In the mid year membership survey I asked the following question:
"So far in 2009, what is the most important thing you've learned about investing, trading, and/or the markets?"
Here's how members responded to this question:
Success takes longer than expected
That you must learn to trade and trust yourself and not to become so dependent on the opinions of others, which ultimately keeps you from becoming the best you can be
Keep it simple
The very best profit opportunities occur in the midst of extreme emotional sentiment
Always think opportunistic verses too bullish or bearish
Persistence and dedication to a daily routine is key
Developing an edge is the first step for trading successfully. Without that, disciplined trading will only make sure you gradually losing money
The market is one unforgiving bitch!
It is challenging to find non-correlated markets
You have to respect the market even if you think it is under some kind of manipulation
Keep your eyes open and powder dry
If you fall in love with a stock keep 100 shares and let the rest go
I've learned to be patient in waiting for my patterns to appear
The value of ETFs
The importance of finding special situations that will be profitable no matter what the market does
Stay away from light volume when the only thing trading is the black boxes
The importance of focusing only on one technical setup in order to improve one's skill set
I now think that buy and hold is a serious mistake
Think big and think long term
Don't try to predict the markets
Don't be afraid in bear markets, just another opportunity
The odds are stacked against the retail investor
There's no such thing as a sure thing
The harder I work at it the more likely I am to succeed
Conserving one's capital is vital
I know the rules - I just need to notch-up my discipline
Smaller entry positions can be helpful
Opportunities are everywhere
The market is primarily psychologically driven
Trade with the trend instead of trying to pick tops and bottoms
Know where and when to get out before you get in
As Johny Cash put it "You got to walk that lonesome valley, you got walk it by yourself. Nobody else can walk it for you. You got to walk it by yourself."
The difficulty of avoiding over-optimization/curve fitting
Overtrading can be, and often is, a recipe for disaster
To breathe before executing a trade
Trading is not a profession for pessimists
Never feel confident even when winning. Humility is a good thing
You need to be quick and brutal with the trading decisions
It is okay to sit out a potential move - risk management over reward chasing
Don't bet the farm in either direction
There is no consistent logic to trading the market
Some trades need to be taken when they appear, not just when you are ready
There's no rule that quality stocks must go up
Don't chase any overbought stocks
When a sector (like financials) look so hopeless as it did in March there is potential to make a lot of money if things turn around even just a little
Hope is a four-letter word and has no place in a trading strategy
Patience. It is ok to sit out once in awhile
Wait until you have an proven strategy supported by data before trading for keeps
Anything can happen. Trading is all about probabilities
"So far in 2009, what is the most important thing you've learned about investing, trading, and/or the markets?"
Here's how members responded to this question:
Success takes longer than expected
That you must learn to trade and trust yourself and not to become so dependent on the opinions of others, which ultimately keeps you from becoming the best you can be
Keep it simple
The very best profit opportunities occur in the midst of extreme emotional sentiment
Always think opportunistic verses too bullish or bearish
Persistence and dedication to a daily routine is key
Developing an edge is the first step for trading successfully. Without that, disciplined trading will only make sure you gradually losing money
The market is one unforgiving bitch!
It is challenging to find non-correlated markets
You have to respect the market even if you think it is under some kind of manipulation
Keep your eyes open and powder dry
If you fall in love with a stock keep 100 shares and let the rest go
I've learned to be patient in waiting for my patterns to appear
The value of ETFs
The importance of finding special situations that will be profitable no matter what the market does
Stay away from light volume when the only thing trading is the black boxes
The importance of focusing only on one technical setup in order to improve one's skill set
I now think that buy and hold is a serious mistake
Think big and think long term
Don't try to predict the markets
Don't be afraid in bear markets, just another opportunity
The odds are stacked against the retail investor
There's no such thing as a sure thing
The harder I work at it the more likely I am to succeed
Conserving one's capital is vital
I know the rules - I just need to notch-up my discipline
Smaller entry positions can be helpful
Opportunities are everywhere
The market is primarily psychologically driven
Trade with the trend instead of trying to pick tops and bottoms
Know where and when to get out before you get in
As Johny Cash put it "You got to walk that lonesome valley, you got walk it by yourself. Nobody else can walk it for you. You got to walk it by yourself."
The difficulty of avoiding over-optimization/curve fitting
Overtrading can be, and often is, a recipe for disaster
To breathe before executing a trade
Trading is not a profession for pessimists
Never feel confident even when winning. Humility is a good thing
You need to be quick and brutal with the trading decisions
It is okay to sit out a potential move - risk management over reward chasing
Don't bet the farm in either direction
There is no consistent logic to trading the market
Some trades need to be taken when they appear, not just when you are ready
There's no rule that quality stocks must go up
Don't chase any overbought stocks
When a sector (like financials) look so hopeless as it did in March there is potential to make a lot of money if things turn around even just a little
Hope is a four-letter word and has no place in a trading strategy
Patience. It is ok to sit out once in awhile
Wait until you have an proven strategy supported by data before trading for keeps
Anything can happen. Trading is all about probabilities