As we wind down to the Christmas Holiday this Sunday [and New Years the following Sunday], this week is a very good time to focus on trading concepts rather than specific trades; with “Peter Pan” Kuroda out of the way, with last night’s uninspiring BOJ meeting where absolutely nothing happened outside of consensus, trading from here on out to the New Year will most likely be a “chopfest”.
There are 2 things I want to focus attention on today; 1) patience & discipline with the volatility algorithm, and 2) an item from yesterday’s blog post about getting you to “your finish line”.
It’s easy to sit here and pound the table on the virtues of discipline & patience; forget trading for a moment, every adult in the room knows the importance somewhere in their life of maintaining discipline. And just as importantly, making rash decisions or acting impulsively isn’t in your best interests either. I’ve literally seen people agonize over which dishwasher to put in their house; they’ll spend 6 months pouring over ‘Consumer Reports”, driving a total of 200 miles + over several weekends to the various Lowes and Home Depot’s in the burbs, as well as various local appliance stores, looking for the best deal they can possibly squeeze out of somebody, in the hope they can save $50. These same people will open a trading account, and before you can say “WTF!”, they’re out $1,000 and their attitude is one of “meh, it happens.”
I have known, in my trading career, way too many people that are completely undisciplined and lack patience, in their utter thirst for profit; they can’t sit and wait for the algorithm to give them the signal. And so, I hear things like, “ohh man, it was so close to a buy [sell] signal, I just went ahead and did it anyway”, OR my favorite, “this stuff is going up [down], so why not just buy it [sell it] now?”
I initially got involved in trading for the money; and as a result of the money you get the freedom from corporate & government tyranny and can live life on your own terms. I don’t need anybody or any thing to motivate me when it comes to trading, hoping I stay disciplined, focused, and show patience in my trades, because I know that everything I value in life from a physical standpoint comes from trading, and that to continue the lifestyle the Mrs. has become accustomed to [“Work? … honey, that’s a 4 letter bad word … please don’t ever mention that world again, OK? … OMG! You’re scaring me … here, gimme some cash so I can go shopping and calm down.”], I can’t do “stupid shit”.
When I turn my computer screen on for trading each day, I don’t have to figure out anything … zero … zip … nada … zilch. First and foremost, I have the algorithm; I know exactly what to do and when to do it and there is zero guesswork involved. All the “thinking”, all the “what if” scenarios, all of the higher analysis math along with probability theory, all of the market history … it’s all sitting in front of me in a visual display that I simply have to react to and “press the order button”.
Secondly, away from the market action, I have predetermined the amount of money in my account and leverage that I will be using along with my profit goal; I know exactly the volumes I trade, and I pay absolutely no attention to the money … I pay attention to the trade … when the trade tells me via the algorithm it’s time to exit the trade, then I exit it … only after I’m finished for the day and I know there will be no more trades, will I look and see how much I’m up … now it’s time to “book the money” and add it to yesterday’s capital for tomorrow’s starting capital.
Last, but certainly not least, when you withdraw money from your account, make sure you always do 2 things; 1) always see to it your account balance is growing, and 2) take at least 10% of your withdrawal and place it in an emergency “rainy day” fund for potential slow periods during the year where you just might need cash and don’t want to make a withdrawal request on your account. Try and build it up to a level that meets at least 1-2 months of expenses for you; once you do that, simply replace when needed.
PATIENCE … show some … I fully realize everybody reading this would love to have a 6 or 7 digit account balance and be able to trade USDJPY in the millions and be able to book $5 - $20K a day; at that level who’s worried about the price of cheese? And the Mrs.? “Fugetaboutit!, give her some plastic and fund it, and she’s in hog heaven; you might even get her to bake you some cookies [wait … what? … Yea, it’s nice to dream now and then isn’t it?]”
And even though I wrote it yesterday, let me repeat it again today so it becomes “tattooed” on the inside of your eyelids going forward; from yesterday’s blog post:
***In the past I have done the math before, so let me repeat the result again: “No matter the size of your account ($200 minimum) at the start, if you make on average 3 PIPS per day AND USE CONSTANT LEVERAGE OF 10X, by the end of year 6 EVERYBODY IS A MILLIONAIRE (assuming no withdrawals)! Obviously, the more you start your account (i.e. over $200), the quicker you beat that 6 year time frame to death. So, unless you are 110 already and maybe you figure you don’t have 6 years, for everybody else, even this extremely modest PIP goal gets you to the finish line. So, I don’t wanna here about how 5, 10, or 15 PIPS doesn’t matter; it most certainly does matter, and the sooner you realize it the better. EVERY DAY YOU FINISH WITH PROFITS, YOU ARE DAYS CLOSER TO YOUR GOAL OF“ESCAPING TO SUCCESS”!
***Ok, so imagine where you’ll be in a very short time period with a steady diet of 20+ PIPS per day when your profit goal is 20 – 40 PIPS? And what will life look like for you when you’re trading Inter-Bank “paper clip chump change” volumes of about $2 million stuff at a whack? That approximate $4K per day IS your million bucks per year. SHOW SOME PATIENCE, FOLLOW THE ALGORITHM, WORK TOWARDS YOUR GOAL, AND IT WILL CHANGE YOU & YOUR FAMILY’S LIVES!
I practically get “tingles” down my leg [“Umm, which one?”] thinking about all of you 21 to 110 “somethings” out there who 1) are over educated [most likely over indoctrinated] and/or under employed, 2) think life sucks, and 3) got a lifestyle that demands champagne but your pocketbook screams beer. Time to do something about it don’tcha think?
As I stated yesterday, in the history of trading, conditions have never, ever been better than they are now for retail specs [you & me], with zero disadvantages. One of my goals heading into 2017 is to provide you every single thing you need to be successful in trading; 1) I got the [almost] perfect place to trade for you with the very best conditions, 2) you have the volatility algorithms you can view online or download from “the cloud” for FREE along with the mq4 file [computer code] that goes into the MT4 trading platform, along with hundreds of charts and spreadsheets proving my premise, 3) complete instructions for Newbies that is “Grandma & Jr. High Kid” tested and approved so you got no problems setting things up, 4) manuals & tutorials for your study, 5) “continuing education” from the blog posts daily during the biz week, and 6) email support from me when you need it. “Do I literally have to come to your house and take you by the hand over to your computer?”
And if all this above is just too much for you cuz maybe you got small business’s you run and/or are involved in other professional ventures that eat up your time, the –vegas PAMM should be ready by the end of Q1 2017 if LMFX keeps to their timetable, with the only cost to you a 17% incentive fee on profits. In other words, I got all the bases covered for you. NONE OF YOU READING THIS SHOULD BE FARTHER THAN 6 YEARS [FROM RIGHT NOW!] FROM A VERY HIGH 6 DIGIT TO 7 DIGIT ACCOUNT BALANCE! Now, if you’re gonna sit there and tell me you don’t have $200 to start this, then my response is you’re trying to find ways not to do this … not to take this seriously … I dunno, maybe you can’t handle the thought of more money in your life … who knows, I’m not a psychiatrist … maybe you think this is all BS, that it can’t be true … Ok, do as I advise and demo it first with play money and see for yourself … “You do realize none of this costs you anything, right?”.
So, if in 6 years you’re still sitting there surfing the net, trying to figure out how to make ends meet, and wondering how you’re ever going to get, not only the lifestyle, but also the freedom and financial security you want for yourself and your family, THEN IT IS SIMPLY & PURELY YOUR OWN FAULT. PERIOD.
Turning to USDJPY today … Kuroda has run out of ideas … nothing new from the BOJ interest rate decision last night as everything in “Peter Pan” land just got put on hold until next year… got a little short covering to take the market up towards 118, but from almost 4 hours ago USDJPY has a 15 PIP range … nothing to get excited about as it appears markets are in “holiday” mode; therefore, no trades today as I can’t see anything moving that makes it worth while to trade. Until tomorrow …
Have a great day everybody!
OPEN A DEMO AND/OR LIVE ACCOUNT [CHOOSE THE “ZERO ACCOUNT”] AT THE LMFX LINK IN THE “DOWNLOAD LINKS” SECTION OF THE WEBSITE TITLED “OPEN TRADING ACCOUNT – DO IT NOW!”