Knowledge is power

Back in my formative years, saturday mornings were a time for cartoons. One of these cartoons were a group of soldiers who go out and try to stop an evil organization called "COBRA". After the cartoons they would always show an infomercial type short wherein they say this line: "knowing is half the battle"

The power in that short phrase has stuck in my neural cortex ever since. It has always manifested in one way or another as I went along in life. Knowledge is an incredibly powerful tool for anyone. It can get us out of more tight spots, hard places and other sticky situations that anything. It will also make us to be more independent since we won't need to rely on others to get by. 

The phrase can also be applied to the stock market. This was the reason why I sought to learn how to trade. I look back at my past and the constant reliance on the tips or analysis of others and remember how it was a big drain on my confidence and self esteem. I was always on edge since I didn't know when the tips or analysis would dry up or end. 

Choose your weapon

Back then I would think, if they could do it, why can't I? We are all looking at the same charts right? What secret have they uncovered that allows them to have more winners than losers? These questions pushed me to look for a better way, to acquire knowledge. I went to so many different seminars by gurus and other stock personalities yet there was always something lacking. There was always the impression that the things that they were teaching were only touching the surface of things. That it was all superficial. I know since after the seminars I would still be unable to read charts on my own after the said seminars. 

This all changed after I entered the zf course. The knowledge transfer that occurred there was incredible, mind blowing to say the least. The course dealt not only on how to look at charts but the whole package. How to deal with emotions, trading mindset, expectation setting. Being more disciplined and systematic. Such a stark contrast to everything that I went to before. 

Now, trading is a little bit easier. I've figured out that there is no secret or holy grail. It's all in the preparation. Knowing when to trade and when not to trade. Knowing when to buy and when to sell. Paying attention to the details so to speak.

It's awesome to know the power of charting. 

When used properly. 

For like any tool out there, when it is used improperly, it could mean disaster. 

See below :P

Running your own race

This quote has been something that our mentors has instilled within all of us during the course. I have always taken it to mean that our biggest obstacle to success is ourselves. 

In my previous posts, I have repeatedly said that you have to fit your trades to your profile. Make it fit to your lifestyle. To who you are. 

Well, recent events have made this very applicable and real to me. The little robot has started going to school and unfortunately the school schedule has absolutely wrecked havoc on my trading style. Since the class starts just before the time when humans need sustenance and ends sometime in the early afternoon and with the daily traffic, I have had to adjust, adapt, and innovate as a fellow tribe member has stated. 

At first, I thought it would be an easy transition. This past two months it really hit me that I can no longer buy at the close. Or even see what happens during closing. Checking the charts after trading is now a regular session of disbelief at seeing breakouts missed. Intraday buying opportunities that happen right before leaving for school have to be skipped. My system didn't want to have any lingering thoughts of buying super volatile stocks while driving on the road. 

So to compensate, I have had no choice but to change strategies. I went back to my notes and reviewed about trend following and sleeper plays. Being a mentor to bastards and the seed has also been a big help since it allowed me to get a fresh perspective on the power of MAs. Having had a coffee session with Zodiac's resident Dog was also very timely for it showed social proof that a different technique can still give massive gains. The only difference was time.

Time because...

- instead of being able to buy on the actual breakout, you buy in anticipation of the breakout. Your patience will be tested.

- your entries and exits are different from being an intraday trader. It means looking at the bigger picture. 

- instead of just focusing on the daily charts, the weekly chart now gets equal significance as well. 

- I would be at the mercy of forces that are not in my control.

This has been my first attempt at a TF trade. Not perfectly executed, but I think that it will do. 

MCP

But do take note, that I still try to keep up with a checklist of the intraday breakouts that did happen successfully. Which ones that were still caught by my scanners and which ones were missed completely. For at my core, I am still an intraday trader at heart. That is something that cannot be taken away. This is just a temporary setback. 

Going back to the previous analogy, this is a race that I intend to win. I imagine that we are all in a marathon, it doesn't matter how we reached the finish line, the important thing is we reach it. My circumstances might take me a bit slower than the others for now, but I will persevere.

For what does not kill us, only makes us stronger right? And being able to add and master a whole new weapon to my arsenal will only make my final form that much more deadlier. 

HOPE as a strategy

Such a simple word. But it can trigger such a mess of human emotions. 

A fresh start. 

A better outlook. 

A new beginning. 

A chance for a new day. 

Sounds so nice and dandy. All sunshine and rainbows. Well, sorry to burst your bubble, but it's not all that. 

HOPE 

It can also sometimes bring the worst out of humans.

Just remember, HOPE should never be applicable to the stock market. For this is not the place for your emotions. You have to be very objective in your buying and selling. Stick to your plan and execute. Hope should never be a strategy. For here, only the charts are your friend.