19 July 2009

So you want to make money in the Markets...sigh..

To have a chance to make it as a trader your going to need to watch your processes and play the odds. You will never make it without feedback loops, process and a back tested method.

Nick's paper on the Hole in the Bucket Model is an easy and a fun read. It is also an excellent source of insights about delays and first-order negative feedback systems. It is also an excellent guide for model building. It shows how to bring high scientific standards to dynamic modeling. This paper is a "must read" for anyone wishing to master system dynamics. -- Ed Seykota


Having a "view" isn't a strategy and it isn't trading. But you might be able to make money if you have entry and exit strategies and well calibrated ambitions and you happen to be right. Being right can keep you in....

You will need too work on the trader more than the trading, I posit or the later may turn out to be merely the self medication of the former. Don't work on the market without working on yourself first, bigtime.

You will need to master pouring, as well..

Don't look for the holy grail in methods, master the execution of a simple strategy.

I find the FAQ great, anyway....

And here is some final advice from Ed..

The Whipsaw Song from Trading Tribe on Vimeo.

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