Do It Your Way!

For the last year, I have nestled back in my corner and traded ALONE. The "Noise" was prohibiting me from finding MY style of trading, so I had a decision to make. I was going to either develop a system that worked for me, or I was going to continue fighting this monster that all traders battle during their periods of growth and development. I was listening and dreaming more than doing.

Gary was right! This is an "Alone Thing". When you decide you really want this, everything starts to become clear. You have to do this "Your Way". Gain knowledge through outside resources, but you will need solid, concrete, tested, reputable information. It is simply not good to internalize information from some who are still testing strategies. If you have not seen it work through experiences, examples, or simulations, you have to "keep it moving" and not get bogged down in trial and error stuff. I really think this is an area that so many of the new people get hammered. There are some on this forum who are successful traders, but there are some who are "trying stuff" and have not figured it out yet. There are some who have given up on trading, but love this social forum and found ways to interact and have this feed their boredom. Dangerous stuff for you new people. Do it your way and not someone else's way.

Not going to throw out a lot of advice because this is a Do it Your Way kind of thing, but I will offer a few things that I think can be helpful.

Trust Gary's System. This system offers a broad approach to various trading styles. Find one that works for you and learn it. When you start to read, research, and study, you might find small pieces that you learn from outside sources that works a little better for you. This is ok. Your goal is to make consistent money trading, not give up because you are not comfortable with a specific approach to a style.
You must have a mentor or someone you trust who KNOWS HOW TO TRADE! You will need guidance. The system simply does not give you enough information to trade well based on the training. A good mentor can answer those tough questions that will normally take you two weeks or more to understand.
Last, never stop learning. You must practice, practice, practice..... If you do not get it, keep pushing, ask that mentor and test it until you get it.

OK- for my homies who go way back with me..... New traders, please do not try to absorb this stuff.

I am still trading. I am a small chart trader. I do not ever look at a chart larger than a 30 minute chart. I blend a combination of what I learned from Gary, what I learned from Darcy, and what I have learned through outside sources. My trades are quick and precise. I trade the evidence only. I am strictly a technical trader based on chart evidence (my trading plan). I do not care about the price of the stock, earnings, direction of the market, job reports, national issues, etc. I trade based on momentum only. Of course I trade calls and puts, but I only trade weeklies. I always buy during the week I am trading because I am always coming out the same day. I never learned Widows and Orphans and do not plan to learn the process- too damn hard for me! I am fine with my money sitting in my basket because it grows every time I profit from a position. This has always worked well for me.

My wife is happy. She loves the fact that I trade. She and my senior in high school left for China this morning (pray for safe travels). She wanted him to have a memorable spring break. My question is, why did she need to go? I do not remember her telling me she was going. Last night she said, "Remember, we leave for China in the morning". I inquired about who paid for the tickets and expenses for the next 10 days. She said, "You paid for them over a month ago. You also gave us an allowance to spend". After 23 years of marriage and 4 years of trading, a fool would know not to run home, screaming, "Baby, I had a great trading day". Honestly, without my ability to trade, this would have never happened.

I am 46 and only a couple of years away from having "Choice" in life. I can smell it.

I miss you all and hope trading is going well. If you are a small chart trader with decent trading knowledge and find yourself stuck, PM me and I will help where I can. Chances are you new people will only be confused by how I trade, but I will help you as well if I can.

Rookie 30

Congrats Rookie! Great to hear from you and that you are trading well.

That's awesome. I still read all your all posts between you and Darcy and NC Trader. Have been so helpful and given me confidence that I lack. I have loved looking over old trades that ya'll did and studying them. I too trade shorter charts and am tweaking a few things but trade based on Gary's stuff and Darcy's Etrade. I have recently been studying various candle patterns and that has helped as well. As well as drawing in horizontal resistance/support lines. That has really helped. Often I am in a day too soon before it happens. Like I was in a TSLA put Mon and lost a little, but today nailed it better. But anyway, thanks for the update. I might reach out to you b/c I was thinking just this week I need a mentor. I feel so close, but then can still screw up even if I am going the right direction.

Keep pushing my friend. I trade the "E" as well. I also depend on support and resistance lines-but only for my action chart. After entry, I simply ride a 5 minute chart until the 5 crosses the 10. I exit on the cross. I try to keep it really simple. The hardest part of this is simplifying a process that works. Do not over analyze it. Once you know and clearly understand the basics that are taught by Gary and Darcy, you are in good shape. I developed a few little things that help me peg my entry and exit a bit tighter, but for the most part, the foundation of my trading process derives from what I have been taught by D and G. Forever grateful.

rookie30 Wrote:
-------------------------------------------------------
> Keep pushing my friend. I trade the "E" as well.
> I also depend on support and resistance lines-but
> only for my action chart. After entry, I simply
> ride a 5 minute chart until the 5 crosses the 10.
> I exit on the cross. I try to keep it really
> simple. The hardest part of this is simplifying a
> process that works. Do not over analyze it. Once
> you know and clearly understand the basics that
> are taught by Gary and Darcy, you are in good
> shape. I developed a few little things that help
> me peg my entry and exit a bit tighter, but for
> the most part, the foundation of my trading
> process derives from what I have been taught by D
> and G. Forever grateful.


This "E" system.... I've asked around a few times for the system notes, coding, etc, but haven't had any luck collecting it from one source.
Can you help me with this please, Rookie?

I have bits and pieces of it, I think, but am unsure if I have it all.

Thank you in advance... John

John,

My apologies for jumping into the conversation but wanted to offer some guidance and a caveat to "E". If you want to understand the system then a quick search on 3 MA crossover will get you started. Some traders prefer SMA while others use EMA. The concept of "E" means the crossover recently occurred and the MAs are widening (looks like an "E". That person that introduced the system used it more as an entry/confirmation signal for another system a lot of us have studied. Her set up was based on what she learned from the other system but was knocking it out the park using the "E" in context of what she already knew from years of chart study (and mistakes). A lot of the entry / exit thought process was provided in the forum but subsequently removed by the individual.

All of that said, the "E" thought process as originally presented has splintered off to a red light/green light "let the system tell me what to do as I do not want to be accountable for making a trading decision" thought process. It seems like quite a few folks are using the pure technical system. If it works for them and you are interested, great. Whatever works as we are all trying to better ourselves. That said, anyone interested in the "E" would be far better off studying the charts and getting better at predicting the hard right edge w/out red light/green light thought process. Once you can read the charts and have a feel for upcoming movement, the art side of trading, then incorporate the "E" for entry/confirmation. That is what the person did that introduced the "E" concept. She could read the charts first and used "E" to confirm what she already knew.

It use to amaze me when folks would post all of their "E" trades in the forum and wondered why some didn't work. Or they were profitable but didn't realize they got out by the skin of their teeth right before the underlying symbol was about to turn against them. Ability to read the charts would have kept them out of poor risk/reward setups like the original poster. I would share the "E" config with you but I do not use nor do I use the platform that most "E" traders are using. By the way, Rookie is a good one to ask as I know he has been working diligently for years trying to perfect the "trade setup" and not just focusing on a particular red light/green light thought process.

Best of luck!

NCT



Edited 1 time(s). Last edit at 03/30/2016 12:42PM by NCTrader.

P.S.

Rookie,

Glad things are working out!! - NCT

Im new here, read a few older posts, but Im looking for the "E" trade rules and set ups. Also thinkscripts. From what Ive read it sounds simple and easy to follow. Thanks in advance!

The original rules for "spot on / bread and butter / this is perfect" for E trade were that you had to have FP/HRFP on 55, 34 & 21 with E on 55, 34, & 21, and E on 10, 5, & 3. Again, that was jump off the screen obvious and in context of bigger charts. I believe they also watched the Money Flow indicator (had to be rising). The poster also mentioned making sure that if you get E signal, let's assume up, that D was not already at TBB/MA laminated resistant and no room left to go on W. In other words there had to be room left on D and W to go in the direction of the E trade on short charts. That's where the E trade system followers split. Some used it as a signal but took personal responsibility for the final decision by being able to read all the charts (original poster). Others jump on every signal they get even though the risk reward is not favorable. Also, the signal above is a perfect setup. Obviously nothing in the market is perfect so once good then I assume a slight variation would probably work.

This plus my last post will point you in the right direction. If the terms I provided do not make sense then I cannot help as these are part of another proprietary system that most of us have taken. Best of luck

-NCT



Edited 1 time(s). Last edit at 04/02/2016 09:46AM by NCTrader.

Congrats Rookie

Thanks guys! I am quiet, but never gone. I appreciate all the PM's as well. I just started training my son on how to trade from "ground up". Trust me, this is no easy task. We just assume that people know and understand the foundation of trading. Man, he knows nothing-lol! I am not using any materials from anyone else. I am training him my way and feel pretty good about that. When he is finally pretty good, his terminology is going to be a mess because I am not up on trading terminology.

He is having a hard time convincing his long time girlfriend that he can be successful doing this. She researched and pulled up statistics and found people who have lost everything they once owned by attempting to trade. She is presenting an obstacle for him that he will need to deal with-period. Either he is going to do this or not- that simple. My opinion and only my opinion is, there are so many people who fail at trading because of a few very simple but critical elements. One is, the person is not mentored or guided by someone who KNOWS HOW TO TRADE! Some can be successful with no guidance or mentor, but you can probably count them on one hand. I could not imagine trying to do this with out a tremendous amount of help from a very, very successful trader who was one of Gary's original students.

The person must want this more than they have ever wanted anything in life. I mean that! I mean the person will need to be prepared to go into mental battle with "Themselves". Sounds a bit crazy, but I really believe there comes a time when a person has to standoff against that mental beast inside. There will eventually be a "showdown". That day will come when the person has to stand and deal with those internal monsters one beast at a time.

Gotta deal with the financial beast. You do not have the money to trade, or you lost money in the market, or your car needs to be fixed, so you pull from your trading account to fix it. You child needs $1000. You gotta take care of household stuff.....whatever..... there is always SOMETHING that the financial beast will present place in your path.

Gotta deal with the social beast. My son's girlfriend is a big part of his social beast that will bury him, if he does not want this bad enough. It is already affecting him. Friends and family looking at you like you are crazy when you talk about stock trading. Sometimes the people you love the most do not believe in you. That one can tank you very fast. STOP TALKING TO THEM ABOUT THIS! They do not know anything about trading.

The spiritual beast. If you do not tap into your high power or if you do not believe in a higher power, you better tap into something internal, but for most of us, have a higher power that we believe in. Gotta pray about it and ask for guidance and strength. To make this happen, you have to beat every single beast that steps in your path. You have to be well rested and strong because there are so many days when you gotta just close your eyes and ask for help or guidance from your higher power.

Got the patience beast. This joker is a tough one. He will tell you there is a trade, but you know dang well you do not have all indicators firing in your direction-lol. After you hit the buy button, you know in your heart you "jumped the trade". Keep the patience beast at bay.

Got the discipline beast. You better have rules written down and you better follow them or this guy will move into your home with you. He is pretty easy to deal with for me because I have a checklist that I use to follow and physically check off before I enter a trade. He is non existent for me because if I do not have it checked, I do not trade it- that simple.

You can not let any of them EVER win. I am on my soapbox and will be off in a minute, but I sense that so many potential traders are battling some of these beasts, and the beasts are winning.

Last thing and I am done....
I went through battle after battle after battle with these internal beast. I was tired of fighting. I was still standing but was just too tired to continue fighting this. I just could not get this trading thing to work consistently well for me. I would lose money as fast as I made it. I lost my basket for the second time. My family needed that money. What kind of man loses his family's money and still want to do this again? Who is stupid enough to do that? Well, I am not a quitter and believed in the process. I am not embarrassed to say, I was lying in bed and started to feel all this weight come down on my shoulders. The beasts had a hold on me that I could not shake off. I buried my head in my pillow and cried like a baby for a long time. My head started to hurt really bad. I think I was becoming dehydrated-lol! My wife was trying to console me, but I was balled up in a fetal position and was holding and squeezing onto my pillow for dear life. I was in the battle of my life, and I WAS LOSING. They were unfair and ganged up on me. I can beat the hell out of one, but 6 or 7 were too many to fight by myself. I am 6'6 and weight a lot. I had to either lay their and take that ass whippin, or get up and fight until death. I know this sounds way out there, but there is a reason so many people fail. I had to develop this mindset. Anyway,my wife enlightened me on some things about myself that helped me start the journey and in essence, changed my life. I wiped away the tears, got some much needed water, and finally released the dead pillow. I gained the strength and energy to stand up and beat the hell out of every beast that was responsible for my pain. I know this sounds like a little sappy story, but guess what, we all have one. I just chose to offer a summary of my story and hopefully motivate some to keep pushing forward. If this "book" (lol) can help one person become stronger and more motivated, it was worth my time. I wish each of you much success as you continue pushing forward. Thanks for the PM's. It has been great helping a few of you.

BTW- Do not worry, no more books- anytime soon. I am not going to come back and dominate the forum as I have done in the past-lol!
Rookie30

Rookie30, Your anecdote truly inspires me. Thanks.

Thanks tilman29,
It has been a year since I started this thread. I browse around out here once every 3 or 4 months. I will post a little, and go back to my dungeon. It is really crazy how much changes in a little over a year.

Well, my son is doing really well with trading and guess what? His girlfriend is loving the hell out of him-lol! She is a sweet girl, but the raw reality is, she did not think he could do it! He needed her support when things were tough for him. Anyway, he trades intraday. He is never in a trade for over 3 or 4 hours. Most trades are only about 1-2 hours.

So many traders think they need homeruns to be successful. My son has taken $2500 to $81,000 in 1 year!!! He trades for a living. He has been successful and content with little "pops". He trades the evidence and follows the rules. He knows when to enter, and he knows when to exit. He trades the same dollar range on every trade. He places $2000-$2500 trades. Never less and never more. He usually find something everyday or at the least 4 days out of a week. He does not "stress trade" because he knows our system will allow 3 of 10 trades. This allows him to trade freely. He knows if he follows the rules, he will never lose more than 3 trades of 10, so he trades stress free. Our rule also is, the trade must be torn apart by him and analyzed by me before he can place another trade. Guess what, if I have a losing trade, I let him analyze it. Both of us must come to the same conclusion of why it did not work. There are times that both of us say, "That trade just ropa doped you". When we get "Ropa Doped", we just move on. If we find the mistake, we try not to make that same mistake again.

For me, I trade small and big charts now. I do not trade much off the big charts. I might buy one position and hold for several weeks and sometimes months. I bought the QQQ back on 1/9 and just sold on 3/21. I only trade 3 stocks off big charts. If I do not see a trade off BC, I keep popping small chart trades. OK- enough said. Take care and those who might read this, I wish you well.

Take Care,
Rookie30

Good stuff!!!