Most professional and veteran traders nowadays give their all just to become good if not the best in trading. It is just sardonic that a lot of traders are very much fascinated with the trading lifestyle, probably they think that trading will enable them to earn reflexive amount of money regularly. But this is actually true, anyone who is into trading can make money even while they are not doing anything at all or while they are sleeping, however, veteran traders are more prone to get very consistent and continuous income from trading.

Trading is just similar to any other type of job out there. When you practice and you exert all your energy and time to it, you will be able to earn rewards and fruits of your labour. Veteran traders can easily decide and place their trades into proper places, but these choices are the result of all the time that they have devoted in learning and practicing how to trade perfectly to earn money. Traders are now earning the fruits of their hard work through all the time they have spent in it.
When you do back testing, you will be able to do 3 essential things like identifying the most appropriate trading system that is meant for you. This is not about finding out if the trading system is lucrative or not, but it is more about checking if the system will fit on you and how the system will work for you to earn money. Another one is that you will learn how to trust the system that you have chosen and then be able to learn and become familiar with your trades. You need to learn how to let go of your trades too.

You might be able to trade in a very comfortable manner as soon as you have taken lots of trades through the years via the market data. You will gain the confidence gained by the trading system again and again and it will show up with the way you do your live trading. Lastly, you will learn how to become an expert with your choice of trading system. This will just occur if you will take risks in getting a lot of trades and the back testing method is one of the fastest ways to get a lot of trades. If you will learn and understand these 3 important goals, you might be able to go on and get the most out of your back testing.
In the breakout technique, there are 2 phases involved. The first one is about waiting for the market to unite. Do you know that a consolidated market may loss its direction and track if the trader will wait and watch the market all the time? While the breakout trader is the patient one, this is a method that is based on solely patience and right timing.
Certain problems with threat administration
In this part of the write up you will be able to learn how to properly determine the risk in a detailed manner. At the moment, it is very essential to take note of the fact that without the right risk management system, trading drawdown might be intensified and so it might be very hard for traders to handle trading. Those who have problems with risk management typically proliferated their drawdown and find it hard to double their money in a consistent manner. Usually, routine dropping smudges are considered unlucky and it is very hard for traders to go through it and accept the fact that they are losing a lot all the time, but whenever these drawdowns are highlighted by poor risk management system, the result will be very chaotic.
Discipline related glitches
Discipline related issues are very usual. A lot of traders are not actually bright traders, as a matters of fact, most of them retail forex traders are much better than bank traders. Bank traders do not have 6th sense for the markets. They do not have enough access to unleash and discover the secrets about algorithms or displays. A lot of traders are very consistent in earning money due to their built in discipline system at the bank. Bank traders typically hire a risk manager to make sure that the bank trader trades with discipline, the bank typically hire a very smart trainee to make sure that the traders will be well disciplined on the forex desk. The risk manager must make sure that the bank traders will not risk a lot on their trades.
In trading, you cannot just throw into waste the emotional problems in trading; the present trade in play and or your confidence in the trading system will always be there. Certain emotional related issues will continue to haunt you even into your trading regardless if you are used to it or you like it or not. If you think that you can keep your emotions out of the trading, you are mistaken. For a lot of traders, this is not applicable and this is not right. A lot of traders are quite upset just after losing their streak or just after losing their trades. For them they not just lose trades, but they have lost an opportunity. In a lot of circumstances, traders have a very little and hard time eliminating their emotions from trading decisions.
The Fractal Nature of Markets
Elliot found out that the worth of the activities has unveiled similar uncomplicated outlines irrespective of the phase & setting. The patterns come along just to compose close yet big patterns. For instance, the patterns on a 30min. chart bonded together to come up with the same patters using a daily chart, which will bond together to come up with the same patterns on a daily chart, which will bond together to come up with identical patterns for a monthly chart.
The idea behind this is that the patterns are just similar to one another regardless of the time frame, they will still be known as fractal. This term was once used by Benoit Mandelbrot in 1975 to be able to describe a “rough fragmented geometric shape that can be subscribed by him as a rough or fragmented geometric shape that can be divided into parts and each of them has a lesser size copied from the whole”.
The word came from the Latin word fractus, which means that the broken or fractured even if termed by Mandelbrot, Elliot found out that around 50 years prior the financial markets are fractal by nature. In a way that the wave principle is not just about trading and forecasting, they are not just simple tools, but there is also a well explained description of how the markets behave then. He has discovered as well that the same recurring repeated patterns on the charts of the market that he was familiarizing. If various markets are about to react to various news stories and events, then why would various markets have the same patterns? Well, this is because the freely traded financial market is not just predisposed by the outside forces, instead they are endogenous.
To sum it up, the markets have their own lives. That life is called collective psychology or better known as crowd behavior, which is also oscillates in between the pessimism and optimism in a patterned manner. Elliott wave investigation can also be functional to stocks, exchanges, merchandises, real estate, metals, energy and other freely traded market. It’s just that the only thing required is that the market behavior as seen through the waves is not clearly seen.
One way to solve a trading issue is to just take a longer pattern approach. You can start by trading the end of day prices, as soon as you are confident about it and you are well disciplined, you can move the charts to intraday, but make sure you are strong-minded from your bias from the daily chart or even higher. Knowing a bias from a daily chart and then confirming it through the wave pattern from the intraday chart will work for you, because it works for others.

Carl Icahn biography (1936) started his career as a stockbroker on Wall Street in 1961, at the age of 25, and 7 years later he founded his own firm dealing with risk arbitrage and options trading called “Icahn & Co”. later he started working in controlling department for different companies, many worldwide famous, such are, Viacom, Phillips Petroleum, Western Union, Marvel Comics and other…
In after 1985, he was starting to become famos as a ruthles corporate raider, upon his taking over of TWA. He started selling TWA’s assets to pay the expences he had for buying the company, which was known as asset strippig. Ht etook TWA private and gained profit of almoust half a billion dolalrs, thus leaving the company in debth of more than 500 million. In 1991, he sold the companies London routes to American Airlines for 445 million USD.
His hostile takovers were stopped by CEO of the US Steel, David Roderick when Icahn tried to get his hands onto that industrial giant.
He was a holder of 3% of the Time Warner, and he tried to compete as a major shareholder. His group of affiliates proposed the company to split into four fimrs. But the company somehow managed to survive.
Icahn in 2008 sold his interests in Nevada, which included hotels and casinos, for 1.3 billion dollars which is 1 billion more than what he payed for them.
In 2013, Forbes put Icahn on the list of one of the 40 hedge fund managers to earn most money. He is currently owner of 5% of shares of Apple.

John Templeton biography (1912 – 2008) was a pioneer in mutual fund investing. He studied at Yale University where he was involved with a humor magazine Yale Record, and he was a member of Elihu society. He was playing poker, and with a success. Same success he had with education, as he graduated as a top student. At Oxford University he got an MA in law.
He got married twice, and he saw both his wives pass away.
Even though he was officially the member of Presbyterian Church, he was known to had been open to learning from all faiths.
His billions came to him after he pioneerred in using mutual funds. His fund was one of the first two that invested in Japan.
One of his special moves was to buy a hundred shares of each NYSE companies that was priced for less than 1 usd (which is about 17 usd today), only to return profit greatly, as the USA got involved in the WWII.
He was not fond of technical analysis; he promoted „fundamental analysis“. At one point in 2006, he was listed as 129th richest person.

Julian Robertson biography (June 25, 1932, Salisbury, N. Carolina, USA) is a former hedge fund manager. He now invests in other hedge funds that are run by his former workers. His first company that he founded was Tiger Management Corporation, which is one of the world’s first hedge funds. He is responsible for turning 8mil starting capital in 1980 into more than 22 billion in the late 90’s. The fund saw closure in 2000, after a fast downward chain of investor withdrawals.
His share of Tiger’s profit was greater than 300mil USD. His net worth in 2003 was more than 400 million. In March of 2011 his wealth was 2.3 billion USD. In 2009 his return of 200 million of personal trading account was 150%.
His fund at its peak was worth 22 billion USD, but wrong moves and some Robertson’s bad decisions lead to investors withdrawing their cash, which saw Tiger funds decline 19% in the time when S&P500 stock index climbed 21%-
One of the Tiger’s biggest holding in the mid 90’s was US Airways. The famous falling of the company saw Tiger’s holdings drop down. By 2001, Robertson distributed 25million shares to his former investor in Tiger. He declared that he wanted to keep his own stock in the airline.
After retirement, Robertson lives a life of a philanthropist, as he works for several organizations and university boards. He runs a fund Robertson Scholars Program that awards 36 students for 4 years. He chooses students from universities of Duke, North Carolina and Chapel Hill. He is friends with Bill Gates and Warren Buffett and they have initiative that wealthy would give at least half their wealth to charity.
He was one of the supporters for Mitt Romney’s campaign