Find a strategy which fits your personality

[TheNegotiator 13]

This is one of the most ambiguous and bandied about statements in trading of all time and imho it’s total bs. Why? Let me put it this way. In most cases it isn’t the strategy that doesn’t work well for a trader, but the trader themselves irrespective of approach. If a strategy were a golden egg laying goose, many traders would starve, strangle, pluck and then overcook that goose. But a strategy only goes so far. What’s far more important is the level of commitment, preparation, focus, discipline and maturity. If you have these things in abundance, will it really matter which strategy “fits” your personality? My take is that what matters the most is whether you can pull in the $ consistently and much of that equation is about things other than the strategy. I’d learn to be f*&%!£g brilliant at watching paint dry if it was something that would make me gazillions of $. People burn through money looking for a method that "suits" them and yet if they don't have the discipline and self-control to employ a method which they know will bring in $ consistently, I'm not really sure that trading is particularly suitable for them. Find a method that isn't utter bs and practice execution and money management discipline.

 

Rant over

[Obsidian 10]

When I started trading forex, it was not too hard to find a strategy to trade...but the thing is, I had to choose one according to my expectations...do expectations count as personality?

[TheNegotiator 13]

When I started trading forex, it was not too hard to find a strategy to trade...but the thing is, I had to choose one according to my expectations...do expectations count as personality?

 

I guess that could be part personality and part understanding. Lots of people come into trading thinking they can make barrow loads of cash every day from nearly day 1. :doh:

[Obsidian 10]

that is unfortunatelly right...people think they can catch every movement...maybe that is why they tend to choose short time frames...

 

have realistic expectations which your strategy can generate

[zdo 20]

Negotiator (I understand your rant, but )

 

Consider a comprehensive approach :

Simultaneous Trader Development and Systems Development,

resulting in Trader/Systems Synergism.

 

Trader Development

This is one of the most ambiguous and bandied about statements in trading of all time and imho it’s total bs. Why? Let me put it this way. In most cases it isn’t the strategy that doesn’t work well for a trader, but the trader themselves irrespective of approach. …

 

People burn through money looking for a method that "suits" them and yet if they don't have the discipline and self-control to employ a method which they know will bring in $ consistently, I'm not really sure that trading is particularly suitable for them.

Of course. Many, if not most, ‘grail seekers’ should not be attempting to become traders. For 1), they will likely never embark on Trader Development, explicitly or even implicitly.

 

 

Systems Development

Even assuming some prior virtuous personal development, randomly handing a trader a high profit system is the equivalent of giving him a high paying job and hoping he is suited to doing the job… and that he will make the most of the job by improving the systems and processes he is responsible for. This doesn’t often work in non trading jobs... doesn’t often work in trading either. Maybe you, negoc8r, would and could “learn to be f*&%!£g brilliant at watching paint dry if it was something that would make me gazillions of $.” but unfortunately in the real world Systems Development is not a passive process.

Example: Blve it or not, the original, unaltered turtle method will shine again… but for many years now, it has required ongoing adaptations to stay in the top tier of systems.

“Finding you own way” is better because when you have found your own way you can better find and make the (mostly minor) adaptations and changes required to keep any real long lasting system in relative harmony with current conditions.

… add the reality that most systems, even great ones, don’t make gazillions…

… etc

…etc

and pretty soon the subjective realities of accepting and trading just any ole profitable system start to emerge. It’s not as much bs as your rant would have us blve.

 

Trader/Systems Synergism

What’s far more important is the level of commitment, preparation, focus, discipline and maturity. If you have these things in abundance, will it really matter which strategy “fits” your personality?

Yes.

 

The phrase “fits your personality” is incomplete and misleading. Personality need not even be mentioned… certainly not exclusively

Instead, phrases like

“…fits your character ”

“…fits your perceptual ‘style’/’type’”

“…fits your way of mental processing”

each come closer to the mark, but still, even combined, do not complete the construct.

 

Just accepting a given profitable system while neglecting the “…fits your perceptual ‘style’/’type’” part is a ticket to disaster … the guy who cleans airline cockpits may develop some knowledge of what the instruments and controls do, but he could not expected to ‘see’ it all correctly enough to reliably fly the plane, etc etc.

 

Neglecting “…fits your way of mental processing” is not trivial either. … liken it to a sales person trying to do quality marketing or vice versa…

 

enough… Negotiator, you seem to be favoring a short term, instead of long term, solution.

 

The overall construct remains “ambiguous” because for all but a tiny few it’s a waste of time to elucidate and build out the principles behind it out. Concerned writers can describe it generally… but ultimately it is up to each individual to find his own way to and through each aspect of the comprehensive approach.

 

Consciously combining Trader Development and Systems Development is the way to build a synergism where progress in one sets up requirement for corresponding progress in the other. It’s not easy to dig for and answer the tough questions – but it’s worth it.

 

Find your own way

zdo

[T2CTrading 10]

I do think you have made some good points here. While it is important to understand that some markets react differently than others, trading is not a personality quiz. It is too expensive to waste time in poor quality trades trying to figure out if it suites your personality.

 

If you are new to a market, or trying to expand your trading, my advice is to spend some time watching the DOM. It doesn't cost anything to watch.

 

Successful trading comes from a solid trading plan. A traders emotions should have no influence over the trading plan.

[SIUYA 11]

Neg - i am with Zdo....

while it may be simplistic to just say it, and i understand Zdos - we need more than this, often the simple things need to be said as they are too often ignored.

how often is this the case - get a plan, test a plan, keep a journal, cut losses, run profits......simple but often ignored.

 

A similar version might be....

 

do more of the things that work for you and less of the things that dont work for you.

 

not everyone will be good at picking turning points, or running a trend, or increasing size, or cutting a loss 5 times before a direction works for them.....and so it is always easiest to play to your strengths.

Then you take it to another level (first you need to be able to understand something of yourself, or be prepared to open your ideas) which is to work out what these are, and how to improve them, or eliminate a lot of the damaging weaknesses.

 

We might find what we think we are good at is not the case......and shock horror what do you mean our personality is not as it appears to us.

Obsidian hints at the importance of understanding the expectations - 100%, and this could be applied to ourselves as well as our strategy in the market.

 

but i like the rant - always good.

[forexlady101 10]

When choosing a strategy it is important to have real expectations... people tend to be greedy, and that is why things don't work out.

[TheNegotiator 13]

When choosing a strategy it is important to have real expectations... people tend to be greedy, and that is why things don't work out.

 

Sometimes, although being greedy can be a good thing too so long as it's when you are printing positive and it's within your plan. Remember, people tend to run their losers and cut their winners short.