In this episode of 2Traders Podcast, Darren and Walter zoom in on trading system diversification. Which offers you better diversification, multiple trading systems or multiple markets? In other words, will you get better results (and smoother equity curves) when you diversify by trading many (uncorrelated) markets or by trading (uncorrelated) trading systems? They also touch...

In this episode of 2Traders Podcast, Darren and Walter crack the code of one of the most intriguing questions. They touch the idea behind the simplicity of “no-brainer” businesses, brokers and setting-up accounts, and how trading has evolved through time. Darren draws parallels between trading and poker. Walter talks about trading contests and how these...

In this episode of 2Traders Podcast, Darren and Walter crack the code of one of the most intriguing questions. They touch the idea behind the simplicity of “no-brainer” businesses, brokers and setting-up accounts, and how trading has evolved through time. Darren draws parallels between trading and poker. Walter talks about trading contests and how these...

In this episode of 2Traders Podcast, Darren and Walter talk about the idea that the markets are stacked against the average trader… But, is this reality? And, what about your broker? Is he out to get you? Darren points out the importance of finding your own edge and thinking outside the box, learning how to...

In this episode of 2Traders Podcast, Darren and Walter talk about the idea that the markets are stacked against the average trader… But, is this reality?

And, what about your broker? Is he out to get you?

Darren points out the importance of finding your own edge and thinking outside the box, learning how to control your emotions, and he shares his favorite technique to stay grounded with your trading.

According to Walter, it all boils down to your trading psychology, how you “see” the market, and becoming self-aware of your actions. When the wheels come off, ask yourself: What am I doing differently?

All this and more in this episode of the 2 Traders podcast.

Download (Duration: 23:34 / 26.9 MB)

In this episode:

00:58 – quants and algorithms

03:50 – competitive and hard

05:48 – retraced sharply

08:12 – poor planning

10:06 – dropped the ball

12:24 – nimble

14:26 – lifeblood

18:16 – leading you astray

21:07 – edge in the market

22:11 – fruitful place

Tweetables:

Think outside the box. [Click To Tweet].

Trading is about accepting responsibility and self-awareness. [Click To Tweet].

Analyze your emotions and keep good records. [Click To Tweet].

Download The Full Episode 78 Transcript Here

Darren: To make the market not stacked against you, you do have to think outside the box…

Announcer: Two Traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Good day, Darren. Welcome to the podcast! How are you today?

Darren: It is a good day.

Walter: Awesome! It’s great to be on holiday, isn’t it?

Darren: Awesome.

Walter: So, we were talking about this idea before we start recording, this is the idea that there is a lot of rumbling around. I guess this happens a lot with forex traders in particular, at least that’s my belief.

You hear a lot of forex traders talking about how the whole thing has stacked against them. “My broker has screwed me over” or whatever. You will hear things like the institutions have all these quants and these algorithms. They are in and outs of the market really quickly, they are executing faster than you can and all these stuff.

The idea is that the markets are stacked against the average Joe trader, for one reason or the other. It could be the broker, it could be the fact that the big institutions get to push the price up and down, they are the ones that moved the EUR and this and that.

My thoughts are… I’ve got lots of thoughts on this but I am curious to hear what your thoughts are on this idea of whether or not the markets are, basically, the odds are tilted in the favor of others rather than the average trader.

Darren: I am not sure I would agree that tilted in anyone’s particular favor but I do think that the markets are stacked ...

Do you ever feel like your trading is “in the zone?” You’re in sync with the market and can do no wrong? Will your luck be due to run out soon?

In this episode of 2Traders Podcast, Darren and Walter dig into the idea of trading breaks, when and why you should take them — and the ideas may sound counter-intuitive.

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According to Walter, there’s one way to “see” the charts clearly (and it may not be what you think). Darren also offers time-tested advice on how to keep your short term expectations on track.

You will also find out “the best age” to pursue a career as a money manager and see where you stack up. All this and more in this episode of the 2 Traders podcast…

Download (Duration: 22:44 / 26..0 MB)

In this episode:

00:46 – push your luck

04:25 – little value

07:09 – a nice and clean pattern

09:31 – struggling

10:01 – a fresh look

12:03 – storytelling genie

14:20 – juggle

15:16 – a young man’s game

18:54 – outside of the norm

20:47 – nailing it down

22:01 – extreme and drastic

Tweetables:

Keep the vital signs of your system normal. [Click To Tweet].

Have a break whether you are winning or losing. [Click To Tweet].

Always take a fresh look at the charts. [Click To Tweet].

Download The Full Episode 77 Transcript Here

Walter: You run into these sorts of ruts and you get stuck in your ways as you age but, the good news is, there are things that you can do to guard against that…

Announcer: Two Traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Welcome to the Two Traders Podcast. Hey,  Darren. How is it going?

Darren: Pretty good, Walter.

Walter: We are thinking about this idea about when you’re getting in on a really good trading streaks and you have a whole nice run of winners, should you pull back? Is there an inevitable drawdown coming in? Have you really pushed your luck? This idea comes up quite a bit and I’d love to hear your thinking on the issue.

Darren: I have a few ideas on this and coming from the other side. Recently, I have been talking to  traders about whether you should take a break from trading when you are having a bad run.

One of the traders that I worked with, he found that in his testing, his best time to take a break was after a really good run. He found that his worst weeks followed his best weeks, essentially.

I think that is down, really, to your particular approach to trading and your system. For instance, if your system makes money when it’s very high volatility and there is a lot of movement then, it is quite common after that flip.

The market’s take a bit of a breather and taken that new price. I have recently just had a bit of a break after a losing period. For me,

What is something that I can do to improve my trading? In this episode of 2 Traders Podcast, Darren and Walter reveal insider tips on simplest ways to improve your trading. Darren goes about his three easy methods for improving your trading results. Darren offers his “3 easy methods” for completely shifting your perspective on...

What is something that I can do to improve my trading?

In this episode of 2 Traders Podcast, Darren and Walter reveal insider tips on simplest ways to improve your trading. Darren goes about his three easy methods for improving your trading results. Darren offers his “3 easy methods” for completely shifting your perspective on your trading systems.

According to Walter, there is one easy way to change your rules and improve your trading as a “side effect” but, can it really be that simple? Also, how do you find a good trading strategy? He also talks about a very special method of managing risk and how this helped a lot of successful traders.

You will also find out about the mighty power of one simple tool that you can use to create successful trading habits. All these and more in this episode…

Download (Duration: 23:33 / 26.9 MB)

In this episode:

00:59 – stress test

05:03 – devour everything

07:33 – fixed fraction

10:13 – drastically different

13:22 – often neglected

16:24 – the need to be right

19:12 – hard and fast profit

21:43 – pre-flight checklist

22:40 – checklist

Tweetables:

Look at how much you are risking. [Click To Tweet].

We are built psychologically to not want to add to our winners. [Click To Tweet].

Step out of your comfort zones and do something different. [Click To Tweet].

Download The Full Episode 76 Transcript Here

Darren: Think about it, make your decision, and then think again…

Announcer: Two Traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Welcome to the Two Traders Podcast. Walter here and I’ve got Darren on the line. Hi, Darren.

Darren: Good evening, Walter.

Walter: We are going to talk today about the simplest way to improve your trading. Now, I am really interested to get your thoughts on this, Darren. Would you like me to go first or you  want to go first?

Darren: Let me go first because I’ve got some quite short punchy ideas on this.

Walter: Okay.

Darren: For me, three simple things. One is question everything. Go through how you trade, list down all the things that you believe to be true, question them and examine them. Try and stress-test them, try and prove them to be wrong.

That is the first one, question everything. The second one is always think twice. Whenever you are making a decision, always think about it twice. Think about it, make your decision, and then think again.

Almost the same as rule one but just question that instant four process because your first four is very often wrong. The third one is simply to use checklists. Checklists when you are trading and checklists to use prior to trading to make sure that you are following some rule structure, basically,

As a trader, you get to design your own trading rules but this means you can just easily break them also… So if you do break them, will it make a difference to your trading account? In this episode of 2Traders Podcast, Walter and Darren focus on trading rules. Why have trading rules? How do...

As a trader, you get to design your own trading rules but this means you can just easily break them also… So if you do break them, will it make a difference to your trading account?

In this episode of 2Traders Podcast, Walter and Darren focus on trading rules. Why have trading rules? How do these rules effect your efficiency and productivity. They also touch on the issue of discretion, execution, and a basic human psychology need that taints all traders’ decisions.

Walter gives one warning about one tricky thing that can creep up and wreck havoc on your trading system.

Darren looks at the purpose of trading rules over the long run.

Download (Duration: 20:44 / 23.7 MB)

In this episode:

00:41 – trading rules

03:06 – defined discretions

04:13 – bet on roulette

06:09 – motives

09:45 – big fat profit

11:34 – positive expectancy

13:08 – home run

18:32 – break the rules

20:30 – self-sabotage

24:03 – opposite

26:10 – chunk of profit

28:18 – vigilant outlook

Tweetables:

Trading is a mixture of skill and luck. [Click To Tweet].

If you do not have any rules then you are not really a trader. [Click To Tweet].

Where do you find your edge? [Click To Tweet].

Download The Full Episode 75 Transcript Here

Walter: You know, as humans, we have this real tendency to take something really simple and complicate the crap out of it and make it really difficult and add rules and qualifiers and filters and then confirmations and all these sorts of things that we do as traders when we really don’t necessarily have to do that…

Announcer: Two Traders, Darren and Walter, pull back the curtain on profitable trading systems, consistent money management, and profitable psychological triggers. Welcome to the Two Traders Podcast.

Walter: Welcome to the Two Traders Podcast. Walter Peters here and I’ve got Darren. Hello, Darren.

Darren: Hello, Walter.

Walter: We are going to talk today about breaking your trading rules. The question is, does it even matter if you are breaking your trading rules? Is this something that we should be concerned about as traders? Where do you sit on the fence, Darren? Which side are you on this one?

Darren: I am one hundred percent that you should never break any of your trading rules. The reason is because I think you have to appreciate that trading is not a hundred percent skill endeavor.

It is a mixture of skill and luck. When there is luck is involved, and it’s actually a lot of luck involved in trading, I would say as much luck as there is skill. When that is the case, then real edges can only be found over the long term.

Anything you find that works in the short term is likely just, more than likely, just luck. So, when our edges are found over the long term, it is very hard to keep those ideas in your mind in the short term and you’re likely to miss the point of your strate...