Last night, wheat hit my stop loss while I was asleep. Loss 52 ticks. 1 ticks = $12.50
Although I loss the fight but I still consider this as "One Good Trade". People may ask me - am I crazy?
Allow me to quote you this person, by a true professional trader Mike Bellafiore. He is the co-founder of SMB Capital, a proprietary trading firm in New York City. Few years back I met him in Singapore. He wrote this great book called "One Good Trade". Inside the book, he shared the stories of traders who have excelled and failed and why, many trained by Mike, with an essential trading principle wrapped inside.
Let me quote some of the sentences that written inside his book.
One good trade doesn't mean every trade is a winning trade. Good set up with reasonable P&L, pull the trigger that consider as a good trade. If you see opportunity soon after one good trade, immediately re-enter again. So there is no such thing/words such as "Damn, I cut too early", "I was scared to re-enter as I taught it would trade even lower"......... What in fact a traders look at is good set up with excellent risk and rewards, then he execute.
I quote: Losses is something which you cannot avoid in trading/investing. The question is here how much each time you win versus how much each time you loss. Whenever someone ask me can I buy this XYZ counter, my first question to him/her is "What is the reason for you buying that XYZ stock?" Secondly - "Where is your stop loss?" and thirdly "What is the ratio of risk and reward?"
Although I loss the fight but I still consider this as "One Good Trade". People may ask me - am I crazy?
Allow me to quote you this person, by a true professional trader Mike Bellafiore. He is the co-founder of SMB Capital, a proprietary trading firm in New York City. Few years back I met him in Singapore. He wrote this great book called "One Good Trade". Inside the book, he shared the stories of traders who have excelled and failed and why, many trained by Mike, with an essential trading principle wrapped inside.
Let me quote some of the sentences that written inside his book.
One good trade doesn't mean every trade is a winning trade. Good set up with reasonable P&L, pull the trigger that consider as a good trade. If you see opportunity soon after one good trade, immediately re-enter again. So there is no such thing/words such as "Damn, I cut too early", "I was scared to re-enter as I taught it would trade even lower"......... What in fact a traders look at is good set up with excellent risk and rewards, then he execute.
I quote: Losses is something which you cannot avoid in trading/investing. The question is here how much each time you win versus how much each time you loss. Whenever someone ask me can I buy this XYZ counter, my first question to him/her is "What is the reason for you buying that XYZ stock?" Secondly - "Where is your stop loss?" and thirdly "What is the ratio of risk and reward?"
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