View all of my trades on screen. Learn to see what I see and prosper . Click here for details
Great response to the launch of my first DVD, Trading As An Art. I ran a special first 100 people for $69 and sold out of that in a day and a half. I didn’t expect the response to be like that so I have extended the $69 until this Sunday 11.1.2015. This DVD is loaded with content and live trades. To learn more about it and see a few clips click here
This was a question asked on Quora “People Talk About An Edge but dont want to tell you what it os ?” Below is my answer.See the original answer here and follow me on Quora here
Q:People talk about an edge in trading yet never want to discuss what their edge is. Can you give an example of an edge that no longer works so we can at least understand what an edge means?
A: An “edge” is what separates trading from gambling and the edge is defined when the odds of a particular set up or trading scenario favors the trader not the market. Every successful trader knows EXACTLY what their edge is and where they excel the most. For some this could be buying breakouts or it could be shorting stocks or it could be trading one specific sector like biotech etc. It really doesn’t matter what it is as long as it puts money in the pocket of the trader. You see, most outsiders think that successful traders know everything about the stock market, when in fact they do not. What they do know is every thing about their strategy, how to find stocks that fit their strategies criteria, patiently wait for those stocks to reach specific trading areas then execute the trades with precision- thats what we call an edge
Now if you browse this board you will see all types of people complaining about blowing up accounts and day trading sucks and traders always lose money yada yada yada. Well the reason most traders lose money is because they never develop an edge. This is because they cant stay committed to a process long enough or they lack self discipline to not trade stocks when they do not have an clear and distinct edge. Most of the time it’s the latter. I did a nice video on this topic recently that really explains this topic in detail and it also explains how not all trades are created equal The video is right here
The reason you may feel traders never reveal their “edge” is because trading edges are specific to the trader and can be difficult to explain to others. For example my edge is shorting stocks ( betting that the stock price will decline ) but when I tell people this is what I do they think I’m a heathen and I shouldn’t profit on the decline of a company and there is no way that works. However, they love telling me this BS while they are a passenger in my 6 figure sports car.
Every trader has a unique style that they naturally migrate to. For some this could be buying breakouts or it could be shorting stocks or it could be trading one specific sector like biotech etc. Whatever it is each trader knows exactly what it is that works best for them. Sure, there are times when the odds of an edge does not work as well as other times but the market itself is ever changing so its understandable that trading edges will change as well.
Hope this helps
Doug
Watch Some Of These Video Lessons And See More Rants.
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