http://www.smarterstops.com Thu, 13 Nov 2008 18:49:24 +0000 http://backend.userland.com/rss092 en The task of writing is always complicated by the difficulty of gauging how deep the author should delve into the subject matter. While it is impossible to address the particular needs of each reader, the common denominator is most likely the desire to make money. The material presented ... http://www.smarterstops.com/2008/09/01/chapter-one-crossing-the-threshold/ In Chapter One, we examined the inner game of trading. The first step toward Owning the Zone is to give ourselves permission to explore a different mind-set, to view the activity of trading from a different perspective. With his Five Fundamental Truths, Mark Douglas presents us with a ... http://www.smarterstops.com/2008/09/01/chapter-two-flow-into-the-zone/ In Chapter Two, we discussed the flow that can be experienced when we own the zone. We examined the nature of an edge and defined it as a collection of synergistic advantages. In this chapter, I will do a case study of how one trader pulled it all together: me. ... http://www.smarterstops.com/2008/09/01/chapter-three-putting-it-together/ In Chapter Three, we began a case study of how I streamlined the trading process. This chapter examines the logistics of pure directional trading. The Devil is in the Details We've all experienced it: an elegant concept that proved impossible to implement. That's when we learned that behind the success ... http://www.smarterstops.com/2008/09/01/chapter-four-the-logistics-of-trading/ In Chapter Four, we identified and examined individual elements of directional trading and how logistics can be combined with buy and sell signals to form a complete, mechanical trading system. What to Trade? The next part is deciding what to trade and what time frame to trade in. While traders and ... http://www.smarterstops.com/2008/09/01/chapter-five-security-and-time-frame-selection/ This is one of the top questions found in my mailbox, so the subject is either fascinating or it is a challenge for many readers. This article features my strategies and solutions for intraday trading. CLICK TO ENLARGE: September 2007 ES, NQ, ER2 and YM from June 6, 2007 (rollover ... http://www.smarterstops.com/2008/09/01/chapter-six-intraday-trading-strategies/ The original plan after Chapter Five was for Chapter Six to be about portfolio construction, but instead, I wrote about intraday trading strategies. I am told that one more chapter is needed to do justice to the subject. It might be best to use intraday index futures trading ... http://www.smarterstops.com/2008/09/01/chapter-seven/ Discretionary traders often struggle with "discipline" issues. That's because humans appear to possess a constellation of character traits that make us poorly adapted for making decisions under risk: Richard Thaler: The Winner's Curse In a first price auction there are two factors to consider, and they work in opposite directions. ... http://www.smarterstops.com/2008/08/30/chapter-8-50-ways-to-lose-your-money-without-trying/ You might be wondering why we need to take a detour to discuss The Sentiment Cycle. Surely mechanical trading is designed to do away with emotions, right? Justin Mamis: Example of a Simple Sentiment Cycle Yes, a good trading system helps us stay the course and do the right thing. ... http://www.smarterstops.com/2008/08/30/chapter-9-the-investor-sentiment-cycle/ InVivo Universal Stops are engineered to reflect actual volatility and range, providing users with a real edge over other so-called volatility-based indicators or bands. Used alone, InVivo Universal Stops is known as a stop and reverse system, that is, it is always in the market long or short. In practice, ... http://www.smarterstops.com/2008/08/29/universal-stops-for-esignal-10x/