| It is surprising that many traders fail to take into | | | | room or in front of his own trading desk observing |
| consideration their own risk profile and also trading | | | | and watching for the best moves to develop before |
| psychology in trying to find a winning stock market | | | | he places his trades. |
| trading system that they can use daily to make | | | | Instead, he has invested in a software that delves |
| consistent profits from the stock market. | | | | into the longer term trading system of elliot waves, |
| On one occasion a trader approached me for some | | | | of trading with the trend, of watching for trading |
| advice to create his own winning stock market | | | | opportunities to set up when time and price meets |
| trading system. Flushed with funds, he had invested | | | | for a change in trend according to the teachings of |
| in a copy of an advanced stock market analysis | | | | WD Gann. All these take time to develop, chart |
| program that had won awards for some 5 | | | | patterns take time to form and meanwhile this trader |
| consecutive years as the best technical trading | | | | is unable to just sit and wait! |
| system for stocks and commodities. Costing over | | | | So if you are a trader who can take more risk and |
| $5,000 this software would be a trader's dream in | | | | you want action - you want daily action - then |
| tracking and trading the markets. | | | | choose a trading system that involves outbreaks of |
| The use of the software involved re-learning a | | | | price and volume, rather than trading systems that |
| process of trading. The software had trading | | | | are based on longer term setups involving time, price |
| systems based on a combination of advanced WD | | | | and pattern. |
| Gann and Elliot Wave Techniques, and soon this | | | | Of course, you can drop down to a lesser time |
| trader was familiar and able to input his trading | | | | frame to trade, so instead of using daily data to |
| system into the system tester to track, analyse and | | | | track your stocks with the trading system, you can |
| trade. | | | | move down to a lesser tracking time frame by using |
| But was he happy with his system? | | | | intra-day trading charts and trade the setups from |
| One week later, he rang me up on the phone and | | | | the intra-day charts. |
| said." Why is it that the stock pick list from the | | | | In the end what did this trader do? Did he chose to |
| system does not change for 4 days? Why are the | | | | trade intra-day with intra-day charts? |
| stock picks not moving anywhere...even after 4 days | | | | No, this trader merely shifted his focus to an |
| they have been identified." | | | | outbreak system of price and volume with a cheap |
| You see, he has not considered his trading needs, his | | | | software costing less than $500 and has been |
| personal risk and trading psychology. | | | | enjoying his trading ever since. |
| Here he was, a trader who thrives to trade and can | | | | So if you are a trader, and are looking to work out a |
| take more risk. Here was a trader who loves the | | | | trading system with a software, consider your own |
| trading action. He would be best seen making trades | | | | trading psychology and risk profiling, and how often |
| every day, and not sitting down there at the trading | | | | you like trading action. |