I will talk about What is Setup 1 and I will talk about the difference between Setup 0 1 and 2
I will also talk about Why we like Setup 1 and Why its our favourite mode of taking a trade.
Note: Sorry about the low volume. You might have to crank up the volume of your device to its max. (hug)
Last edited by immy on 24 Aug 2017, 12:23, edited 1 time in total.
What is the Secret of Successful Trading?
The Consistent Pursuit of DS1
The thing that makes me money in trading is when I "Objectively Follow my Trading Plan".
I understand that I can't catch all the moves or all the signals but my objective is to catch THE VALID SIGNALS & ONLY the Valid Signals.
Let me clear one thing... I read Can's journal [btw: congrats and well done to Can for doing that] and found that Can's decided to Trade Setup 1 -2 and 0...
o.m.g as my daughter would say (8years)... frankly I'd say, that I'm a Bit disappointed with myself because my purpose of the video was to put emphasis on WHY WE WANT TO TRADE SETUP 1's only. There is a fundamental and most logical reason behind it.
Because through the past 7 years of data, we have found that the HIGHEST probability SETUPS are Setup 1's.... That is the whole point. [that is second to the Hunt signals btw]
Setup 0 gives you 40% success rate which means you'll have to have 3:1 average win to loss loss ratio. And to further enhance it you'll need the method of scaling into the trades. This is tough but very profitable but and its a big BUT most beginners can't cope with low win rate methods. Despite the fact the the insanely profitable methods are all under 40% win rate. Not an easy cup of tea for the beginner. But don't worry though, we got you covered. Read on
The problem with new traders is that they don't , in 95% of cases, YET, have thePROBABILISTIC MINDSET, that is an essential requirement for trading success. WE hae a solution for this. Thanks to Mark Douglas (rip)
The T20 principle is used to achieve 2 things.
1. Discipline and Patience that leads to Consistency
2. Probabilistic Mind, meaning you treat your trading outcomes with probabilities in mind .You don't judge every trade, rather you trade a "set" of trades. [remember school, the geometric sets etc.. etc] You know that for trading successfully you need a trading strategy that gives you a statistical advantage .You also know that the outcome of an individual trade matters not but the outcome of a single trade is "random" however the outcome of a set of 20 trades is "quite predictable" and fits within the range of of possible outcomes. The outcome of one trade is really radom, yet the outcome of 100 trades is pretty much ordered.
3. (its usually done in demo) so it gives you the replica mindset of trading in the zone. You experience while not being in the zone, how you'd feel like when you will be in the zone. That is RISK FREE STATE OF MIND.
ONCE YOU acquire the proper mindset, essential for trading success, i.e. consistent profitability, that is when you trade with probabilistic mindset. You are confident because you a. you know exactly what are the possible outcomes that you might see (except the black swans). Your confidence is cummulative as its based on your probabilities and past e experiences. You know it works.
At this stage you don't fear and you are able to cope with fear and stress easily [relatively]. You'd find that you get in the zone easily. Completing your first T20 batch is a MAJOR step towards that mindset.
Its a gradual process and success builds upon success however small the steps may be it leads to the final destination...
hope it makes sense.
What is the Secret of Successful Trading?
The Consistent Pursuit of DS1
The thing that makes me money in trading is when I "Objectively Follow my Trading Plan".
I understand that I can't catch all the moves or all the signals but my objective is to catch THE VALID SIGNALS & ONLY the Valid Signals.
immy wrote:Thanks Amarjit, Sebastian, and Chris...
Let me clear one thing... I read Can's journal [btw: congrats and well done to Can for doing that] and found that Can's decided to Trade Setup 1 -2 and 0...
o.m.g as my daughter would say (8years)... frankly I'd say, that I'm a Bit disappointed with myself because my purpose of the video was to put emphasis on WHY WE WANT TO TRADE SETUP 1's only. There is a fundamental and most logical reason behind it.
Because through the past 7 years of data, we have found that the HIGHEST probability SETUPS are Setup 1's.... That is the whole point. [that is second to the Hunt signals btw]
Setup 0 gives you 40% success rate which means you'll have to have 3:1 average win to loss loss ratio. And to further enhance it you'll need the method of scaling into the trades. This is tough but very profitable but and its a big BUT most beginners can't cope with low win rate methods. Despite the fact the the insanely profitable methods are all under 40% win rate. Not an easy cup of tea for the beginner. But don't worry though, we got you covered. Read on
The problem with new traders is that they don't , in 95% of cases, YET, have thePROBABILISTIC MINDSET, that is an essential requirement for trading success. WE hae a solution for this. Thanks to Mark Douglas (rip)
The T20 principle is used to achieve 2 things.
1. Discipline and Patience that leads to Consistency
2. Probabilistic Mind, meaning you treat your trading outcomes with probabilities in mind .You don't judge every trade, rather you trade a "set" of trades. [remember school, the geometric sets etc.. etc] You know that for trading successfully you need a trading strategy that gives you a statistical advantage .You also know that the outcome of an individual trade matters not but the outcome of a single trade is "random" however the outcome of a set of 20 trades is "quite predictable" and fits within the range of of possible outcomes. The outcome of one trade is really radom, yet the outcome of 100 trades is pretty much ordered.
3. (its usually done in demo) so it gives you the replica mindset of trading in the zone. You experience while not being in the zone, how you'd feel like when you will be in the zone. That is RISK FREE STATE OF MIND.
ONCE YOU acquire the proper mindset, essential for trading success, i.e. consistent profitability, that is when you trade with probabilistic mindset. You are confident because you a. you know exactly what are the possible outcomes that you might see (except the black swans). Your confidence is cummulative as its based on your probabilities and past e experiences. You know it works.
At this stage you don't fear and you are able to cope with fear and stress easily [relatively]. You'd find that you get in the zone easily. Completing your first T20 batch is a MAJOR step towards that mindset.
Its a gradual process and success builds upon success however small the steps may be it leads to the final destination...
