The Trader's Pendulum: The 10 Habits of Highly Successful Traders (Wiley Trading)
Format: PDF / Kindle (mobi) / ePub
The new trader's guide to the business, psychology, and hype in trading
The Trader's Pendulum + Website is the ultimate toolkit for realizing your trading potential. Written by one of North America's leading trading coaches, this guide is designed to show aspiring traders how to design and implement a successful trading strategy by learning the psychological tricks behind solid trading philosophies. New and experienced traders alike will find value in The 10 Habits of Successful Traders, and come away equipped to navigate the real-life emotional-psychological effects of market chaos. You'll learn to embrace change and risk, and use it to your benefit as you climb out of the technical trap and stop riding the Trader's Pendulum between fear and greed. Based on the author's Elliott Wave and Harmonics expertise, this invaluable guide brings you a top-down approach to the market to help you maximize profit and minimize poor choices. The companion website gives you access to an interactive Trader's Scorecard, models for your 'business' and trading plan, The Trading Blotter, and a video synopsis of the all-important 10 habits.
Today's global economy has forced people to search for a second cash flow stream to replace or supplement a primary income. It is more important than ever to have a reliable guide at your side, and this book gives you guidance and so much more.
- Develop and follow a successful trading system
- Make more money while saving time and effort
- Treat trading like a business for lasting success
- Use change and risk to your benefit
Stop chasing trends and listening to widely disseminated bad advice. The Trader's Pendulum + Website is more than a guide—it's advice, examples, models, and more, giving you a practical roadmap to your online trading success.
to have an obsessive desire for success, have a deﬁnite plan with actionable steps to achieve it, and take massive action with persistence that does not recognize failure. Successful traders know this well. They have a habit of clearly deﬁning the goals for their trading business and setting up a business plan to guide their actions. In this chapter, we will discuss the habit of deﬁning goals. For now, let’s take a look at how establishing a trader’s plan will help you succeed in your trading. To
just trading one $10,000 contract each trade, you would net $755 for the month. If you had traded $20,000 contracts for each trade, you would net $1510 and up it goes, depending on contract or lot size. The keys to improving the trading results are the following: ■ Increase the win/loss ratio (65 percent in this example) ■ Increase the risk/reward (1.7 proﬁts versus amount risked per trade in this example) ■ Reduce the proximity of the stop loss through good analysis, thus increasing the
How do you salvage the situations when you consistently fall out of the zone? ■ Ask if you are in the business for the right reasons or if you are like most traders, who entered under an illusion that a trading business is the ‘‘magic pill’’ to solve all their problems. ■ Guide you when the going gets tough in case you fall short on motivation. Your coach will be there to ﬁnd out what it takes to prevent you from giving up prematurely. On problems you face, your coach will do the following:
■ Help you to spot the traps on your trading journey and foretell if a storm will brew. With the help of your coach, you might be able to stop them from coming your way. ■ Guide you after a major setback in your trading. Do you have the emotional, psychological, and ﬁnancial stamina to stand up after a fall and even emerge as a stronger trader after that? ■ Question what the lessons are that you can learn from your wins and losses. How do you formulate a system to repeat your winning trades
allowed. She could not exactly ‘‘clone’’ the success rate to all the trades, but she still managed to hit a high overall win/loss ratio. That was when she became overconﬁdent and took a bolder move. Not only did she trade excessively, with larger than the supposed position size, but she also relaxed the stop-loss level. At this point, she had stopped trading her plan and was almost trading according to her intuition. Soon, she found herself losing more than winning. But blinded by her previous