How To Succeed At Trading For A Living ft. Moritz Czubatinski

welcoming god I think we're live sitting today once again in Taiwan with Moritz and Berlin what's going on words I'm good thank you thanks for anyway cool I think we also take a few seconds while people are joining us and if you guys join us coming to chat it's gonna be whatever sounds good it's gonna be in but that's gonna be useful to ask question and comment and we'll make sure to answer your question all the time throughout the lights we look at an interview as we do usually it's gonna be a follow-up interview cuz more responses in the podcast earlier but yeah to tell take a few second words maybe a minute to introduce yourself tell people what you do and what you're about in Europe these days all right so yeah I'm from Germany I'm 30 years old now and I've been trading for quite some time I'm running trade sighted come together with my business partner Rolf and we also run a Chuang calm which is a trading journal software and besides that I have been a day trader and right now I'm transitioning to swing trading and position trading because I need more time for myself my family my friends and our businesses we have tons of plans right now and I was living in Asia for seven years roughly and right now I'm I moved back to Germany because we are going to open an office location here and so I will be here for quite some time and I hope in the future I will live six months in alcohol and six months in Germany because we want to split our offices between those two cities and yeah I hope that works out so um people have got a background of the countries you've been going through and traveling to while having a job and while training so you've been I know you've been first I think to China which is not the best place to be when you want to trade or where work so I that like transition to in Asia well in China it was okay because back then when I was there most VPNs were still working right I mean you need a VPN but Dropbox wasn't blocked yet we were still working so it was a different world I mean now they blocked almost everything all the social media the search engines and so on so it's it's getting kind of tough but I still love China and I'm going back there often yeah any other places in Hong Kong I mean it's perfect but like speed internet and no problem at all with working and yeah but the best infrastructure I ever had in my whole life is of course here in Germany because everything is working 24/7 no problems at all yeah three big tradition no from Asia to Europe Eurasia but yeah love it we have a question here from Gregory see what's burglary what's your favorite book my favorite book on trading or Channel I guess I'm training yeah so a trading book and then it non trading book because that's gonna kind of vary a lot I guess all right so trading book there must be Edwards McGee it's based on Richard Shaw Bacchus work from 1929 is about classic chart patterns analysis of stock trends right that book is simply if you want to trade classic chart patterns and with a with a like they really present the whole topic in a very concise way and if you want to try classic chart patterns which still work today they embarrass your book and it's my all-time favorite on on on that topic or on trading and non trading book is how I set up one is changing all the time I read a new book one month and I think it's the best ever and then I read a new book after that and it's even better but I think if I had to choose it would probably be Atlas Shrugged by Ayn Rand or Fountainhead they're both both pretty much well link them below after that and so what we want to talk about is the m3 sells for that small talk about kind of uncommon to waste succeed in trading and it's good to want it like succeed in trading by reading about trend lines and patterns and stuff but I think there's much more to it much or behind if we don't necessarily talk about sometimes some mortgage is a big fan of productivity health and fitness and all these things are on that we can do to become better trader so I want to ask you first if we were to look I can say outside the technical trading or I said just charts what do you think would be the thing that helped you most to becoming profitable trader and trade full-time simply being organized and you you you start that with you can start slowly with to do lists like if you don't use to-do lists in my eyes you're you're doing a lot of things very wrong because as a trader you have to make a lot of decisions every day and if you get up in the morning and you still have to think about I'm gonna do this I'm gonna do that and so on then it takes a lot of your brain power away which is also one of the reasons for example why a lot of successful people wear the same clothes every day and because this decision fatigue right so I look at my checklist or my to-do list in the morning I have I use wonder list I have a category for each day of the week so today is Tuesday I look at my to-do list it tells me what to do and I do that and until I'm finished I follow it blindly right because it's a process I've refined over the years and it helps me save a lot of time it helps me use my brain for the more important things my whole trading is organized there when to look at which watchlist and went to scan which market and so on everything is in there and it makes my life way easier I can finish a lot more work in a much shorter amount of time and then I have free time right because structure time is just as important as unstructured time for creativity trading is also about creativity so if you want to start with being more productive start using a to-do list start slow just write down Monday scan the markets Tuesday scan the markets and then you add another point Monday after scanning the markets and to trades into your child and so on and you can do load builder process and refine it all the time and the cool thing is that let's do lists like you think I want you to do this you're gonna depend on what level you're at what you work on what business maybe you have but so if you are a beginning trader or let's say attorney was that possible what would have to be an easy Julius absolutely to be able to make progress and grow it would have to be training related first it depends on your trading style of course if you are day trader than session preparation first looking at the news that come out that day high impact news first then maybe do a meditation practice different session preparation things then trade after trading enter trades into your journal review stuff like that should be on your to-do list and the thing about the human brain is you get a dopamine fix every time you click something on your to-do list and a wood analysis nicely designed like that like you click on you click on an item and it makes ping and then it gives you this dopamine boost right and it just feels really good so the other cool thing about it is the fact that you get to develop kind of this I don't I want to say addiction but kind of this candidates are gonna sit like this mindset of focusing on like daily habits and things you do daily and I think the let people who want to succeed into anything they can do things daily and start to see results in the top right so it's not about like doing this one thing and then becoming profitable one day it's more about the daily things that you do right exactly that's up over time it's like when you do sports you just start slow and you build up and you build up and all these little things they will add up to make a huge impact on your bottom line and trading eventually definitely mm-hmm so tell us a little bit how it happens for you to become profitable and kind of what were the thing that you did before I don't talk about ID before a few times we hang out in Hong Kong exact ballot also but what are these things that you've kept doing over time become profitable definitely meditation that helped me a lot I do it two times a day 20 minutes I I started it then I stopped then I started it I didn't feel the immediate effects and so on and now I've been doing it for quite some time and it's just amazing like I had track it in my journal did I meditate today or not and the results are actually visible right so if I filter for I did meditate today and then I filter for all the training sessions that had the same market condition my results are much better if I meditated before a training session so that is really one huge impact on the bottom line and EDI Kota for example he's also a huge fan of meditation Paul Tudor Jones - I think they have cited in various interviews so that's really something you can do right now 10 minutes each morning or before you trade and it will have a positive effect not only on trading but also on your on your life in general besides that of course you have to use a trading journal that's like no trading journal no money I have met one trader in my life who is trading without a chill and making money but that's one out of thousands ok there's always an exception to the rule so you're not gonna be the exception right don't be arrogant so you need a trading channel but even that trader is doing something to review or to attract at some point no he's he's doing it in a very he's doing it in his in his mind of course he's reviewing his trades but he looks at the trades without writing down any notes right I think maybe yes a photographic memory I don't know how he does it works for him one of the things that really helped me to become better in trading it to like really fast in the time it took me to to improve is to yes like journal write things down but also to review every week or Vermont or very closer so I'm guessing you do that as well so what is your review process right now and how often what do you do but you look at their UI something how does that happen I I use some edge wonk my own product so I'm biased of course but this is based on yang yeah it's based on my own personal journal which I was using before so I'm very happy with the product and I used that for reviewing and I if I am day trading I refuse it after the session right after the session I directly and put my crates into hedge wrong I refute them I write down some notes about which which lessons I learned today we have a session function in each one so I can write down in the session of 19th January I learned these and these lessons da da da that's what I do after day trading and for my swing trading I do it once a week on the weekend I prepare for the next week and I also read through the last week because my positions they are like a few months so I only have to work on that trading style on the weekend and yeah just put your trades into your journal review them learn your lesson and maybe a just for the next session if there's anything and today we could do definite has in hedge wrong it's pretty cool it's pretty flexible as fast as you can write everything and see totally the same time that's pretty cool love it now I guess maybe you mean that session before where I like everything seems to go wrong like you have a really bad week and then you lose in most of your trade or let's say every trade that happens and some people in restitution right now so what would you tell them to do yeah I mean I'm in a situation right now too last week was a nightmare for stocks because I went along quite a few positions and they got clobbered I was saved by a few short positions so it's it's not that bad right but still it was frustrating of course and as trading oasis and what I do in situations like these is I talk to fellow traders how they have experienced that week it always like it always helps the to know that you're not alone in the boat a lot of people I talked to they got destroyed last week as well so I didn't do anything wrong yeah at least not much right and besides that I do review my journal I look at my equity curve and I look at the last 500 trades and I see a positive tendency or very nicely obscured curve and then I remember that the last 10 trades are really just a drop on the Unruh yeah in the barrel drop of water in the barrel is nothing right it's like just a small dent and really look at your whole trading history it's like nothing yeah and I've been in worse drones before it's just what what is most frustrating to me is the time right I don't really think in categories of money I think in categories of time which I also learned recently from from another trader who is doing as well and it's just frustrating to lose two or three weeks of time right don't don't really care about the money that's investing in it so if you have any question can't be doing the chat we want to make sure that or I think it's on the side why should we ask questions to Moritz because that's how you learn the most and the best that we have are always a wonderful ask questions are engaged in the comment and whatever topic we talk about and so I'm good to know about that topic you talked about thinking is in terms of time how did you start that and why do you do this is it good or bad er it started actually when I was playing poker I played poker a few years professionally and it started because in poker you really have to put in the time same like day trading six hours a day you just sit there and then the most frustrating thing to me was always you didn't make any progress today or even lost progress today if I lost money right in any other endeavor whatever effort you put in no matter how shitty that effort is you still make progress yeah but in training is like you can do everything right but you still are losing progress time and that that's how I started thinking about it and that was also the thing that was most frustrating to me I never really cared about the money I always care about is the thing I'm doing here does it make sense regarding to my time because I only have 80 years on his planet 90 if I'm lucky and I don't want to waste hours days weeks on something which doesn't give me any return right yeah that's pretty much the reason why I don't date rate because it takes too much time and I wouldn't be able to do everything I do if I were to date right yeah that's also the reason why I'm slowly moving away from it because the older you get the more valuable time becomes and while I loved it the last ten years I just love to sit in front of my computer and look at charts it's a passion is slowly painting and I'm becoming more interested in in longer term trading simply for for the reason also that my true passion has always been numbers and it doesn't really matter whether a day trade or swing trade I still get the numbers I can analyze I can correct myself and so on but with much less time effort and that's a cool kind of faster how do you think about going that transition of from day trading to swing today because the already swing created before right it's maybe gonna be more now so how do you plan to transition to swing trading well I will I'm still day trading from time to time now three days a week instead of five before and I created the strategy I followed the same process I followed when I was day trading I looked at the charts I looked at other traders were there I looked at my own book of tricks because obviously you can't do what everyone else is doing and then I started testing nice I created various strategies on different markets and back tested them put the trades into my journals saw what works and what didn't and slowly slowly created a strategy out of these things it took me two years roughly and then I started getting more and more traction in that trading style and then I tried it only three days instead of five days and I'm now doing swing trading position trading on the weekends where I prepare for the next week and slowly slowly I want to move all my assets into that trading style and the process is always the same so it's back testing reviewing the staff is going to always yeah yeah what would be your best tip for people who either don't have a session now they want to create something or they need to back this like ASAP to get the result to be conference trade get me what I would do is first look at as many trading strategies as possible but look at them not from a standpoint of how much money can I make with it or how much money is the Creator making with it but more like does this click with me does this make sense because then you can make progress much faster if it clicks with you you can trade a strategy much much easier and then you you take those rules from from the create or whatever and you're back test them and you see whether they work or not and if they don't work but you still like a system you make adjustments but you make them step-by-step right each 30 trades roughly that's the number from statistics after 30 trades roughly you get a meaningful sample size then you change one little thing you maybe use with different take profits or stop-loss strategy for example don't don't fiddle too much with the entries try to fix your trade management first and see whether you can create an edge out of that and then you just adjust to take profits first then you adjust your stop losses first and you slowly slowly create a strategy out of that which then will become your own after 500 600 700 trades and you measure something for interesting which is you take it from the creator and then you back this tip so why is that why wouldn't you like if someone shares it to you why would you trade it right it would live and go make desert money cuz I don't trust anyone not even my friends like I wouldn't trust him if they gave me a strategy and said yo this is the money printer mm say no way even if it was like I could see the equity curve I still have to see it for myself I can only trade a strategy if I trusted 100% and I can only trust it 100% if I did the tests myself and I looked at the results yeah I think you more simply said I think you just developed kind of a different mindset when you see your result and you know exactly what you've done the back and saying what happens and this is the only way to feel a hundred percent confident you can feel confident about something when you see other people doing it but you don't feel I don't think often it's yourself and that's like that's a big gap in trading exactly yes especially when you go into a drawdown yeah yeah exactly yeah speaking of your honor how do you I know them drones I handle them so what I do is when I have when I have a database of trades say 500 trades or so I look at the biggest roller on ahead during those 500 trades and then I also do Monte Carlo on those trades so basically what Monte Carlo does is reshuffle the trades in a random fashion so when you get a drawdown of $500 your maximum trod on the sequence of trades is never fixed it's totally random right so I reshuffle all the trades a thousand times with one the color you can do that in Excel with a bit of skill and then you get them the very likely most maximum drawdown in the future because as the saying goes you worst roll down is always in front of you and as long as I don't reach this Monte Carlo drawdown I keep trading right no problem for me and once I exceed that rotor which never happened yet but it might in the future I have a trading stop and I will review my strategy see what went wrong but until then I just keep trading and doing what I do yeah perfect quite pushing this chat is she has a video question comment below for sure and we'll make sure to answer them whatever you can learn from Morris or from me I think that's always good and there's a lot that you can ask for learning we'll do our best to help you out with that question here from Gregory what is your ideal setup my ideal setup that would be a strong uptrend then you get a flat top triangle it's a very reliable pattern and so a flat top triangle looks like you have a horizontal upper barrier and an up sloping trendline on the bottom of the pattern and you need three hits on the top three hits on trendline if it everything works out perfect and the upper barrier cannot be stepped too much so if it's very clean and then you get a nice breakout on high volume that's a very very reliable pattern and often it exceeds the chart pattern target by a lot so that is that is my favorite set up right now for swing trading and of course there are things that play into position sizing then if the stock has the company behind the stock has good sales and earnings numbers for example I would bet a bit more on that trade but that's basically my perfect set of Wynonna and how about for I could you apply the same thing to the first market or futures no yeah both forex and futures I trade patterns as well in a day trading strategy but is is different it's more proprietary in stocks you can basically trade if you have a criteria list which is very strict you can trade the patterns in vanilla conversion and still working right in Forex are in futures markets move differently and of course day trading the markets are much more efficient in my opinion you need to you need to adapt a bit different style and do something which not everyone is doing but basically it would be a strong drive up into a consolidation and then a break out of that consolidation so a little bit like a flag formation but more more filters and more and conditions apply question here from observer observer I'm having trouble is living my strategy I usually do well day trading in two maybe two days as a counter trend trader but I feel that using a single strategy is limiting my opportunities what do you comment on that so so you mean you want to have more trades yeah so that person is the only like one strategy right now and he feels like that be limiting is over due to trade because like you have less trades so how will you combine this okay cuz you choose only one thing or many strategies right now yeah so as a manual trader as a hand trader it's difficult trading multiple strategies in my opinion and because your brain will mix up a lot of stuff and especially if you are a visual trader you try to recognize patterns your brain will burn these patterns to go slowly into your lizard brain or whatever and will make it much easier for you to recognize a profitable patterns so that's the discretionary part and I think the discretionary part of day traders or many Oh traders is most often the part which makes them profitable right because if you were trading a hundred percent mechanical system you could just code it quickly and be done with it so you have to be very careful with trading multiple systems I can do it because I have traded my day trading system for many years and it's just second nature to me if you're just starting out stick with one strategy and stick to that until you have perfected it and then you can look at other areas as well I mean of course if you look at Harry Markowitz as books for example and portfolio creation more strategies is always better because you can achieve the same returns with lower draw downs also your equity curve would become much smoother but that is more for systemic traders algorithmic traders and for many traders one strategy is pretty much enough for 99% of people yeah and I was told by a trader who trades like credit could have big amount of money for other people that like the only trades one set up that's the only get trades but it's gonna treat it like on different time frame different instrument because it's much easier for him to just execute the same setup all the time it's like automatic all the time as opposed to having like all these things we set up like with the art side it's one with this is one with that and it's makes a whole mess so but I think that's what I prefer myself too but yeah you can go with two different paths I guess mmm that's actually a good point you can use one set up and try it on different time frames you can add diversification to your portfolio only by doing that that's actually a good point there I haven't thought about that yet yeah good ideas here awesome my head is pretty much fried right now cool it's awesome okay wonderful quite a question about volume the use volume in Forex as well or only in stocks now loading Forex I use it in stocks yes in stocks if I get a perfect pattern and a nice break out I don't care about the volume I use volume then for position servicing only if I get volume with the breakout I will bet bigger but I will still take the trade if I get a low volume breakout in forex simply for the known reasons decentralized market over-the-counter it's just it doesn't make sense in my opinion right I I have looked at different brokers their price feeds and their volume feeds and if you stick with a few of the big ones that was quite interesting actually because they had very similar volume and price patterns if you go to the smaller ones you're basically trading a you're basically trading a micro ecosystem people I want to hear that with what new productivity techniques and we talked about to do lists which are really helpful but how do you combine all these things you want like two companies a drunk and trade side B plus you have to trade you have to look at the chart how do you combine all this you have any trick for people become more productive yeah get up early get up at 5:00 a.m. like seriously it's one of the best things I've ever done in my life is to get up at 5:00 a.m. work until 2:00 p.m. and then everything you don't get done before 12 p.m. is useless anyway to me at least because I'm a morning person and you can get so much done in those three hours from 5:00 a.m. to 8:00 a.m. until other people wake up it's amazing I can get much more than that and during that time and I use a technique called Pomodoro which might be known to some people Pomodoro is Italian for tomato I think and basically what you do is you cut the tomato into four pea four quarters and then in productivity it looks like 25 minutes so you work for twenty or five minutes then five-minute break another twenty five minutes five minute break you do that four times you put a big fifteen minute break at the end and then you do that again that way you can one thing is really important and the negative effects of sitting so sitting is the new smoking right you can I'm still smoking though you get if you get up five minutes every twenty five minutes walk around and take a break the negative effects of sitting will be almost zero you can refresh your brain and you can you can then work more productive again after those twenty five minutes so after those five minute break so I use twelve Pomodoro so I work 12 times 25 minutes and I have to get everything done in those 12 slots anything else I don't get done in those 12 slots will be pushed to tomorrow so I need to be very very effective and efficient and that is another point you have to be very effective before you are efficient right because you can be very efficient at doing something which is useless so you first have to find out which things you do are the most effective and then do those in the most efficient way artful and that's the thing I've done a lot back home in Canada but not about traveling so it's interesting you bring it back up probably something else I have to permit myself yeah that's a really good idea I love it and how do you then schedule your training time and do you you can you just focus on trading or do you do something else on this side no when I'm trading I'm 100 percent in the charts like it's the only way it works I schedule my trading time well for for swing trading simply on Saturdays morning I get up I do my scans I do my watch list I do the watch this video for members and that's it for day trading I have to be there one hour for the New York open I only trade New York session these days I have to be there one hour before the New York open until London closed roughly and I only tried during that time nothing else so this is a good also good topic because you change time zones so and your nothing always forget the EU s open right yeah so how do you manage is when well I guess you just have to schedule to death right yeah the reason why I'm doing the u.s. session is because it's it's easier for me with time zones exactly that's the point when I'm in Asia it's evening 8:00 9:00 p.m. when I'm in Europe it's like 3:00 p.m. and I don't go to any other time zones so anywhere in between it's not a problem if I would move to America now then I would have a problem because depending on the coast I am I would have to get up at 5:00 a.m. or so which simply I can trade in the morning it doesn't work okay my brain is is I can't so I had to choose a trading session in the afternoon so I can get all my work done in the morning then I can relax and then I trade all right that's one of the main reasons why I chose the u.s. session cool cool I wanna get to something that like a bit more advanced some techniques that you have but before we have some effects what is your entry system and what timeframe do you recommend for I guess new traders or sparring traders mmm for new traders the the risk reward for day traders is quite low or quite high the risk is really high and the reward is very low so your risk being the time you put in and the rewards being that you've become profitable which is quite unrealistic especially if you have a day job as well like you work for the whole day and you come home at night you still need to trade 3-4 hours it's not gonna work especially if you still have a family and so on so for newer traders four hours daily that's the way to go that's what I think right and then you can also spend much more time for studying because that's what you should be doing in the beginning and you should spend much more time studying then trading and when you're day trading you just will spend a lot more time trading rather than studying which is a problem because there is no learning by doing in training you have to really do your homework what my entry what my entry stylus is basically I'm a breakout trader right with the trend when you see studying and becoming better what does that mean this is a thing you really get booked that mean watching videos does that mean picking up like Bloomberg and look at the news what is that mean that's lassen know Bloomberg no studying is research research about your own trading style in your journal reading books yes but only the good ones that that's quite hard in the beginning because you don't really know over the school there is that and there are a lot of shitty books out there I don't learn a lot these days from books I read most of them I only read the first 10 15 pages in trading and throw them away yeah but I think the most important studying you can do is research about your own strategy and your own trading style and play around with your journal like what would have happened if in the past I would always bet 1% on each trade what will happen if I always accident if the price went below the 20 moving average stuff like that just play around with your journal yeah yeah I think figure advice for sure love it if you have any other question comes in the chap and I keep repeating myself but that's super useful if you're not as immersed and it will make sure to answer into what look at your questions so what I want to go now is I know you've been doing longer than I've been training and so one goose to know it's like when you get to a certain level of experience how do you keep becoming better and making shoes on fall to be kind of average are they technically that you keep working on or things you keep doing or what does that look like make sure you keep growing and moving forward yeah for on an on a meta-level important is like a lot of people they become complex at once they hit profitability or become profitable they kind of stopped and some people did they feel and they stopped trading at some point challenge yeah yeah exactly you need to be it's a never-ending uphill battle that's trading simply right and for me the problem always was once I mastered a strategy and I found it to be profitable and I thought I felt like all right and now you can print money with this strategy I lost interest in it right because that was always my problem for anything I if I mastered something I would lose interest in it because I'm always here for the challenge and learning new I'm always curious what you have to keep doing is the framework you need to workout you need to eat sleep healthy and so on because all those things have a huge effect on your bottom line and it's it's a very fragile construct and if one thing has a problem then your trading will suffer a lot so if I mean let's be honest trading is a peak performance activity and you need to be at peak performance all the time or you simply cannot trade especially day trading so what I did with this problem I had of always wanting to master new stuff is that I simply got a friend on board who is an algorithmic trader and I'm telling him all the ideas I have test this test that and so on and let me know the results and of course he gets new ideas from me because he's purely and trading either algorithmic so he needs new ideas to feed his style all the time and I can test new ideas and learn new things about the market at the same time while still trading my old boring strategy that's all something I mean it's trying to do as well so it's addressing testing without you really I love it and are you gonna trade those things or is it just for purely fun we are definitely planning on moving more and more into algorithmic trading because my biggest passion has always been numbers data sets I wouldn't care whether it's a time series of the Apple stock or of guinea pigs mortality rate it's just interesting to see the correlations and insights you can get out of that and that has always been my biggest passion plus creativity I love thinking about new things and looking at the markets and testing stuff so that is definitely the biggest passion I have in trading so we are thinking about moving more and more in inter argue with no trading yeah interesting question here from observer so he's having ups and down in the trading I guess P&L he's asking what icon did you both started up with and have pulled out before you should work an account it depends on your depends on your cost of living right yeah do you have a family in which country do you live what is your style of living make a calculation I have a simple excel file where I have all my fixed costs I have my my monthly cost of living and everything is in there and then I simply look at what I need each month and then I back what engineer basically how much money I need how much returns I need to make each year on that money and then you double those numbers that's how you account that's very good advice love it yeah yeah because you don't want to end up at the month were like slush and the exact number you're on stuff and that nightmare yeah actually it specially here loosing month or whatever that's a good advice someone says zero is going down okay wonderful I have a short Anu I think but that's fine yeah that's great awesome so any other questions for Moritz you guys comment in the chat window should we answer you a question it's anything more it's oh that you would like to pass into people anything that they have to learn about or I would say what helped me the most in trading and in in my personal life where my professional life as well is I was always a perfectionist and that doesn't help at all so once I recognized that I have to stop being a perfectionist everything took off it was really amazing it's like just I'm pretty sure most of you have tried a diet before or try to be very consistent with one thing you started out you're highly motivated and then you stopped one day you fail one day everyone fails right and no one is a machine I mean just doesn't happen everyone fails and then you talk destroyed a perfect diet for example you dial it for 20 days you one day you go on a binge and you eat 500 marshmallows and then you you feel like you failed you destroy a perfect diet and you stop and that's exactly where you should keep going because everyone fails and real successes made the day after you up right so no one is perfect and don't be a perfectionist just keep going steady steady steady step-by-step and don't worry too much about little drawdown ups and downs and so on yeah that's one question I'm also definitely perfectionist and so I step off so myself too like before I was trying to find me perfect as you with the peak profit and we're not too fine but what's this kind of lower return that I made you gotta be more consistent yeah everything changed it's a different game and yeah exactly what part of like here he developed something in perfect profit which basically calculates the what how much profit you would make if you would enter exactly at the swing points and the best strategy is the best strategies are like capturing five ten fifteen percent of those moves in the market so there are billions to be made in the market but obviously but you will always only catch sure I capture a very small fraction of that you just have to be aware of that yeah and that's part of life in trading it gets cool the other day are you talking about this I've had the reverse a few weeks ago talking about the I think is a scenario optimizer or snow tester in a drunk I thought it was pretty cool can you tell people how that works and kind of what can you do with this well you can basically in a twank it it will extrapolate your performance into the future from your current performance and then you can see the expectation corridor so if you're trading with a two-to-one risk reward and a 50% win rate then that's that's I mean stellar strategy and then you put that into edge rank and it extrapolate into the future you can see that best case you will make $300,000 after 500 race worst case you will make $20,000 after 300 trades after 500 and then you it will be much easier for you to follow your plan because you know you that your expectation is somewhere between those in that corridor and will help you stick to your strategy I think that's that's brilliant and the other thing was talking about as well I think it's the if I think you'll see that what happens fix it a little bit later or a little bit earlier so that's pretty cool I think yeah you can you can test different strategies depending on the same exit so you can for example say what would have happened if in the past for all my trades so I would have exited it's too risky you or you can track any condition you want yeah and then see how that would affect your equity curve and at the same time you can also filter out trades for example by day of week or you can also create custom stats how you slept last night you can track anything you want and then try to find correlations between those patterns of course spurious correlations could be there too if you if you go a bit too crazy about it but a good thing I'm not h1 is that we put everything into a very clear and concise framework so we took care of that for you mostly that you don't track too many too much data and just data snooping right and you try to find correlations where there are none yeah so so with h1 you can look at your strategy and smooth now equity curve stop taking the bad traits see where you're leaking money take on in the better ones and that's what it's all about yeah it's really cool so doesn't know about at all but the video you want to go to s tronic I think OSU let me go back to it we will love it and you must have a discount code for a droid wanna grab it linked to me below maybe you can tell people what that's about a bit more what other features benefit why people should use a temperature No as opposed to a typical like exhale Journal yeah well everyone should use a journal we established that and then the point is that Roth and me we basically we put our own journals which have been time proven together and created edge won't go to that so really all the metrics all the statistics in each form they are designed to really improve your trading it's not some hocus pocus black magic voodoo it's just you look at the stats and you know where you are making money and you can save tons of time I mean developing your own Excel journal which is doable and I love Excel it's a great product you can do that but you can save a lot of time and at the same time I try steering you into the right direction when it comes to journaling because yeah there are millions of stats you can track in training many of them are quite useless so you have to find out yourself what stats you want to track or you simply come to us and have everything taken care of for you and you can concentrate on your trading and your journaling X instead of sitting a hundreds of hours in front of Excel yeah and it makes the whole process much clearer and much easier I think yes of course we have a trader development program as well which comes with a Chuang cliff if you want and it basically shows you how to integrate each one into your routine how to establish routine how to go about journaling all the concepts behind edge Wang so it will make you much more organized and in that regard more professional trader which will in itself also give you an edge over other people because 80% 90% of people out there they have so unorganized it's a nightmare yeah yeah I love it and that's gonna it you will have this forty to set things up be organized and hopefully survive the long term in trading so guys thank you though we have a discount role I think dtt 20 that we set up for as wrong so you guys want to have a good discount on that it's gonna be for the viewers of this video and their so this kind of also feel it's gonna be so if you watch this will no discount code let's keep it simple you have a knockout dtt 20 right Morris damnit degrees mathematics okay sorry you have a degree in mathematics I have a degree in philosophy yeah in philosophy there is some logic involved yep basically you have to take a class in logic which is the same class informatics people are taking or mathematicians and I also studied educational psychology on the side was a lot of statistics in there and from that site I realized that my passion is really about numbers so I got slowly into it I was even thinking about becoming an accountant for some time simply because I love working with Excel so much and of course but I think big data and algorithmic trading are a bit better paid than accounting especially because the counting would be taken over by AI soon anyway yeah yeah you have a say myself yes I think you want to have one yeah so I did a video about that couple days ago but what are the best and worst part of the Forks trader or trader in general lifestyle in your opinion the the worst part of the Forex trader lifestyle is the social life I would say like but that comes hand in hand right because you have a lot of freedom on here and you have a lot of freedom here but this freedom makes you become an like living alone and the other one the other freedom enables you to travel all around the world and be your own boss so those are really the best and the worst thing about trading if you can't have one without the other yeah yeah I can do discovery over time it's wrong voice address very interesting Theodore says what do you think of hedging hedging uh it's like what did that one guy say diversification is for idiots I don't know who said that but caching is for idiots - I mean I don't want to be a - insulting but if you why would you H if you if you if you are trading a stock portfolio okay and you are following the classic hedging theories okay there is some merit to it if you are Forex trader with a small account no I don't I don't see any merit to it yeah the thing is that Allah is edging have no stop-loss and they want to kind of balance things out everybody I should product your risk in different ways I think the edge foreign reason yeah I I was part of a trading group for some time which used hedging to circumvent the margin call which was interesting and worked quite well for some people but eventually the accounts got busted cool how can you won't find anything I'll connect with you or each other after the podcast and we have a lot going on so you can find me on Twitter so my twitter handle is stock TCM all written in together stop TCM or you can shoot me an email add more it's at h1 calm nice nice and EdgeWalk mail comes in a place where everything is this car about the software plus have a link is below cycling and that's that's gonna be good so any advice we like to leave people with I know it's been pretty 500-plus so now 55 minutes wow so any advice you have for people as the last advice always make sure that I'm I know it sounds like a cliche but if you are only in trading for the money it's not gonna work on the other hand there are so many careers in training that almost everyone can find something that fits their passion right if your passion is not being a day trader maybe your passion is being an analyst or whatever there are so many career paths in trading that if you are in it for the money better look for a career path inside of trading that fits your passions and you will do much better right kind of it but yeah so they say advice for like a different kind of see other job you would see in training apart from analyst there are so many men I mean you can you can also work as an accountant first for hedge funds anything you can become a prop trader you can work at the exchange you can work as an IT specialist and an edge fund you can do statistics big data there are so many options and yeah I know for many positions people say you need a master or a PhD or five years of experience but simply Coco it simply sent a money well tell them what you can do and scout for positions on the internets there are plenty of options yeah yeah and your recruiting that you get to learn from these people who do the trading whatever I throw at the same time marks like that for me in the challenge with are you here today thanks for having me that's great

Channel: Etienne Crete - Desire To TRADE

Views: 15,092

Keywords: desire to trade, forex trader traveling, forex, forex trader, Moritz Czubatinski, edgewonk, Trading For A Living, trading for a living forex, trading forex for a living, Succeed At Trading, succeed trading for a living, succeed forex trading, Ways To Succeed At Trading For A Living, Ways To Succeed At Trading, trading, forex trading, tradeciety, #hangoutsonair, Hangouts On Air, #hoa, how to trade for a living, edgewonk review, edgewonk vs trading journal spreadsheet

Id: aX5eJVtCj9U

Length: 56min 43sec (3403 seconds)

Published: Mon Mar 26 2018