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But of course "ego" in trading reveals itself in subtler ways. I came to realize that after watching any chart for a while I would form an confident opinion about where the price was headed. "Okay, that's a bottom there." "Now the price is going to reverse and test that last support level." Thinking I could predict the market was clearly egotistical.

So one big change has been to no longer guess where the price is going. I wait for trends where ANYBODY can see the price is going somewhere, and trade that trend. Makes for a lot more quiet periods of no trades but more successful trades when they do occur.

"Fear" is another big issue for traders and for me the issue is "not having enough of it". I've been willing to bet the bank on a hunch and have been working to change that. Now when I enter a trade I use mental imagery to escalate my fears so that I trade more responsibly. Have you seen the iMax films "Everest" or "The Alps". Currently I imagine I am high up the sheer face of a rock cliff and the only thing keeping me alive is my attention to the security of the pitons and the condition of the ropes. This helps me be more selective in my entries and in placing my stops.

How do fear and ego enter into your trading? Are you still trying to guess where price is going? Are you imagining yourself on the edge of a cliff, or are you already spending the profits you haven't yet banked?

Continue reading "Ego and Fear" »

Posted by Rob at 11:16 PM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

it seems to me that i have taken way less trades lately. i am down to 1 or 2 trades per week versus 1 or 2 trades per day. this is probably the first step in being successful.

Now thatis a wonderful realization.

Continue reading "Trading Less Rocks. It Rocks Hard." »

Posted by Rob at 10:57 PM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

1. Their trade size is too big. If the monetary loss if your stop is hit is frightening you, then lower the trade size. If the loss if your stop is hit is greater than 1%, take a long hard breath, think about your spleen, and reduce the trade size.

2. They haven't really tested their system. No testing = very little confidence.

3. They are afraid of being wrong. This usually relates back to #1 or #2 above.

Continue reading "The Fear Factor" »

Posted by Rob at 10:52 PM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

I wrote to him:

What I like most about your charts is that it is clear that you are thinking through your plans. You are not just bouncing around the charts looking for justification to take trades. You are careful about your entries -- you are not just jumping into the market, but "asking" the currency pair to do something particular before you get into a trade.

It's impressive to see a trader take his time with his trade planning. To hunker down and wait for the market to produce an opportunity. And then, when he has an opportunity -- when the market shows its hand, so to speak -- then he pounes. He's ready to trade. He knows what he wants to do, and there aren't any unanswered questions about his stop loss, or his profit target.. He's made those plans in advance and he doesn't have to hesitate because this is what he's been waiting for.

Continue reading "Some Well Planned Trades" »

Posted by Rob at 10:30 AM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

The location will be the Piptopia West trading office – at this address:

4711 E Falcon Dr
Mesa, Arizona 85215

Here is a Google Map of the location.

The first 30 people (at least) will receive a free copy of my new book, Adventures of a Currency Trader. There will be refreshments as well. If you are planning to attend, please RSVP by sending me an email with only the words ‘RSVP PIPTOPIA WEST’ in the subject line. Please do not include any other information in the subject line.

Continue reading "Free Book & Reception" »

Posted by Rob at 03:47 PM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

Information about Kevin’s system and backtesting can be found in a really cool Forex Factory thread by clicking here.

Kevin’s system includes the use of the Sentinel Index, an improved barometer of the strength of the US Dollar, built by Joe Kight. This link has the actual indicator.

In order to use that indicator, you will need to have access to a Metatrader charting platform, which you can get at the following link:

http://www.metaquotes.net

There are instructions on the Metaquotes web site about installing new indicators. If you have trouble getting it set up, make sure to take advantage of all the free help on the cool Forex Factory thread I posted above.

I hope you benefit from the work that Todd and Kevin did. They are intelligent and generous traders.

Continue reading "NFP Contest Update" »

Posted by Rob at 03:42 PM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................

We are going to hold an open house at the Piptopia office in Mesa, Arizona, on Tuesday, April 10, at 7:00pm. We'll have light refreshments and plenty to talk about. No need to RSVP. Just come. If you do not already have a copy of my new book, we'll have a few free copies of the book there.

Here's a Google Map for the address of the Piptopia office in Mesa.

I hope to see you there!

Continue reading "Fun in Vancouver" »

Posted by Rob at 10:57 AM | Permalink | Comments (0) | TrackBacks (0) ..............................................................................................................................................