HOW DO WE GET CONSISTENT RESULTS?
These 20 trading rules are the basis of our daily routine and over the years have provided consistent results.
- We trade areas of interest, levels of supply and demand, (liquidity), traditional levels (fibs etc).
- We trade rotations.
- We trade probabilities.
- We bring an edge to our daily trades with homework and Market Profile stats.
- We follow large key traders, (professionals), we fade retail, we do not pick bottoms or tops. This is the bases of real-time Orderflow, trading the tape.
- We manage the trades once open, this is based on rotations, Orderflow clues. Watching the money flow in real time.
- We do not have “Take Profit” targets only expectations, we base exits on order flow. Taking what the market gives us. If the thesis is wrong, we get out, we don’t necessarily wait for stops as a rule.
- We scale in and out and de-risk (BE), when the market provides.
- We must be present, focused and fast, pulling the trigger with no hesitation.
- We consider risk as the number one key measurement of success.
- We do not have market opinions, we only read the story the market tells us. Seeking clues. We do however have a bias expectation based on probabilities.
- We open our trade with what we call probe positions, these positions are at least a third of our standard full position. This allows us to test our thesis and if appropriate press if confirmed.
- Our losses are limited to 1% of our account.
- If for any reason we are not “with it” we stand aside.
- We are never right or wrong, only profitable.
- We ignore opinions, period.
- We accept criticism, this confirms we are not with the crowd.
- Our daily happy zone is 4pts ES/SPX. (1000 ES pts a year) Conservative– yes, enough to create wealth—yes, compounding is truly the 8th wonder of the world.
- We aim to compound our account for capital growth, so consistency is our goal, the grail, and our wealth strategy.
- We fully accept that despite our bias, despite our prep, despite the trend, despite the news flow, once entered every trade is no more than a 50/50 outcome.