Trader Quote # 21Posted: October 29, 2012
Trader Quote # 21
The Great Sun Tzu 5 Steps for War (Trading)
Trading Sun Tzu -“Military Method, we have,
2. Estimation of Quantity
4. Balancing of Chances;
5. Victory.” Sun Tzu
==== Definitely One of the Best Quotes for Trading – Simple & Beautiful! . For those that don’t have a trading plan, look no further! Lolz 🙂 . This is a 5 Step Process for Trading and more!
1. Measurement – I would see it as to complete beforehand all your technical & fundamental analysis in the Monthly, Weekly , Daily, 4 hrs, 1hrs ,30 min Time-frames to see the big picture , the “conditions of the battlefield”.
2. Estimation of Quantity – How many Troops will you deploy , where & why? Great money management is the key here. Money management as a per troop basis is a great way to “see” and “feel” your risk. This must be thought before the battle begins and used when the battle is fought!
3.Calculation – For me it is the entry / exit strategy to implement (setups). When is the most favorable moment to deploy your troops, if you know what I mean?
4. Balance of chances – Sounds similar but different in my eyes, I would ask myself if the probabilities are on my side. This is where I would do a Probability chart study analysis.
5. Victory – Love this One! Because you would think Victory is translated to Profit?!. To me Victory is to fully following your System Plan even if it results in a pre-calculated loss! Enjoy. Dimitri Feria ====
What do you think? What do this quote mean for you? Any comment or experiences you would like to share?