The #1 HIDDEN Trading Mistake (Not what you think)

have you ever learned a trading strategy or technique from an online Guru felt super excited about it and then have it completely fail when you try it perhaps even worse that exciting new Guru strategy May in fact have racked up more painful losses for you now the reality is that most strategies and techniques taught by supposed trading girls have zero Edge in the real world but what you may not know is that even those that do have Edge and they're out there if you know where to look for them those strategies will still lose you money if you're not aware of the number one hidden trading mistake this mistake is responsible for more losses that we can count and we'd estimate that the vast majority of independent Traders are regularly making it what's more if you don't stop making it it's virtually impossible to become consistently profitable so don't miss this crucial video from a proprietary desk in New York City [Music] Garrett one of the Traders on the desk and I um have been talking about this topic for a while mainly as we've started to add plays to our Playbook um things that we learned from other traders in the desk there is this this idea that that really this is a hidden trading mistake that I know we've made um I also know that that it's probably made by more Traders than we think um so we thought it was really important to bring this topic to light and to share it with you guys today so Garrett and I are going to have a little bit more of a relaxed conversation than we typically do about this stuff but there are points that we really want to make sure we hit home here what we've seen is as we try and build our playbooks whether it's for New Market regimes or different environments or really just enhance our capability to execute on the opportunities we're provided each day um what we've seen in the number one mistake that that is commonly made that really people don't even realize they're making um is learning the setup is just not enough you know you think okay I'm gonna learn this new setup and I'm going to be able to execute it I understand exactly you know the basis of the setup maybe you've learned it or you've discovered it or you've learned it from somebody else um the reality is when that occurs a lot of times you actually won't make money doing what somebody else has has already done has that been your experience Garrett yeah I mean I think the key to what you just said is that it's not enough right like it's it doesn't mean their setup's bad it doesn't mean it doesn't work but there's a lot more that goes into getting great at trading a setup AKA making money than just like hearing about a play and understanding sort of like okay like I'm gonna buy wedge breakouts now or you know whatever it is yep and that's the thing it it really is kind of a universal idea um you know some of the setups we talk about on the desk are as simple as a wedge breakout and and it's really easy to say I know exactly what to do but unless you kind of taken it a little bit further which are the steps that we'll make sure to cover in this video how we take those things further um you know we don't like to just lay out a mistake and say it's a mistake we actually want to talk through how are we doing this on the desk what are the steps that we're taking the concrete steps that we take every time we learn a new new trade setup and what's our process for making it our own so that we can ultimately be making money consistently with that setup um you know we've really seen Trader after trader kind of just take rip after rip after rip after they've learned um setups you know just because technically you understand it doesn't really make it a good setup for you um a lot of times what you're missing is actually the context around that setup and and we have a process for how we're going to lay out that that that context how we're going to identify the opportunities that are really the best for you um and so I'm I'm excited to kind of get into this and see if you want to learn three real world setups that our professional Traders use including the simple but highly effective setup that we teach all of our new Traders and the setup that turned one of our Traders into a seven figure big money earner check out the free online trading Workshop that we're currently running this is a hundred percent free intensive Workshop where you're going to learn more in a couple of hours than from years of online education so don't miss it a couple ways that we want to preface this entire conversation um we we do understand that that there are the term furu has been thrown around a lot there are people out there who really don't have Edge in what they're trading um you know it's it's sad that that you know they're able to build a following and be able to articulate an idea that makes sense but at the end of the day they don't have Edge in what they're doing we're not talking about those those Traders today what we're talking about is truly traders who have established track records they understand the context of the of the trade that they're making they understand the setup that they're making and and they've proven that they can make money consistently doing that um learning a good setup from a good Trader who actually makes money in that setup um oftentimes actually it's still not enough for people to just adopt what the other person's doing and and you know it's really easy to try and do what the other person's doing and consistently lose money or even just not really make a lot of money doing what the other person's doing um it's just super easy to trade the right setup the wrong way um you know what are some times that you what are some ways that you can think of that we would you would trade the right set up the wrong way well I mean like every single setup is easy to trade the wrong way right because like a lot of the times when you learn a setup it comes with this like this huge point of okay like when do I trade this setup right like that's that's bigger than most people think in fact it's probably more important than the setup itself right so it's like when do I trade and then even if I'm trading in like the best situation ever how do I trade it yeah like where do I put it into the position yeah when you enter the position what sort of price action could go in your favor and what's acceptable for it to give you the Clue the indication that that setup is broken that you actually have something else that you that you that's presenting itself um exactly to your point you know where do I move my stop when do I move my Stop Those are context questions in in a lot of situations um you know and the reality is we're talking less and less on this about scalping because scalping tends to be more cut and dry there tends to be more um you know kind of you understand exactly what should happen in that trade that tends to be the most concrete amount of information um there are scalps that will require a lot more of the Finesse and things like that um a lot more understanding of the context but really if you have the context of a very specific scalp and and we've talked about this a lot lately actually on the desk even in scalping you're looking for four or five checks in your favor even before you have a scalp so when we're talking about what we're talking about today it's not necessarily about scalping which is more rules based and much more about anything that's that's outside of that so move to move trades trade to hold trades those are the things that when you enter the position you typically have the least amount of information about how the trade is going to play out and you really do have to adjust your strategy a little bit depending on how the trade is playing out so that's that's an easy mistake to make of I understand what to do I don't understand the context around why I'm doing it and therefore I don't understand really how to do what I need to do in order to make a lot of money in this trade yeah and I think the key something that we're going to cover here is the process between learning about a setup and then getting great at it right and it's actually no different than any other skill like if you're a basketball player and you're working on your game and your coach shows you a spin move right so now you know like he teaches you the footwork you know he says this is to beat your man and score a point like now you know okay technically I know how to do a spin move right but does that mean that I've practiced it enough to know exactly how that footwork feels to me exactly when to apply it like in terms of what does the defender have to show me in order to beat them and and to get to the hole do I pull up for jump shot after it works or do I go all the way to the rack like these are it's it's really no different right so it's like a lot of people with trading I think for some reason they just think it's like oh someone told me something and now now I've got the key right but there's process and that's the interesting thing you know we're fortunate on our desk but I think in the community there are some amazing Traders out there who are willing to share their Edge um but it's really tough to just take exactly what they did and to Garrett's point it's really tough to just learn it and say I got it we're good let's let's roll with it because the end result is ultimately you lose money and and that that can be a very painful lesson it's not I'm missing a shot or I get a shot blocked it's you're losing money that's a painful painful lesson so here's the cycle of trade development uh we've come up with for our desk so you know the first step is observe you really want to observe what's working and and ideally reach out to the people that are trading well understand what setup is working for them understand where their Edge is coming from you know ask them questions about about that and just observe what they're doing you know the observational part of all this is a huge First Step because you really do have to observe what is working um that's that's before anything else it would be like watching film and seeing Oh that spin moves working like okay I I've observed that that is working I've observed that in the market in our in our case so then you get to the next step yeah learning I mean in a way this this is part of every step but once you observe something that that works I mean you've got to go you gotta go talk to people right you gotta go like if you see someone do something that's great that interests you like one of the best ways to learn is just to go go up and ask them or write them an email or however you can start a conversation I mean for me like I always have at least one person most of the time multiple people who I'm talking to at once um in any given like time period like like week or a month about a specific setup and this isn't just about the market like what do you think about the market it's like we are discussing this very specific setup almost every day and that learn that's where a lot of that learning comes in and and we've talked about it a ton on the desk and there's a ton of research about it different people learn a little differently so maybe somebody just wants to journal about it every day maybe somebody wants to talk with other Traders about it every day maybe somebody just wants to watch tape on it every day um you know maybe somebody just wants to visualize it every day those are all different ways to learn but you really do that's where that that skill that you bring as an individual of I know I learned really quickly by getting these reps in um matters the most important thing though is you have to be getting the Reps in to get the learning it has to be a habit um which the reason why is because this feeds into our next next part of the the cycle of trade development the next part is is your ability to filter right so you've observed this this this setup you've learned about this setup now you have to filter yeah and really what that means is figuring out within the setup that you like that you've learned about um where where do I really want to apply this like how do I get into the best situations and how do I remove all of the unfavorable situations because every setup has these things in fact some setups will work in an entire Market regime and then not work in an entire other Market regime so you might you might have a great setup in your playbook that you don't even trade for a whole year and I know that a lot of people are going through that right now because we're in such a different regime than we were you know last year so filtering is like asking the ques for me it's asking the question how do I put myself in the best situations with this setup and how do I eliminate all of those unfavorable situations and for me it's more actually the inverse of that I I ask myself the question how do I eliminate the unfavorable situations you know any any card and we've talked about this a lot especially with Lance on our desk is you know if you look at the expectancy of all the hands in in poker you know your expectancy looks like this it's basically flat and then almost vertical and so the way I approach this and and it's different for different Traders which is why it's nice we're having this dialogue but it's different for different Traders because you know I think about how do I eliminate all of those like slightly positive expectancies and just like cut it off at some point so my filtering process is entirely about cutting off everything that doesn't work or isn't like a plus first and then just let that last little bit be there where Garrett's doing it a different approach which is actually really good good which is how do I identify what those other those things are and then I'll work backwards from there so there isn't really a right way to do it but there's a right way for you probably to do it and and that's a bit of your personality as well um once you've observed learned and then done a lot of filtering um that's the first time you can start to adopt a setup and make it your own so you know Garrett's actually done this recently and and that's what sort of inspired the video so help us understand a little bit about how you're adopting what you've observed learned and then and then filtered yeah so you know once I'm once I'm identifying the situations that I want to be in and and the bad trades right and we kind of understand like how how we want to apply the setup then there's this whole question of like how do I trade it right because once I'm there right like once I'm on the court I gotta know exactly what to do and so there's a lot of um for me a lot of studying of like how do these moves usually work like how do how do the stocks act when when it's working how should they be acting where should they trade where should they not trade how quickly should they trade what do these moves look like and so that gives me a very good framework of how I want to trade it where do I want to put my stop um where are my targets just in terms of the idea of risk reward and and so from there you know you can start trading it right so when you adopted that's you're you're starting to trade it and the learning process doesn't necessarily stop there but now at least you have a much better handle on um you know what you're doing before you start like putting Capital to work and that's where we kind of think about it like um you know you put another tool in your toolbox or whatever it is it's it's just you understand the situations that you will use that and once you've understood the situations then you can go to the market and you feel a little more armed with oh this situation is presented to me today great that's an opportunity I've now adopted this into my playbook you know I have another thing that I can do that I know has some Edge I filtered out the times that that the edge is not going to be present I've been able to filter and find those times where the edge is actually very present and I can start to put that Capital to risk I can start to make that trade I can adopt that as a part of my playbook so when it's presented to me I have something to do there it really becomes a tremendous opportunity but on our desk and and really kind of this if we go back to that like grow grow grow Boop um kind of approach a lot of it comes in the adopt and advanced part and and Advance is is really the next goal of any of the Traders on our desk you know if you've adopted something you're consistently profitable with it there's still this huge step that you can take and and that's to advance the strategy and so Garrett's going to share a little bit about how he's working to advance that strategy right now yeah so I mean once it once you have a setup that's working I mean the question becomes right like how do I do this bigger how do I make more money doing this how do I do it more you know there might not be an answer for that but if there is you should find it right so so for me those are the questions I'm asking myself at that point um and then you know you're kind of revisiting all these previous questions seeing if you can do any of them better um and then you know you're you're sort of reverse engineering trades right like you see a really great trade I think a great exercise for me is something that that really helps me is just taking a trade in reverse engineering it and being like how could I have made um you know twice as much as I did like what were the the simplest easiest changes I could have made that would have Amplified this trade for me but again we're not trying to do that until it's already adopted until you're already seeing the consistency with it if you try and do that too early in the process you're actually probably going to miss the point of that initial trade if you're trying to get too perfect and think how can I make more money um you're just jumping ahead and really the goal is consistency and that that's with traders that are developing on our desk that's whenever you bring a new trade into your playbook the goal is consistency first because if you have consistency then you can build and almost every time there's a way to actually magnify your reward potential in the right situations Without Really increasing your risk but you need the consistency first in order to do that so now we're going to go through a quick example um to kind of show how these these all come into play so um you know Garrett was nice enough to put together this idea you know I'm taught to buy a wedge breakout from my favorite Trader who I know has Edge in buying wedge breakouts that's what he does and and he told me um you know Hey listen just traded wedge breakouts and you'll be great um I'm successful doing it so so you should do the same um you know the first question question is well I've been trading wedge breakouts for a while how come I'm not making money with this Edge um so that that kind of is that that first part and uh and Garrett's gonna help us understand a little bit more about that yeah so I chose a wedge breakout because it's a super simple big example right it's like it's a it's a pattern that a lot of people know I mean I think of it as a tactic you know it's not like a complete play but it's a very great tactic to get involved in something right so it's a it's a really effective setup in the right situations and so um if you're not if you're making money trading this and I've asked myself this question you know before and in my development and what I want to ask myself immediately is how can I apply the setup to the best situations to the correct situations like maybe I'm doing the right thing with this maybe I'm seeing these wedges but I'm not trading the right ones it's very possible right so there are three uh Tesla wedge breakout examples that I put together and I chose Tesla because we all love Tesla and these are three intraday patterns these are all one minute charts um and this is sort of like zoomed into the to the wedge each starts at 9 30 in the morning um and then we get the consolidation and then the breakout right and so in terms of looking at it in this way like they all look somewhat similar right it's hard to sort of discern between all of them but they all are very different when you start to break down the characteristics of each trade so if we go to the next slide we're actually going to start with example three the third one and we're and we'll we'll work backwards so this actually was a couple days ago so if any anyone trades Tesla they might remember this but the characteristics of this trade were that Tesla was coming into resistance so it was below resistance and if you can see that yellow line at the top of the chart like that was a very big area of Supply on the chart a few days ago in fact it still is um we had a three-day run into this move there was no Catalyst and it was doing about one and a half arval which is you know it's okay because it's over one that's that's pretty good but it's nothing exceptional especially with no Catalyst and I actually traded this um it was a move to move trade for me it was kind of a you know a very Nimble trade where I knew that if it stalled out at that level I wanted to get out but was this an A plus plus setup for me absolutely not um and you can see that it hit that level of Supply tested a few times and started to roll over right so we're not going to get a whole lot out of this wedge breakout right we're gonna get one move and then we have to be very careful um and so Jeff if we go to the next slide we'll see something completely different and there's a reason for this so this wedge occurred above a key level on a day where Tesla had announced delivery numbers that exceeded expectations and an entrance to China right I think this was in 2019 this was like you know a few years ago and it was holding all-time highs doing three our ball so it had a catalyst it was holding above a key level and it was doing elevated volume in fact it had two catalysts and so the same wedge pattern breakout had way more follow-through in this case in fact you know you could have made a trade to hold out of this inflection point so imagine the risk reward you could have gotten on that wedge if you identified the fact this could actually Trend all day so that to me is way different than the previous example and really highlights the difference between understanding how to trade a wedge pattern and then or just like kind of going in and like just buying every wedge you see yep and and the context around those two is really ultimately sort of that secret that the mistake that a lot of people actually make and they don't even realize they're making it you know and a wedge is a super simplified version but we do the same thing with super complex trade ideas that we put on involving spread trades or or involving risk ARB trades that we'll do on the desk people hear about a super complex strategy that we're doing on the desk they'll they'll somebody will learn about a a complex options head strategy um and somebody will teach it to them and they'll share what they know but they won't actually work through these steps they won't observe that strategy they won't actually learn it they certainly won't filter out you know kind of the circumstances that that aren't really that favorable from a risk reward perspective um and and they've kind of stopped their development process there right they've stopped it observe and learn um if they don't even do the filtering and there's no real way to adopt that into your playbook right that's what we're talking about here the traders that are really really really good at at getting better and ultimately those are the most consistent Traders those are the traders that that you know adjust to the market environments those are the traders that have the most fun when they're trading because they're able to just let things fall into their lap um they understand what are the different situations that could fall into my lap today okay I've got a Playbook that that when I get one of those situations to fall into my lap um here's exactly what I'm looking for to just have it hit me right between the eyes and I can take that trade all day and I might be doing three or four or five different things or even one thing really really well but you know that's kind of all I need right now and then I can keep growing so you know the most Traders stop after the observe and and the learn part they never get to the filter part but if You observe learn filter adopt and then Advance um you'll be able to do exactly what Garrett just talked about you'll be able to understand all right you know maybe I'll take this trade but this is like you know maybe like a b setup for me but you know it's fine um versus like this is an A plus setup for me or an A plus plus setup for me I know not only do I need to increase my risk in this trade but I also need to change my hold strategy because of the opportunity you know I don't want to give up a ten to one risk reward because I've made one-to-one risk reward on it you know understanding how to do that it's just going to add so much it's going to take away so much variance from your p l because you're going to make the most in the best strategies and you'll actually lose the least or or you know kind of put yourself in a position where you're going to lose the least in the ones that aren't really that good um observing and learning just isn't enough but if you filter adopt and Advance um those can really help you grow as a Trader you know one more Tesla wedge breakout same thing right above a key level this was day two after an earnings beat um for our ball and it held above that day one high which was huge right so I mean if I just had this data in front of me and I was studying wedge patterns I would start to say to myself okay like what I want to do is be buying wedges above key levels that have a catalyst doing elevated arval more so than the first example that we saw yeah right and so you start to make those different differentiations um and that's what for me that's what helps me get better at these right because I'm putting myself in a better situation with this setup and you're you're magnifying your potential um you know the p l return on a wedge breakout with the Catalyst and doing elevated our ball you know elevated arval on the desk is is typically three plus arval um that that's what we view is elevated um and then holding above a a high you know breaking out of a range before the wedge develops you're talking about you know your p l expectancy on that is so much different than trading any other wedge breakout than trading a wedge breakout in the middle of a range then trading a wedge breakout without a catalyst um you know those checks in your favor are really important and understanding what checks are the right checks for you um is just absolutely critical I know we've thrown a lot at you but we want to give you something that you can take home and and really understand you know what are the daily habits that you can be doing to help build your playbook you know what are the things that will help you get on this path to to adopting things um the number one one habit that we see Traders doing on the desk is a book of charts and and you know I have a book of charts and it's really anytime I see something interesting I just take a screenshot of it put it in a in a PowerPoint and I I save it and then you know through the day or you know over the weekend I'll go through and I'll review the charts and that'll just kind of help me understand okay what are the things that I'm looking for is that similar to what you do yeah okay yeah I think it's a pretty common theme on our desk for for people to just you see an interesting chart you see something that looks good you just put it in your book of charts um you know the other thing and this this kind of is is something that some people do just to observe um other people do it as part of the filtering process but it's a really important thing that that really can help a lot of people if you do it every day um data spreadsheets so Garrett's going to help us understand a little bit more about how he uses the data in coming up with these ideas so this is an example of a data spreadsheet that I have put together over the last few months and you know the whole thing is not shown here the point is not to look at the numbers and understand them I mean you know it's very personal to to what I'm working on but it's it's here to show that um there's value in recording data that you're interested in about a setup and so on the left you can see every ticker down the left hand side and that's each example that goes across and so if you look at you know each color in each column you can see like I'm studying the volume of each of these setups I'm studying the ATR moves of each of these setups the duration like how many days does this occur on the the Rival like things like that so you know to me um I'm I'm asking myself the question like how can I best trade this and what are the characteristics of these trades that really really work um and then I can go through and I can sort them by arval and I can see if the moves are bigger if the if the volume is bigger I can see if the move lasts for more days if the volume is bigger things like that and I start to wrap my head around it a little bit more and so not only does that help me come up with some ideas on how to trade it but it also gives me some confidence that I've studied this thing right so like if I'm gonna be putting more risk on something like I I wanna I wanna really know the characteristics of what I'm Trading and it allows you to do two things one you know you have this resource and and Garrett's talked about that of of it gives you the confidence but two it allows you to be a little Dynamic with your idea generation too because what if you happen to notice oh okay you know all of these things line up on a regular basis and and those are my best situations um you know that might actually present an opportunity that you didn't even think about before so you know making sure you know you can use Trader view for this um you know you can use Excel for this uh you know you could use you know even just hand write it in a notebook if you needed to but you know you really do want to be tracking your data on these trades so that you can start to formulate an idea of of really how your playbook could evolve using this data uh the third habit that we use to help build our Playbook and and really kind of help us as Traders is Trader conversations um you know we're very fortunate we we have a team of you know I think about 60 Traders now um you know both in-house and remote um you know we're we're all connected via the Skype or Discord or Zoom calls um every day we're talking about trades we're talking about trade ideas Garrett mentioned you know he's learning a new setup and he's talking specifically about that setup with with one or more Traders um you know our conversations are wide ranging but we're doing them every single day um do you mind sharing a little bit about what a conversation about a specific setup might be because a lot of times I think people think we're talking about a specific stock but really we're talking about a range of outcomes um out of a specific setup and that becomes the conversation is that right yeah yeah so a conversation might go like you know I I'll bring up an example that we saw today that that I thought was that setup right and I'll say the few things that I thought made it that setup I'll talk about the characteristics of it um that I thought made it a good play right I might say Hey you know they they beat earnings they guided higher there's a new product um it it gapped up beyond the expected move it's doing at least you know five arval I I really like this and the trader might say yeah I see all those things um this is this definitely stands out to me but you know it's gapping into a bunch of Supply on the daily chart you know did you see that like how much do you value that and then we'll have a conversation about like how much that matters right and then I might say oh you know I still think you go higher but he might say hey uh but look at these three examples from you know last month where they gapped up they had great earnings they came into Supply and then they sold off like do you really think we're in the market for that right now so and then and then you start to you know hash through this stuff and you you might go back and study those things that that Trader mentioned and stuff like that yeah and it's not it's never outcome focused it's never like oh that trade worked that's great or oh that trade didn't work it's what about that specific setup should we learn adopt or just completely discount because it doesn't really matter um you know those conversations on our desk are incredibly specific and and they're not vague and they're not outcome focused they're really process oriented so that when we say Trader conversations it's not just telling everybody Hey listen I crushed this setup it's really talking through the specifics of what you're looking at um another thing that we do every day um especially some traders in Gary it's probably one of the better ones on the desk of doing this but there's certainly a lot that do it is reverse engineering your top trades so you know you mentioned it earlier in the video can you kind of talk us through what you do specifically with that yeah so I'll grab the chart I'll look at my entry I'm assuming this is something I traded but it doesn't have to be it can be something I didn't trade um and I'll look I'll look at the move I'll look at the Catalyst I'll look at all the characteristics of the trade to kind of line up in my head okay like you know this was set up right you sometimes you know you're trading and after the fact you know there's a lot of information and so sometimes I'll just ask myself okay like but this was really set up right like how set up was this like did I not even realize how set up this trade was you know this was a big move I should have seen this coming right and then I'll look at the area where I thought my entry should be and if I have a video of the tape I'll go and watch that if I don't I'll just look at the chart but I'll start to ask myself okay like how much if I entered here what was I really risking like where should it not trade to and therefore like how big could I have gotten risking x amount and if I did get that big where would my scales be um reasonably you know we're not we're not just saying we're gonna like bottom and top tick stuff but like reasonably where would my scales be and how much better could I have done on this trade if I was seeing it really really well and then there's there's one further step that you can take in this and and so we've all talked about you know all of these habits that we're doing are more just to kind of contextually set the right stage um we're really fortunate to to you know work with a couple different programs and there's there's some other ones too but um you know you can actually go back and retrade that setup or setups like it and Traders on our desk use trading Sim um they use think or Swim on demand and they actually will go back and they will re-trade those exact setups doing it the exact way that they wish they would have done it or that they they that they did do it if they felt like they traded it really well and the reason is is because that just gives you extra reps making the right trading decisions at the right time with the right information because as much as you're learning this setup it will happen again and again and again and there will always be something a little bit new and a little bit different to it and that's the best part so that's why you have to set the context because if you don't have that context around it when that new or different piece of information comes in you won't know whether to overvalue it or maybe even undervalue it you won't really understand like Hey listen is the price action trading in a way that hey that's okay for that little pullback to happen in this trade or is that going too fast and I need to take some off because you know what if it you know that's that's just capitulatory you know you need to understand those things and a lot of times you actually need to get the Reps in and experiencing them so using a program like trading Sim or using think or Swim on demand you know those are great ways to just retrade and retrade and retrade and retrade and we're fortunate there are a handful of other programs out there but those are just the two that are most widely used on the desk so we figured we'd share those just to wrap up we're going to cover the cycle of trade development on our desk one more time it starts with observe you see someone doing something well that that makes sense to you or maybe you see something in your book of charts that just it sort of makes sense to you the goal here is just to see it that's all just just see it just be able to see what makes sense to you the next step is to learn you want to ask yourself and and others questions about the trade you want to study the answers you're given to kind of build context around the idea you have observed right the goal here is just to build the context around that idea then you get into the fun stuff for us you know the filtering the goal here is to be specific and identify your Edge you know what are the really good trading decisions to make what are the factors that Garrett pointed out or might be existing in other trades that actually gives you a really good trade and allows you to make those trading decisions after you've filtered everything out you get to adopt right your goal is to design how to trade it properly and start trading it properly to design how the trade should look from a context level and all the way through to an execution level and then just begin to trade that the goal at this stage is just consistency right consistently make good decisions in that trade and the final step is to advance the strategy the goal here is to isolate your a plus setups and understand how to dynamically use your risk in order to make sure that you're actually making the most in the best opportunities for you so now you know the number one trading mistake plaguing most Traders avoid this one mistake and you've considerably upped your chances of becoming consistently profitable but avoiding mistakes isn't the only thing you need to do to succeed as a Trader you also need to know the specific trading rules for the three main types trades without knowing these rules you won't be able to differentiate between trade types and you'll end up executing incorrectly good execution is essential for profitable trading so be sure to click on the video appearing on your screen now to learn this vital skill

Channel: SMB Capital

Views: 56,653

Keywords: stock market, day trading, smb capital, trading, investing, markets, wall street, stock trading, options trading, options income, economics, finance, day trading mistakes, hidden trading mistake, tesla stock, TSLA stock, wedge pattern, trading wedge pattern

Id: 8z4NNu1M7P4

Length: 39min 54sec (2394 seconds)

Published: Tue Nov 01 2022