Seven Deadly Sins- Pride, Humility, Conviction

Lust               Chastity

Gluttony        Temperance

Greed             Charity/Generosity

Sloth              Diligence

Wrath             Patience

Envy              Kindness


Obviously some of these don't really pertain to DayTrading but i'll go over the ones that i feel affects my thinking while trading.


Greed -

On hearing a remark from someone and the way she said the remark angered me because i knew for a fact she did not understand what i meant by me being greedy. On a 0-10 scale, i rate my greed at 2or3. Greed so far has affected how much profit i could have potentially gained, i have not lost money because of greed but i have lost potential profits. A much more dangerous greed that i see almost everyone makes is the greed of a very excessive or rapacious desire and pursuit of material possessions (Expensive cars, Brand name clothing). This kind of greed i rate a 7 on a 0-10scale. This type of greed is disastrous financially especially when most americans spend more than what they actually can afford/have leading to financial problems/credit card debt. We do need something to motivate us to work hard, it is not greed to reward yourself of material wealth for hard work. However, i believe it is excessive/greed to reward yourself if it is beyond your current capabilities to pay for it causing fights/strained relationships with others. A consequence of greedy activity may be inability to sustain any of the costs or burdens associated with that which has been or is being accumulated, leading to a backfire or destruction, whether of self or more generally.

As far as losses go, due to Syke's/Superman's/InvestorsLive's/successful trader's #1 rule: Cut losses quickly. My losses have been stuck to either the primary plan or the secondary plan i develop to risk a little bit more to see if the trend would change/i.e.. use another support level (which is a bad thing i need to cut out, but this at least gives me an oh shit point. If this point is breached, i get out without hesitation). I only see greed limiting my profit potential atm.


Pride -

My thought's on pride is that you can have pride but you have to acknowledge when you are wrong. Pride is not necessarily a bad thing like most people make it out that it is. Religions have it as a deadly sin but Aristotle and George Bernard Shaw see's pride as a virtue. I believe our thinking needs to be more refined to fully be able to use pride to our advantage. Religions teach humility to counter pride but i think how people were taught by the church tof view humility is also outdated and needs to be refined.

Humility is not a recognition of one's failings, but a rejection of morality. - Ayn Rand

When viewed as a virtue, pride in one's appearance and abilities is known as virtuous pride, greatness of soul or magnanimity, but when viewed as a vice it is often termed vanity or vainglory.

A more refined set of ideas i strong believe in are:

Kaizen (Japanese: means to continuous improvement): For a person to continuously improve themself, they have to acknowledge their faults/mistakes. First step in solving any problem is recognizing that there is one.

https://www.youtube.com/watch?v=VMqcLUqYqrs

Resilience: Instead of humility. Humility leads to obedience, excessive humility leads to excessive obedience which is prone to abuse. This can severely restrict individualism/free thought in my opinion. Humility as it seems from Christianity/Islam can also be viewed as a surrender/to be subjugated which is horrible when one seeks humility towards another human as it's prone to abuse. I say resiliency is better in times of difficulty because it seeks to be equal to whatever "human" force that is seeking to have you subjugated. You should have humility to GOD, but it does not mean you should have humility to the church or your religion, the church is NOT GOD and are a human organization that has the potential to abuse/subjugate it's followers. Ex: Iglesia ni Cristo in the Philippines practices bloc-voting. Mindless zombies with no brains to think for themselves and vote for the appropriate political candidates that benefits them instead of the church leaders. Cardinal Sin in the People Power Movement, has his mindless followers back up Cory Aquino that has very little political experience other than being married to her husband that was an equal to Ferdinand Marcos. State should have little influence on church, but church themselves should have little influence on state. The filipino masses needs to learn to think a little more in order to help themselves.


to be continued

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http://averagejoedaytradr.blogspot.jp
Ed Martin - From Warrior Trading





http://nikkoricoo.blogspot.jp/





http://derricktrades.blogspot.jp/

http://tradetheticker.blogspot.jp/

"Trading a ticker just because a setup is there unfortunately won't yield profitable results.

The best way to eliminate this problem is to only trade the stocks in play and keep an eye on them throughout the day. Stocks in play I define as having a catalyst for that particular day as well as valid trigger levels on the daily chart. If you abide by these simple criterion you will find your frequency of trading will drastically decrease and your potential for large winners will increase exponentially. Hence, why you see me trade very infrequently but jump on the big movers when the opportunity presents itself.

One thing to note is I never rely on any single indicator to determine my entry on a trade. However, I will use them all in conjunction to determine the direction of the imminent move. What I'm saying here is that I simply would not rely solely on the 9 EMA cross above Vwap for an entry. I personally prefer the price action to be above both the 9 and 20 EMA as well as the Vwap before entering. - Mike from Warrior Trading

to be continued...