Personally I trade too many markets. It’s the academic in me that seems to compel me to track too many markets. It is probably the ants in my pants that makes me watch for trades in several markets at one time – since no market is likely to be tradable at all times. However, when it comes to advice I always recommend concentrating on one market as preferred to tracking several – particularly for new traders. Generally, it is because being a specialist is always better than being a jack of all trades. Even more important, however, is the simple reason than your performance will be likely better if you concentrate on one good market. Profitable trading is a combination of science and art – it is an art to “See the Music of the Market”. You may get better practicing your science over time – but art is something that absolutely gets better with practice over time. A trader that specializes in a single market also has the advantage of being able to concentrate effort and become more in tune with the market they are trading.

TBL is based on technical trading, but a good trader must understand the fundamentals in the markets they trade – and particularly must know when the pre-scheduled fundamental events that affect their market are going to occur. It is a good idea for a trader to be out of the market when such events are announced – because even if you knew the content of the announcement, you cannot know how the market will react to it. The fewer markets you trade the easier it is to understand and handle the fundamentals.

Some of the most successful traders I ever met only traded one market. So do as I say – not as I do – pick one good market and concentrate your efforts until you are truly an expert in that market. Only then look around for another market as a alternative for trading.

 

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See the Music of the Market

The unique trading method that is Trading Between the Lines