Friday, September 14, 2012

Learn Not To Trade

I used to be a day trader for two years. Two years experience taught me very important things that may become the key to your successful tradings. And I deeply believe this one is a very important key and reason why lot of day traders failed.

Learn how to stay at the sideways....

Seemed easy but hard to do, especially if your income solely depends on your trading profit. As futures trader, we may stay not to trade for days, even weeks. Just stay at sideline. How convenient...this is true. For example price didn't move much if there will be big economy news or meeting coming. Price may stall 2-3 days before the big day. So why you wanna trade the obvious whipsawed price? Better just go to the beach and enjoy the vacation...But No!..we continue to trade because if we don't trade then we don't make money. Maybe your subconscious mind told you to take action, waiting make you look like a worthless lazy being. Then you get this brilliant idea to trade this whipsawed for the sake of trading. 

Professional trader only trade when there are trades, no need to attend every day, interpret all ticks coming, up and down, hoping become the master of tick reading. Some traders have dreams to mastering one type maybe S&P, Dow, and believe that's their ATM. Every single day try to crack the ATM, instead the opposite happens.

Honestly this is the worst finding..dull market is not suitable for trading, especially day trading. Few traders realize it. You can make more money just trading 3 months in a year than trading full 12 months. That is the fact, been there.

How is the solution? Create a filter to identify to trade or not. This is the key. You can use the volatility index, important release news, or ticker speed, volumes, anything that suits you.Before I used a surging fast volume to identify the good to trade or not. But too bad that my price feed service is bad so sometimes give wrong signal. Or you can use incoming news and see if result worth moving the price. And then stick with it..If there is no trade for two weeks, stick with it. Easy to say, difficult to do.

Saturday, September 1, 2012

What kind of traders are you? Bet it is No.2

Contrary to general beliefs, trading is the most stress free, big income, less work job in the world. We need to set the mind straight, enter the zen state about money. Some people collecting hard earned money to trade so a lot of emotional attachment in it. Let it out. Don't treat trading like a business or office work like we did before. Treat it more like smart gambling. If you start traditional business, you expect to become bigger in long term. Quite impossible for business to grow have breakeven in one week while trading may reach 100% return in 3 days. It is different.

 I will classified the types of people into 3 categories:

 1. Impulsive Gambler, they treat trading like a casino. Trading only for fun, or try their lucks. Just like casino player, they are not afraid to lose. Doing it over and over again with no method whatsoever. Risk management is nil. This traders will reach fame or shame result. Rich or Die.

2. Management Trader.. traders in this category usually make blog about their trade, willing to learn how to trade. Have desire and dream to trade for a living. They use methods and rules to trade. They logged their trades, Analyze anything. Seem a good type of trader to success. Problem is in the end, this kind of trader will end up like gambler. Only longer pain and more hard work. They think they can crack the market with their method. They embrace the risk but actually it just illusion. The biggest problem here is they still have attachment to their money. Emotional cling that even the slightest breakdown will ruin your years hard work. I bet people will profit from demo account than real account because of this problems. Even with the exact same methods, I will bet my life in the end demo will have better results. The answer is attached of the money.

Some said they will discipline only allowed max losses at certain amount. Well take that 7 days in a row and see what happened to this guy. Physical pain, emotional pain, surely affect their next trades. We are human being, cannot kill those emotions fault. Embrace it and get ready anytime.

3. Smart gambler. This is what ideal traders should do. The attachment to money zero percent, but still trade with discipline and methods. What if they lose 7 days in a row? No effect. What if they win 100k? Maybe just smile. They enjoy lives, money for them is just tools. Sometime gained, sometime gone. Trading world is a big playground for them. They never calculated their floating profit, never watched the price tick by tick, they trust themselves, and managing trade with the let it go mindset. Don't care what the market will do. In their minds, there are no overprice or overbought. No cheap or expensive. All just numbers. They always trade the high odds chance. They knew market is not the same every time. They only trade when condition is good. They patiently wait their moment. While still enjoying their lives. The way they manage trading are different with others. They never wanted to be a hero to buy at lowest price and sell at highest price. If it happened, they considered it lucky guess and never want to analyze the lucky shot. Treat the money like bullets to shoot target. They never regret the bullet they spend if miss. They forget it. They are not focusing on how many bullets they wasted. They focus on how to hit the targets. And they are the winner in this trading world.

Most of us stuck in number 2 and despised the number 1 type of trader. Well we are not better than them. Only die longer and more pain accumulated. All the trading book not setting your mind right. Only insane people can trade profitable consistently in first place.Our mind is not set to trade since we are born. We must tweaked our brain myself and it took time, confidence, and humbles. I already become the smart gambler, I can set my mind straight. I am not discipline every time but I can set my mind straight. Sometimes I fell to gambler area but I still limit my risk. One important key is not treat your profit as your money, unless you are quit trading forever. And trade never been so easy

Tuesday, August 14, 2012

Neverending Dark Trading

Dark Trading which I applied right now means I exploit broker weaknesses. I don't trade against the market. I trade against the broker. This trading is so secret include method, tools, software, EA, broker I used, and even the results. This is the best trading method for me. My trading is just looking for new broker almost every month, looking for its weakness and exploit it.Sometimes I found new method and my trading keep evolving. Regular trader usually depends on chart, price action, momentum, or event. While my trades depend on just say I made money at volatile market. And not trading at silent market. I am not a day trader, means I didn't trade everyday. I will illustrated myself with casino player who is cheating. That is me. I cheat the broker. How easy it is? So easy that I made tons of money unlike other struggling traders out there. I have losing trades too. I am not God. But in a long run if I kept searching new broker, evolved my method, and do it over and over again, there is no doubt 100% chance I am profitable. A lot of dumb traders out there looking for patterns, trying new methods years after years doing the same thing. New method, not working, demo, new method, profit, loss, back to demo, another new method... doing that for 5 years is insanity. I used to be like that too, but the difference is I am not a dumb headed guy. I am not doing what I like. I did what worked. I dumped all my methods that I honed for years. I threw off all my skills I experienced. I am back to zero and I win. Most traders out there do what they like, not what is working. Especially for day traders. Don't get me wrong. There are profitable day traders but not everybody have talent at it. And the most faulty philosophy about trading is never give up. That is so stupid. For example if you open a CD music shop, then you won't give up though 99% music lover buy from iTunes? Wake Up!!! If your methods not working for 5 years why you still loyal to it? But most of traders out there start from not discipline. They think after disciplined they can be profitable. Well, if your method sucks, you will still lose money. It is not about disciplined. Some traders said those dumb head traders needed at the market so we can earn their money. I told all of this because I didn't get your money if I win. I take broker's money. So this is my honest advice to all of struggling trader out there. I realized some traders don't like my post here but this is the hard truth. Human emotion is the worst content for trading. Give up, take back step, and come back with new you. Throw all the garbage that is not working, focus on what is working.

Sunday, July 1, 2012

What works best in trading for me

13 months consequtive winning teach me what is works for me: 1. Focus on what is working, not on what you like. If you like day trading better but having better result on swing trade by all means trade the swing... Unless you are trading for fun not to make money. 2. Know what you are doing. Identify the trading result. Is it from mere luck or the methods you apply. I sometimes try my luck for few trades but definitely not my bread and butter trade. Usually those trades I took after secured gains on the month. Whatever the trade goes, I will still net profiting. 3. Explore more depth of your working method. There is no end of improvement. For example if your methods only working at volatile market, find ways how to avoid choppy market. There is no point you trade when the odds not in your favor. 4. Discipline and throw away the "gut feeling" when trading. Like I only buy when news are good and vice versa. Don't care of the rest. The results show themselves. Sometimes it's wrong but over the long term, it will prevail. 5. Automate the trade if you can. Human Brain is not always on top condition. But you don't want to miss opportunity when you are not fit. Robot is the answer for this. Using the robot will eliminate the need to discipline and reduced the brain work when trading. I find out my brain is working better when not trading. 6. Able to move on. If your method is not working, and improvement didn't help, move on to new method. I have seen lot of traders stick to the useless method all the time and refused to admit it. It is human nature, but trading is not the area of human nature. In facts, it opposed all the common behaviour of most humans. In the end trading is just tools to reach your better goals. Use the money from trading to reach another dream. Don't trade for the sakes of trade itself. The only reason I love to trade to make money because it is the easiest thing to gain big money legally. If there is easier way to make bigger money than trading I will gladly move on to it.

Wednesday, May 30, 2012

EA fever!! I worked lesser and earned better. I give up my emotional control and profiting 12 months in a row.

Wednesday, May 9, 2012


Brokers hate news trader, so I cannot get fill anymore. Move on to other brokers playing small lots and stuff, still make me at least 5k per month. For those of you who still struggle, good luck. Five years experience teach me well. Don't trade everyday, Find ways to identify good or bad market condition. Leave the screen if market dull. I better spend my money to other thing than competing with algo robots at dull market.. It's futile really...

Oh and working too hard is bad too. Urge to make money solely from market will disturb your trading skill. I found out after years of trading. Why so many bloggers end up losing in the end? Because they are too focus on market, watch every ticks assuming that every move on market is worth something. Well good luck on that. Now I play more, have fun more, less trading, less screen time, and make more money than ever. I have more work to analyze broker weakness than charts. The work is instantly rewarded.

For those of you who planned to depend solely from trading, think again. Unless you already made so much money from trading so you don't feel angry if you lost a little bit from it, then maybe you can,

Consistently profiting 12 months in a row, make more than 200k at those time, I proudly claim myself as Professional Trader.

Monday, April 9, 2012

Made 60k++ On Non Farm Payroll

And I just feel okay, no screaming, no jumping, no laughing. Only big smile and Happy Easter to All :)

Thursday, March 22, 2012

Made 11k on Thursday

Easy as it is, good news buy, bad news short. No need stay at monitor all day, Not even every day. Just stay at the right time and made money.

To become profitable day trader you need nerve like a steel or made lot of profits already. Eliminate gambler's alert, that's it. You know why prop trader make more money? Because they trade other people's money. No emotional involved with the money.

I can become sucessful day trader if I want to. But why need the urge? I can easily made 3-5 percent monthly without risk too.

I saw other blog made resolution every time they made bad trade, just to break it over and over again. Very few profitable traders that blogging regularly. Only aspiring trader like me before who think become better and better each day. You are not. You just made rat race on your trading account. I have experienced that too. If you still have a regret missing the big move, you are not ready.

The urge to trade every day also reasoned why begineers failed. Trade when there's only movement. Don't trade when price is dull. That's it. You will make money if you trade only when there is good volatility in market even only with simple MACD signal. Now you just need a good indicator to identify early volatility. For me, if I have so many requotes on my Gold Trade then it means volatile.

Now I spent more money for my pleasure then on market. It's much much cheaper really :)

Monday, March 19, 2012

No Trade, So What?

I have been learning that not everyday give same opportunity. I gave up all my manual trades to Automatic Trading or Methodical Trading such as news. If there is no big news or no trade on my Robot so what. I did trade for making money not trading for the sake of trading.

I spent some of my profit for my personal pleasure. And it is even much much cheaper than trading recklessly. Sometimes I trade lightly if there is some 80% probability from my signal. I detached completely with the money on the trade. I trade for making money, not even slightly bad emotion if my trade gone bad. I already preserve so much that it won't hurt unless I choose to hurt myself.

I used to despised robotic trading but now I did it. Some brokers won't let robot and I wonder why. It's because robot can defeat the bucketshop. So, why not using robot?

Thursday, February 16, 2012

Thursday, February 9, 2012


Biggest profit in my life!!!

Saturday, January 21, 2012

Why we don't need SOPA and PIPA

As we can see, the SOPA and PIPA polemic is finished with delayed voting. The main purpose for these new rules is for preventing piracy from the internet especially movies. Practically, the US Government can use these new laws to kill every sites they don't like. This is another acts to prevent us know about the truth.

The Hollywood Movies Business is very uncreative to sell their product. Why not using strategy like itunes who make mp3 piracy madness to a whole newworld. Broadband streaming is so common right now and downloading movies is so easy to do.

Here is my thought to make movies download business to the next level, though I know some of my idea already implemented.

1. Diversified product and price. Selling downloadable movies with different price. Low Res, High Res, HD.

2. Make the buyer proud. You can see why iTunes so success? Because the fans make it success. They are proud if their favorite songs become the most downloadable song on iTune.

3. Forget about DVD or BlueRay. Like era of CD music, it will be over soon. High Speed internet will let us download everything easy. DVDand Blue Ray production is so not effective anymore. Leave it to the collectors or fans.

4. Tradable watchable movies. The mainstream client like to rent movies. So if we can pay,download, watch it, done, why don't we can sell it back or trade in with other movies? The trade in moviescan be sold cheaper and cheaper and can reach more people. Internet cannot be fight with rules, embrace and follow it.

With some idea Holywood industry can grow with the internet.No need of neckbreaking rules to prevent it because Internet industry now is bigger than Holywood itself.

Thursday, January 19, 2012

2012 So Far

As usual, shocking data release will give me money. Also for today's NZD CPI and AUD Unemployment. And I proudly announce if there is no failure system that caused my account evaporate like MBTrading, another consequtive green month for the 9th in a row.

Today's trade is the biggest profit for the month so far: $6000++ and include the commission is almost $10000++ :)

Beside, my arbitrage trading system working very well yesterday due to error system at my broker. More than 60 trades in 5 minutes!!

Now it is time for the trader to win against the broker.