'Trading in the Zone' - by Mark Douglas

Trading in the Zone by Mark Douglas

A good read, written by someone who evidently understands the self-sabotaging thoughts and beliefs that so many of us traders have. I managed to get through the book over a weekend.

Bottom line: You have to think like a casino operator. In order to do this you have to:

  1. Be confident that your technique gives you an edge if executed correctly

  2. Be able to stick with your technique through enough trades that your edge gets you ahead because trading is a probabilities exercise.

  3. Decide what your '1R' (risk) is and stick with it. Only when you are able to accept the risk (in £s per trade) will you be able to accept the uncertainty of trading.

  4. Practice your technique with a minimum number of trades (Douglas suggests 20 trades) without changing it.

  5. With practice, you will come to believe that your trading works and will be able to trust yourself to take any appropriate trade. You will then be 'trading in the zone'.

Just writing this summary makes me want to re-read the book.....



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