Jaroslav Kohout
Trading Techniques To Become More Profitable Trader Introduction
In this blog post, we will summarize trading techniques to become a more profitable trader. This will be a collection of the YouTube videos we have posted for the trading community. As traders, we always want to improve. By choosing this career, you are effectively saying: “it is my job to learn every day and there is no way around it”. Also, the best experience is the one we have been exposed to with our own skin. Yes, we can learn from the experience of others but it is never the same. It never has the depth of the hard-earned lesson. So in this blog, we will use the experience of the traders from the trading floor, but I want you to really stress test those ideas and tips yourself. Question them! Ask yourself, if this is true in your own trading. We will help you with that by using the questioning framework.
Also, check out similar tips not only from this post but also from previous posts such as Fix The Root Cause Of Your Trading Mistakes or Brief Nuggets Of Trading Wisdom – Trade Considerations.
The Questioning Framework
For this blog post to have a more meaningful impact, we will define a goal first. The goal is simple. After the highlights from the videos below, there will be a set of questions that I want you to answer. The main objective will be the work on your side. Sitting with these questions might give you more value, than just watching the videos down below. But first things first.
There is an old wise saying that “questions are the answers”. Since we want you to take as much as possible from this post, do not take only the defined questions but incorporate the questioning framework in your process. What does it mean to do so? On a regular basis, look at everything related to trading and create a question out of that. Have you been doing similar mistakes repeatedly? Ask yourself what would prevent you to stop doing so. Are your losers bigger than your winners, ask yourself how you can reverse that? Have you seen recently a piece of news that had an impact on the markets, ask yourself how you can be prepared next time similar news hits the wires. This is the questioning framework. A reverse-engineered process for observed reality.
Let’s get started.
Tips For Overtrading
Trading Tips Highlights
In this video, Isaac walks us through the tips about overtrading with his trading colleague from the trading floor. They both summarize several key aspects to overtrading.
The main message:
- understand your state – are you bored, you might be more prone to over-trading
- prep yourself in the highest quality possible – lack of prep might lead to the impulsive type of trades
- wait for windows of increased volumes – new flows can unlock more opportunities (Bonds cash open, Bonds Auctions, Cash Opens, Speakers time windows, News, etc.)
- trust the order-flow – what does tape tell you in quiet times in comparison to other times when you felt tape is giving you what you want (moves in your direction with good health)
- increase selectivity – avoid false positives or poor expectations of the moves by understanding what the current moves are capable of, E.g. are they capable of moving as far as you would like
- create a checklist of “activation criteria” – when you feel you are making trades out of boredom, create a checklist for yourself to highlight “activation” criteria you are waiting for, and don’t touch your trades unless those criteria are met.
Trading Questions
Key questions to ask yourself:
- When waiting in more quiet periods, what are your “activation” criteria?
- How does the order-flow that activates your conviction looks like?
- Do you know the specific times when new flows of money are unlocked during the day, every day?
- How do you identify on a daily basis, what state of mind are you?
Read and digest these questions. Let them sink, leave some time before answering them. Then come back and write the answers.
What Professional Traders Do And Losing Traders Don’t
What is the difference between a professional trader and a losing trader? Apart from the obvious traits like discipline and patience, there are several key differentiating factors.
First of all, they don’t trade just the pattern, but the pattern within the situation. Based on that situation, they understand what pattern to use and how to attack the market. They also don’t try to predict high or low, leave that to the ego. They try to trade the meat of the move where chances are skewed on their side and low or high has been established.
Last, but not least, they know when to push with size! They understand their conviction setups and get big on them. Now, ask yourself a question: can I improve on any of these points? Let us know what you think in the comment section below.
Trading Questions
Key questions to ask yourself:
- Are you consistently trying to pick low or high of the day? If so, why is that? Does your stats support you have an edge in doing so and not just occasional luck catching the V reversal move and getting dopamine spike?
- On highly asymmetric moves, do you put your max size? What are your most asymmetric setups? What do you do to get better at them?
- Do you know when to trade which pattern? Can you tell the difference between the more favorable time and the less favorable time for a technical pattern?
Final Recommendation For Trading Questions
This exercise is all in your hands. The reason why is the questioning framework important is that it forces you to constantly challenge yourself. You can implement these questions or any questions that make you a better trader into your intraday, daily, weekly routines. Having a conscious time to think deeply about your process makes you a better trader, in the long run, so keep it up.
Don’t forget to check out articles you might also like:
- Trading Psychology: How To Develop The Skill of Discipline | Axia Futures
- How To Deal With Missed Trading Opportunities – Trading Psychology | Axia Futures
- Trading Psychology: Why Top Traders Embrace Pressure | Axia Futures
If you like our content and would like to improve your game, definitely check one of our courses that teach you all the techniques presented by AXIA traders from a market profile, footprint, or order-flow. If you are someone who likes to trade the news, we have a great central bank course. And if you are really serious about your future trading career, consider taking AXIA’s 6-Week Intensive High-Performance Trading Course.
Trade well.
JK
