Week 19: Are There Any Shortcuts?

It’s possible to learn how to trade without spending a fortune despite what many trading gurus tell you. There’s nothing wrong with purchasing a trading course, joining a trading room or paying for access to a webinar. The problem is that many educators are simply not good traders. And some are not good teachers either.

Ask any successful trader and you’ll probably find they have a thirst for knowledge. They will have tried to learn from many sources and many may have even purchased educational material from trading gurus when they first started. I know that this is the case for myself so, in hindsight, I feel quite confident when it comes to talking about the quality educational material out there.

If you are looking to learn how to trade, I would recommend that you question everything and everyone. Do not take statements that others make and think that they are true or false without testing them for yourself. This includes guests on podcasts who are supposedly profitable traders and traders that have been trading for a decade but have now decided to sell their method (presumably because it no longer works which is why they now spend all of their time moaning on Twitter).

Out of all the trading material that I have read over the years, I have probably only retained about 10% of it and discarded the rest because it was useless or just plain wrong. The worst thing is that the 10% of knowledge I gained from reading purchased trading education material was very basic.

A lot of trading books are outdated and only useful for entertainment purposes. Books with interviews of traders are great if you want to fall asleep at night but benefitting your trading? No chance.

The way I trade now is nothing to do with how trading is presented to retail. If I were to start again, I would just read up on technical analysis, volume and price action on the internet for free and begin journaling all my trades and observations to really learn what works and what doesn’t.

Consistently profitable trading is possible but, unfortunately, there are no shortcuts.

Trade of The Week

One of the largest biggest moves I managed to catch this week was a short on USDCHF:

Thoughts on the Trading Week

Trading this week wasn’t too difficult. There weren’t many false signals but there were quite a few trades that only gave small moves. The magnitude of moves is largely out of my control so I don’t really worry about that. My main concern is managing risk and making decisions with a positive expectancy.

I’ve started writing a roundup of opportunities that occurred during the week in my trading journal and I was very happy with the amount of opportunities available this week. Another thing that I’ve started doing is grading setups, daily execution and weekly decision making with an A, B or C rating.

Both of these new processes have helped with focusing on the process and not being too hard on myself if there are days with no trades while also ensuring I don’t take a trade out of boredom.

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