{"id":40090,"date":"2015-06-14T00:22:54","date_gmt":"2015-06-14T07:22:54","guid":{"rendered":"https:\/\/brookstradingcourse.com\/?p=40090"},"modified":"2015-08-14T09:49:40","modified_gmt":"2015-08-14T16:49:40","slug":"how-did-you-develop-your-trading-edge","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/es\/ask-al\/how-did-you-develop-your-trading-edge\/","title":{"rendered":"Ask Al: How did you develop your trading edge?"},"content":{"rendered":"

BPA trading room Q&A: May 14, 2015<\/h2>\n

How did you develop your trading edge? (Plus follow up related comments by Al on topic a week later.)
\n Audio duration: 2min 49sec — Scroll down for images
<\/em><\/p>\n

 <\/p>\n

Audio transcript<\/h2>\n

Al’s most important trading edge<\/h3>\n

That is a question that I could talk about forever, and the single most important edge that I have, I think, is my ability to stay calm, and I\u2019m constantly thinking about how to structure trades. You hear me talk about selling in bull trends, buying in bear trends, because if the market is channeling and if the swings are big enough, and if the market\u2019s stair-stepping – pullbacks going beyond breakout points – you can do that. You also obviously hear me talking about trading with trend as well. And it does not matter to me whether I buy or sell, and whether it\u2019s against trend or with trend. All that matters to me is whether what I\u2019m doing makes sense.<\/p>\n

\"Ask<\/a><\/p>\n

Have I structured a trade that makes sense mathematically? Will I manage it correctly? And, I talk all day long about where stops are, and to me that\u2019s the single most important thing when trading. If you take a trade and it makes sense mathematically, and your stop is correct, the math is on your side, and that\u2019s the single best edge<\/a> that you have. So you see 8 or you see 9, that\u00a0you buy for any reason and stop down here and keep your fingers crossed, and then anywhere through here we\u2019re Always In long, you can see the stops, new breakouts—stop below here, new breakouts—stop below here.<\/p>\n

You buy for any reason and you just use the correct stop, and then once the trade goes your way, you decide how strong it is and whether you should remain in the trade and where you should take profits.<\/p>\n

Follow up edge comments 21 May, 2015
\nLetting trades go when trading edge diminished<\/h3>\n

\"Ask<\/a><\/p>\n

So what do Sell the Close<\/em> bulls do at this point?<\/p>\n

Usually, they get out below a bear bar. Sometimes, they\u2019ll get out even below a bull bar. So I think right now, everyone is flat. I chose not to buy this. I thought about it, but I did a lot of trading today and I was tired, so I\u2019m resistant. And if I\u2019m resistant I know I will not trade my best, I will not make my best decisions<\/a>. And I don\u2019t like to give anything back.<\/p>\n

So by the end of the day, a lot of times I\u2019m tired in the final hour, I become very selective, and I let trades go, trades that I would take earlier in the day when I\u2019m more alert, better able to maintain my attention, and better able to make clear, quick, confident decisions. And after six hours or so, I\u2019m just not as good as I was several hours ago.<\/p>\n

And that\u2019s okay. I mean, that\u2019s just a limitation of being a human. Especially now that I\u2019m getting old, I want to be careful. I\u2019m competing against computers and they do not get tired. They trade as well right now as they did six hours ago when the market opened. So whatever edge I had over the computers is less, and it may not even be an edge right now, and I only want to trade when I\u2019m confident that I have a good edge.<\/p>\n

Al Brooks<\/em><\/p>\n

Information on Al’s Online day trading room<\/a><\/p>\n

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BPA trading room Q&A: May 14, 2015 How did you develop your trading edge? (Plus follow up related comments by Al on topic a week later.) Audio duration: 2min 49sec — Scroll down for images   Audio transcript Al’s most important trading edge That is a question that I could talk about forever, and the […]<\/p>\n","protected":false},"author":6,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[159],"tags":[],"class_list":{"0":"post-40090","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-ask-al","7":"entry","8":"has-post-thumbnail","9":"override"},"featured_image_src":null,"author_info":{"display_name":"BTC Admin","author_link":"https:\/\/www.brookstradingcourse.com\/es\/author\/richardhk\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/40090","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/comments?post=40090"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/posts\/40090\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/media?parent=40090"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/categories?post=40090"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/es\/wp-json\/wp\/v2\/tags?post=40090"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}