It wasn't easy to stick to my new system at first. It works with mutual funds, ETF's, and stocks, but not futures. It may work with options, especially leaps, but I haven't tested it.
So, when I first started trading my system, I was constantly battling my own mind, which kept saying that my system is too simple, not lucrative enough. "I need to adopt it to futures. I need to make it work with options, then I'll be all set! I could get rich faster if I just do this, or do that..."
I really had to change my thought patterns. Instead of greed or return, I had to focus on the process. I came to appreciate the simpleness and elegance of my system, and its Taoist nature. More importantly than results, I came to have a system that I believed in, trusted. I felt it embodied Eastern spiritual principles. Practicing it felt like a form of meditation.
I now feel at peace as a trader. On the money level, I feel like I have a system with a risk-reward profile I am happy with. On the intellectual level, I feel that I am on solid economic ground: buying low, selling high, and fulfilling the proper role of a speculator: sopping up excess supply, and feeding excess demand to help regulate a free market. On a spiritual level, I feel like I am "going with the flow".
The ideas I want to explore in this blog are (from least to most important):
1. Share my system and the ideas behind it.
2. Encourage traders/investors to define their own success and systems.
3. Combine 2 with a proper mindset, to develop their own confidence and trust.
The hardest thing is for a trader to develop enough confidence and realistic expectations to be able to resist the urge to tinker.
In order to share my system with others, I published a book detailing the complete rules of my successful stock trading system, including variations and ideas on minimizing commissions and taxes: Stock Trading Riches, which is available on Amazon.com.
So, when I first started trading my system, I was constantly battling my own mind, which kept saying that my system is too simple, not lucrative enough. "I need to adopt it to futures. I need to make it work with options, then I'll be all set! I could get rich faster if I just do this, or do that..."
I really had to change my thought patterns. Instead of greed or return, I had to focus on the process. I came to appreciate the simpleness and elegance of my system, and its Taoist nature. More importantly than results, I came to have a system that I believed in, trusted. I felt it embodied Eastern spiritual principles. Practicing it felt like a form of meditation.
I now feel at peace as a trader. On the money level, I feel like I have a system with a risk-reward profile I am happy with. On the intellectual level, I feel that I am on solid economic ground: buying low, selling high, and fulfilling the proper role of a speculator: sopping up excess supply, and feeding excess demand to help regulate a free market. On a spiritual level, I feel like I am "going with the flow".
The ideas I want to explore in this blog are (from least to most important):
1. Share my system and the ideas behind it.
2. Encourage traders/investors to define their own success and systems.
3. Combine 2 with a proper mindset, to develop their own confidence and trust.
The hardest thing is for a trader to develop enough confidence and realistic expectations to be able to resist the urge to tinker.
In order to share my system with others, I published a book detailing the complete rules of my successful stock trading system, including variations and ideas on minimizing commissions and taxes: Stock Trading Riches, which is available on Amazon.com.