Dollarbilltraders

[DayTradingRauf (DTR) @daytradingrauf]

Stop over complicating DAILY BIAS, here are the exact steps you should be following.

• Understanding daily candle closures.

THREAD 🧵

[Dollarbilltraders @dollarbilltrade]

Trading tip 💡

[Ai Business Journal @ArchieIntel]

BREAKING: 🇺🇸 US inflation falls to 3.3%, lower than expectations.

[Dollarbilltraders @dollarbilltrade]

10 Rules for Successful Trading

[The Factor Report @PeterLBrandt]

In my day (realizing I am a dinosaur) I was a trader for the most successful pure commodity futures prop shop in history. Wiki Commodities Corporation for background. We were NOT charged an upfront or monthly fee. In fact, we were paid to manage CC assets. Some traders received a negotiated monthly flat income, others were paid a % of the assigned assets. In addition, we received 15% of net accrued "high-ground" profits, determined quarterly. REPEAT - the prop firm paid us, we did not pay the prop firm. Some traders housed at CC's headquarters in New Jersey. Many of of had our own offices and were responsible for our own office expenses, including exchange price data flow. We had to use CC's brokerage network. We could trade anyway we wanted. We could trade any futures contract or major/major forex cross we wanted. We were NOT allowed to go on margin call either intraday or overnight without permission prior. We all had drawdown limits -- 37.5% peak to valley was typical, that if hit triggered an account freeze until reviewed by management. My max DD was less than 10% if I remember correct. We had rolling performance standards to be met: 15% compound avg annual ROR for most recent three years 17.0% avg for most recent four years, 19.1% annual compound for most recent five years. Of course, the challenge was to qualify for funding. This involved an interview, a comprehensive application spelling out trading approach, risk management protocol, etc. Also, CC wanted monthly performance data for previous two years as proof of profitable trading history. If accepted, the Trader Evaluation Program would allocated $35,000 in capital. When profitable according to Net Historical Wealth Ratio formula we were eligible for ramped up funding. I think at the peak prior to CC being sold to Goldman Sachs my max funding was around $5 million. This is was a REAL PROP TRADING FIRM SHOULD LOOK LIKE. YOU DO NOT LOOK LIKE THAT

[Bloomberg Markets @markets]

China’s central bank held a key interest rate steady on Monday while still pumping more cash into the financial system, bucking expectations that it would cut borrowing costs to support the economy https://t.co/vb0tuTxPC3

[Dollarbilltraders @dollarbilltrade]

10. "Look first. Then leap."

Always chart out your entry point, stop loss, and profit target before entering a trade. Ask yourself: How much risk am I willing to take for how much profit?

[Dollarbilltraders @dollarbilltrade]

8. Avoid speculation.

Never trade based on speculation or emotion. Never buy or sell an asset because of fear (whether fear of a market crash or fear of missing out on a huge rally).

[Dollarbilltraders @dollarbilltrade]

9. Learn how to use your charting platform.

One of the best things I ever did to master my charting was to spend a few weeks doing nothing but just learning all the features on trading platforms like MetaTrader 4&5, Trading View & C-Trader.

[Dollarbilltraders @dollarbilltrade]

7. Track your assets.

Employ some kind of a method for tracking your performance. Even though it's time-consuming, I use a spreadsheet.

[Dollarbilltraders @dollarbilltrade]

10 Rules for Successful Trading

[Dollarbilltraders @dollarbilltrade]

6. Keep a journal.

This one is very important. Whenever I learn something new about trading, I write it down in a trading notebook. Whenever I make a mistake, I write down what went wrong and what I learned from the mistake.

[Dollarbilltraders @dollarbilltrade]

5. Be humble.

Check your ego at the door. It does not matter if you're right. The only thing that matters is your money. Never stay in a trade because you don't want to admit that you were wrong.

[Dollarbilltraders @dollarbilltrade]

Other risk management strategies include: limiting the amount of margin you use, only risking a certain % of your portfolio on any given trade& diversifying your portfolio.

[Dollarbilltraders @dollarbilltrade]

4. Manage risk.

Preserving your capital is necessary to stay in the game, so you need to manage risk. No matter how good your charting may be, some of your trades will go against you and will need to get out.

[Dollarbilltraders @dollarbilltrade]

3. Find a trading mentor.

Find someone who is more experienced than you and learn from them. It's important to find someone who is trustworthy, competent & willing to critique your trading ideas.

[Dollarbilltraders @dollarbilltrade]

2. Develop a trading plan.

Write out your trading plan step-by-step and follow it every time. If you don't do this, you won't be consistently profitable in the long term. Never trade on a whim, even if you fear missing out on a big move.

[Dollarbilltraders @dollarbilltrade]

- Learn the basics of Technical Analysis. For this part I read "Technical Analysis of the Financial Markets" by John Murphy.

- Learn the basics of Macroeconomics & Microeconomics. This part is important for understanding the big picture.

[Dollarbilltraders @dollarbilltrade]

1. Study.

Learn how financial markets work. Years ago I took courses on the financial markets. It really helped reinforce what I already knew, taught me new stuff and solidified my confidence in understanding how the financial markets work.

[Dollarbilltraders @dollarbilltrade]

“Stay determined – not impatient nor discouraged – and with repeated trial and error, you’re bound to reach a splendid outcome eventually.” 

— Koro Sensei