Tuesday, October 02, 2007


20071002 1620. Weekly FKLI chart. If you asked 10 traders their interpretation of the chart, you might well get 10 different answers: Head and shoulders, double top, trend continuation to new highs, sideways trading etc etc. One thing for sure, traders are notorious for 'position talk'. They will interpret and read charts to the direction that their current position, long or short is. Human nature makes traders want to be seen to be 'right' on their view. But in trading there are no right or wrong, only what works and what doesn't. Just last week a big trader asked me, 'What say you? I think the lows will be retested soon..." Today the very same trader is shouting 'buy buy...new high".

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"There is the plain fool who does the wrong thing at all times anywhere, but there is the Wall Street fool who thinks he must trade all the time."J Livermore Manchester City FCl Crude Palm Oil

fcpo.blogspot.com


From Dragons and Bulls by Stanley Kroll
Introduction and Foreword
The Importance of an Investment Strategy
5 The Art of War, by Sun Tau (circa 506 BC) and The Art of Trading Success (circa AD 1994)
That's the way you want to bet
Long-term v Short term trading
Technicals v Fundamentals
Perception v Reality
Part 1: Winners and Losers
Part 2: Winners and Losers
Sun Tzu: The Art of War
Those who tell don't know, those who know don't tell
Why there is no such thing as a "bad market"
The Secret to Trading Success
The Experts, do they know better?
Risk control and money management
Larry Hite: The Billion Dollar fund Manager
Systems Trading:Kroll's Suggested Method
Buy the Strength Sell the Weakness
Good advice
The 'good bets' business by Larry Hite
Don't lose your shirt
Ed Sykota's secret trend trading system