Winning Psychology of Defensive Traders

 



Here is the summary of his 10 trading rules :

(1) I trade only when there is something to trade
(2) I never trade without RST ( Reason, Strategy, Targets)
(3) I never trade something I did not research myself
(4) I never buy the high
(5) I never sell the low
(6) I buy on supports
(7) I sell on Resistance
(8) I never trade in No man's Land
(9) I always wait for my setup
(10) I never break any of these rules.

Traders who are familiar with the Turtles Breakout system may have to disagree with Rule No 4 , and rule no 5  because the Turtle buys upon breaking of new high, and sells upon breaking of new low!

Lain padang lain belalang... every sifu has their own methods... and whatever they believe is right, is surely right! After all , we are all trading our belief systems in the market!

The Testosterone Factor

 

















 
Did you know that C8H10H4O2 is caffeine?

 
And that Testesterone  can be changed easily into eostrogen by the fat cells...?

So the fatter the males are  ( waist more than 40 inches ) , the bigger their breast?

It is all due to the T factor !

He recommends that :

(1) Diet : avoid all the usual  bad stuff, caffeine , alcohol, sugar, nicotine
(2) Exercise : espeially pelvic exercises
(3) Sleep : each cycle is 90 minutes , and the end of the 90 min, the 15 min cycle of REM sleep is especially important!

Make sure that your vitality lifespan is equal the physical lifespan!

A History of God

 



 

If you find the Bible too overwhelming, then this book is a great shortcut to find out the events chronologically...

It traces the history of  Judaism ( old Testament ) , Christianity ( New Testament ) and Islam ( in 622  chronologically and condeses the works of mnay writers, philosophers, and gives you the sources to start researching from.

Many Latin and Greek phrases are also cited ...

(1) Credo ut intelligam   : I Believe so that I may understand

A treasure trove... indeed...

SuperTrader

 


When I read Curtis Faith's Way of the Turtle, this was one of the top 5 trading books that I recommend that you must read...

"...The otherComplete books I recommend :
(1) Trading for  A Living ( Dr Alexander Elder )
(2) Trading in the Zone ( Mark Douglas )
(3) SuperTrader ( Dr Van Tharp )
(4) Better Trading ( Daryl Guppy)...."


I reread the book over the week end, and I still think that it is one Complete Trading book because it covers all the necessary aspects, namely :
(1) You ( the Phychology )
(2) Business Plan
(3) Trading System
(4) Position Sizing
(5) Optimal Trading Performance


Dr Van Tharp devoted 1/3 of the book to Knowing Yourself...
... obviously he believes that once you conquer yourself and your weakness, your war will be won eventually.
 The 21 areas that he discussed :
(1) components
(2) Honest Self Appraisal
(3) Trading Type
(4) COMMITMENT
(5) Do what you love
(6)Personal Responsibility
(7) Excuses
(8) Empower
(9) Beliefs
(10) Obstacles
(11) Mindfulness
(12) Inner Interpreter
 (13) Disassociate
(14)Balance Trading/Investing
(15) Stuck State of Mind
(16) Failure
(17) Happy
(18) Vitamins for Soul
(19) Discipline
(20) Removing Stored Change
(21) Enough Self Work?

And I liked the way he defined the market into Up, Down , Sideways by using 5.53% change over 13-week  period : UP if return is above 5.53% over the last 13 weeks
                             DOWN if return is below 5.53% over the last 13 weeks
                             SIDEWAYS if return is in between +/- 5.53%
Volatility is measured by that 2.87% change of ATR over the same 13 weeks.


And the results were : 11.9/ 58.29/ 29.80 ( bear/ sideways / bull )
             41.35% volatile : 10.08/20.31/ 10.96
              58.65%  quiet : 1.8 / 37.98/ 18.84