By Brett Steenbarger October 2002 Abstract / Introduction: Traders love patterns. We trade chart patterns, oscillator patterns, historical patterns, cyclical patterns-you name the pattern, chances are there’s someone trading it. Much of trading boils down to pattern recognition and the ability to quickly identify and act upon profitable patterns as […]
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This article reproduced with permission from Brett Steenbarger Numerous books have been written on the topic of trading success. Nevertheless, it is unclear how expert traders obtain their expertise. Several explanatory models are implicit in market writings: • The psychological model – What makes great traders, this model asserts, is […]
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By Ray Barros. It is my belief that successful trading is a function of: – A written trading plan with an edge – Effective Money Management and – Winning Psychology In this essay I shall: 1. Identify the essential element of winning psychology. 2. Identify the personal attributes required. 3. […]
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By Peter R Locke, Steven C Mann November 2000 Abstract / Introduction: Recent evidence (e.g. Odean, 1998a) describes investor behavior that is at odds with traditional economic theory. These alternative behaviors, such as those consistent with the disposition effect or overconfidence, form the basis for recent “behavioral” explanations for asset returns […]
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The one thing I can think of that most affects both trading and investing has to be self-discipline. Being disciplined is fully 50% of the job of trading or of investing. I don’t care how good your trading system is, without the discipline needed to follow the system you don’t […]
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