The Art Of Trading Without Trading !!!!!!!!!!!!

Dear All,


                                   I start with Quote from One of the Best Trader of All time Jesse Live more

" After spending many years in Wall Street and after making and lossing millions of dollors I want to tell you this : It never my thinking that made big money for me . It always my sitting . Got that ? My sitting tight ! It no trick at all to be right on markt " .............Jeese livemore

Here Jesse reffreing to sitting tight for trade that is according to your trade plan . You need to wait , wait and wait till right setup comes in market as per you trade plan .


   The Biggest Edge the retail trader has , is not to trade .........surprised , let me explain , most of strong                        hands like Fii , Dii need to be have positions in market every time ......regardless of market conditions .
             
    We as retail traders has got this "Big Advantage" Not to trade when our trading plan don't permit us You can't control market prices , only thing that you can control is to put your money on trades when and only when your trading plan gives you desired conditions to go for trade ,like risk reward ratio to do so .


But we are not aware of this advantage or should i say never think of it .......just give a thought , in whole trading  process what is under your control ......"your entry price "  is the only thing that you can control .........if you use limit price order ........in market price order even that is also not sure at which price you get filled for trade , then why you jump on trades without giving a thought that if you are not getting desired entry price and you have not put a trade is your advantage .....by not trading you are using it as your advantage.

The problem with most of traders is that they want profit on every trade , want to trade every swing of market  and ultimately take losses in market .

Intra day Trader - Only concentrate on 2-3 trades max in a day , if you cant find a single trade as per your trading plan ......dnt worry you just have use your biggest advantage in your favour

Swing Trader -Only concentrate on 2-3 trades max in a Week , if you cant find a single trade as per your trading plan ......dnt worry you just have use your biggest advantage in your favour

Positonal Trader - Only concentrate on 2-3 trades max in a Month , if you cant find a single trade as per your trading plan ......dnt worry you just have use your biggest advantage in your favour

Dnt Trade Market , Trade according to your Trading Plan.


Next time you want to take a trade think 100 times why your taking that trade .........as you will be using the only and the only biggest advantage you have as a trader by simply not trading   .


Hope you have find this article useful

M : 9873511276

Thanks & Regards

Abhay Mehrotra

Quotes from Diary of a Professional Commodity Trader By Peter Brandt !!!!!

Dear All,
                                                                  Must Read for All Trader's 

p14. “Consistently successful trading is founded on solid risk management.”

p14. “Successful trading is a process of doing certain things over and over again with discipline and patience.”

p31. “As many as 80% of my trades over shorter periods of time will be unprofitable. The probability of my very next trade being profitable is less than 30%.” (Looking for 90% accuracy see how one of the best trader of the world trade with only 40%--30% Accuracy )

p34. “More often than not, a market will defy what its chart structure implies” [but Peter remains a dedicated, profitable and long term chartist].

p38. “Boundary lines [i.e. trend lines] do not need to be redrawn to accommodate [intraday single-event] out of line movement.”

p41. “My experience is that there are far more false or premature breakouts of slanted chart lines than in the case of horizontal boundaries.” p129. “Normally I do not trade trend-line violations. Trend lines fall into a category of chart development I called diagonal patterns. Yet, the more a market tests a trend line, the more valid-and tradeable-an eventual violation becomes.”

p41. “[After a pattern break out] I generally abandon any position that has a significant return to the pattern.”

p43. “I believe that my net bottom line as a trader would have improved if I had exited every trade that closed at a daily loss.”

 p142. “My net bottom line over the years would have improved if I had exited all trades that closed against me.”

p47. “As a general rule, the minimum move following the completion of a chart pattern should be equal to the height of the pattern itself, although the exceptions to this rule are numerous and complex.”

p53. “As a general rule, I will attempt one pattern recompletion per major pattern. After that, I will count my losses and go shopping elsewhere.”

p60. “Trades that are the emotionally toughest to execute are often the most financially rewarding.” 

p128. “Trades that are emotionally easy to execute are often trades consistent with the conventional wisdom of the marketplace. Conventional wisdom is usually wrong.”

p74. “While chartists often attempt to jump the gun on a pattern, markets usually make it abundantly clear when it is time to climb aboard.”

p80. “It is important for a trader to use similar time frames to both enter and manage a trade.”

p88. “The more I follow the markets during the trading hours, the more apt I am to make an
emotionally driven decision to override my trading plan...emotional reactions to intraday trading will be detrimental to my net bottom line over any period of time.”

p102. “The biggest temptation after a premature stop-out is to get right back in before receiving another solid signal. Getting into this cycle throws discipline and patience right out of the window.”

p117. “I cannot allow myself to be stressed out whether a certain trade was profitable or not. Profit cannot be the direct focus of my attention because I have no control over the outcome of any given trade. Order entry is the only thing I can control. My challenge is to maintain the patience to wait for t my pitch and the discipline to swing when my pitch is offered. Swinging at pitches outside of my sweet spot is the single biggest source of trouble for me.”


January 2012
p117. “I am constantly studying and analyzing my trading performance for two major reasons: to determine if my trading plan is in sync with the markets and to determine if I am in sync with my trading plan. ...either can represent a real problem.” (Most trader's dont even have written trading plan ..........i ask you one question do you have written trading plan ??? I guess you dont have !!!!!)

p119. “Every successful trader I know has developed a criteria for appraising trading performance.”

p152. “Breakouts should be decisive in order to be valid. Drawing tight pattern boundary lines is an invitation to get sucked into a false or premature breakout.”

p154. “As a trader, I need to constantly remind myself that I cannot afford the luxury of being bullish or bearish. Bullishness and Bearishness represent an emotional commitment. I need to limit myself to positions. Opinions don't matter.”

p156. “Trade identification is the least important of all trading components. The trading process itself and risk management are much more crucial components to overall success in trading operations.”

p157. “The most profitable trades are those that breakout and never look back.” p165. “If at first you don’t succeed, be ready to lose and lose again.”

p160. “Trading dilemmas never end. A trader never solves all the issues standing in the way of greater success.”

p166. “The best and largest patterns are commonly comprised of many smaller patterns, mostly failures.”

p173. “The battle to profitability is with one’s self. Successful trading is learning what to do and how to do it and then overcoming one’s emotions to get “it” done (discovering the “it” is the challenge for traders, and the “it” is different for everyone).”

p189. “[Trading plan] flaws are never visible during the good months and good years. Good times provide cover for the deficiencies of a trading plan.”

p194. “Triangles are not valid when prices work too far [more than 2/3rds to 3/4ths] to the apex.”

p197. “The single most important price of the day is the closing price, posted mid-afternoon each day. This is the price at which position traders, as opposed to day traders, are willing to hold a position overnight. Even though I often enter and exit a position intraday, the closing price is the only one that really matters. Everything else is noise.

p229. “Make a chart prove itself. Do not lead a breakout.”

p230. “Do not chase a missed signal. There will be trading opportunities next week, next month, and next year. Chasing signals can lead to other serious breaches of trading practices.”


Thanks & Regards
Abhay Mehrotra

Aluminium Neo Wave Analysis : Zoomed Up 6% , Levels Bang On !!!!!!!!

Dear All,
                                On 20 Sep , posted Update that aluminium can start Wave B , Kindly read http://abhaymehrotra.blogspot.in/2016/09/aluminum-neo-wave-analysis-close-to.html

                                                          Below is the chart We posted On that day

What Happened After Update 

Aluminium Zoomed Up from 105 to 112 Till Now 

Imp : This Update is Strictly For Educational Purpose Only 

M : 9873511276 

Thanks & Regards 

Abhay Mehrotra 

How to Become Doctor In Two Days !!!!!!!!!!

Dear All,
                         


  Can you think of becoming Doctor in 2 Days , Then why people think that they can become                                         trader in 2 Days ???.

Trading like any other Professions require Following steps  to Succed

1. Training :  Have you seen any body  becoming doctor / engineer / lawyer in 2 days forget about being sucssecful , the answer is no

Doctors go through rigirous Training , MBBS - 5 years + M.S. -- 2 Yrs , then they practise in some hospital for 2-3 Years and then they stand on there own . Total Min yrs Spent on learning or Training 10 Yrs .

Lawyers  complete LLB in 5 Yrs & After practising for atleast min 5 yrs can thing of starting on their own . Min ysr spent on learning or Training  10 Yrs.


Professional Players spent hours & hours on training , Tiger Woods used to have training schedule of 12 Hours per days , Our Great Sachin tendulkar Used to train min 6--8 Hours Daily on Nets .


Remember Your are Competing with one of the best & sharpest Mind in the world of Trading , You dont have slimest of chance if you are not prepared well.


Becoming a Professional Trader require rigirous amount of training , which most people dont do and then they loose there money in Market .



2. Planning :  Doctors have a set guide lines / Dignosis which they follow in treatment of people / same applies to professional athelets , they plan there innings or game and then tacticaly execute them on field .

As a Trader have  you ever plan your trades or Have gone through these question before taking Trades

1.Why Trading ......... Have you ever asked yourself why you want to trade ??

2. Your Style of Trading .... Positional / Swing / Intra day ??

3.What's your Edge in Trading ???

4.How much time you devote In studying Markets ??

5.Have you define which markets will you trade ???

6.On what basis you decide to enter into a trade ???

7.Exit criteria ??

8. Money Management rules ??

9. Position sizing ???

10. Are you having a Written Trading Plan ??



You need to Plan your Business of Trading  else chances of success are almost Nil .



3. Discpline : Doctors / Lawyers / Professional Athelets / Engineers they follow discpline in these profession , same applies to Trader's Also . Displine to follow your Trading plan make the diffrence between a Professional  Trader or Amatuer Trader .


The moral of the Story is you need intense Training / Planning / Discpline to be come a Profitable Trader ...........else you will kepp loosing money .




Thanks & Regards

Abhay Mehrotra

M :9873511276

Natural Gas Neo Wave Analysis : Wave 5 Making Ending Diagonal ????

Dear All,
                                               Natural Gas Might be making Ending Diagonal in Wave 5

Imp : This Update is Strictly for Educational Purpose 

M : 9873511276 

Thanks & Regards 

Abhay Mehrotra 

Silver Neo Wave Analysis : Wave C subdividing ????

Dear All,
                                                             Silver Might be in Wave C and subdividing

Imp : This Update is Strictly For Educational Purpose Only 

M : 9873511276 

Thanks & Regards 

Abhay Mehrotra 

Natural Gas Neo Wave Analysis : Zoomed Up 10% , Wave 5 Still On ????

Dear All,
                              On 20 Sep , posted that we are in Wave 5 and Sub dividing , kindly readhttp://abhaymehrotra.blogspot.in/2016/10/natural-gas-neo-wave-analysis-levels.html


                                                   
                                                     Below is the chart we posted on that day

What Happned After Our Update 

Natural Gas Zoomed  Up From 195 to 214.6

Imp : This Update is For Strict Educational Purpose Only 

M : 9873511276 

Thanks & Regards 

Abhay Mehrotra