Working notes

Pubblicato il 24 Dicembre 2010 da Veronica Baker

Working notes

• Working to anticipate the future can be a distraction from the important task of dealing with the present.The “anticipation” seems to be counterproductive.
• Good systems require considerable emotional aptitude. Many traders avoid dealing with their emotions by trying to anticipate, optimize and otherwise abandon their systems.
• Prices rarely move smoothly. The whole advantage of using moving averages is that they are slow and give signals when a market’s trend is well under way. Trend traders believe the best time to trade is well into the trend, with momentum. While anticipation occasionally picks a top, it more likely picks a false jiggle and gets whipsawed.
• MACD (and all indicators in general) plays an important role in the market ecology, but it just doesn’t happen to be a tool that makes money when used by itself.
• Systems don’t need to be changed. The trick is for a trader to develop a system with which he/she is compatible.