The secret that no one tells you about how to turn from a lost trader into a professional trader
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Elder reveals a simple but powerful truth: the trader who focuses only on analysis and neglects the mind and money will inevitably face the known outcome of repeated losses
The professional is not a magician and does not have a secret indicator; the professional is the person who first learned to control themselves and then controlled the market
The transition from amateur trader to professional; the secret is in the mind
Elder tells you before looking at any chart to look at yourself, ask yourself, am I calm? Did I enter a trade before and lost and want to compensate? Is greed what is pulling me?
These questions prevent you from impulsive decisions that seem rational but are driven by emotions
Elder also advises you to keep a trading journal where you write down every trade you entered, how you felt, why you entered, and why you exited
This notebook reveals your worst habits, like entering without a plan and exiting early for fear of a reversal
The professional measures his success by the degree of his adherence to the rules, not by the number of pounds he has earned, because profit is a result of discipline, not the goal itself
Elder's method is the three-screen system
This is one of the strongest systems ever created to reduce false signals and increase the chances of success
The first screen shows the big trend
The long time frame like the weekly shows you the overall trend
You can't go against the current
Here you use MACD or moving averages to get an idea about the big wave
The second screen is the pullback
The medium time frame like the daily
You are looking for a correction against the main trend
You use RSI or CCI to know when the pullback is about to end
The third screen is the entry
The short time frame
Here you are waiting for a clear entry signal that tells you the market is going to continue its direction
You can use a stop limit or rely on the price movement itself
Capital management: survival before profit
Elder emphasizes that the first goal of the professional is survival, not profit
The two percent rule: you must not risk more than this in one trade
The stop loss must be set before you enter
The position size is calculated so that the loss, if it occurs, does not break the account
The conclusion
The secret to the professional's success according to Elder is simple: master yourself before mastering analysis
Follow a consistent approach and protect your capital without hesitation
Only then will you understand that the market doesn't need magical indicators; the market needs a disciplined trader who knows what he is doing and why he is doing it
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