Home Page Product Download

More Ment
Save $100 On eSignal
Visit Vista-Research for EZL programming/resources

Our Friends
Save $100 On eSignal
Visit Vista-Research for EZL programming/resources
Visit Stocks & Commodities Online
Visit Futures Magazine Online
Visit MSO Data for historical data Deals







Trading Theology

Trading Theology - there is a broad topic... What does it mean and how do we use it to advance our trading abilities.. Well, the actual translation is "Religion of Trading" - but I like to consider it "The Study of the Practices of Successful Traders". In other words, what works, why, when and how frequently.

Over the past century or so, many different techniques for trading have evolved. The traditional mechanisms are still in place and being used today (ask/bid, breakouts, fundamental evaluation, news and traditional forms of technical analysis). The new analysis models are often based on information that is still considered "old" - for example Japanese Candlesticks, Fibbonacci, Gann, Elliot Wave, and others. The interesting fact is that with all these new renditions of the older forms of market analysis - there are more "New facets" for current day traders to digest.

When you consider "why" these older forms of market analysis are still here - it is because in some way or another - they work. But this is only part of the equation. There is more to this than meets the eyes.

What Makes up a Good Trader

A system or trading mechanism they are confident in

A "proper mind-set" that allows them to make decisions without risking "emotion or greed"

An understanding of the markets/charts they are trading - meaning they have a good general understanding of the markets and have experienced enough to know what to expect from trading.

A focus on the factors of "Risk Management" for all trades

An ability to know that "you don't have to trade all the time"

The ability to follow the "General Market Conditions" at all times - which helps to stay out of the markets when trouble lies ahead

The ability to learn from their mistakes


You see, a successful trader is normally someone with the ability to contain and manage every aspect of their business - trading. This is a business of calculated risks and projected gains. Accuracy is great - but not super important. Managing the risk and executing the trade is more important is most cases. If you have a system that you trust and is accurate, then you simply have to execute the trades within your trading parameters.

What are your trading parameters? This varies with each trader. Some traders have large capital - others small capital. Some traders are more aggressive, others more conservative. Some traders trade stocks long-term, others trade the EMINI on 1 minute charts.

OK, enough with the "round-about" discussion... What do I suggest as a basis for good trading theology??

Evaluate your level of participation in trading - how much do you want to be involved (every hour of every day, every few days, every week or so, of NEVER). This basically dictates what you will be able to accomplish in your trading activities. If you answered "every few days" or longer, then you should strongly consider End-of-day trading (possibly using weekly charts - which I like). If you answered "every hour" or "every day", then you are probably a candidate for intra-day trading - but I strongly suggest divesting into end-of-day as well.

There are particular benefits to end-of-day trading vs. intra-day trading. First off, end-of-day trading often requires less time and can quickly equate into 5~11+% in profits (every month). How, you say? Check out the CandleWatch Reports to see how.

I suggest daytraders divest their capital into two or three methods...

DayTraders Divesting

1. Intra-Day Trading (10~20% of total equity)
2. End-Of-Day Trading (30~50% of total equity)
3. Position Trading (30~50% of total equity)

Of course, there are times when moving large portions of this portfolio to CASH is very advantagous. In fact, there are times when all traders will be mostly FLAT (or completely FLAT) in the markets - meaning holding ALL CASH. Remember, you don't have to trade every day.

Now, you're probably asking "why diversify when I can make good money daytrading"? You might be able to make good money daytrading, but eventually, you'll run into a "loosing streak" that will hurt a bit - we all do. Diversification will help to "smooth out" your trading adventure.

You might find that after time, you alter these percentages allocated to your trading - that's fine. The important part of this whole thing is that you are comfortable with your trading and have the knowledge to continue progressing forward.

So, what is trading theology and how do we use it?? It is the continued growth and expansion of knowledge that all traders continue to experience. It is learning from our mistakes and our strengths. It is the ability to adapt and overcome the hardships that WILL happen. It is trading in a smart and effective manner - without taking un-necessary risks.

Trading Theology is the ability for all traders to explore and gain valuable insight from their own experiences.


  Matheny Enterprises Site Directory


End Of Day
Real-Time Analysis
AutoTrading Robots
eSignal Modules
TradeStation Modules

Custom Programming
  Stand-Alone Applications
Target the markets for profits like I do.
Join TradeTank.com

Web Sites
Message Board

MENT Trader Services
MENT Enablement



Are you ready to really trade the markets like a pro?

Are you ready to trade once or twice a day?

Are you ready for consistently designed profits in your account?

Are you ready for the most universal trading system ever designed?

Then you need the ATWS Trading System.


I wanted it pretty much as soon as I had a look at it...it does not take long to realize its a money maker, G. McArthur, UK.

This looks great! A.G, Switzerland.


Comments/suggestions : BMatheny@Ment.Com
Disclaimer, there is a risk of loss in trading.
Copyright 1997-2012 Matheny Enterprises Corporation


traders, investors, day traders, money managers, hedge fund managers, brokerages, real-time streaming data, delayed data, end-of-day data, streaming real-time European stock market data, foreign exchange trader, forex investment, forex desktop stock ticker, equities, financial analysis tool, data, find stock quote, financial portfolio, forex trade, futures chart, good stock to buy, incentive stock option, individual investor, hot stock, money portfolio manager, nasdaq after hours, online forex, online futures options, online stock, quotes, quote charts, charting, position trader, scanner, market scanner, best stocks, spot rate, shares, shareholders, swing trading, trading analysis, trading education, wall street, the nasdaq stock market, what stock should i buy, bear market, bull market, market, trade option, technical stock analysis, technical analysis training, investing tutorial, how to use esignal, trading 101, education in trading, Nasdaq, nasdaq level ii, news, options, portfolio, price, quote, quotes, real time, real-time, real-time market data, screaming , stocks, streaming, streaming, ticker, historical data, real-time stocks, real-time equities, real-time futures, real-time financial data, real-time data, financial data, equities, portfolio manager, investing, investor, delayed data, delayed stocks, data delivery, data sources, time & sales, market maker activity ticker, option chains, market leaders, individual investor, institutional data, business solutions, active trader, charting package, technical analysis, analysis tools, market strategies, day trader, end-of-day data, summary quote window, option analytics, regionals, listed regionals, OTC, optimized bulletin board, ADX analysis, DMI analysis, ADX/DMI, quotes, real-time quotes, financial news, dow jones news, stock quotes, options, stock screeners, market screeners, Bollinger Bands, Stochastics, MACD, Forex, Foreign Exchange, crossrate, spot rate, treasuries, position trader, swing trader, quotes, real-time quotes, financial news, Dow Jones News, stock quotes, Nasdaq Level II, options, stock screeners, market screeners. Bollinger Band, Stochastics, MACD, Forex, Foreign Exchange, crossrate, spot rate, treasuries, position trader, swing trader, guotes, real-time quotes, financial news, Dow Jones news, stock quotes, Nasdaq Level II, options, stock screeners, market screeners,real-time data, data, market data, market movers,AdvancedGet, Alerts, charts, Data, DataFeed, Equities, Esignal,eSignal Market Scanners, eSignal Market Scanner,eSignal Pro, eSignal TurboFeed, financial, free, fundamentals, futures, futures, intraday, intraday charts, market, money Japanese Candlestick, Japanese Candlesticks, Candlestick, PFP, Pattern Forecaster Plus, Invest, Patterns, Matheny, Forecaster, Fractal, Analysis, Candle, Doji, Hammer, Stock, Futures, Commodities, Mutual Funds, Options, Magazine, Brad Matheny, Technical Analysis


Checkout View Cart Contact