The turtles. Many trader’s out there know this story. An ordinary group of people being taught how to trade. All learnt the exact same method…same rules….totally different results. One of their rules was to be consistent especially in taking the trade signals that were presented and how to “buy in” to a trade. The first trade they had was in heating oil. Keep in mind, they were not looking at charts on their computers. Nope. They were using charts from tabloid sized newspaper and had to update the charts at the end of the trading day. Nobody knew how the trade would do especially that it would take out the previous years high. Price rose from $.80 up to a little over $1.05. For those that followed the system, especially the position size, their account exploded. How many held full positions? One. The others found reasons not to be fully involved and gave reasons such as too risky, gone up too fast, thought the move would not last due to contract expiration. They were all given strict rules. Not following them on a whim, a hunch or thinking they could predict the market cost them some decent profits.
What is the point? It should be obvious.
Unless YOUR trade plan has strict rules for standing aside on a trade…take the trade. Deciding to risk 2% on each trade? Do it for every trade. These rules should not be pushed aside because of a subjective whim or hunch you may have. The trade you decide to not take part in OR use a fraction of your planned risk, will be the winner. The one you jump in with both feet may win or lose…but you were consistent. Consistency is one of the four keys that poured from the Turtle lessons.
1. Trade with an edge
2. Manage risk
3. Be consistent
4. Keep it simple.
Funny how many traders forget these basic four lessons. It could account for the many many traders that get slammed out of trading every day. Why traders lose their stake. Why traders complain a system does not work (especially when others are doing very well with it!!!!). You do not need to be a scholar, a PhD or a former member of the deans list. You do have to be smart…and being smart means following the habits of those that have succeeded before you.
Sometimes you stand aside on trading certain pairs simply because it makes zero business sense due to the spread target ratio. The AUDJPY has a decent daily range (although not like th GJ) but the spread is averaging 4 pips. Quite a total compared to the avg trade profile on a .06 range bar chart. I decided to look at the last week of trading using a .07 range. It gave some decent targets that were attainable. I went for POQ of 1 win and positive. All other standard HVMM rules apply. Why fix what isn’t broken.
Some days, at first look, do not look like they are worth trading. Today, for example, the markets were like a turtle walking uphill. However, as an HVMM trader, you have committed to trading the strategy…right? You know that the odds are in your favor with every setup. Nobody knows which trade is going to work out to pad your account and it is useless to try. That is why standing aside on a hunch or opinion is never a great idea. Some may call it one of the deadly sins of trading….overriding your strategy just “because”. Trade like that you may as well flip a coin. Heck, if you can tell which trades are going to fly to profit and which aren’t, please let me know. I’d love to bottle that and sell it to the highest bidder.
Sure, you had to do a little work today but all in all, you followed the strategy, added to your account and ended the day positive at 10:30 a.m….at the latest. Lesson in this video? Exactly that.
I attended the High Velocity Market Master webinar yesterday and they revealed a powerful upgrade to the system. The best part is, they are not even charging extra for it! I was glued to my computer…I’m sure you were too. (heck I had to be…I was a panelist).
Not only was the improved 2.0 system impressive, the results are what really caught my attention, so did the simplicity of the system, the level of support that is provided and all the extras thrown into this trading package.
I’ve seen systems retail for as much as $10,000 with much less support and flexibility. The package comes with everything you need to transform your trading career…
* The High Velocity Market Master Indicator Suite – totally custom indicators you’ll immediately be applying to your charts.
* 5 Full Length In-Depth HVMM Training CD’s – comprehensive training you can watch and learn at your own pace.
* HVMM Manual and Guide to Markets & Timeframes – see the key trade set-ups in detail.
* High Velocity Market Master 2.0 totally FR EE – potential to increase your winning edge with the new upgrade that’s been under wraps.
* Ultimate Day Trader System at no cost! – a super-intuitive new course that you get before anyone else (it’s not even on the market yet!)
* PLUS access to the exclusive Owner’s Club – you’ll have admittance to live training rooms, full coach support and much more!
The way I see it, this system will give you what you need to be up and running in no time.
Your small window of opportunity to grab the system and the extras is closing. The guys at the HVMM headquarters provide a high level of support, so they can only allow a limited amount of new subscribers before their support team is at max capacity (believe me…it can get crazy). Make sure you order before they reach that point.
When you have the odds in your favour, are you truly treating yourself right by ignoring them? Take trading for Feb 16 for example. A few decisions to be made and some would have had the potential to keep you out of some serious winners. How much is too much? How much discretion should you toss into your trading plan? Trading for today would answer….not very much. Check out this video to see the potential that the HVMM had for you today. I will give you a hint. 92 pips.
There is no better test of a strategy than seeing how it does during some not so perfect market conditions.
For example, the EURJPY for the week of Feb 12/10 was overall, choppy. With a range of just 290 pips for the week, you just know the market was slopping back and forth….long and short. The Simple 2.0 performed. You were able to capitalize on the small bursts of profits that were made available. There was nothing complicated. Simple pullbacks, wiggles and the basic trend line turns.
As part of the Netpicks family, one thing you will always hear is that psychology will play the biggest part of your success as a trader. This however does not stop traders from tweaking, adding, refining or ignoring the basic rules in search of greater success. Before they know it, complexity has set in and they are so far away from the basics, they struggle to get back. Most never do. They have diluted the system so much, they will never realize the potential. They have stiffled their success.
I read a lot. I always want to know what makes the best…the best. When someone manages millions (some even billions) and they have words to say and the track record to back it up, I listen. I’m not talking trading strategy. Not how to use stochastics. Fibs. MacD. Bells and whistles. That is not their topic of choice. They talk about the key, the real deal…the true secret to their success.
One thing we all have in common as traders is, at times, we will be faced with low volitility in the markets. Take the EURJPY for the week ending Feb 12. The entire high/low range was 290 pips for the week! As well, except for tuesday, all days ended with what amounts to doji candles. What a great week to put the HVMM through the paces. Designed to keep you out of the majority of chop, does it live up to the hype? Does it live up to a standalone type strategy? The answer is YES. Within the hours traded (who really wants to stare at the computer all day??) there wasn’t a whole lot be excited about. That said, here is a quick summary (remember, this is one pair traded in a strict timeframe):
1. London session ends 66% win rate with 29 pips of profit
2. U.S. session ends 81% win rate with 109 pips of profit
Here is the kicker…..the HVMM strategy kept you out of the whipsaw that was this week. The pip count by themselves are meaningless. Some traders may have racked up 100’s of pips by trading longer and tossing in bells and whistles. The bottom line is…pip count PLUS account size is where there is meaning.
