The Holy Grail of Trading and How to Find It. Part 1

One of the reasons that most traders fail is their unending search for the so-called Holy Grail of trading, which they never actually find.

Let me say at the outset that your Holy Grail is right in front of you.

This series of posts is to present how I found my Holy Grail and how it is evolving.

Firstly, let's decide what this Holy Grail is. For me, the Holy Grail is "what I do" to be consistently profitable in my trading. I hesitate to call it a methodology or system because it's a lot more than that.

There are only three things that a market can do: Go up, go down or go sideways. That's it! Lets clarify this a bit and say: Trend up, trend down, chop sideways. As soon as I make this clarification, I have to qualify my descriptions by attaching a time frame or periodicity to the clarification.

In subsequent posts, I'll explore the way I would suggest that this elusive "grail" quest take place. Let me start by saying that there are many, many methodologies that can lead to consistent profitability. What is hard is the putting in the steps to make that methodology consistently profitable.

The answer is CONSISTENCY. I think it was Henry Ford, the auto magnate, that devised the production line so that less skilled workers could effectively carry out skilled work. Adapting the production line methodology to trading is a way of making consistent profitability a reality.

To be continued....