One of our clients shared his disciplining way with us. He only enters trades at ideal setup points. He never chases the market. When he misses a good entry point, he just lets the market go on without him. He says, “If I don’t trade, at least I will not lose.” He just moves on to do something else, such as watching movies on his DVD player.
This is a good method for all of us to consider. Don’t keep watching the computer monitor, desperate to make a move. Beware of trading under the influence of market impulse. Market impulse is dangerous. Remember: Discipline, Discipline, and Discipline.
There will always be good setups for good trades, so don’t become obsessive over “the one that got away.” And never chase the market movement after the fact. Always follow your predefined and well-tested entry and exit rules. When you are intent to enter a trade, briefly evaluate the Reward/Risk ratio. You may use STARC bands as your profit target – the reward, and use AbleTrend2 stops as your risk. You need real-time stops as guidance to help you manage your trades. The detail settings and signals are objective, so the influence of emotions and market impulses can be reduced if you follow the signals with discipline. AbleTrend Guidance Chart can help to filter most of market noises. Here is an example of S&P 500 Index chart of March 23 with AbleTrend Guidance Chart:
There are many tricks and best practices in turning a trading system into a successful operational reality. That’s why our 30-day trial offer includes one-on-one consultation and weekly webinars to help you to make the most out of AbleTrend. Ultimately the best way to learn this skill is by picking up the full function software, trying it out and practicing.
If you’re not already using AbleTrend before, use promo code: WTMF10 to get extra 10% off for AbleTrend 7.0 30-day trial.
For addition insights and articles on trading, see our blog: blog.ablesys.com
Or watch archived sessions from our introductory and member’s webinar series: Click here to view our youtube page
I welcome your feedback. Did you like today’s message? What other topics would you like to see? Please let me know at gracezh@ablesys.com
With Warm Regards,
Grace Wang
AbleSys Corp.
gracezh@ablesys.com