Latest posts by Michael (see all)
- Yoga, Time Blocking, and Risk per Trade - December 14, 2017
- Why the majority of people will lose money on bitcoin - December 13, 2017
- Professional traders focus on process, not results - December 12, 2017
Price targets cut your profits at the exact moment you should be either adding to your winners or just letting them run. Let the market tell you when the move is over.
Price targets are about predicting the future and human beings are horrible at prediction at best.
Read Expert Political Judgment by Phil Tetlock to get an idea of what I’m speaking about.
Statistically Significant Trading Data
Intraday data is not statistically significant, so uptime your charts and begin to focus on daily, weekly, and monthly time series. Longer time frames remove the randomness of price.
Don’t trail structure when you put on the trade. Focus on percentages – that’s what professionals do. Once the trade is working in your favor, then you can trail structure if you want. But make sure you’re looking at weekly or monthly support, not cloud-like chart patterns that change when you breathe on them.
When you let go of price targets, you’ll focus on “best practices” and that means financially letting your winners run, emotionally letting go of control (you don’t have any in the first place), and spiritually living a life that’s worth living.
Great Trading Articles
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