Trading strategies that work don't change with time, markets, or changing market conditions. Quite frankly, to think market conditions ever change at all is a strong illusion that can only be removed when one focuses on the foundation of price movement, pure supply and demand.
With all the advances in technology, order execution, and strategy back-testing, it is easy to complicate the simplicity of markets.
A successful trader's path must be reality-based, not driven by illusion. The reality is that markets are nothing more than pure supply and demand at work; human beings reacting to the ongoing supply/demand relationship within a given market.
Consistent low risk profits from trading and investing is a challenge many millions of people take on, yet only a select few are ever able to attain. The objective and mechanical rules for consistent low risk profits are very simple, yet the layers of illusions keep most from ever seeing what is real in trading and investing.
When it comes to trading different asset classes, I get more questions about the Futures markets than any other set of markets. This is because many people hear from others how great these markets are for short and long-term trading but know very little about them.
Over the past couple weeks, some very good questions have come in that I think may be on the minds of a few of our readers. Whether they are or aren't, the goal of this piece is to enlighten you through Q&A with key trading nuggets that can help you reach your financial goals.
Trading psychology is a subject most books and so-called professionals keep separate from the mechanics and strategies of trading and investing. A reality largely misunderstood is that the underlying mechanics and strategies within trading and investing are a direct function of your psychological belief system.
Trading psychology is a subject most books and so-called professionals keep separate from the mechanics and strategies of trading and investing. A reality largely misunderstood is that the underlying mechanics and strategies within trading and investing are a direct function of your psychological belief system.