trades are analyzed but in the psychological make-up of the trader themselves.

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I have spent an awful lot of my personal time putting together a 69 minute video for traders that I believe will open the door to understanding how to trade successfully.

This video is a trading system I call the 4 T’s trading system, and in this video you’ll learn the trading system itself, the rules and how to trade it. It will also show you I apply leverage to it, but more importantly how to use leverage with the trading system to achieve a goal or objective.

However it doesn’t end there. By the time you have watched this movie, I believe you will be able to take any trading system, not just the 4 T’s system and use it to achieve your goals. If you already have what you believe is a work-able system but are unable to make it work, this may answer your problems.

If you do have any questions after watching the video I urge you to send them to me, via the question form link which you’ll also find on my blog. I plan on answering any questions regularly so do send them along.

It is quite long, so make yourself a cuppa and enjoy
http://financialmarketfisherman.com

To your success
Dean Whittingham

What is the best?

I was asked this question a few weeks ago and would like to offer some pointers.

The question is coming from someone who is struggling to find the right strategy and finds charts very confusing.

The question is hard in that the answer to his or her question is a different answer to the one they are seeking. What I mean by this is that the best combination of technical analysis simply doesn’t exist.

Let’s take two traders.

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Does your trading style fit you?

If you haven’t worked it out yet, our theme so far on this blog has been getting ‘you the person’ right before you begin your trading career, or if you already are a trader and struggling, giving you clear and concise ways to find out why you’re struggling.

The topic of this post is trend following vs. range trading. I’m writing this post because there is a big difference between the two and even more pertinent is that most traders are either one or the other. Rarely do you find a trader who does both.

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How do you choose the right trading system and market?

A lot of traders, especially those who have been trading a while without success, get trapped into thinking that if they change the market or the system they are trading it will change their results. This is not entirely true; however there is some merit to it that most don’t realize.

Every trader has their own specific resources. Resources are things like capital, time, skills, hardware, software, strengths etc. Because everyone is different, it is safe to assume that no two traders will have the same list of resources.

Those that succeed the quickest in trading are the ones that find the right system to matches their resources. Put another way, every system out there being traded has its own mechanics, and unless those mechanics match a traders resources, the two struggle to gel.

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