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Ed
Seykota's FAQ
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FAQ December
01-31,
2017
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Dec 19, 2017
Guide
Hi Ed,
I
have been going through the FAQ archives and gathering your comments to
form a kind of guide for myself. The results are below. The
category breakdowns and anything in brackets are my additions /
clarifications. I wanted to share in hopes the summary might help
other FAQ readers. Thank you for sharing everything on your
site. Happy holidays.
Big picture:
In the markets, just about everything works sometimes, and hardly anything works all the time. The best indicator I know is Trend. The other good ones are Trend and Trend.
There is no best [trend] system, any more than there is a best car.
There might, however, be a best car for you. My views on trend following stay about the same.
How to determine trend:
In Trend Trading we have two indicators: up trend and down trend.
You can determine the trend in various ways and you mostly get the same
result, depending on your preference for computing short-term or
long-term trends. You can take a chart with
one-day bars, stick it on the wall, step back a few feet, determine the
trend and enter orders accordingly. To compute
a trend, you have to compare average prices now with average prices
then. Trend measurement requires averaging so you cannot define a
trend until after the fact. The main difference
between trend systems is the time constant, that defines how long it
takes to register a change in trend. I do not
publish the exact parameters as I do not wish to purvey rather
arbitrary values as some kind of "magic formula." I prefer simple indicators. [Use] Richard Donchian 5/20 system as a starting point
General system considerations:
While it's good to use your head to enter and exit trades, you make the
big money using your other end ... sitting tight on winning positions Long-term trading has an advantage, in that the transaction costs are small relative to the average move. Short-term systems tend to succumb to transaction costs.
Since so much of trading is about your ability to follow your system, a
good system generally resonates with your gut approach, and evolves
through years of trading. I do not know of any systems that are 0% discretionary.
Trading algorithms [trend systems] are a part of trading, other
important parts are risk management, attitude and knowing how to deal
with feelings that arise during trading. Part
of back-testing is to determine position sizing and risk management
strategies that fit within your drawdown tolerance envelope. No matter how you enter and exit trades, be sure to have position sizing and risk control methods in place. Many technical traders keep risk per trade at about 1/2 %. In your models, be sure to give definite names and precise meanings to all your parameters
Other points:
[Response to reader] You seem to be asking for a way to get on the big
trends without having to suffer through the drawdowns. Nice fantasy. If comfort is your goal, stop trading. To avoid whipsaw losses, stop trading.
Advanced technology for analyzing the markets is interesting,
entertaining, distracting, and even counter-productive to coming to
terms with emotional reactions to uncertainty and volatility.
If you want to trade consistently, without the swings in confidence,
then you have to learn to accept, even celebrate, the feeling of
uncertainty. This is the work of the Trading Tribe [TTP].
|
Thank you for posting your guide.
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Dec
18, 2017
Bubbles
Ed,
I've been receiving lots of texts and calls from friends, and people I
haven't heard from in a while, regarding Bitcoin - what my general
thoughts are; whether to buy it or stay away; is it in a bubble or not?
So I thought it'd be a good idea to take a look at some of the biggest
bubbles over the past 40 years. We’ve seen bubbles in may different
asset classes - stocks, agriculture, metals and energy.
I’m sure there are few I’m missing, but this is just to put Bitcoin's
current price action in perspective versus past bubbles.
2008 Crude Oil
At the peak, prices sit 50% above the 300-day exponential moving
average (EMA). Then prices collapse 70% over the following nine months.
2008 Canola Oil
At the peak, prices sit 67% above the 300-day EMA. Then prices fall 53%
over the following years.
2000 Nasdaq
At the peak, prices sit 69% above the 300-day EMA. Then prices fall 84%
over the following three years.
2011 Silver
At the peak, prices sit 85% above the 300-day EMA. Then prices fall 72%
over the following years and still remains depressed today.
1980 Gold
At the peak, prices sit 150% above the 300-day EMA. Then prices fall
69% over the following years and remained depressed for a couple of
decades.
1974 Sugar
At the peak, prices sit 160% above the 300-day EMA. Then prices fall
87% over the following two years.
2000 AMZN
At the peak, prices sit 180% above the 300-day EMA. Then prices fall
95% over the following two years.
2000 QCOM
At the peak, prices sit 323% above the 300-day EMA. Then prices fall
88% over the following three years.
2017 Bitcoin Investment Trust (GBTC)
Currently, prices sit 500% above the 300-day EMA.
If you’re trading this instrument today with zero plan, then may God
have mercy on your soul.
|
Thank
you for sharing your thoughts and research.
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Dec
18, 2017
Changing
Emotions
Ed,
I'm happy to see FAQs is updated. It hurts to see the extreme damage
you and many others suffered in Puerto Rico.
I read some FAQs last night and this AM I got the timely email below
which contains this resonant bit of wisdom:
"The proper use
of emotions begins by accepting that they measure the difference
between what we mapped and what we experience. As such, every
emotion is useful and provides valuable information. Perhaps
the
map was off, perhaps our skill in the experience was
deficient.
Either way, we can
change our emotion by changing either what we’re thinking
or what we’re doing or some combination of the two."
Merry Christmas, Happy Hannukah, or whatever makes you happy,
|
Thank
you for sharing your process, your feelings about Puerto Rico and your wisdom.
In TTP we do not seek to change our emotions; we seek to experience and
celebrate them.
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Dec
18, 2017
Weeping
Dear Ed,
I weep as I read this article and see pictures of the people of
Venezuela:
https://www.nytimes.com/interactive/
2017/12/17/world/americas/venezuela-
children-starving.html
I
weep as I think about dictatorships, socialism, government control of
an economy, and the true cost of the promise of free stuff without
having to work for it.
|
Thank
you for sharing your process and feelings about the situation in
Venezuela.
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Dec
15, 2017
Shortest
Available
Ed
I
have been on your website, read the ground rules about Trading Tribe,
read what people send you and your answers to them. And I do not
understand what is the point of it and the benefit to them.
I
strongly wish be part of an association of people who commit to
excellence, personal growth, and supporting and receiving support from
each other, as is mentioned on your website.
Would you kindly be willing to help in the shortest time available to
you?
Many thanks, |
Thank
you for sharing your process - and for telling me you do not understand
the point of it all.
To
get your bearings, you might consider reading through the introductory
pages of my book, The Trading Tribe. You can read this sample for free
at:
http://www.seykota.com/books/index.html
You might consider taking your feelings about <the shortest time
available> to Tribe as an entry point.
|
Dec
15, 2017
Radial
Momentum Catch
Hello Ed,
Could you please explain this to me a little better for me to
understand?
Note that
force (4) is independent of velocity and the size of the gap. Force
depends on the ratio of the disk radius to the orifice radius.
I want to know how the ratio changes the force. Is it a small orifice
to big disk radius that gives more force with low pressure/ velocity?
Can you please give me some examples so I can better understand?
Thank you very much for showing me the truth of lift and for your time
to help me understand.
Sincerely
|
Thank you for your perceptive and constructive comments on Radial Momentum.
I salute your diligence, curiosity and willingness to sound off about
things you find unclear.
Thank you for drawing my attention to a math error.
The item to which you refer:

|
Case I:
Low pressure
In this case, the gap is relatively wide and the levitator draws all
the airflow the pump can deliver.
The well pressure is relatively low.
P0, the pressure just past the valve is the same as the pressure in the
well.
Friction is about zero and the velocity
is constant to the edge of the physical disk.
The
time for a ring of air to traverse the plate, t = (R- r0)/v. The force
on the plate of the air in the well, F0 = pi * r0^2 * P0.
Text
Note
that force (4) is independent of velocity and the size of the gap.
Force depends on the ratio of the disk radius to the orifice radius.
|
Theory:
http://www.seykota.com/rm/model/model.htm
Data: http://www.seykota.com/rm/orifice/orifice.htm |
My mistgake lies in my declaring velocity constant
from r0 to R.
More to the point, we have relatively constant pressure
and density out beyond the active region, except for
a small gradient that motivates flow out of the device.
Inside the cavitation ring, we have a low u-shape for density
and pressure.
Since we have constant mass flux, pressure and density as the ring of
air expands, we have velocity inversely proportional
to radius.
Equation
4, that you call into question, follows from this error and has no particular meaning or
relevance - and stands in line for revision.

|
Low Pressure
In the Active Region
forms a cavitation ring
that levitates the disk.
As the fluid exits the active region
its pressure jumps to slightly above
ambient pressure.
Ro lies to the left; R to the right.
|

|
Hydraulic
Jump Appears
on the back of a dinner plate
under a kitchen faucet.
It does not require down-stream obstruction as some authors claim.
|
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Dec
15, 2017
Can't Talk to
Normal People
Ed,
I am a big fan of Trading the futures markets. I have been attempting
to be successful for three years.
I live in[City] I run a dumpster biz I just opened 6 months ago to stay
out of car biz and corporate BS and focus on myself and my trading
skills. My current area of mastery is trend trading under my mentor
[Name and Location].
Even being part of a trade school it is a lonely life. I too am a big
fan of music and I also believe we are in Assimilation of Govopoly but
at this point no one cares and I can’t talk to any normal person about
it because their mind is not on the concern.
I feel life mentorship from original smart people is hard to find these
days.
Happy Holidays.
Best,
|
Thank
you for sharing your process.
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Dec
14, 2017
Shoulding on
Others
Mr. Seykota, I have sent you a copy of the book I recommended you read.
Please read the first 3 chapters. If you gain some truth
which you can apply in your daily life then please let me know.
Reading and applying is critical.
The truth will add to your life.
The truth will bring you closer to the unity of the created we live in.
Yet the truth will humble us and thru humility we will create a vessel
that's open to truth wherever it can be found.
Seasons greetings , I am, sincerely.
You should
live and be well and I should only hear good news.
|
Thank
you for telling me what I should do in order to get to the Truth.
The word, "should," indicates obligation, duty, or correctness - and
predilection toward control-centric relating.
You might consider eliminating "should" from your vocabulary for a
while and then taking your feelings about <emotional
closeness> to Tribe as an entry point.
|
Dec
14, 2017
Queasy About
Winning
Ed,
I have a historical tendency toward mediocrity. I can win and
have a little success but I do not feel comfortable with consistent
winning or big leaps in success.
I start winning again recently. I start to feel a quesy
feeling in my head and stomach when I think of this most recent win
streak. Today I lose a little bit and the queasiness gives
way to other feelings. As I write this I feel a little relief.
In multiple areas in my life I win, feel success, then feel a
rejection of success which starts a downward spiral where I hit rock
bottom or give up, only to try to climb the mountain again and repeat
the process all over again.
I want to break this cycle, make allies with the feelings that come up
when I have some success, so that I don’t have to act out this drama
over and over again.
Thank you.
|
Thank
you for sharing your process.
You might consider taking your feelings about <winning>,
<losing> and <breaking the cycle> to Tribe
as entry points.
|
Dec
14, 2017
On the Wagon
- Noticing Forearms
Hi Ed,
I agree to not use any drugs or alcohol. Earlier I had strong feelings
and I had intense pressure on my head as when I first contact you and
start losing my hair a couple years ago and squeezing in my head. It
turns out it was a fever, but I think it is more than that.
The past couple of days I have felt very lethargic. I think I'm
suppressing anger and it's coming out as a couple years. I would get up
and certain times I would feel like crying and let out a couple years
but not very much, just little.
I find myself being really yeilding in trying to get people to like me
and it's sickening. Im just feeling very lethargic.
And when I contact you about the maid thing, I was watching a video
that my mom shared on our family chat showing my nephew in the car and
the turned the camera around and this maid was there and immediately I start to rub my forearms
together trying to get rid of whatever's holding me.
I hope I will be able to see you or get your assistance whenever strong
feelings start to come up.
|
Thank
you for sharing your process.
You might consider taking your feelings about <your
forearms> and about <holding back> to Tribe as
entry points.
|
Dec
13, 2017
Commodity /
Stock Ratio
Ed,
You might find this chart of interest.
|
Thank
you for sending me the chart.
|
Dec
13, 2017
What Has
Three Legs and Goes Around
Dear Ed,
I hope you have enjoyed 2017 and that the coming year finds you even
more joyous.
I want to share a photo that documents one of my joyful moments of
2017: the completion of a restoration of an old,
non-functioning windmill that sits on the property I have purchased as
my retirement home.
It was just overlooked and taken for granted, broken down and written
off, until a little spark ignited in my imagination that said, "How
cool would it be if that windmill could not only function, but serve a
purpose!"
The renovation process was more complicated than even the windmill guy
anticipated, but yesterday the top was finally installed and my
windmill is now pumping water to keep my swimmin' hole full!
No worrying about evaporation in the summer or overgrowth of algae,
thanks to a continuous influx of fresh, cold water driven by the
wind. And it is located where I can sit on my front porch and
enjoy the view, just as you see it here.
I am told it is unusually tall, and that the triangular base is also
rare now that most newer windmills sit on a four-sided base.
The whole thing, plus my impending retirement this year, feels so
incredibly special to me that I want to share it with you and your
readers.
I credit my experiences with the Trading Tribe for much of the personal
growth I have experienced in the past few years.
Thank you for being a part of my dreams coming true.

|
Pumping
Again
|
|
Thank
you for sharing your process and photo - and for applying and helping
to extend TTP - and for living your dream.
|
Dec
10, 2017
Evidently
Hi Ed,
According to the available data, Inflation is 2%, unemployment is 4.1%
and trending down. Evidently,
2008 bank bailout is working for the general public. Do
you think government intervention in a situation like this is necessary?
I wonder, what would happen if the government would not take any action.
|
Thank
you for raising this issue.
According to the available data, I play banjo on Friday - and - we have
no sightings of elephants roaming around in Austin Texas.
Evidently, playing banjo on Friday keeps elephants away.
|
Dec
10, 2017
Workshop
Hi Ed,
I would like to attend your early 2018 workshop.
Have a great Christmas and New Year.
|
Thank
you for expresing an interest.
|
Dec 7,
2017
Performance
Evaluation
Hi Cheif,
I recently run some simple EA crossover system test, selecting a stock
data as sample.
TC Parameter Setting:
(1)TC for Fast-EA: 15
(2)TC for Slow-EA: 50
Trading Rules:
(1)Entry Signal: If Fast-EA> Slow-EA, buy, entry price set as
50%*(Next day's Open price+ Nest day's High)
(2)Out Signal:
1, If Fast-EA< Slow-EA, Or
2, When holding days>7 days, and, the positon still show loss. Or
3, Whenever the positon show a +10% loss
Then Out, out price set as 50%*(Next day's Open price+ Nest day's Low)
My test resullt:
(1) The test shows 19 times to entry.
(2) The average return of all trades is +62.46%
(3) The average return decreases to 0.74% if I take the biggest
profitable out.
(3) Win/Ratio is 4/19 (21%)
My question:
Becasue the average return decreases from 62.46% to 0.74% if I take the
biggest profitable out, and ,Win/Ratio seems low, how would you evaluate the
performance of this simple system? And, could you provide me some
insight you get from such test result?
|
Thank
you for raising this issue.
You can run back tests to gain insights and you can use MAR,
Sharp Ratio, Sortino Ratio and the like to evaluate performance.
|
Dec 7,
2017
Multiple
Setups
Hi Ed,
I have been a fan for a long time.
Quick question about risk management, correlation and forex
pairs. Often times when looking for a set up I see multiple
set ups appear for the same currency vs. other currencies (gbp/aud,
gbp/nzd, gbp/cad).
When trend trading, if I was using position sizing of 2% per trade,
would you break it up into 1% per trade and trade 2 of those
pairs? Or would you take all of the trades? Or
would you just take the best one?
Any advice would help, thanks.
|
Thank
you for raising this issue.
You might consider taking your feelings about [designing and trading a
definite system - versus - trying to figure out what to do as you go]
to Tribe as an entry point.
|
Dec 7,
2017
TTP in Chinese
Hi Chief,
I read your book The
Trading Tribe, and now, it is my favorite book. It's a
guidebook for me to move toward righ livelihood. I begin to reread it
to go deeper into this book, at the same time, go deeper into myself.
Maybe you would say, "you might take your favorte feeling as an entry
point to a meeting",
but I accpet this feeling, maybe it would change in the future, which I
can not predict.
I just accpet it in NOW and i feel good for this feelings. It leads me
to think more on this book, which I think is the good side of this
"favorite" feeling.
Now I want to translate the book to Chinese, so my families can also
read it too.
It's so good a gift that I must share it to my families, I have 2
brothers and 2 sisters.
Not for commercial use, if you agree, when I finish the translation, I
would send it to you and you can post it on your website.
I think my translation might be very good, becasue your SVO-p
writing style makes it very easy.
Waiting for your reply if you provide me the permission to translate it
to Chinese, as my gift for my famalies.
Hope this email find you healthy and happy.
Best wishes form a young man living in China!
|
Thank
you for raising this issue.
Yes, you may translate The
Trading Tribe into Chinese so your family can read it.
Please distribute paper copies only.
Please send the digital version of your Chinese translation to me as I
may wish to process it further and then publish it.
You might consider re-translating your Chinese version back into
English (with translation software) to confirm the meaning remains
intact.
|
Dec 6,
2017
Swallowing
Money
Ed,
I check-in with you to see how you're doing. I share a recent success
of bringing in a new client. This is my first new client in a very long
time.
You ask how I attract this client, and my answer is, I do
nothing. The new client calls me completely unexpectedly.
Prior to
receiving the client call, I recall feeling confident and developing an
attitude of "if people want my services, fine, if not, that's fine
too". Previously, my habit is lots of hand-wringing and worrying about
"how I am ever going to find new clients?"
I feel distress that my success and feelings of confidence are only
temporary, and I fear a "return to the mean" of worrying about getting
new clients. Below is our dialog that follows, to the best of my
recollection:
You: Where is this feeling, physically?
Me: It's in my stomach.
You: Good. Can you tell me more about this feeling in your stomach?
Me: Sure. It feels like a ball. Not painful, just there.
You: What is this ball trying to tell you?
Me: I don't know.
You: What temperature is the ball?
Me: It's room temperature, not hot, not cold.
You: What color is the ball?
Me: Green. It's a green
ball.
You: How big is the ball?
Me: About the size of my fist.
You: Can you make the ball bigger?
Me: Yes.
You: Really get into that feeling.
I get into the room temperature, growing green ball stuck-in-my-stomach
feeling and I vividly
recall something that happens when I'm three years old.
I can see everything clearly, as if it's happening in real-time. I'm
alone and playing a game by myself. The game is: roll a penny down a
paper tube into my mouth. It just-so-happens I choose a tarnished-green
copper US penny for this game.
I have fun for several tries, rolling
the penny into my mouth, spitting it out, and doing it over again. On
the fifth roll, the
penny goes down my throat and gets stuck. I recall
feeling shock, fear, and a lot of discomfort. I swallow a bunch of
times, and still feel it in my throat, then eventually in my stomach.
As I type, I can still feel the sensation of the coin going down my
throat.
You ask who taught me this game. I say the toy clown bank. I
remember having a toy clown bank where you place a coin on the clown's
tongue and he swallows the coin.
You: This coin has been protecting you. It's been a silent sentry in
your stomach nearly your entire life.
Me: I never thought of that.
You: In all this time, it has been doing its job, protecting you,
without any acknowledgment. A silent soldier, showing up every day.
Would you like to say anything to your faithful sentry?
Me: Yes. Thank you for all your years of service, and I'm sorry, I
haven't even noticed you were there.
You: Great. Now what do you want to do with the coin?
Me: I would like to get rid of it.
You: OK, well how would you like to get rid of it?
Me: I'd like to make it infinitesimally small and pass the coin
You: Go ahead and make it small. Is it small?
Me: So tiny it cannot be seen.
You: When we’re done are you ready to pass the coin?
Me: Yes. I'm thankful
for the coin, and ready to let it go. I always
remember its lessons that protect me, from bringing in money that's not
appropriate, and from situations in which my services would not be a
good fit.
You: Is this new client appropriate?
Me: Absolutely. Without a doubt.
I feel grateful for my coin-sentry, and grateful for your observations
and deep caring and interest in working through the process with me.
Per your suggestion, I locate the actual bank, and attach a photo that
I plan on adding to my office wall.
The next day
I attend a social event and meet someone new who seems
very interested in what I do. We set a meeting to discuss Trend
Following 101.
Right now, I feel happy about where I am on my path to right
livelihood. It's not smooth sailing all the time, and it's definitely a
challenge: especially marketing. I love helping others and sharing my
talents for sticking to a profitable long-term trend following system.
It’s been five years since I started my firm and I’m happy to report
zero variance. I love digging deeper into my endless fascination for
computers, historical prices, risk management, markets, (and music!)
Again, thank you.
|
Thank
you for sharing your process and for documenting the work.
Note:
I conduct this session by telephone. I recall Hotseat
electing
not to "pass" the coin after all - and to "keep it around" to remind
him to accept only clients that fit with his trading strategy.
During the session, Hotseat operates in a mild trance state. He notes
his report as "to the best of my recollection."
This case illustrates how an aversion to "swallowing money" can easily
translate into an aversion to accepting new accounts.
Re-framing these feelings as due diligence during the client interview
can empower rather than inhibit his marketing function.
This session illustrates several TTP principles:
frame the issue as a physical sensation
(distress & worry --> ball in stomach);
validate and develop the feelings
(green; room temperature; size of fist);
locate the primary incident
(swallow coin);
notice the positive intention
(protection)
release with gratitude
(thank the sentry)
implement the learning
(accept appropriate-source money).
|
Dec 6,
2017
Wants to Work
on TSP
Hi Chief,
You reply "I wonder if you might like to help complete it."
Yes, I do like to help complete it. I do like to do something that
benefits me.
TSP, as you said in the website, is an opportunity for readers of FAQ
to participate in the design, verification, testing and implementation
of an actual trading system, from Ground up. In my mind, it is like a
on line workshop and I like it very much when I find it on your website.
I think, through following along with the evolution of the project, I
can master the basic skill and find some important details, which helps
me to develop my own system.
It seems that, in TSP, you briefly give a refined
introduction to every sub-project, like providing an entry point, and
then readers of FAQ participate to test and verify, executing the DIM
process in their own side.
Now, there is only titles of remaining sub-project, it seems that these
topic waiting for you to active.
I'm sure i will participate and help complete it together with other
participates once you providing an entry point to active them like
before.
Thanks.
|
Thank
you for sharing your process.
You may begin by picking one of the titles and writing something about
it.
|
Dec 6,
2017
Wants to Meet
Hi Ed,
Thank you for taking the time to reply to my message.
I am currently in Brazil, in Porto Alegre.
I am still very much interested in meeting you and learning from you as
well.
Let me know if there is any possibility to do so in the future.
Thank you
|
Thank
you for reaching out to me.
We can meet in person, briefly, if you ever visit Austin.
I can work with you on FAQ, for free and also privately. See Ground
Rules, above.
I do not how to do anything in the future.
Perhaps, in the ever-evolving moment of now we can make an agreement -
and then continue to keep that agreement in the now - until we meet,
according to that agreement.
|
Dec 5,
2017
Writing a
Book about Hedging
Hey, Ed,
Since I read about your story in Market Wizards, I've been thrilled
by
it. I have often read your website and find it fascinating how many
people you have helped.
I'm a little worried if you're okay,
because the last posts on your site are from the beginning of this
year. I hope it's all good.
From the viewpoints of trading
we have many points of contact. I also use the technical analysis a lot
for my trading decisions. What thrills me about your view of trading
from the very beginning is the point that you see trading and
psychology as an inseparable point. I share this view with you!
What
we still have in common is the point that I also try to pass on my
knowledge about trading to others. I am a trader here in Germany and
have been leading a group of IFTA here in Germany for a long time.
I am currently working on a book project. The book is about hedging.
I
have had the experience that many traders are afraid to make losses in
the markets. They then try to secure their positions with less
promising methods. However, this often does not lead to the desired
result. I would like to inform the traders about this. I would like to
point out when hedging makes sense and in which situation it is better
to use a stop.
I would be interested in your opinion on this
subject. I would be very happy if I could send you a few questions on
this topic and use your answers in my book. I wouldn't change your
answers, just have them translated. I assure you of that.
The
book is published by a well-known German publishing house, which also
holds the German rights for "Market Wizards" and publishes the book
there.
I would love to hear from you.
With best regards
|
Thank
you for sharing your process and for inviting me to answer questions
for your book.
On FAQ, I consider issues that appear in the lives of the FAQ readers.
You might consider, for your book, reaching out to someone else who has
a background in hedging.
|
Dec 1,
2017
Dear Ed,
Thanks for taking an interest. Such a simple question [I wonder if you can tell me,
specifically,
something
you would like to change about your trading.] and as I
pondered further, I couldn't come up with a simple answer, which is the
reason for my delayed response.
It
has come to my attention that although a lot of the data indicates I
should trust the system i built, I find myself sometimes not trusting the ups and downs of my trades,
which leads me to sometimes cut
my losses a bit too soon.
Psychologically, perhaps
I don't trust myself
sometimes. In my previous life, as a professional,
I've
somewhat succeeded in my career as a Software Architect, Project
Manager and College Professor, which I am still doing to pay the bills,
and it's there where I completely trust myself.
How can I
channel that confidence to my trading?
Is it just a matter of experience, which means I am at the mercy of
time? I remember when I first started learning C++ in school, I failed
a course called Data Structures, which teaches you all about the object
oriented features of C++, and binary trees, linked lists,
etc.
After I failed, I told myself I had to just
give it time and try it again, and put more time into it, which
eventually led me to passing that class, and giving me somewhat of a
template on how to approach problems, which is simply, putting in the
time, day in and day out.
I am convinced that
perhaps my challenge lies in my subconscious, which perhaps I need to
reprogram, as I have been doing, by listening to tapes with subliminal
messages, by Kelly Howell. Any suggestions would be greatly
appreciated.
Another quick mention, I read on one of Van
Tharp's sites that you wrote a trading system in Assembly
Language. I can't fathom how many countless hours that took,
especially since with Assembly Language you have to be extremely
meticulous about memory management.
Personally I
loved Assembly Language, I actually wrote a calculator program during
my time in school, and it was about 1200 lines
long! Such a
difference between that and C#. I just thought that was pretty cool.
All my best,
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Thank
you for sharing your process.
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Dec 1,
2017
Media Overload
Hello Ed,
In the recent weeks, I’ve paid a lot of attention to my physiological
and emotional reactions.
Also,
I have made a consious decision to limit consumption of news and media
“information”. I decided to spent not more than 30 minutes per week on
this.
Today, was my media day and after reading news for
about 20 minutes I felt angry, I was sweating and I had a minor
headache. When I was reading the news (I used three different sources)
I felt like everyone was trying to promote their narration
(interpretation of events), instead of delivering information. I felt
angry on three levels: one, for wasting my time on reading their false
and useless opinions. Two, for losing time and NOT receiving the actual
information. Three, for forcing me out of my zen mindset.
Here
is the question. It’s clear that consuming media has a negative effect
on me. At the same time I feel like quitting media 100% wouldn’t be
reasonable as I need access to the minimum amount of information.
Do
you have a suggestion how to acquire information about news, world
events and important political changes effectively (without unnecessary
emotional toll)?,
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Thank
you for sharing your process.
You might consider taking you feelings about <too much
information> to Tribe as an entry point.
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