Just read 'Trading In The Zone' by Mark Douglas for the second time over the weekend. Need to keep my emotions at bay for the current market..

Here are the summarized points/principles to share with those who have not or do not have time to read it. These are the exact words taken from the book.

THE 'UNCERTAINTY' PRINCIPLES

1. Trade without fear or overconfidence.
2. Perceive what the market is offering from its perspective.
3. Stay completely focused in the 'now moment opportunity flow'.
4. Spontaneously enter the 'zone'.

THINK IN PROBABILITIES (there are always unknown forces in the market at every moment).

The 5 fundamental truths TO ELIMINATE THE EMOTIONAL RISK OF TRADING:

1. Anything can happen.
2. You don't need to know what is going to happen next in order to make money.
3. There is a random distribution between wins and losses for any given set of variables that define an edge.
4. An edge is nothing more than an indication of a higher probability of one thing happening over another
5. Every moment in the market is unique.

'I AM A CONSISTENT WINNER'

The 7 principles of consistent winner :

1. I objectively identify my edges.
2. I predefine the risk of every trade.
3. I completely accept the risk or I am willing to let go of the trade.
4. I act on my edges without reservation or hesitation.
5. I pay myself as the market makes money available to me.
6. I continually monitor my susceptibility for making errors.
7. I understand the absolute necessity of these principles of consistent success and, therefore , I never violate them.

Note : The above is shared by our new tratle member, HS. He is only 4 months plus in market but have many of these good trading books before attending my basic trading class. It is interesting as it is easier to guide such hard-working novices ... in actual trading. Yes, reading giving us the knowledge what to do but real trading giving us the needed experiences. I would never be able to teach well IF I do not trade or analyse things by MYSELF. If a person read and read well ... and teach trading, it is very theoritical.Nothing good could come out from there much as trading is about experiences and improving our skills.

With more of such talented and hard-working tratles in our group, we could only improve!! I am proud, of coz. One thing I do advise my group is 'DO NOT listen too much to forums and the noises around'. I will write about 5 main mistakes that many novices/newbies done ... as I was recently interviewed and asked ... "What do you think the 5 main mistakes done by novices in trading?".

Thanks, HS for sharing. Yes, many in the group will benefit ... and by posting it here, many of my genuine or real readers will benefit too. Of coz those few nay-sayers will be in doubts and think that I typed those above from a book ... to show I am a 'guru'? I am not .. I am a learning novice like many around.

Cheers and learn together!!

TEH