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bob is mesg is toooo long,
i think all he means is, as a discretionary trader,
1. be unbias
2. once hop in, use money management to ride, then great thing will come.
3. he got whack big time friday.
most discretionary traders I know, do countertrends, thats how they
make money 90% of the time. They do not ride a "trend".
Effectively, they scalp here and there. Cut loss fast. Hopefully by end of
day make some, and cumulatively making ok. The characteristics
is more winners than losers, win small, lose small. Most locals do that
and they usually give back 80% of their profit on a trend day.
Then it is in contradiction to #2, because #2 is mechanical traders'
motto - winners and losers are about the same but winners win
huge while losers lose way smaller in ratio ...
For most seekers / hopefuls in trading - YOU CANNOT BE BOTH.
Be consistent in one of them only - the key word is consistency.
be a scalper then keep scalping and be happy to got whack once to
twice a month big time - learn to stop trading when being whacked
more than normal!
be a trend rider and accept the statistically behaviour that at the end of
a month after ups and downs you should net some.
Scalpers always complain about losing on a day like friday,
and very happy on sideway days.
Trend riders always complain about losing on sideway days,
and very happy on trend days.
as long as you do not flip between the two, consistently doing one
only, as long as your setups or whatever has a bias, you should win
in a cumulative basis.
-Lawrence Chan
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