General

Lets say you lose 3 times in a row – what do you do? keep going? and if it is 5 times? 10 times?
My system is to have many small losses but one or two big profits that cover all the losses and adds value. This can be very hard on you mind. Sometime you can wait 6-7 trades before you have one good trade. Then you start to think maybe your system is wrong maybe you need to change something or to leave the system all alone.

It is good to tweak the system and learn from mistakes but don’t be tempted to leave your system just because you have a bad strike! Use stop-loss to limit you losses and keep them small. Very small. This can help! And don’t forget to move your stop loss to a profit zone once your trade goes in your direction.

Hi all,

For a while I was trying to fight the trend. This is a mistake. Although sometimes swimming against the flow can be profitable most of the time it is just difficult.

That’s why when the market direction is up, there is no point to go short. But… it is not a secret that since March bottom the market was going in one direction with very few corrections. Many people will say that a big correction is due to come and September is a bad month anyway!

They may be right and we may see a change of direction but until that happen, I would not recommend to open a short position. But you can do what I’ve done: Bought some shares that I believe their trend is up but back-up it with a put option for October. You can still find them cheap so for 40-50 points you can have a back-up if something will change.

I myself bought FTSE 4500 put for October a bit expensive at 86 points, but still I am happy with this insurance.

We live in times where information is available in seconds. For example the moment the Fed announce the rate decision you can get the info straight a way no mater where you are in the world. But does it matter?

I was reading the financial websites and got confused. One write says that the recession is over and the other one says that we haven’t seen nothing yet. And again I want to ask – Does it matter?

Lately I find it more like a noise that interrupt my trading. Lets face it: No one know a thing. If they would know something they wouldn’t write about they would trade according their knowledge. I can give you many examples for different opinion about where the market is going, and why but the most important part is that it is just opinion.

And I find that opinion is very dangerous in trading. I like to trade on automatic mode. Something like ‘the Dow crossed the 26 EMA and MACD is up – buy signal when it crossed down the 26 EMA close the position’. This is not an opinion… but if I read or listen to other people than I can start to think like ‘oh the Dow is too high now, and this Guru said that in September we will see big drop, so maybe I shouldn’t buy…’ and then the trade is over.

So I try less and less to read the paper and listen to the news. It just makes me depressed and ruin my trading style. Since than life is good! and more profitable too. I don’t need people to tell me what to think. I can do it myself.

Hi all,

I’ve just been in one of ODL Markets seminar and it was really good. First of all what I liked about it the person who run the seminar didn’t try to push ODL platform at all. He didn’t say things like ‘in our platform’ or ‘our spread is the best’ none of this marketing bull shit. In fact I will try now to use more their platform only because of that. And I feel they gave me something that other didn’t so why not using them?

Anyway Sandy Jadeja is an experienced trader and no-nonsense person. I really like that. He offers some useful tools to use but more importantly he tried to work on the attendance’s attitude. Think for yourself is the motto and I like it very much. He emphasis that all the stuff that we read / hear on the media is crap and if you follow it you are doomed. Again I find it true.

Here is an example of his style:

Bottom line it is highly recommended. Too bad I didn’t have the time to stay after to socialise with the other because I had to run to pick up my son, but the people looked really nice and apart from one who kept asking stupid questions (you always have that one) they all looked serious about trading.

I don’t know with other companies how it works but with IG Index you do get dividends. And if it is quarterly spread usually the dividend is priced in. That’s why the quote is lower than the actual price.

For example I opened a trade on Royal dutch shell for September when the share price was 1500 but I bought the future at 1479. When the ex-dividend was arrived the price has been balanced.