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----- Original Message -----
From: "Jim Johnson" <jejohn@xxxxxxxxx>
To: <Anthony3@xxxxxxxxxxxx>
Sent: Friday, July 21, 2000 9:15 AM
Subject: Re: Initial Trade Methodology
> I once read a very good book on self-development called "Advice from a
> Failure." I'm not a failure in futures trading but my success is yet to
be
> assured--if there is such a thing. With that disclaimer let me offer some
> thoughts on your very important question.
>
> I don't subscribe to thenotion taht you fully explore the first thing that
> seems to appeal or work. I believe you must integrate trading knowledge
> before you can really own any method. That to me means constant learning,
> many dead ends, building on what you've learned before, extracting the
> common truthes that seem to reside in all methods in spite of there
> differences.
>
> I too learned a lot from Money Tree and Williams books and read every back
> issue of his Commodity Timing letter. There are few things I directly use
> now but am grateful for the perspective I've gotten. (One thing n
> particular I don't like about Larry's work is his use of dollar based
stops
> for backtesting--very misleading.) But his idea of taking the first
> profitable open as an exit is very useful.)
>
> I've noticed many good traders have very large library budgets. I believe
> this is important and suggests arriving at one's method takes extensive
and
> intensive thought, study, exploration.
>
> Adults tend to learn best by actual application of new knowledge. All the
> truthes about trading can be read in almost every decent book: trade with
> the trend, cut losses, let profits run, don't trade what you can't sleep
> with, there is no holy grail, don't pay big money for systems, don't
> overtrade, don't double down after a loss, don't use too tight money
> management stops, no futures market is so low it can't go lower, etc. etc.
> However, I just had to test every one of them for myself before I really
> understood and believed them.
>
> But I don't regret that--its made me a better trader. And although I
trade
> a few things that work for me I always have an active R&D agenda, just
like
> any business should.
>
> Hope this helps.
>
> ----- Original Message -----
> From: "Anthony" <Anthony3@xxxxxxxxxxxx>
> To: <omega-list@xxxxxxxxxx>
> Sent: Friday, July 21, 2000 2:11 AM
> Subject: Initial Trade Methodology
>
>
> > Ok,
> >
> > I've heard people say that to find yourself when starting off trading,
> > to try a methodology/system/indicator...see if you like it, and go on
> > from there. Does this mean to go with the first thing thrown your way?
> >
> > Example...I took the Larry Williams Money Tree course and am sceduled to
> >
> > go to his seminar next weekend. It was basically my introduction to
> > futures trading. So because this is what I know right now I should
> > learn this even more and go with this methodology initially and see if
> > it works for me? And if I don't like it (or it doesnt work for me),
> > then and only then should I look to try other things?
> >
> > Is this basically how one goes about in search of a trading
> > methodology????
> >
> > --
> > Anthony
> >
> >
>
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