Rhythm Of Trade

I was looking for colleagues with the correct word to reach our trading style and philosophy, and this word - RHYTHM. A few months ago when I was with my colleagues to discuss their ideas and thoughts on how the market works and how we interact with them, we tried to describe it in one word. The momentum is not consistent with this, because it is not too deeply affects mental process. We tried to trade is responsive, but it seemed, was not working quite closely with the mechanical side of trade, which is necessary to develop an intuitive end-state that there are many traders. We basically wanted a word that will allow us to understand the correlation between the mechanics of the market (the rules that should be the market) and our part, consists in choosing to become part of a larger whole.

Finally, after exploring many options, we think of the word rhythm to describe it fully. In terms of talent, or any sport that requires accuracy, as playing guitar, or throw in football, and a choice of entrances and exits on the market, literate people understand that there is a mechanical crafts and feeling a sense of movement and contact with the result that should occur. A musician must know how to play guitar, but also to listen to music so that it does not lose its meaning. Ultimately, the player begins to feel the music and becomes able to create music.

Creating a RHYTHMS

Football defender should know how to keep the ball and learn to throw it correctly. Ultimately, he must learn to feel where his partners are moving and how to partner. They become part of the rhythm with their belongings, whether the ball, partners, other players and that for us, we must feel the rhythm of what we say market data. With a rhythm with the trade or market, you short-circuit its terms, beginning with an understanding of the rules of trade and ending with a sense of when to engage in trade and where to go.

I was asked once why I think that "EGRP" trend will be slow to develop. It was an easy answer, but a deeper sense of trade is something than that it is impossible to explain. It was just a feeling, based both on past experience observing this action, and a lot of experience observing other stocks with exactly the same "type" of activity. Ultimately, you develop the same rhythm, which makes other talents. In cases where we do not find in a rhythm, our money and risk management allows us to continue to learn. Otherwise, we run into the trap of one transaction, which ate most of our accounts. This does not allow the trader to continue to study.

I often see that losing traders, after some time, get the experience of the market, moving forward. So when they reach a plateau, where the losses are beginning to unfold in the opposite direction, they know why they succeed. One or two losses that vybyut you out of the market, does not allow you to explore trade, and you go out of business in this disorder and irritation. So we invented the rhythm, to describe our trade.

RHYTHM (Rhythm)

R - read and respond
H - remain committed to their beliefs and decisions
Y - You are responsible for their trade and the adoption of the profit and loss
T - trust me, their skills, their actions
H - use their power and to examine and correct their weaknesses
M - to manage their emotions, to develop self -

The use of each letter and determine the

R - read and respond
This sends us in our first part of the study. The principles I teach reading to our customers every day, which are described in the tutorial and learning center. They are not components of the property is not developed, not altered to fit the system. It is the system itself, which is almost 400 years. There is no point "of his method of reading data, and anyone who tries to change the true value, just detract from his power. This is not only to monitor the time and the price is not only tracking of schedules, it is something more. After understanding the concept of reading done, the next step for a trader is in response to the received signals. We call this reference point.

Reference point - this is the area where the operation requires an answer to enter into a market or focus. Not all market situations can be taken and not all actions are suitable for trading. The answer depends on you, and not from the situation immediately. Ultimately, this rhythm, this feeling will go down in you, to know what situations are the answer, and what does not. If you are in this paragraph, you must continue to develop their sense. If you are still in the process of studying the concept, do not push yourself and work that will eventually get to the bottom. Study of trade - a process, not the case.

H - to adhere to their beliefs and decisions
Traders are beginning to respond to signals on the basis that the said data, whether it is on schedule or not. When the signal, and the answer is a login, follow the belief that your transaction will be profitable. Imagine the success of this transaction as soon as a log. However, do not let your imagination to obscure reality. When the market starts to talk to you a tool out that profits are already enough - take it. You can influence the retention of transactions over long periods during this process, in keeping with their beliefs. If you immediately begin to doubt about their input, there is no opportunity to develop their confidence. There is no way to progress. The assumption of a loss have already been through the installation of stop-order if you enter into the market, trust your decision and give the time that he realized.

Y - You are responsible for their trade and take profits and losses.
Market - our teacher. We - his students. The market will punish us if we let him. We have powerful tools to regain control of a tangible and mentally. Stop losses, manage money, creates the proper psychological understanding, etc. The market is not stronger than you allow it to be. Insider information, manipulation and fraud - all those things you can not control. They happen. Perhaps more often than we know about it. The idea is that your "bargain, win or loss should not be linked to such information. Theories of futility does not allow the sale of your progress, because the responsibility is no longer yours. This is where the big "They" manage your trade. Do you think that "they" will let you win over time? No, so you need to regain control over its trade and did not develop false ideas about why your trade is in such a way. Do not accuse and do not complain. You are responsible for entry and exit of each transaction and in each market. Your decision, you are committed, requires a liability to the rest of the time when the position opened. Once the position is closed, do you assess the transaction, based on personal thoughts, why you came into the market, why the left. Nothing else has no value.

T - trust yourself
Traders have to trust yourself and your decisions. If you can not trust yourself, how can you progress? If you're constantly in doubt about themselves and their decisions, how can you trust yourself to take the deal? If the trade - your choice, a personal trust that you must invite yourself is absolutely essential. If you can not trust myself to respond to the signals and the installation, you will not be able to trade successfully and consistently. If you are in a constant irritation about themselves, or were disappointed in that, why do you have a deal, does this mean to you and your inner self, your equanimity. If the psychological control is not in optimal condition, then you are fighting not only with itself, but also directly with the market. If your mind is clouded by anger, clarity of perception of the market activity is also marred by. This will not be allowed to progress. Trust as its decisions, and their skills in the performance of trade.

H - to use their strengths and understand their weaknesses.
How this applies to you as a trader? Why did you choose this business? What are your strengths, you provide the correct attitude to trade successfully? You like to take risks, able to make quick decisions, dispassionate, and so on? Here are my thoughts, taken from a list proposed by my colleagues:

. The market exists to enable me to gain
. Trading is fun, not a sad experience
. If the market does not do what I expect, then, that I have something to review
. I focused not on money but on the markets
. Loss is part of the process of making money. A certain loss does not make me a loser
. Trading - a game, and I know that I can win
. Each of losing the deal - an opportunity to learn. I always learn something
. I should not be in the market all the time. I can wait for opportunities to enter
. I do not sell to recognize someone, I do not need anything to prove, the view of others I have no interest in
. These are my strengths, which allow me to focus on trade, that is the only thing of importance, as soon as I start to trade.

What are my weaknesses?
They are numerous, but the two main - and it is the Ego is constantly annoying me. When I'm in a great day in the market, like 3 wins in succession at INKT, I feel less vulnerable. I feel as if nothing could disturb my winnings. If I did not know about this feeling, I certainly would have some negative effects that would show me that I am not so good, and which usually lead to large losses. I know this feeling, and I managed to some extent, the risk is not excessive. But there are times when my ego inflates my expectations and this is what you need to know and constantly monitored.

Another - the ability to expand my intuitive perception of the market activity. I can do for 1 / 4 and 1 / 2 points a day. But for me, my personal goal and my final "nirvana" is to continue the process through which I can take more from each transaction, when the risk assessment is safe and the market continues to "behave" accordingly. I want to raise their "rhythm" with the markets, which have more capacity, and this is a very big challenge for me. This is a weakness, but one that I know and that I continue to develop.

Last:
M - Manage your emotions
Emotional control is a very important aspect. It comes to me with my understanding of hell as a trader. The first emotions of the trader - the fear is about loss and wait for a large profit. There is no way by which a trader can progress with these two emotions. Fear about the loss does not allow a trader to manage risk appropriately, with remote stop-order. Greed for the big profits in each transaction does not allow him to read the market as it moves. Trader catches a few good deals, but the loss of the expectations of the profit every time outweigh the total profit. Fear on the other hand is the lack of response to market action. Alert log says, the brain said - no. This is a case of self-confidence is high.

Do not answer. Do you think you hesitate. You ask "is this really the case, when the announcement of the" cutting rates, "and you skip login. Look at the signals, to respond. The development and preservation of self through the proper management of emotions will help you to maintain clarity in monitoring the overall market action as well as specific trading activities. Let RHYTHM becomes part of your trade in order to successfully progress as a trader.