1 00:00:00,000 --> 00:00:03,120 This podcast is brought to you by the award-winning prop firm, Fidel cre, 2 00:00:03,120 --> 00:00:05,240 and is for entertainment purposes only. I'm. 3 00:00:05,240 --> 00:00:08,640 A strong believer of reading the markets and looking at price action. 4 00:00:08,640 --> 00:00:11,880 Price is absolute king to me. So if I can see something, man, 5 00:00:11,880 --> 00:00:14,680 I can see people joke about patterns and I do at times, 6 00:00:14,700 --> 00:00:18,040 but there are certain things that you see there and you see it enough and you 7 00:00:18,040 --> 00:00:18,640 think, ah, yeah. 8 00:00:18,640 --> 00:00:21,560 And then you probably find out that it is a pattern that's well known and 9 00:00:21,720 --> 00:00:24,240 recognized, and I've never found it before, but I've just recognized it. 10 00:00:24,240 --> 00:00:26,840 But I guess, or subconsciously it's there anyway, 11 00:00:26,910 --> 00:00:30,640 I take what's on the table effectively. I use pivot analysis a lot, 12 00:00:30,640 --> 00:00:34,360 which I will show you. So I'll take what's there, not what I want to have. 13 00:00:34,360 --> 00:00:37,360 Basically, in a sense, I'd like them all to be 10 to one. 14 00:00:37,360 --> 00:00:42,200 But the reality of these markets is as long as you can cover your costs and your 15 00:00:42,600 --> 00:00:46,360 strategy has a bullish bias, you can make money. Again, it's a strong belief. 16 00:00:46,360 --> 00:00:49,720 I have, you count in Pips and you mislead everyone by saying, well, 17 00:00:49,720 --> 00:00:51,360 the systems under a thousand pips. 18 00:00:51,360 --> 00:00:54,960 And realistically it's probably done 4% because the amount of risk that you put 19 00:00:54,960 --> 00:00:57,320 on the other side of those. Yeah. What what you gained was, 20 00:00:57,320 --> 00:01:00,160 was just didn't make sense. He was just a blinking good trader. 21 00:01:00,160 --> 00:01:03,960 And the only reason he was a good trader is cause he read price. However it was, 22 00:01:03,960 --> 00:01:06,120 yeah, he would look at price and he, he read price. 23 00:01:06,120 --> 00:01:08,440 He wasn't using all this market matrix stuff. 24 00:01:08,440 --> 00:01:09,960 He was actually just reading the price, 25 00:01:09,960 --> 00:01:13,120 cuz he'd always have an excuse of why he is just done this and why he is done 26 00:01:13,120 --> 00:01:16,040 that. And all he is doing is reading the price and memorial stories. 27 00:01:16,040 --> 00:01:18,640 Just learn how to read price and you can, I, 28 00:01:18,640 --> 00:01:23,360 I can show you how to trade literally without anything else but 29 00:01:23,360 --> 00:01:25,080 price. And I do this at any time. 30 00:01:25,080 --> 00:01:28,000 I didn't care if people can come into my room free of charge for a day or two, 31 00:01:28,000 --> 00:01:29,760 and I'll show them how to reprice. 32 00:01:29,860 --> 00:01:33,760 You can see how you could make money just by reading price action, 33 00:01:33,760 --> 00:01:36,680 put pivots on them price. And it's an absolute dream for me. 34 00:01:36,710 --> 00:01:39,480 I know the stats behind the pivots and I can see the price action, 35 00:01:39,480 --> 00:01:42,080 and all of a sudden I've got an edge in that market. 36 00:01:42,080 --> 00:01:45,040 But I know that edge is gonna work a good percentage of the time, 37 00:01:45,040 --> 00:01:47,960 and a good percentage may be 60, 65%. 38 00:01:47,960 --> 00:01:52,000 Episode 215. What's up traders? We've got Kim Watson here on the show today. 39 00:01:52,000 --> 00:01:55,360 Now Kim's a very experienced trader from the UK who's been around for a number 40 00:01:55,360 --> 00:01:58,840 of years, and he's already told you what it takes to make it as a trader, 41 00:01:58,840 --> 00:02:01,000 you'd really need to know how to read price. Well, 42 00:02:01,000 --> 00:02:02,400 the best traders read reprice. 43 00:02:02,400 --> 00:02:06,200 Now you're gonna find out how he reads price in today's show as well as the 44 00:02:06,200 --> 00:02:08,920 video we shot afterwards. So make sure you don't miss that. 45 00:02:08,920 --> 00:02:12,520 Other things going on here at Trading Up, we've got that livestream opportunity. 46 00:02:12,520 --> 00:02:16,640 If you do wanna jump on the trading up livestream and take part in a 50 K 47 00:02:16,640 --> 00:02:19,600 challenge, we can win $1,000 at the end of it. 48 00:02:19,600 --> 00:02:23,840 Then jump over there onto the livestreams or links under the video or in the 49 00:02:23,840 --> 00:02:26,280 podcast description and take on that Fidel Crest challenge. 50 00:02:26,280 --> 00:02:27,520 Now talking about Fidel Crest, 51 00:02:27,520 --> 00:02:29,560 let's hear from my sponsor and get on with the show. 52 00:02:29,560 --> 00:02:32,920 Fidel Crest is an award-winning pro firm that funds traders with up to 2 million 53 00:02:32,980 --> 00:02:35,680 and offers generous profit splits up to 90%. 54 00:02:35,680 --> 00:02:39,440 So one thing that really says Fidel Crest apart is their no minimum trading days 55 00:02:39,440 --> 00:02:42,920 requirement on their challenge and verification stages. On top of that, 56 00:02:42,920 --> 00:02:46,040 traders who successfully passed the challenge of verification stages are 57 00:02:46,280 --> 00:02:50,280 eligible to receive a bonus payout of up to 30 K on top of their funded stage 58 00:02:50,280 --> 00:02:52,160 profit split payout on performance. 59 00:02:52,160 --> 00:02:56,800 And be sure to use promo code trading that all One word to get 10% off your next 60 00:02:56,800 --> 00:02:58,680 challenge. Click the link in the description below. 61 00:02:58,680 --> 00:03:00,960 Or the the card above to find out more. Alright folks, 62 00:03:00,960 --> 00:03:01,960 here we are on Trading Up. 63 00:03:01,960 --> 00:03:06,080 We've got Kim Watson in the house from the Pivot Trader. Fun fact. Uh, 64 00:03:06,080 --> 00:03:11,080 we actually interviewed Kim's business partner from years ago, uh, back in 2018. 65 00:03:11,080 --> 00:03:15,000 Charlie and I believe both of you guys are actually funnily enough into karate. 66 00:03:15,090 --> 00:03:15,923 Is that right? 67 00:03:16,470 --> 00:03:18,880 Well, he's given up, but I'm still doing it. Yeah, 68 00:03:18,880 --> 00:03:20,520 I've been doing it for 40 years now, so. 69 00:03:20,660 --> 00:03:21,680 Wow. 40 years. 70 00:03:22,000 --> 00:03:25,160 Unbelievable. I know, I don't look that old and, but, uh, yeah, yeah, 71 00:03:25,160 --> 00:03:28,040 that it's just, just yeah, around about 40 years this year actually. 72 00:03:28,470 --> 00:03:32,720 Cool. Now it's not just that, but you are also a, uh, professional trader. 73 00:03:33,170 --> 00:03:36,600 Uh, you do swing trading four ex markets. You didn't start off there. 74 00:03:36,600 --> 00:03:41,080 So let's start by hearing your long, uh, trading journey, 75 00:03:41,080 --> 00:03:43,840 and I believe it is quite long. You've been doing it for a long time. 76 00:03:44,670 --> 00:03:47,720 I have, yes. I mean, it started, uh, way back. I, 77 00:03:47,950 --> 00:03:52,800 I got into the idea of trading. It sort of came to me gradually. Firstly, 78 00:03:53,210 --> 00:03:57,560 um, we had Margaret Thatcher in power and she was selling off a lot of companies 79 00:03:57,560 --> 00:04:01,720 like BT and British Gas and things like this. So, um, 80 00:04:02,280 --> 00:04:04,600 everyone said buy the shares, they'll, they'll do pretty good. 81 00:04:04,600 --> 00:04:05,800 So I bought the shares. 82 00:04:05,800 --> 00:04:09,600 So I got into sort of buying some shares and some of them just doubled overnight 83 00:04:09,600 --> 00:04:12,560 almost the, the demand for them was so great. As soon as they hit the market, 84 00:04:12,560 --> 00:04:15,320 there were people trying to buy them. And, um, it, it was, 85 00:04:15,320 --> 00:04:17,920 it was a great start to trading. Um, 86 00:04:17,920 --> 00:04:21,800 the next sort of stage of that was when I was working at a company that then 87 00:04:21,800 --> 00:04:26,560 started offering these, um, uh, buyers or owners. You earn schemes where you, 88 00:04:26,690 --> 00:04:30,920 uh, you would be offered the option to buy the shares at a certain price. 89 00:04:31,450 --> 00:04:34,640 Um, like it's one pound 20, the first thought I bought and I, 90 00:04:34,850 --> 00:04:39,360 in five years time, you can sell 'em for the price you opted to buy them at. 91 00:04:39,600 --> 00:04:42,240 And they were five pounds, 60 or something like this. Yeah. 92 00:04:42,250 --> 00:04:44,160 So every year I was adding to them and they, 93 00:04:44,160 --> 00:04:47,240 they didn't all increase as well as that, but that was the first lot I bought. 94 00:04:47,240 --> 00:04:50,280 And I thought, yeah, hey, this is something in, in this. And I, 95 00:04:50,280 --> 00:04:54,120 I then got given, I sort of got promoted and ended up with, um, 96 00:04:54,200 --> 00:04:58,040 executive share scheme, option schemes and things like this. And suddenly you, 97 00:04:58,040 --> 00:05:02,520 you sort of getting a bonus for doing absolutely not a lot really . Um, 98 00:05:02,520 --> 00:05:05,960 but that, that sort of got me into it. And then, um, 99 00:05:06,410 --> 00:05:10,520 of course I picked up the usual habit of what we do is you hear someone down the 100 00:05:10,520 --> 00:05:13,400 pub talking about a particular share and they said, don't tell anyone. 101 00:05:13,400 --> 00:05:16,920 But he used to, and again, I a look at that and I, I bought some real duffers. 102 00:05:17,250 --> 00:05:19,360 Uh, one of 'em was dragging all, it turned a, 103 00:05:19,410 --> 00:05:24,240 it gave me a return of 5% over per year return when I 104 00:05:24,240 --> 00:05:27,720 eventually sold it. Cause it just hang on, hang on and forgot about it. Uh, 105 00:05:27,720 --> 00:05:30,520 so its a bit of luck really. But, um, it, 106 00:05:30,540 --> 00:05:34,120 oil prices obviously eventually started going up and it had some value, 107 00:05:34,180 --> 00:05:36,470 but it was just a duffer, 108 00:05:36,470 --> 00:05:40,510 it's a real learn not to listen to anyone down the pub really. Um, then, 109 00:05:40,510 --> 00:05:45,150 then I started and we, um, we went on a course actually and, um, 110 00:05:46,040 --> 00:05:49,550 it was run by Tony Robbins organization and it was, 111 00:05:49,550 --> 00:05:51,430 it was all on shares and options, 112 00:05:51,430 --> 00:05:55,470 basically co do looking at covered calls where you buy the share, you sell the, 113 00:05:55,470 --> 00:05:58,880 the option, um, the call option away, 114 00:05:59,180 --> 00:06:04,080 and if the certain things meet the criteria at the end of the, um, the period, 115 00:06:04,140 --> 00:06:04,740 the, 116 00:06:04,740 --> 00:06:08,280 you have average shares called away from you or you stay with the shares and you 117 00:06:08,280 --> 00:06:11,200 just earned the money from selling the option. So, uh, 118 00:06:11,200 --> 00:06:15,520 did that for quite a while. Then 2000 came along and it really, uh, 119 00:06:15,760 --> 00:06:19,520 sort of when the market started going a bit sort of wrong there with the.com 120 00:06:19,520 --> 00:06:24,220 crash, et cetera, it really devalued the, the value of options. 121 00:06:24,220 --> 00:06:26,820 You couldn't make so much money on the options. 122 00:06:26,820 --> 00:06:29,980 And I sort of started then scratching around looking and I was, I was, 123 00:06:29,980 --> 00:06:33,180 I was feeling quite successful. Well, we started then just trading pure options. 124 00:06:33,180 --> 00:06:34,500 We were literally buying, 125 00:06:34,500 --> 00:06:39,140 put contracts or core contracts on different companies. So we, we were really, 126 00:06:39,190 --> 00:06:42,260 uh, wow, I was really overleveraging as well. And it sort of, 127 00:06:42,260 --> 00:06:44,020 there was some major, I mean, 128 00:06:44,060 --> 00:06:48,100 there were times when you just think you're trading God because everything's 129 00:06:48,100 --> 00:06:48,933 going well for you. 130 00:06:49,040 --> 00:06:53,060 And it turned out I was probably just very lucky to start with because then you 131 00:06:53,060 --> 00:06:56,260 hit the sort of, ah, no, um, that's got, you know, 132 00:06:56,260 --> 00:06:59,420 you just lo you just wiped away half your, your, your, 133 00:06:59,420 --> 00:07:02,100 the money you've made and or more, you know, 134 00:07:02,100 --> 00:07:04,380 you sort of right back down to scratch it seems. 135 00:07:04,790 --> 00:07:09,520 So I then sort of got into trading better with, 136 00:07:09,520 --> 00:07:14,240 with some, um, technique and looking at money management rules eventually came. 137 00:07:14,730 --> 00:07:19,160 Um, and, and, and then sort of looked at, uh, I, 138 00:07:19,160 --> 00:07:22,720 I quite like the idea of four x because it is a market that works particularly 139 00:07:22,720 --> 00:07:26,120 well through the London sessions, uh, through, uh, through our sessions. 140 00:07:26,120 --> 00:07:28,640 It's got, I mean, it's got loads and loads of benefits. 141 00:07:28,640 --> 00:07:33,240 There's o obviously loads of problems with it for some people as well, 142 00:07:33,240 --> 00:07:37,360 but overall, if you trade it well, it's got some real opportunities. 143 00:07:37,690 --> 00:07:42,520 So I've got into the fourex market. So, um, and started trading that now. Um, 144 00:07:42,570 --> 00:07:47,200 at that stage, I, I, I'd left work, I've sort of decided this, this was for me. 145 00:07:47,450 --> 00:07:52,360 Uh, and I be, before that I was working for a healthcare company, actually, um, 146 00:07:52,360 --> 00:07:56,520 over here. And I just, I'd got headhunted by another healthcare company, 147 00:07:56,520 --> 00:07:59,960 which I didn't like so much. And I had loads of, loads of time at home. 148 00:08:00,210 --> 00:08:04,160 So I'd already started setting myself up to trade, but I was, 149 00:08:04,160 --> 00:08:08,760 I was just the typical bloke that wants to trade basically in real terms when I 150 00:08:08,760 --> 00:08:11,480 started off. And that, that's where I came from. I didn't go to, 151 00:08:11,510 --> 00:08:16,320 didn't have any of these sort of, I, I knew a lot about shares. Um, 152 00:08:16,590 --> 00:08:20,000 I, I, I've done an N B A, so it's, it is sort of a, 153 00:08:20,110 --> 00:08:23,840 i I knew about businesses and things like this and the principles behind it. 154 00:08:24,250 --> 00:08:28,800 So that was all, you know, knew that sort of stuff. But I liked it. 155 00:08:28,830 --> 00:08:31,400 I liked the idea that you could carry on expanding your knowledge, 156 00:08:31,400 --> 00:08:34,800 you could earn some money if you got it right. And so that, 157 00:08:34,800 --> 00:08:39,060 that was sort of the, the, the sort of starting point. 158 00:08:39,060 --> 00:08:42,740 And from there, really it just, it just grew it, uh, learn. 159 00:08:42,800 --> 00:08:47,500 I'm forever learning. Um, you mentioned karate, you're always learning. Um, 160 00:08:47,500 --> 00:08:51,260 trading is no different. I mean, even to this day, I might see something. 161 00:08:51,260 --> 00:08:54,580 I think I might give that a try. You just pick things up. I, I, 162 00:08:54,580 --> 00:08:58,720 I'm a strong believer of reading the markets and looking at price action. 163 00:08:58,720 --> 00:09:01,680 Price is absolute king to me. So if I can see something, 164 00:09:01,680 --> 00:09:05,640 then I can see people joke about patterns and I do at times. 165 00:09:05,780 --> 00:09:09,800 But there are certain things that you see there and you see it enough and you, 166 00:09:09,800 --> 00:09:11,160 you pick up and you think, ah, yeah. 167 00:09:11,160 --> 00:09:14,040 And then you probably find out that it is a pattern that's well known and 168 00:09:14,200 --> 00:09:17,200 recognized. And I've never found it before, but I've just just recognized it. 169 00:09:17,200 --> 00:09:21,800 But I guess, or subconsciously, uh, is it, is there anyway. But, um, 170 00:09:21,800 --> 00:09:26,120 either way. So I'm always learning. I, I, I, you know, day in, day out, I'm, 171 00:09:26,260 --> 00:09:30,560 I'm learning, I'm testing strategies. Um, I'm, I genuinely believe, 172 00:09:30,560 --> 00:09:33,040 and I've always done this, is, uh, 173 00:09:33,040 --> 00:09:37,880 the biggest problem traders have is their mindset, um, and how they trade. 174 00:09:38,060 --> 00:09:39,800 But they never take it seriously. 175 00:09:39,800 --> 00:09:42,080 They never treat it as a business in the first place. 176 00:09:42,420 --> 00:09:47,320 And there's very few businesses that you would start up and just guess 177 00:09:47,320 --> 00:09:50,600 at, because some blokes sort of taught you on a course or whatever. For us, 178 00:09:50,600 --> 00:09:52,520 this is how it does it. Uh, 179 00:09:52,520 --> 00:09:56,160 but for some reason we do a trading cuz of the greed and everything else that 180 00:09:56,160 --> 00:10:00,960 comes with it. Um, and the desire to a lot of escapism for people. 181 00:10:00,960 --> 00:10:02,080 They think they'll, uh, 182 00:10:02,080 --> 00:10:05,280 earn their money and they won't have to ever work again or whatever else. 183 00:10:06,660 --> 00:10:07,493 So it, it, 184 00:10:09,240 --> 00:10:13,530 I've gone through all those sort of things and I've found the best way to do 185 00:10:13,530 --> 00:10:18,170 things was to test them. Always test them, do the hard work. Um, it's, 186 00:10:18,170 --> 00:10:19,050 it is about, 187 00:10:19,200 --> 00:10:22,930 it's not about just sitting there and some someone's gonna teach you or you're 188 00:10:22,930 --> 00:10:26,570 gonna find a strategy. You've gotta test it because in the, in the, in the, 189 00:10:26,570 --> 00:10:31,210 in the mindset, um, the traders have a problem with, 190 00:10:31,320 --> 00:10:33,730 part of it is the, the belief in whether the, 191 00:10:33,790 --> 00:10:37,090 the whatever they're using is gonna work and get to their targets. 192 00:10:37,270 --> 00:10:39,530 But if you've tested it manually, and I, 193 00:10:39,530 --> 00:10:41,730 I'm a strong believer of manual testing as well, 194 00:10:42,020 --> 00:10:45,170 if you've tested it yourself and you've manually gone back there, 195 00:10:45,170 --> 00:10:48,010 you'll you'll recognize the price. You will, uh, 196 00:10:48,010 --> 00:10:51,090 action when it's doing certain things and it just sort of picks it up. 197 00:10:51,220 --> 00:10:54,410 So when it comes to real time, you are used to that. 198 00:10:54,550 --> 00:10:58,530 And the great thing about technology nowadays, you can roll the screen. I mean, 199 00:10:58,530 --> 00:11:02,930 when I started back in, oh, pre 2000, I used to ring up almost. 200 00:11:02,930 --> 00:11:05,450 It was a case, you know, shares, the shares are bought. 201 00:11:05,450 --> 00:11:07,370 I rang up to buy the shares, the, 202 00:11:07,370 --> 00:11:10,130 the technology wasn't this anywhere near where we are now. 203 00:11:10,280 --> 00:11:11,770 I remember options trading. I, 204 00:11:11,770 --> 00:11:16,210 I was lucky enough to get into the Chicago Board of Options, um, um, 205 00:11:16,310 --> 00:11:19,530 and sorry, the wasn't sure why I went there as well, but I, 206 00:11:19,530 --> 00:11:23,570 I went into the s and p pits and there was this guy standing over the back of 207 00:11:23,570 --> 00:11:25,650 the pits and I asked the guy that had taken us in there, 208 00:11:25,650 --> 00:11:27,650 what's that fellow doing over there? And he said, oh, 209 00:11:27,650 --> 00:11:28,530 he is dealing with the options. 210 00:11:28,530 --> 00:11:31,930 And he was on a little PDA sort of thing and his hands and it, it, 211 00:11:31,930 --> 00:11:34,610 it took it to the phone and it went backwards and forwards. And I thought, 212 00:11:34,740 --> 00:11:37,770 no wonder my trades take so long to set up. I mean, 213 00:11:37,770 --> 00:11:41,930 nowadays it's just like this, but it, it just, oh my goodness, you know. 214 00:11:42,780 --> 00:11:46,150 Anyway. Wow. Uh, sorry, I've, I've probably overs answered your question, 215 00:11:46,150 --> 00:11:49,910 but that's my, my sort of journey into trading. And I, 216 00:11:49,910 --> 00:11:54,600 I've got a real thing with, um, uh, probability. I, I, 217 00:11:54,600 --> 00:11:56,720 I think as I say, the trader mindset needs some, 218 00:11:56,720 --> 00:12:00,160 should have some probability tied in behind it to help it. 219 00:12:00,380 --> 00:12:03,800 Cuz we can do a lot of things to help all the traits that people struggle with. 220 00:12:04,500 --> 00:12:06,040 And what, and what do you do? I mean, you, 221 00:12:06,040 --> 00:12:08,400 you haven't quite touched on what you're doing now, so what, 222 00:12:08,400 --> 00:12:09,840 what are you doing on the here and now? 223 00:12:10,430 --> 00:12:14,160 Okay. Uh, so now I just, I just sort of progressed. I've, um, 224 00:12:15,280 --> 00:12:19,980 now I, I run run a, a, a relatively modest business. Uh, the pivot trader, 225 00:12:20,550 --> 00:12:25,220 um, there, the, the, the, the aim is to, um, 226 00:12:25,220 --> 00:12:28,460 trade in the mornings with the guys. Cuz I, I personally find a, 227 00:12:28,460 --> 00:12:32,020 I've got a window of opportunity between about eight and 10 o'clock London time 228 00:12:32,200 --> 00:12:33,660 and I'll trade that time. 229 00:12:33,660 --> 00:12:38,300 It's my first opportunity then probably 12 to about three. And again, 230 00:12:38,300 --> 00:12:42,500 it's all by analysis. Uh, I've wor worked out when I was taking trades before, 231 00:12:42,750 --> 00:12:46,660 uh, before eight o'clock, the probability of them weren't very gr good there, 232 00:12:46,660 --> 00:12:51,140 there was a lot of false breakouts, et cetera. Um, anyway, so, um, my, 233 00:12:51,140 --> 00:12:55,220 my trading day is that, so I share that time with the guys that, um, 234 00:12:55,740 --> 00:12:58,060 subscribe to my, my channel and the Pivot Trader. 235 00:12:58,840 --> 00:13:02,700 And we literally go on Zoom every day. We take the charts, we look at things, 236 00:13:02,700 --> 00:13:03,500 we take trades, 237 00:13:03,500 --> 00:13:07,300 if there's trades to be taken because it's important to take them live. I think, 238 00:13:07,300 --> 00:13:09,860 you know, if you just work on theory, I've seen people just, 239 00:13:09,860 --> 00:13:14,020 they'll only show you their strategies on slides cuz they don't trade them. Uh, 240 00:13:14,020 --> 00:13:14,620 so you, 241 00:13:14,620 --> 00:13:18,340 you've gotta see them traded and what it really looks like when that on the 242 00:13:18,340 --> 00:13:21,940 right hand side of the chart, when it's actually happening and how, you know, 243 00:13:22,080 --> 00:13:26,780 for some people it's quite scary. Um, me, I enjoy it. Um, it, it, 244 00:13:26,780 --> 00:13:28,860 it's, it, it's, it is, it, 245 00:13:28,860 --> 00:13:32,820 it is quite a nice bit of feedback as you get people hopefully getting 246 00:13:32,820 --> 00:13:36,700 successful and more successful doing it. So, um, that, 247 00:13:36,700 --> 00:13:40,100 that's my sort of morning, my afternoon. So I'm, as I say, I'm testing, I'm, 248 00:13:40,280 --> 00:13:42,900 I'm, I'm doing some recording and I, 249 00:13:42,900 --> 00:13:45,900 I put a load of stuff onto YouTube as well. 250 00:13:47,340 --> 00:13:50,720 The day goes past so quickly. Yeah. Um, and you know, as I say, 251 00:13:50,720 --> 00:13:54,120 got those two major windows to be trading through. So, um, 252 00:13:54,150 --> 00:13:57,600 I trade a little bit of someone else's money, but I'm, 253 00:13:57,740 --> 00:14:01,520 I'm not out there to look to trade major, major money. Maybe, uh, 254 00:14:01,520 --> 00:14:05,120 I might change that at some point when the children go to university. Um, 255 00:14:05,120 --> 00:14:09,800 but at the moment I'm quite happy where I am, um, with, uh, you know, 256 00:14:09,900 --> 00:14:13,760 tra trading myself. I don't have the phone calls of people saying, hang on, it, 257 00:14:13,760 --> 00:14:16,240 it moved it, you know, a little bit down the other day. 258 00:14:16,240 --> 00:14:19,920 They never ring you up when it's going up. But, uh, uh, the guy, 259 00:14:19,920 --> 00:14:22,920 the guys I trade for, they, they've got, uh, absolutely, they, 260 00:14:22,950 --> 00:14:26,600 I don't speak to him for months on end. Um, and that's why I like him. 261 00:14:26,670 --> 00:14:29,440 Yeah. And, and so it's interesting. Um, I, 262 00:14:29,440 --> 00:14:32,400 I spoke to a guy last night or trader last night who's gonna be on the show. 263 00:14:32,400 --> 00:14:33,960 I dunno if it's gonna be before or after you, 264 00:14:33,960 --> 00:14:38,840 but they said exactly what you are doing was the solution. 265 00:14:39,030 --> 00:14:43,520 I e having a mentor that you can actually sit there and watch them take the 266 00:14:43,520 --> 00:14:45,960 trades and watch them at the charts, uh, 267 00:14:45,970 --> 00:14:50,720 it seems to be much more advantageous versus, you know, here's how you do it. 268 00:14:50,740 --> 00:14:53,400 And good luck with that. Yeah. You know, good luck with that. Well, he, 269 00:14:53,400 --> 00:14:55,880 he knows what he is talking about. I can tell you . Yeah, yeah. 270 00:14:55,890 --> 00:14:58,320 Because it is, I mean, I, when I, 271 00:14:58,320 --> 00:15:01,760 even when I started trading options and covered calls and things like this, but, 272 00:15:01,860 --> 00:15:06,000 you know, I, I, I did this course, um, and it's, uh, what is it, 273 00:15:06,000 --> 00:15:09,760 wealth Mastery or something like this, it was called. And I did it, 274 00:15:09,760 --> 00:15:12,000 but at the end, at the end of the day, I came around with it. 275 00:15:12,000 --> 00:15:15,800 I've still got the book somewhere cuz it is a massive folder. And I, 276 00:15:15,800 --> 00:15:17,720 I like everyone else, 277 00:15:17,720 --> 00:15:22,360 I've probably still got it and never referred back to it ever again. Um, you, 278 00:15:22,360 --> 00:15:24,560 you start trying to work out, well how does that work? 279 00:15:24,560 --> 00:15:27,400 And fortunately I come across a guy, he was, um, 280 00:15:28,410 --> 00:15:32,920 he was trying to get a bit of a trading company going himself as in teaching 281 00:15:32,920 --> 00:15:34,600 people. One of Forus he was, 282 00:15:34,700 --> 00:15:37,560 the trouble is he was never very successful with his trading company, 283 00:15:37,560 --> 00:15:41,800 but he was a really good teacher and he really knew options and, 284 00:15:41,800 --> 00:15:45,600 and and what we were trying to achieve and showed us, uh, 285 00:15:45,600 --> 00:15:48,440 and literally showed us live and this is what you're doing in this same place. 286 00:15:48,440 --> 00:15:51,480 It right. This is, and this is what we're doing. Um, 287 00:15:51,500 --> 00:15:55,600 and it was so easy to learn. And that, that sort of made me think, well, 288 00:15:55,600 --> 00:15:58,320 there's no point just putting stuff up on you. I mean, 289 00:15:58,320 --> 00:16:03,000 I put stuff on YouTube and hopefully it gives people ideas to take away and 290 00:16:03,000 --> 00:16:04,560 test and try for themselves. 291 00:16:04,940 --> 00:16:09,480 But there's nothing that beats just literally sitting there looking at screens. 292 00:16:09,620 --> 00:16:11,800 And the biggest thing is, um, 293 00:16:11,830 --> 00:16:16,160 it's when you can't get a trade because everyone's looking at you. So, 294 00:16:16,160 --> 00:16:19,200 oh, uh, they probably are looking at me actually, and, 295 00:16:19,200 --> 00:16:21,320 and thinking why isn't he taking a trade? 296 00:16:21,360 --> 00:16:24,680 Cause the market isn't offering me anything. I've got the patience. I, 297 00:16:24,680 --> 00:16:27,840 I don't particularly wanna sit there and just take a trade to show you how to 298 00:16:27,840 --> 00:16:32,800 take a trade. Um, I'm looking to take a trade because look, we can see this, 299 00:16:32,800 --> 00:16:36,720 this, this is a good strategy here. This makes sense. It's gonna, it is got X, 300 00:16:36,720 --> 00:16:40,640 Y, Z going for it. Um, there's the risk, there's the reward. It's pay, 301 00:16:40,640 --> 00:16:45,240 it is paying its way, let's go ahead with it. And, uh, if it doesn't, I mean, 302 00:16:45,240 --> 00:16:48,880 I I, I couldn't get a trade this morning. And so sometimes I almost feel, 303 00:16:48,880 --> 00:16:51,480 feel like in a sense that you're failing you, you, you, 304 00:16:51,480 --> 00:16:53,920 the guys that are coming into the room. But at the same time, 305 00:16:54,030 --> 00:16:57,640 it's making them aware. You don't have to be a cash is a position , 306 00:16:57,640 --> 00:17:01,240 you know, you don't have to be in the market all of the time. Um, 307 00:17:01,240 --> 00:17:04,800 and I dunno, I've, this year actually, I, I, 308 00:17:04,800 --> 00:17:06,280 I mean I keep a record of the, 309 00:17:06,280 --> 00:17:09,080 of the trades I've taken in the trade room separately. 310 00:17:09,080 --> 00:17:13,800 So I've got like a list of where we are over the year, um, since I started the, 311 00:17:13,810 --> 00:17:18,550 uh, the pivot trade in March, uh, last year. And so I, 312 00:17:18,550 --> 00:17:20,630 so I keep a running total of what's going on. 313 00:17:20,630 --> 00:17:23,510 I look at the draw down and everything else that we've got. So I've, 314 00:17:23,510 --> 00:17:25,830 I've actually done a sort of four analysis for them, 315 00:17:25,830 --> 00:17:29,750 and which I share with them and we, we sort of run through, um, and it's, 316 00:17:29,750 --> 00:17:32,030 it is doing okay. Um, but um, 317 00:17:32,990 --> 00:17:36,600 I try and encourage them to do all the same things so that they, and, and they, 318 00:17:36,600 --> 00:17:40,680 they know there's times that I, I may get a break even trade. I may, uh, 319 00:17:40,680 --> 00:17:41,800 never even get a trade. 320 00:17:41,800 --> 00:17:44,840 And hopefully it encourages them to realize you can do okay. 321 00:17:44,900 --> 00:17:49,600 Not train every day or every session of the day. You, you, you can, 322 00:17:49,910 --> 00:17:54,600 yeah. It's, it, it's, it's a long journey. It's not like a race or sprint. It's, 323 00:17:54,600 --> 00:17:56,960 it's, it is a, it is a real journey to be trading. 324 00:17:57,140 --> 00:18:02,080 And if you're looking at sort of 20, 30% over a year, um, 325 00:18:02,270 --> 00:18:05,760 I don't think enough people realize that's a blinking good return. 326 00:18:05,790 --> 00:18:08,800 I look at what the, the bar share, hedge, hedge, uh, 327 00:18:08,800 --> 00:18:13,160 bar Barclay's hedge shows in terms of four x traders. I think it's, uh, 328 00:18:13,160 --> 00:18:15,880 9% they did last year. Um, and the, 329 00:18:15,880 --> 00:18:19,440 these are so-called professional traders. Mm-hmm. , so, uh, 330 00:18:19,440 --> 00:18:23,400 hedge funds, et cetera. And you just think, well, if you can outperform that, 331 00:18:23,400 --> 00:18:26,720 you, you, and they've probably got some of the inside information, 332 00:18:26,890 --> 00:18:31,800 or if there is such, well, there is some, there is information, but, um, they, 333 00:18:31,800 --> 00:18:33,200 they may have better information, 334 00:18:33,200 --> 00:18:35,720 but they're still not really knocking out of the path that much. 335 00:18:36,740 --> 00:18:40,600 Now, um, let's, let's dive into, I mean, I've got a ton of questions on the, 336 00:18:40,600 --> 00:18:44,520 what you've mentioned, but we're gonna try and keep the flow and dive into that. 337 00:18:44,520 --> 00:18:47,640 Sorry. Yep. Analysis that you talked about with, you know, 338 00:18:47,640 --> 00:18:50,880 you're keeping a track record of here's what we've done this year, students, 339 00:18:50,910 --> 00:18:53,000 what, what's that look like from a stats point of view? 340 00:18:53,000 --> 00:18:55,800 If you wanted to just sort of reel those out. I mean, how did you, 341 00:18:56,180 --> 00:19:00,200 how many wins? What's the sort of risk to reward kind of thing on the trades? 342 00:19:00,200 --> 00:19:00,560 Yep. 343 00:19:00,560 --> 00:19:03,680 Yep. Okay. Now the risk rewards, I, I'm, um, 344 00:19:03,680 --> 00:19:06,880 lemme just move it over so I can see it as I'm talking to you a little bit 345 00:19:06,880 --> 00:19:11,640 better. Um, yep. Um, I'm not agre, I, 346 00:19:11,640 --> 00:19:16,040 I take what's, what's on the table effectively. I use pivot analysis a lot, 347 00:19:16,040 --> 00:19:20,790 which I will show you. Um, but it's, it's, um, 348 00:19:21,040 --> 00:19:25,470 so I'll take what's there, not what I want to want to have, basically, 349 00:19:25,680 --> 00:19:28,710 in a sense I'd like them all to be 10 to one. Um, 350 00:19:28,710 --> 00:19:30,710 but the reality of these markets is 351 00:19:32,240 --> 00:19:37,230 as long as you can cover your costs and your strategy has a, a, 352 00:19:37,230 --> 00:19:40,750 a, a bullish bias, you can make money. Um, 353 00:19:40,780 --> 00:19:43,510 I actually did a lot of analysis on, I've, 354 00:19:43,510 --> 00:19:48,430 I've got a particular strategy that I've done stacks of analysis on, and it, it, 355 00:19:48,430 --> 00:19:52,670 it does like 20, 30% a year, um, with one, 356 00:19:52,670 --> 00:19:55,270 well now it's down to one currency pair. Cause I've knocked, 357 00:19:55,340 --> 00:19:58,670 I had three currency pairs on there, but the, the, the two on the, 358 00:19:58,670 --> 00:20:03,350 the periphery were basically taken away from it as opposed to adding to it so 359 00:20:03,350 --> 00:20:07,430 often. Um, it, it, it was, it's a great exercise. Been looking, 360 00:20:07,790 --> 00:20:12,220 training it over a number of years and kept all the data on it. 361 00:20:12,360 --> 00:20:17,340 And it, it's, the whole process is a massive learning process because you, 362 00:20:17,340 --> 00:20:20,700 you understand you can have 7, 8, 9 losses in a row on this. 363 00:20:20,700 --> 00:20:23,860 Some of these things, it's one strategy and it, that's how it goes. 364 00:20:23,920 --> 00:20:26,580 But then all of a sudden it absolutely flies. 365 00:20:26,600 --> 00:20:29,460 But the coming back to the risk reward, um, 366 00:20:29,560 --> 00:20:32,380 the optimum risk reward was 1.3. 367 00:20:32,880 --> 00:20:35,980 Now I looked at all of the, the figures and I thought, well, 368 00:20:35,980 --> 00:20:40,300 I wanna automate this. So I've automated it. It's, it's on a little aa, but, um, 369 00:20:40,630 --> 00:20:42,460 because it's easier. Yeah, it is. 370 00:20:42,460 --> 00:20:45,900 It's an easy way if you're not sitting at the screen all day. Just, and I, 371 00:20:45,900 --> 00:20:47,020 I was out today. Okay, I, 372 00:20:47,120 --> 00:20:49,880 I switched it off today cause there was so many speakers coming out today. 373 00:20:49,880 --> 00:20:52,360 So there'll be days I make a decision, well, I'm not gonna trade. Right. 374 00:20:52,360 --> 00:20:56,960 And have it on that day. Yeah. Um, yeah, yesterday I had it on yesterday, yeah. 375 00:20:56,990 --> 00:21:01,440 I had it on. Um, and then today I turned it off yesterday. 376 00:21:01,450 --> 00:21:04,560 It just actually hit me. I confession, 377 00:21:04,560 --> 00:21:08,800 I had the timing this set on the, on, on the, uh, autotrade and it took me an, 378 00:21:08,800 --> 00:21:12,320 it took me a seven o'clock trade, which I'll never, ever take. I'm, 379 00:21:12,320 --> 00:21:15,040 I'm an eight o'clock starter . It took me, 380 00:21:15,040 --> 00:21:17,840 I had two winning trades off it yesterday cuz that's seven o'clock one. 381 00:21:17,840 --> 00:21:21,920 But it's, I've turned it, I've adjusted the time now. But, uh, um, yeah, 382 00:21:21,920 --> 00:21:25,560 it just does itself and I get little pings on my phone and cuz it's using, um, 383 00:21:26,810 --> 00:21:30,160 t4, you, although you can't do it, sorry, apple at the moment, but you can get, 384 00:21:30,300 --> 00:21:32,480 get it to send you messages anyway. So. 385 00:22:00,600 --> 00:22:05,390 So you're looking at like URISA awards one one to 1.3? 386 00:22:05,820 --> 00:22:06,653 Well average. 387 00:22:06,780 --> 00:22:08,390 That would be the optimal Yeah. 388 00:22:08,390 --> 00:22:11,670 That would be that, that's all, that's all one strategy on different strategies. 389 00:22:11,670 --> 00:22:14,510 As I say, it depends on the strategy because some of these things, 390 00:22:15,640 --> 00:22:17,390 if I'm looking for somewhat more of a swing, 391 00:22:17,390 --> 00:22:21,870 I'm looking for two or three multiple, two or three hopefully. Um, 392 00:22:22,370 --> 00:22:25,270 but it, as I say, it depends on what's, what's really there. 393 00:22:25,340 --> 00:22:30,190 I've moved probably most of the trades I've had recently have been day 394 00:22:30,190 --> 00:22:33,190 trades because the way the markets have been moving is that couple of them are 395 00:22:33,190 --> 00:22:36,670 run overnight, but majority of them are day trades. But they're, 396 00:22:37,360 --> 00:22:41,830 if you counted them in pips you think, oh, that's really good. But, um, 397 00:22:42,080 --> 00:22:45,670 in percentage terms, cuz I, I I, and, and, and again, 398 00:22:45,670 --> 00:22:49,030 it's a strong belief I have, you count in pips and you, uh, you know, you, 399 00:22:49,050 --> 00:22:51,710 you can mislead everyone by saying, well, you know, 400 00:22:51,710 --> 00:22:56,270 the systems I a thousand pips and realistically it's probably done 4% because 401 00:22:56,270 --> 00:22:58,590 the amount of risk that you put on the other side of those. Yeah. 402 00:22:58,590 --> 00:23:01,750 What what you gained was was just didn't make sense. 403 00:23:01,750 --> 00:23:05,350 So I just look at risk and reward. Um, I measure everything. 404 00:23:05,350 --> 00:23:08,030 And so I look at multiples of that. I mean, some, 405 00:23:08,030 --> 00:23:10,990 some of my returns have been like 0.6 for whatever it may be. 406 00:23:10,990 --> 00:23:14,910 I may been trailing to stop on it or something like this. So, um, they look, 407 00:23:14,910 --> 00:23:19,190 they look quite ugly at times. Um, be because I'm moving, 408 00:23:19,190 --> 00:23:23,110 moving things, but I'm not, I'm only moving things in, in, 409 00:23:24,160 --> 00:23:29,030 in alignment with my strategy. Um, the, the thing we're trading with and, 410 00:23:29,030 --> 00:23:33,350 and I mean, I'm just looking more recently, I've sort of had 1.4, 1.5, 411 00:23:33,350 --> 00:23:37,790 1 8 6, 1 0.86, 1.9, and, uh, 1.2, 1.5, 412 00:23:37,790 --> 00:23:42,550 1.2. It's a lot of 1.2 is 1.6 on Monday, uh, 413 00:23:42,550 --> 00:23:46,480 lost, lost half a percent yesterday. Um, so my loss, 414 00:23:46,490 --> 00:23:51,000 my biggest loss is only ever gonna be 1%. Um, I never risk more than 1%. 415 00:23:51,000 --> 00:23:55,200 Is that is absolute. Uh, and June, uh, came back after, uh, 416 00:23:55,200 --> 00:23:59,840 Christmas and I only for the first week or so I was on half percent risk. Um, 417 00:23:59,840 --> 00:24:02,600 because it's such a horrible time. I'm just, you know, 418 00:24:02,600 --> 00:24:05,120 looking back historically at my own figures and I just think, 419 00:24:05,140 --> 00:24:07,600 why don't I have an extra week's holiday? 420 00:24:08,240 --> 00:24:10,400 ? Yeah, right. Ok. saving. 421 00:24:10,400 --> 00:24:13,560 Money. It's, it's like, it's like September. It's just sort of, you, you, 422 00:24:13,560 --> 00:24:16,960 I I sort of go away in August. This August was pretty good and I looked, 423 00:24:16,960 --> 00:24:20,240 I should really go away in September. It's September's not as good as August. 424 00:24:20,240 --> 00:24:22,600 August is actually right. Um, yeah. 425 00:24:23,170 --> 00:24:25,880 Hanging in there and not doing so bad. So. 426 00:24:26,780 --> 00:24:28,170 Ah, that's interesting. And so. 427 00:24:28,300 --> 00:24:29,133 So. 428 00:24:29,930 --> 00:24:32,330 Variable. How many strategies have you, how many strategies do you actually run? 429 00:24:34,240 --> 00:24:38,790 Um, I probably about four or five. 430 00:24:39,400 --> 00:24:41,590 Um, the, the, I mean, uh, there's, 431 00:24:41,820 --> 00:24:46,030 I've sort of got one completely fixed strategy. The rest are, 432 00:24:46,410 --> 00:24:50,710 I'm, I'm doing my best to make them as mechanical as possible. 433 00:24:51,200 --> 00:24:54,310 Uh, because I, I read price at the end of the day and, uh, 434 00:24:54,310 --> 00:24:58,910 the entry of getting into a price is done by the what I'm reading. Uh, so I, 435 00:24:58,910 --> 00:25:02,550 I have to teach people how to read the price and what you're looking for. Um, 436 00:25:02,800 --> 00:25:07,710 so it's, it's, some of them are, uh, very, very, like flags. 437 00:25:07,710 --> 00:25:11,430 I really love flags if they're in trend. I mean, it's, it's one of the, uh, 438 00:25:11,430 --> 00:25:13,310 people say, why don't you trade flags or whatever else. 439 00:25:13,310 --> 00:25:17,030 They're brilliant if you get 'em right, if you, but I'm using them with pivots. 440 00:25:17,030 --> 00:25:21,470 So I've got this overlap. So I'm using a lot of pivots as my sort of background, 441 00:25:21,720 --> 00:25:26,110 uh, tool. And then I've got three or four pivot strategies that run around that. 442 00:25:26,680 --> 00:25:28,590 So I, I can u yeah. But they, 443 00:25:28,590 --> 00:25:33,290 they just different opportunities that you can use pivots for. 444 00:25:33,340 --> 00:25:36,490 So, um, there, there's great stats around pivots and they're, 445 00:25:36,490 --> 00:25:40,410 they're very easy to ma uh, measure and, and get good, you know, 446 00:25:40,520 --> 00:25:44,290 I know the probability of just about everything happening with a pivot in any 447 00:25:44,290 --> 00:25:49,170 given day. So I say in every given day, I know the long-term probability of the, 448 00:25:49,170 --> 00:25:53,610 the pivots being hit. Um, yeah. And the chances are, I mean, if you look at the, 449 00:25:53,660 --> 00:25:56,450 um, R one s, uh, sorry, r threes, S three s, 450 00:25:56,450 --> 00:25:57,690 if you into pivots and you look at those, 451 00:25:57,690 --> 00:26:00,330 they've only got like a 5% chance of it ever being hit. 452 00:26:00,660 --> 00:26:03,890 So if you are setting targets outside of those in a day and you're looking at it 453 00:26:03,890 --> 00:26:07,250 as a day trade, you haven't really got a lot of chance. You know, you, 454 00:26:07,250 --> 00:26:08,450 you've got 5% chance. 455 00:26:08,450 --> 00:26:13,290 So a lot of my strategies applied around ha knowing what the 456 00:26:13,290 --> 00:26:17,970 market may deliver. Um, I think any fall can take a trade, uh, 457 00:26:17,970 --> 00:26:22,370 and get into a trade. But the, the great thing is getting out of the trade, um, 458 00:26:22,370 --> 00:26:26,690 and getting out of the trade in a way that you don't wanna be leaving loads 459 00:26:26,690 --> 00:26:29,530 back, but you don't need to be coming if you're shorting. 460 00:26:29,530 --> 00:26:31,810 You don't need to be coming out the bottom. If you are going long. 461 00:26:31,810 --> 00:26:33,930 You don't need to be coming at the top. You need a, 462 00:26:33,990 --> 00:26:37,530 you need a point where it's completely logical when, if it's a previous high, 463 00:26:37,810 --> 00:26:39,690 previous low, a pivot or whatever it may be. 464 00:26:39,960 --> 00:26:43,560 I think traders need to sort of wake up and sort of of think, well, 465 00:26:43,670 --> 00:26:47,280 it's not because I want it to go to the moon and I have this idea that it's 466 00:26:47,280 --> 00:26:48,760 gonna go and go and go. I've, 467 00:26:48,760 --> 00:26:53,270 I've gotta have a reason to work for whatever I'm trading to target, uh, 468 00:26:53,270 --> 00:26:56,990 specifically cuz I think that traders spend a lot of time learning strategies 469 00:26:56,990 --> 00:26:58,910 and everything else, but they never really learn the, 470 00:26:58,910 --> 00:27:00,350 the art of exiting the trade. 471 00:27:00,540 --> 00:27:05,070 Yeah. Yeah. That it is a big ass, isn't it? It is. It is a big art. Yeah. Now, 472 00:27:05,160 --> 00:27:09,230 um, so you, you said you created an EA based on one of your strategies. 473 00:27:09,370 --> 00:27:13,270 Was there a particular reason you chose that strategy to, to automate? 474 00:27:14,250 --> 00:27:18,190 Yep. It's, uh, it's, it's based on some candles and one moving average. 475 00:27:18,280 --> 00:27:23,270 It is the most simple thing ever. Um, it, it, it, the, 476 00:27:23,270 --> 00:27:28,070 the the, the signal comes up quite frequently. 477 00:27:28,880 --> 00:27:30,670 Um, it, it, 478 00:27:30,820 --> 00:27:35,390 I I only use it on as a continuation pattern as opposed to, I mean, 479 00:27:35,390 --> 00:27:38,110 some of the most major tops and bottoms, the signal comes in. 480 00:27:38,210 --> 00:27:39,790 But I'm not really a a a, 481 00:27:39,970 --> 00:27:44,670 I'm not looking to sell into tops and buy into bottom. So I, I think, you know, 482 00:27:44,670 --> 00:27:46,910 we've got 80% of retail market losing money. 483 00:27:46,910 --> 00:27:50,710 And I think good part of that is that traders are trying to trade clever, 484 00:27:50,710 --> 00:27:52,470 they're trying to be clever on a market, 485 00:27:52,470 --> 00:27:56,710 which is quite obviously sometimes in a downward trend or an upward trend. 486 00:27:56,710 --> 00:27:59,190 And yet they wanna pick tops and bottoms. 487 00:27:59,580 --> 00:28:02,550 They probably started off trading trend, um, 488 00:28:02,550 --> 00:28:07,150 and then decided to go for tops and bottoms. And I'm, I'm a trend trader. I, I, 489 00:28:07,180 --> 00:28:10,150 I really like trend, even if it's a, it's, 490 00:28:10,540 --> 00:28:13,630 i I want it really across the timeframe. So I like the daily, 491 00:28:13,630 --> 00:28:16,190 daily timeframe being up, the four hour being up, 492 00:28:16,210 --> 00:28:20,350 and then I'm happy to be taking my trades off the hour timeframe. Um, 493 00:28:20,540 --> 00:28:25,270 I go go down to smaller timeframes to get in a more eloquent entry. Uh, 494 00:28:25,270 --> 00:28:29,030 but, um, and just look for the detail below the timeframe. But, um, 495 00:28:29,780 --> 00:28:34,270 it's really four hour alleys when I'm entering the trades. Um. 496 00:28:35,410 --> 00:28:39,430 And so, so this, with that particular strategy where you've automated it, 497 00:28:39,700 --> 00:28:41,110 when you automated it, 498 00:28:41,110 --> 00:28:45,990 did you go back and test it across historical time just and see 499 00:28:45,990 --> 00:28:49,790 that even though you'd only started trading it, maybe what, I don't know how, 500 00:28:49,790 --> 00:28:51,310 how many years you'd traded it for, 501 00:28:51,370 --> 00:28:54,830 but was it still performing before you manually traded it? 502 00:28:55,430 --> 00:28:57,680 Yeah, yeah, it was. I mean I, I, 503 00:28:57,680 --> 00:29:01,720 I started trading it back in 2006 and, but the thing is, 504 00:29:01,720 --> 00:29:05,640 I was trading it and for, for some reason, I I, 505 00:29:05,770 --> 00:29:10,320 in those days I thought it I should look for a fixed point target. 506 00:29:11,090 --> 00:29:15,400 Um, so that's one, that's one thing I was doing. I was looking, so it, 507 00:29:16,450 --> 00:29:19,400 it became hard. I, and it, it worked at that time. 508 00:29:19,400 --> 00:29:23,280 It seems to work really well for the euro on a 15 minute chart. And it, 509 00:29:23,490 --> 00:29:26,560 it was given some really nice, it, it's like, 510 00:29:27,580 --> 00:29:31,660 can't remember a 20 pip, 20 pip stop, 40 pip target, something like somewhere, 511 00:29:31,660 --> 00:29:34,940 somewhere in that line. Um, how I was trading it at the time. 512 00:29:35,000 --> 00:29:39,040 And it looked really, really good. Um, well, 513 00:29:39,040 --> 00:29:40,960 and it worked for a while. It worked for a, 514 00:29:41,040 --> 00:29:43,720 a decent while when the markets were in a certain, well, 515 00:29:43,720 --> 00:29:46,800 the markets were quite volatile, but it worked pretty well on that basis. 516 00:29:46,970 --> 00:29:48,640 However, the, uh, 517 00:29:48,640 --> 00:29:52,440 the average true range of the euro came down to 45 pips, 518 00:29:52,700 --> 00:29:57,320 and there's me looking for 40 pips and 45 pip full day, you know, 519 00:29:57,320 --> 00:30:00,600 and you've still gotta get in the trade and out of the trade and, and it, 520 00:30:00,600 --> 00:30:04,000 it wasn't really working, it even rolling over to the next day or so, 521 00:30:04,000 --> 00:30:08,440 the market's just too choppy. Um, and it just got so consolidated it, 522 00:30:08,440 --> 00:30:12,800 the mar it, it killed it. Mm-hmm. So I left it alone, but then I, I, 523 00:30:12,830 --> 00:30:16,200 I looked at it cuz the, the pattern is, it is just, it is brilliant. 524 00:30:16,230 --> 00:30:21,080 A little three bar pattern. It is just so silly, uh, that it work that it works, 525 00:30:21,080 --> 00:30:21,913 but it works. 526 00:30:22,020 --> 00:30:25,840 And I looked at it again and I thought there must be a different way of, 527 00:30:26,860 --> 00:30:31,760 you know, deciding on when to trade it and also deciding on what, 528 00:30:31,760 --> 00:30:36,400 uh, what sort of target is, is, is suitable. And it, 529 00:30:36,470 --> 00:30:40,720 I I literally, once I cracked that, so I, I had a, a, a little formula, 530 00:30:40,720 --> 00:30:45,360 which gives me the, the target and, and I back tested it, back tested it, 531 00:30:45,360 --> 00:30:50,110 I went years, years back, I went five years back. Um, uh, 532 00:30:50,110 --> 00:30:54,830 it actually physically, uh, testing it so you know, it, it was a case of, 533 00:30:54,830 --> 00:30:58,190 um, yeah, it works . And, and I'd seen the figures and, 534 00:30:58,190 --> 00:31:01,870 and there was really horrible times during those five years and there was really 535 00:31:01,870 --> 00:31:06,070 good times. And as I said, it comes back to the mindset in terms of we, 536 00:31:06,070 --> 00:31:09,790 we are pr we don't program ourselves to understand what really could go on. 537 00:31:09,790 --> 00:31:12,990 We could, we, someone would tell us, so it's got a 60% win win rate, 538 00:31:13,090 --> 00:31:15,390 but over time it can have a 60% win rate, 539 00:31:15,390 --> 00:31:20,070 but at any given time it may have a 90% losing weight rate in that little 540 00:31:20,070 --> 00:31:24,110 picture. Yeah. And crikey, that's squeaky bum time in, in real terms. 541 00:31:24,110 --> 00:31:28,550 And people give up with it. And um, we, we did, it was, uh, 542 00:31:28,900 --> 00:31:32,870 2019, uh, 1921, we, 543 00:31:32,870 --> 00:31:37,790 I can remember the date in 2021. Not that old 2021. 544 00:31:37,790 --> 00:31:41,390 It had a, a poor old year. It sort of started off okay in January, 545 00:31:41,630 --> 00:31:44,390 March in April it was okay. 546 00:31:44,390 --> 00:31:48,390 And then it just really went downward and it just, 547 00:31:48,390 --> 00:31:52,630 it just really had sort of like three or four months of really des desire to me, 548 00:31:52,890 --> 00:31:56,870 you know, sort of 6%, 8% down in a month on, 549 00:31:56,880 --> 00:32:01,070 on some of the currencies. You just for, I know it's not very much , 550 00:32:01,210 --> 00:32:04,750 but it was in, in, in a sense of expectation, 551 00:32:04,750 --> 00:32:08,790 I guess it just hit a bad patch be because you start, you know, get 14% down, 552 00:32:08,930 --> 00:32:12,030 you know, the next thing is you're 20% down or 30% down, 553 00:32:12,130 --> 00:32:15,190 you just think that's wrong, . 554 00:32:15,210 --> 00:32:18,950 But then all of a sudden it started coming back again. I mean, 555 00:32:18,950 --> 00:32:23,750 it ended of the year 20% up overall. Um, right. But, but it had a dip. 556 00:32:23,900 --> 00:32:26,430 Well, if you'd taken from January right the way through, 557 00:32:26,430 --> 00:32:29,110 I was actually measuring initially from March, but if you, uh, 558 00:32:29,110 --> 00:32:32,830 to get the 30% down, but the, the, the, the earlier stages, 559 00:32:32,830 --> 00:32:36,070 the earlier months in there were pretty decent. Um, 560 00:32:36,800 --> 00:32:41,760 so it was running better. But it, it, it's with trading, 561 00:32:42,050 --> 00:32:46,320 uh, a strategy, people are very short-termism, uh, have a very short, 562 00:32:46,810 --> 00:32:50,800 um, timeframe in which they'll give it any chance. And, uh, 563 00:32:51,030 --> 00:32:55,040 I think you can use mechanical methods to back test and there's a lot of great 564 00:32:55,040 --> 00:32:57,560 systems out there, which I'm sure would give you certain things. 565 00:32:57,560 --> 00:33:02,120 But actually seeing it, I, I know it takes a lot of time and that's why I, yeah, 566 00:33:02,120 --> 00:33:05,400 don't get a lot of sleep these days. But, um, if I, 567 00:33:05,400 --> 00:33:08,960 if I get into a strategy all of a sudden I want to just sit there and do it and 568 00:33:08,960 --> 00:33:12,480 just look at where this is going and let it, well come on. 569 00:33:12,480 --> 00:33:16,720 It must have a losing run in a moment. And, um, I mean I can show you on a, 570 00:33:16,720 --> 00:33:20,080 on an Excel show, uh, I've got it all done on Excel spreadsheet, 571 00:33:20,080 --> 00:33:23,280 everything calculated out. I look at sort of, uh, 572 00:33:23,350 --> 00:33:27,520 ratios of win loss to see what it's achieving on a regular basis. 573 00:33:27,580 --> 00:33:32,040 And you could outperform it to a degree. And I, I, I've played, um, 574 00:33:32,310 --> 00:33:34,400 take it or leave it with the, the client, the, 575 00:33:34,400 --> 00:33:36,360 the guys that trade it with me in terms of, I, 576 00:33:36,360 --> 00:33:39,280 I've got loads of pictures of the setup. Ah, okay. 577 00:33:39,280 --> 00:33:42,160 So when you take this one or leave it, and they, you know, they, 578 00:33:42,160 --> 00:33:44,080 they all have a guess of whether they'll take or leave it. 579 00:33:44,340 --> 00:33:47,320 And probably 70% of the time they're wrong. You know, 580 00:33:47,320 --> 00:33:49,400 it would either gone on to win or, or lose. 581 00:33:49,500 --> 00:33:52,800 And yet if you sit there and you think, wow, I could out trade this easy, 582 00:33:52,900 --> 00:33:55,960 but there are times that Canadian dollar, I've switched it off at the moment. 583 00:33:55,960 --> 00:33:58,000 It's one of the pairs that I've trading with it, 584 00:33:58,000 --> 00:34:00,920 I've just switched it off anyway, but I, uh, 585 00:34:00,920 --> 00:34:04,560 I will manually trade the can Canadian dollar sometimes when I see the, 586 00:34:04,560 --> 00:34:07,840 the sit signal coming up on it. Um, 587 00:34:08,180 --> 00:34:12,440 but I ha I have, you know, really strict timeframes when I, again, 588 00:34:12,440 --> 00:34:15,240 eight till 10 o'clock. If it's not set up and running by 10 o'clock, 589 00:34:15,240 --> 00:34:18,760 I'm not gonna get into it in the morning. Uh, it don't care what it does. Um, 590 00:34:18,760 --> 00:34:20,440 and again, it it's, 591 00:34:20,440 --> 00:34:23,280 it's just got these peak periods when it really works the best. 592 00:34:23,280 --> 00:34:24,120 And the only way you, 593 00:34:24,120 --> 00:34:27,760 you really find out about that is testing it and going back and looking at it 594 00:34:27,760 --> 00:34:31,120 and getting the feel for it and having confidence then, and you just leave it. 595 00:34:31,570 --> 00:34:33,440 Um, something a lot of treaters can't do, 596 00:34:33,440 --> 00:34:36,200 but you've got to just leave it because, and so, so. 597 00:34:36,200 --> 00:34:39,160 When you were trading it manually, were you just trading it in those time, 598 00:34:39,160 --> 00:34:42,400 that time period and that's why you came up with that time period? 599 00:34:43,070 --> 00:34:47,640 I, I, I only traded it manually after I tested the theory. So then I, 600 00:34:47,640 --> 00:34:49,560 I started switching on manual then I, 601 00:34:49,560 --> 00:34:53,440 then I found a broker that was absolutely great in terms of, it had like, uh, 602 00:34:53,440 --> 00:34:58,280 like, like an mt four platform and, but they had the benefits of, uh, you could, 603 00:34:58,580 --> 00:35:02,480 you could ti you probably get this for NT in terms of a timer on it. 604 00:35:02,480 --> 00:35:03,520 So if it didn't tri, 605 00:35:03,520 --> 00:35:06,680 you could have it all set up that if it didn't tr trigger in the next hour, 606 00:35:06,680 --> 00:35:10,920 it just canceled the order. Um, I'm sure there's must be something for T4 out. 607 00:35:10,920 --> 00:35:13,800 There. I think there's, I think you can set an expiration on the pinning orders. 608 00:35:13,800 --> 00:35:14,880 Yeah. For. 609 00:35:14,880 --> 00:35:17,720 For, there's normally a day. It's normally a day or something like that, 610 00:35:17,720 --> 00:35:22,320 I think. I don't think it's time wise, which is no good. No, no. Good for me. 611 00:35:22,530 --> 00:35:23,800 No. Maybe it, maybe it. 612 00:35:24,510 --> 00:35:26,440 You've got me I'll to have another looking at. 613 00:35:27,310 --> 00:35:28,143 Look as well. 614 00:35:28,710 --> 00:35:31,520 I know, I, I don't set them up cuz I, because that's automatic. 615 00:35:31,520 --> 00:35:34,080 I built that into the, the EA I said I built it. I didn't, 616 00:35:34,080 --> 00:35:38,000 I paid for some guides. I built the EA for me. Uh, so that, that was all, 617 00:35:39,040 --> 00:35:41,230 uh, done. And I, I, to be fair, um, 618 00:35:41,230 --> 00:35:44,710 I get the pings and I don't even look at the chart. I don't, I don't look at it. 619 00:35:44,710 --> 00:35:47,550 Cause I just think you start looking at it and you'll wanna, 620 00:35:47,820 --> 00:35:49,270 I know better , you. 621 00:35:49,270 --> 00:35:53,670 Know, think man. So, so we, so if I've got this right, 622 00:35:53,670 --> 00:35:57,660 so you head a manual pattern and a sort of concept. Yep. 623 00:35:57,660 --> 00:36:02,660 But then you use the bot to find out how to potentially get a better 624 00:36:02,660 --> 00:36:04,900 exit for the strategy. 625 00:36:04,910 --> 00:36:07,660 No, I did that. I did. I I did that manually. I looked manually as well. 626 00:36:08,090 --> 00:36:10,940 Everything was manual. I, I looked at, um, 627 00:36:10,940 --> 00:36:15,380 how far the price moved after the, the, the signal came and it, 628 00:36:15,380 --> 00:36:18,620 it triggered, I looked at the, the potential for of movement. 629 00:36:18,810 --> 00:36:22,340 I was quite harsh on it because, um, it, 630 00:36:22,340 --> 00:36:25,460 I'm trading my money at the end of the day on this strategy. I don't want, uh, 631 00:36:25,460 --> 00:36:25,750 uh, 632 00:36:25,750 --> 00:36:29,340 to go where it moves 60 pips and then all of a sudden you get all this lovely 633 00:36:29,340 --> 00:36:32,420 peak area that's given you, um, like the, 634 00:36:32,420 --> 00:36:34,660 the optimum is three times or something like this. 635 00:36:34,660 --> 00:36:39,300 And reality is it's 1.2, , 1.3, you know, 636 00:36:39,300 --> 00:36:42,420 it's is you, yeah. You've got to be completely honest. Um, 637 00:36:42,490 --> 00:36:44,260 it's weird back testing when you, 638 00:36:44,260 --> 00:36:46,860 when you do it for these sort of things because you want 'em to work. 639 00:36:47,650 --> 00:36:50,150 You start doing, you, you get involved in it and I, I, 640 00:36:50,150 --> 00:36:53,670 I guess this is one of the mi mindset things is, but you, you, 641 00:36:53,670 --> 00:36:57,670 you wanna sit there and get it to work. I've sat down. I, I used to have, 642 00:36:57,780 --> 00:37:01,790 I do been mentoring in, in indoors and they'd come and see me in and sit down. 643 00:37:01,940 --> 00:37:03,390 I mean the great thing about Zoom now, 644 00:37:03,390 --> 00:37:07,390 I can mentor God knows how many people one go in a trading room. Yeah. Um, 645 00:37:07,390 --> 00:37:10,150 it's damn site cheaper for them and it's easier for me, 646 00:37:10,210 --> 00:37:13,230 but I can show them everything. But this, this particular guy, 647 00:37:13,230 --> 00:37:17,510 he wanted to go back and he, it is an 8 21 crossover and it was, it's like he, 648 00:37:17,620 --> 00:37:20,150 he's just found gold and it, 649 00:37:20,150 --> 00:37:23,960 it worked for about 20 trades and he probably only, 650 00:37:24,010 --> 00:37:26,800 he probably had a 70% win rate somewhere in that region. 651 00:37:27,140 --> 00:37:31,360 And then the market completely turned and it just get went flat basically. 652 00:37:31,360 --> 00:37:33,640 And he was getting all these crossovers backwards falls back, falls, 653 00:37:33,640 --> 00:37:37,360 he's losing. It would've been losing the fortune if he'd been trading it. And I, 654 00:37:37,460 --> 00:37:40,520 and then he said, well I'll do this, I'll do that. And I said, 655 00:37:40,520 --> 00:37:43,120 but you can't go back and, and change every, 656 00:37:43,460 --> 00:37:46,720 the thing with testing is you've gotta be completely honest with yourself and 657 00:37:46,720 --> 00:37:49,560 you can't go back and just say, well I've done that because of this. 658 00:37:49,750 --> 00:37:52,200 You've gotta have it. So I, 659 00:37:52,200 --> 00:37:56,280 I think an EA is a real tester of any strategy because you're then leaving it to 660 00:37:56,280 --> 00:38:00,640 run. You can't fiddle with it. It's just run. Um, you can, 661 00:38:00,640 --> 00:38:04,960 you can adjust it over time to improve on it because the, I I, 662 00:38:04,960 --> 00:38:08,560 I'm monitoring the results and monitoring what it could have done all, 663 00:38:08,560 --> 00:38:11,280 all of the time to see if the, if, if I could get more out of it. 664 00:38:11,280 --> 00:38:14,840 The volatility is really picking up that much. The only thing is the, 665 00:38:14,840 --> 00:38:19,280 the stop would be picking up as well. So more volatility, 666 00:38:19,290 --> 00:38:23,680 it may be instead of having a stop of about 20 points or uh, 667 00:38:23,680 --> 00:38:27,400 20 pips or 30 pips, it may be 50 pips or 60 pips. 668 00:38:27,570 --> 00:38:32,150 So in ratio terms, you, you might not get a lot more out of it. Right. Yeah. 669 00:38:32,150 --> 00:38:34,230 But for the point lovers out there, they're, 670 00:38:34,230 --> 00:38:36,720 they're love it or pip lovers cuz they'll say, you know, 671 00:38:36,720 --> 00:38:38,680 just made 80 pips on a trade. Yeah. 672 00:38:38,680 --> 00:38:39,350 Yeah. Risk. 673 00:38:39,350 --> 00:38:41,440 I I risked 70 to get it, but I got. 674 00:38:41,440 --> 00:38:45,680 80. Yeah. Now, now I, I read in your bio that you were sort of like you, the, 675 00:38:45,680 --> 00:38:49,320 the stat god around, you know, you've got stats on I. 676 00:38:49,320 --> 00:38:50,160 Did not say God. 677 00:38:50,400 --> 00:38:53,480 . Well no, maybe you didn't say that. I just said that. But, um, you've, 678 00:38:53,480 --> 00:38:57,320 you've done a lot of work on working out the stats behind certain signals 679 00:38:57,320 --> 00:39:01,430 happening and the success rate of those. Yeah. Can you, 680 00:39:01,430 --> 00:39:03,670 are you able to share some of the insights you've found? 681 00:39:04,800 --> 00:39:07,390 Um, I, I mean the, the stats, I'll, I'll, 682 00:39:07,390 --> 00:39:11,390 I'll certainly share some pivot stats because I think they're, they're, 683 00:39:11,390 --> 00:39:13,190 they're probably, um, if, 684 00:39:13,190 --> 00:39:16,430 if you using pivot points and if you never put them on a chart, 685 00:39:16,820 --> 00:39:20,550 just go and put a basic floor pivot on your chart, your favorite chart. 686 00:39:20,550 --> 00:39:23,870 Now if you're looking on the data, I'll just give you some, you can set them up. 687 00:39:23,870 --> 00:39:27,150 They that are monthly, weekly, daily, or even down to four hours. 688 00:39:27,150 --> 00:39:31,830 Some people trade or hourly cause they're mad. But, um, I, I personally, I, 689 00:39:31,830 --> 00:39:36,510 I always have a monthly, uh, a weekly, um, and a daily pivot, 690 00:39:36,510 --> 00:39:38,830 pivot showing somewhere on my charts. 691 00:39:38,830 --> 00:39:42,430 I've got one chart showing always the pivot on there, um, 692 00:39:42,430 --> 00:39:45,190 aside of when I'm back testing my other strategy, 693 00:39:45,190 --> 00:39:49,390 in which case I have nothing on there apart from a 34 moving average and price. 694 00:39:50,080 --> 00:39:54,950 Um, so it's, it's all done with, that's the way I do that. But with, uh, pivots, 695 00:39:55,680 --> 00:40:00,510 um, they're absolutely excellent. If you look at some stats around it, 696 00:40:00,510 --> 00:40:04,670 then it's like a bell curve. Effectively, if you look down from, uh, I'm, 697 00:40:04,670 --> 00:40:09,150 I'm only going from R three to s3, a lot of, uh, pivots now will give you, uh, 698 00:40:09,150 --> 00:40:11,670 fours and fives. Some of them even sixes. 699 00:40:11,850 --> 00:40:15,990 I'm not worried about those because the probability of, uh, 700 00:40:15,990 --> 00:40:20,790 going beyond an R three is round about 5% below s3 701 00:40:20,790 --> 00:40:23,790 round about 5%. So, uh, and that, 702 00:40:23,790 --> 00:40:27,310 that's pretty similar across the timeframes from daily upwards. 703 00:40:27,460 --> 00:40:31,150 It's different for a four hour pivot. Cause the extra volatility, it, it will, 704 00:40:31,320 --> 00:40:35,630 it, it changes the flow a little bit there. But for dailies weekly, monthly, uh, 705 00:40:35,630 --> 00:40:39,550 monthly, uh, pivots, um, you've got a, uh, 706 00:40:39,610 --> 00:40:41,470 the moment with the Euro dollar for example, 707 00:40:41,470 --> 00:40:46,110 you've got a 75% chance of the daily, weekly, or monthly pivot being hit. 708 00:40:46,440 --> 00:40:50,750 So it's got a high, you know, pretty high probability of being hit. Um, 709 00:40:50,750 --> 00:40:53,670 that doesn't mean say it'll stop there, but it, it, it's got a, so you, 710 00:40:53,670 --> 00:40:58,510 you can use them as targets in that way. Um, the way pivots move, 711 00:40:58,510 --> 00:41:00,150 then you've got the R one in the S one, 712 00:41:01,360 --> 00:41:05,490 then the probabilities of the R one or the S one around about, um, 713 00:41:05,810 --> 00:41:09,330 actually I'm saying round about the, the LA last year on, 714 00:41:09,330 --> 00:41:14,210 on a rolling year here, um, the 40 is a 40% chance it'll hit the R one. 715 00:41:14,540 --> 00:41:18,130 Uh, or this is on the euro 47%, it'll hit the S one. 716 00:41:18,190 --> 00:41:22,050 But the euro was largely downward trend. So it's no surprise last year it was, 717 00:41:22,200 --> 00:41:25,450 I mean it peaked up, but it was, it was going downward. 718 00:41:25,450 --> 00:41:28,650 So there's slightly better chance of it running down to S one. So you know, 719 00:41:28,650 --> 00:41:33,640 it's gonna hit either the R one or the S one 75% of the time. Uh, 720 00:41:33,640 --> 00:41:37,080 sorry, Yeah. 75, uh, 721 00:41:37,080 --> 00:41:40,600 75% of the time it was gonna hit either way. It's the same percentage. 722 00:41:40,600 --> 00:41:42,920 That's right. Reason I looked at, um, it's, 723 00:41:42,920 --> 00:41:46,520 it's the same percentage of RIC just hits the pivot itself. Uh, 724 00:41:46,520 --> 00:41:48,880 so it's gonna hit the R one or the S one each day. 725 00:41:49,050 --> 00:41:52,280 So if it's hit the daily pivot, then you start getting, 726 00:41:52,470 --> 00:41:56,520 I've got a target here of either the R one or the S one. So you can work on, 727 00:41:56,520 --> 00:41:59,360 and you just play with TRA trend then. So a lot of my, 728 00:41:59,360 --> 00:42:02,520 my strategies have built on that sim very simple, uh, 729 00:42:02,540 --> 00:42:05,160 realization where what's gonna be hit here. 730 00:42:05,410 --> 00:42:08,400 If you look up to the R two in the S two, um, then, 731 00:42:08,400 --> 00:42:12,760 then the probability goes down to 15% and 17 cent. So, um, the, 732 00:42:13,000 --> 00:42:17,520 the R two s and S two s have less chance of being hit. However, , 733 00:42:18,330 --> 00:42:19,400 if the pivot isn't, 734 00:42:19,400 --> 00:42:23,120 the main pivot isn't hit and price touches the R one pulls back and goes through 735 00:42:23,120 --> 00:42:27,520 the R one, then you've got a 65% chance of it hitting the R two. So it's, it is, 736 00:42:28,650 --> 00:42:33,560 it, it it's, it's easier shown on the chart then it is discussing here. Cuz I, 737 00:42:33,560 --> 00:42:36,640 if I was you, I'd probably go la la la Bye now . But it's, it, 738 00:42:36,640 --> 00:42:37,640 it's actually seeing it. 739 00:42:37,640 --> 00:42:38,680 Makes sense. It makes sense though. 740 00:42:38,850 --> 00:42:43,080 It makes a lot more sense. I dunno how many people use pivots, but I, as I say, 741 00:42:43,080 --> 00:42:45,160 I'd strongly put 'em on there because all of a sudden you think, oh, 742 00:42:45,160 --> 00:42:46,040 that's why it stopped there. 743 00:42:46,400 --> 00:42:48,200 . Yeah. Well the funny thing is, it used to be, 744 00:42:48,200 --> 00:42:50,520 when I first started doing this stuff and interviewing people, 745 00:42:50,520 --> 00:42:54,440 people were talking about pivots quite a bit and now never hear anyone talk 746 00:42:54,440 --> 00:42:57,120 about pivots. So, uh, it's, 747 00:42:57,120 --> 00:43:01,680 it's obviously something's dropped out of favor for whatever reason. But I mean, 748 00:43:01,680 --> 00:43:06,120 I, I mean I haven't looked at them for, for years. Why is, 749 00:43:06,120 --> 00:43:10,920 did you stumble on, on them as your sort of core, you know, strategy? Well. 750 00:43:11,450 --> 00:43:13,800 Do you know, when I, when I first found them, 751 00:43:14,040 --> 00:43:17,960 I didn't really like them that much because I was such a fi archi fan. Yeah. 752 00:43:17,960 --> 00:43:21,560 As a, i I mean my, my time of trading, sorry, 753 00:43:21,560 --> 00:43:24,760 it's all going back a step here in terms of, I've, 754 00:43:24,760 --> 00:43:28,440 I've spent so many years on looking for the holy grail. Um, 755 00:43:28,440 --> 00:43:30,840 like any trader that's been out there for a while, 756 00:43:30,840 --> 00:43:32,760 some people would just give up very quickly. 757 00:43:32,760 --> 00:43:36,840 But you're looking for that thing that's gonna give you that bigger edge and you 758 00:43:36,840 --> 00:43:38,600 realize you come to the end, 759 00:43:38,820 --> 00:43:42,160 end game here is it doesn't need to give you a massive edge. 760 00:43:42,160 --> 00:43:45,440 It just needs to give you a relatively consistent edge and it needs to give you 761 00:43:45,440 --> 00:43:48,120 an edge where you can make more money. You're gonna lose. That's all you need. 762 00:43:48,440 --> 00:43:51,520 simple as that. But we go out there because we want these 80, 763 00:43:51,520 --> 00:43:56,280 90% strategies, uh, a hundred percent str you know, ideally, I mean, 764 00:43:56,280 --> 00:44:00,780 who would love, um, to have such a strategy? So you, you, 765 00:44:00,780 --> 00:44:05,020 you go spend, I I spent time running through, um, I, I'd start, 766 00:44:05,020 --> 00:44:08,100 I forgot to mention I used to write a newsletter for a, a, 767 00:44:08,100 --> 00:44:11,180 a one of these trading education companies and we used to write our own 768 00:44:11,180 --> 00:44:15,060 newsletter. That's so much information I'd gathered. And one thing I did, 769 00:44:15,060 --> 00:44:19,620 I started doing some analysis on different indicators and they're, 770 00:44:19,620 --> 00:44:23,900 what they are, what the, how they work, uh, cause again, we, 771 00:44:23,900 --> 00:44:25,300 we tend to overlook what we're using. 772 00:44:25,300 --> 00:44:28,780 And most of these indicators are completely lagging. Um, 773 00:44:28,780 --> 00:44:31,520 the thing with pivots is they, they worked on a lag lag basis, 774 00:44:31,520 --> 00:44:35,480 but they give you a forward, a forward shot of what might happen in the day. 775 00:44:35,590 --> 00:44:39,760 Yeah. Whereas most things, they're, they're only reacting to price. 776 00:44:39,760 --> 00:44:43,240 That's ha Yeah. Okay. Yeah. Arguably pivots have in the calculation, 777 00:44:43,240 --> 00:44:46,960 but then they stay still all day. A moving average ironically moves. 778 00:44:46,960 --> 00:44:51,360 Well it's not ironic at all. It does move . Yes. Um, so it, it's mo it's, 779 00:44:51,360 --> 00:44:54,530 it's moving. So, um, yeah, I tested, 780 00:44:54,600 --> 00:44:57,890 I looked at so many different things. I looked at, um, 781 00:44:58,760 --> 00:45:03,130 I got introduced to this guy. He was so, so interesting. And he, 782 00:45:03,130 --> 00:45:05,850 he did this sort of system, uh, which he called Matrix, 783 00:45:05,850 --> 00:45:08,970 sort of old market matrix. And, uh, which, um, 784 00:45:09,000 --> 00:45:12,170 yeah know we looked and I just thought, Alice, this is brilliant. And it it, 785 00:45:12,170 --> 00:45:16,290 it was this sort of like a timing tool where the markets were gonna turn and 786 00:45:16,290 --> 00:45:20,050 Whil Wil Wil Wilder, his name, 787 00:45:20,320 --> 00:45:22,930 I had the chat from R sife. He, um, 788 00:45:23,780 --> 00:45:26,890 he had written a book or he hadn't written it, it wasn't his work actually, 789 00:45:26,890 --> 00:45:30,250 but he put his name to it to, to, because it wrote Rose, uh, 790 00:45:30,250 --> 00:45:33,770 generated a lot of money. Um, but he put his name to this extract, 791 00:45:33,770 --> 00:45:37,530 this measurement of Delta, which is when, when there's the, 792 00:45:37,680 --> 00:45:40,970 a map of when price action might turn and it, 793 00:45:40,970 --> 00:45:45,890 you get these little windows of when it might turn. And so you, 794 00:45:45,890 --> 00:45:50,490 you would forever be looking at that Lynn. We, we, we put it together with um, 795 00:45:50,490 --> 00:45:53,730 Elliot wives and Fib Archi and the, 796 00:45:53,780 --> 00:45:58,690 it gave you a full matrix of, and looked at instead of just looking at, uh, 797 00:45:58,690 --> 00:46:02,370 price levels and, and highs and lows and things, we looked at time as well. 798 00:46:02,840 --> 00:46:03,450 Anyway, 799 00:46:03,450 --> 00:46:07,490 that was a long two years that never really came off too much because I 800 00:46:07,730 --> 00:46:12,490 realized, um, the guy that was, you know, was, was working with, I mean he, um, 801 00:46:13,970 --> 00:46:15,600 he was just a blinking good trader. 802 00:46:15,600 --> 00:46:19,280 And the only reason he was a good trader is cause he read price. Um, 803 00:46:19,280 --> 00:46:22,360 however it was, yeah. He would look at price and he, he read price. 804 00:46:22,450 --> 00:46:24,880 He wasn't using all this market matrix stuff. 805 00:46:25,050 --> 00:46:26,680 He was actually just reading the price. 806 00:46:26,680 --> 00:46:29,760 Cuz he'd always have an excuse of why he is just done this and why he is done 807 00:46:29,760 --> 00:46:33,320 that. And all he is doing is reading the price. And, uh, uh, you know, it, it, 808 00:46:33,400 --> 00:46:37,720 it's one the, this memorial stories just learn how to read price. 809 00:46:38,300 --> 00:46:38,990 You can, I, 810 00:46:38,990 --> 00:46:43,440 I can show you I I i how to trade literally without 811 00:46:43,840 --> 00:46:46,560 anything else but price. And I do this at any time. 812 00:46:46,560 --> 00:46:49,440 I didn't care if people can come into my room free of charge for a day or two 813 00:46:49,440 --> 00:46:52,240 and I'll show them how to reprice. And you, 814 00:46:52,240 --> 00:46:57,240 you can see how you could make money just by reading price action, uh, 815 00:46:57,240 --> 00:46:58,560 put pivots on them price. 816 00:46:58,560 --> 00:47:01,480 And it's an absolute dream for me because I can give you the, i, 817 00:47:01,480 --> 00:47:05,560 I know the stats behind the pivots and I can see the price action and all of a 818 00:47:05,560 --> 00:47:07,920 sudden I've got an edge in that market. Mm-hmm. 819 00:47:07,920 --> 00:47:10,480 And I know that edge is gonna work. Yeah. 820 00:47:10,480 --> 00:47:15,200 A good percentage of the time and a good percentage may be 60, 65%. 821 00:47:15,710 --> 00:47:17,800 Well that's good enough for me. Um. 822 00:47:18,030 --> 00:47:20,120 I like that. I should actually bring up the pivots again, 823 00:47:20,120 --> 00:47:24,280 I think myself and just have a look at where they are in conjunction to what I'm 824 00:47:24,280 --> 00:47:27,080 doing. Cuz it's, it's definitely gives you an edge, right? 825 00:47:27,080 --> 00:47:30,690 If you know that that's a point that you could, could take profit or, 826 00:47:31,150 --> 00:47:32,410 and it's not gonna move if. 827 00:47:32,860 --> 00:47:35,730 An inter Yeah. An interesting thing is not a lot of people do this. 828 00:47:35,730 --> 00:47:40,210 I say an interesting is for me, uh, cuz I, I'm a bit stacked driven, 829 00:47:40,620 --> 00:47:44,970 um, prob probably cuz my mindset is, uh, risk. Uh, i, I don't like risk. 830 00:47:44,970 --> 00:47:49,410 So if I can work out the stats, I say don't like risk, I like risk, 831 00:47:49,410 --> 00:47:53,490 but the right sort of risk. So I, I want the, I want it to be on my favor. So I, 832 00:47:53,600 --> 00:47:55,330 I just work out the stats. I, 833 00:47:55,330 --> 00:47:58,330 I've shown people it before who are pretty good traders. 834 00:47:58,330 --> 00:47:59,890 I know they're pretty good traders and say, 835 00:47:59,890 --> 00:48:02,170 why don't you put the pivot on there and, uh, see what it is. 836 00:48:02,170 --> 00:48:03,930 And I've then given the stats, he said, well, 837 00:48:03,930 --> 00:48:07,610 I didn't know that that would've made a difference. And you know, it's sort of, 838 00:48:09,280 --> 00:48:11,180 you, you don't wanna stifle your trading. 839 00:48:11,400 --> 00:48:14,420 And a bit of common sense is needed with them in a sense. 840 00:48:14,420 --> 00:48:18,980 But common sense is only learned in, in the case of trading, you know, 841 00:48:19,160 --> 00:48:23,140 but it will come, um, you'll, you'll just pick it up. Oh, that's going to, 842 00:48:23,240 --> 00:48:25,580 for example, uh, the chance is that if a, 843 00:48:25,580 --> 00:48:30,540 if an R two or an S two only have a 20%, let's just say 20% chance being hit, 844 00:48:30,640 --> 00:48:32,420 why would you ever target them? However, 845 00:48:32,430 --> 00:48:36,540 if it hasn't hit the pivot and it's hit run up to the R one pulled back and 846 00:48:36,540 --> 00:48:36,940 pushing, 847 00:48:36,940 --> 00:48:41,900 pushing back the next time it's got a 65% chance hit being hit purely 848 00:48:41,900 --> 00:48:44,060 because the, the price, you know, if you can imagine it, 849 00:48:44,060 --> 00:48:47,260 the price must be in a trend, you know, in a quite strong one. Yeah. 850 00:48:47,260 --> 00:48:50,260 It's not gotten anywhere near it's pivot. It's ti it's time. So, okay, 851 00:48:50,260 --> 00:48:51,340 I'll play it up to the R two. 852 00:48:51,840 --> 00:48:53,860 The other thing with pivots you've gotta be careful with, 853 00:48:53,860 --> 00:48:56,780 they do get very pinched. I mean, today's pivots were relatively, 854 00:48:56,780 --> 00:49:00,820 yesterday were particularly pinched. Uh, today's were relatively pinched. Um, 855 00:49:00,830 --> 00:49:04,540 so, uh, you, you then you've got to, again, I suppose there's. 856 00:49:04,540 --> 00:49:05,020 Not a lot of room. 857 00:49:05,020 --> 00:49:08,700 Comment against, bit of sense has gotta be taken to, okay. The r twos, 858 00:49:08,700 --> 00:49:12,740 the twos may be hit today. Yeah. Um, and, and some days that, you know, 859 00:49:12,740 --> 00:49:16,940 you get a big movement like Friday and then you, you get the pivot the next day, 860 00:49:17,110 --> 00:49:20,380 uh, Monday, and they're sort of a country mile away. And then you gotta, 861 00:49:20,380 --> 00:49:22,620 you gotta look at the midpoints. Uh, when the, 862 00:49:22,620 --> 00:49:26,180 when we had all that volatility between 2008, uh, 863 00:49:26,180 --> 00:49:30,260 seven and eight nine when the, when the banks were all crashing, um, I, 864 00:49:30,500 --> 00:49:34,140 I used to, uh, use midpoints on there as well. Um, because it, 865 00:49:34,230 --> 00:49:36,900 it wouldn't get to, it just don't run outta legs, 866 00:49:36,900 --> 00:49:38,860 even from volatile how the markets were there. 867 00:49:38,860 --> 00:49:41,340 And it just run outta legs before it gets to some of the targets. 868 00:49:41,590 --> 00:49:42,860 So I used the midpoints. 869 00:49:43,740 --> 00:49:44,340 Interesting. But. 870 00:49:44,340 --> 00:49:45,980 Uh, okay. I unlocked them on the head lately. 871 00:49:46,980 --> 00:49:50,500 Right. Well, let's, let's, um, dive into some more of these questions. So what, 872 00:49:50,500 --> 00:49:52,420 what about if you were gonna recommend a, 873 00:49:52,420 --> 00:49:56,020 a step-by-step approach for somebody coming you into trading, what would it be? 874 00:49:58,410 --> 00:50:03,040 Um, firstly, learn how to read price without anything else on your charts. 875 00:50:03,040 --> 00:50:06,200 Just learn how to read price if you're gonna do that. 876 00:50:06,200 --> 00:50:09,760 And then it sort of really build things up. Stay with trends. 877 00:50:09,910 --> 00:50:14,240 Always just look at trends. Don't, you don't need to be the top and bottom man. 878 00:50:14,240 --> 00:50:16,800 Is it j was it Jesse Livermore? He, he spent, 879 00:50:16,830 --> 00:50:20,280 it's the confessions of a stock operator. Mm-hmm. You read his book, 880 00:50:20,280 --> 00:50:23,560 he suddenly sussed out that trying to get tops and bottoms, 881 00:50:23,560 --> 00:50:28,280 which he was particularly good at doing at times, but not, not regularly enough. 882 00:50:28,410 --> 00:50:33,240 He went from boom to bust. Uh, so many times he, he, and so it's, 883 00:50:33,240 --> 00:50:35,560 it, you know, it, it's not the place you, 884 00:50:35,560 --> 00:50:37,960 the the chunk in the middle is just as good. 885 00:50:38,050 --> 00:50:42,440 If you can get some idea of way theory, basic way 3, 1, 2, 3, 886 00:50:42,440 --> 00:50:45,240 you can count three. You can sort of work out where the third wave's, 887 00:50:45,240 --> 00:50:48,520 the biggest wave and yeah. So if you're in a trend and it's sort of, 888 00:50:48,520 --> 00:50:52,280 you're in this sort of third wave, it's, it's got a bit more to go po possibly, 889 00:50:52,930 --> 00:50:56,330 um, statistically of course. Um, 890 00:50:57,590 --> 00:51:00,700 so, uh, yeah, uh, make sure you're doing that. I mean, 891 00:51:00,700 --> 00:51:03,140 make sure you've got an account that's funded and there's, there's, 892 00:51:03,140 --> 00:51:05,180 there's little uh, point actually, 893 00:51:05,380 --> 00:51:08,540 apart from learning how to use the brokerage you're using, 894 00:51:09,340 --> 00:51:10,460 actually using paper trading. 895 00:51:10,970 --> 00:51:13,220 I know a lot of people say you've gotta paper trade first. 896 00:51:13,450 --> 00:51:17,060 You'll only ever be guessing with, um, 897 00:51:17,230 --> 00:51:20,900 brokers don't care about their, their paper trading. Uh, 898 00:51:20,900 --> 00:51:22,820 guys in terms of if there's a bit of slippage, 899 00:51:22,820 --> 00:51:24,540 they're not gonna slip your trade. Uh, 900 00:51:24,540 --> 00:51:27,340 cuz it's paper at the end of the paper money, it's not gonna get slid. 901 00:51:27,340 --> 00:51:31,460 It's very unlikely to get slipped unless they're using the, the, the feed, um, 902 00:51:31,460 --> 00:51:34,900 from the live markets and whatever else and filling you those. So you, you're, 903 00:51:34,900 --> 00:51:38,780 you're getting like a force security and you haven't got the mindset, 904 00:51:38,780 --> 00:51:41,260 you haven't got the, the fear factor. Uh, 905 00:51:41,260 --> 00:51:44,940 a good guy in our train room at the moment, he's, um, actually mentoring him, 906 00:51:44,940 --> 00:51:49,820 but because he's a good IT guy and he's saying media guy and he's doing 907 00:51:49,820 --> 00:51:54,740 some of my media stuff for me in, in, in return. But he, um, he's, he's, 908 00:51:54,740 --> 00:51:58,780 he went over from doing a, um, he did a challenge, which on, um, 909 00:51:58,780 --> 00:52:02,860 was it f om mo or whatever it is that I know what it is, it is, uh, 910 00:52:02,890 --> 00:52:05,900 fear of missing out F tmo. It's not that one F tmo. Yeah. 911 00:52:05,900 --> 00:52:09,860 He did that challenge and he did pretty well on it and it's all paper. 912 00:52:10,790 --> 00:52:14,500 Um, he did blow it. The next after he, he, he break, he passed the challenge, 913 00:52:14,500 --> 00:52:17,820 he then carried on trading and blew it on the next day. Um, 914 00:52:17,820 --> 00:52:21,620 hope he never listens to this. Just confessed. I just confessed for him. 915 00:52:21,670 --> 00:52:26,220 He blew it on the next day and he broke the rules. Um, but, um, then, 916 00:52:26,220 --> 00:52:29,540 then he went from trading like this. He had been trading in the past, 917 00:52:29,540 --> 00:52:33,860 he'd been a crypto trader, so he is gone the other way. , um, 918 00:52:33,860 --> 00:52:38,690 he's seen the light. Um, anyway, he um, he's now move. 919 00:52:38,690 --> 00:52:39,250 He's, he is, 920 00:52:39,250 --> 00:52:44,130 he's got a sizable account and he's gone to cash and now he's noticing 921 00:52:44,130 --> 00:52:48,130 the difference to trading between paper and cash in how significant it is, 922 00:52:48,130 --> 00:52:52,970 particularly with letting the trades run and walking away from the charts cuz he 923 00:52:52,970 --> 00:52:54,730 almost can't do it. Um, 924 00:52:54,900 --> 00:52:59,810 so if you start off in a good practice and actual running with real 925 00:52:59,810 --> 00:53:04,330 money, but don't risk any, the, the, again, learn, learn risk, 926 00:53:04,330 --> 00:53:08,250 understand risk. Sorry, you, you're getting me to start real, really ease up. 927 00:53:08,810 --> 00:53:11,290 Probably not in the right order. Must understand risk. 928 00:53:11,330 --> 00:53:14,930 Don't risk any more than 1% account. Don't care how big the account is. 929 00:53:15,140 --> 00:53:17,210 If if it doesn't fit in and the, 930 00:53:17,210 --> 00:53:21,570 and the trade needs 2% or 3% to trade it. If you're starting off, 931 00:53:21,610 --> 00:53:25,800 leave it. You can't take that trade. It's too rich for you son. Oh, you know? 932 00:53:25,800 --> 00:53:27,200 Yeah. Be be realistic. 933 00:53:27,200 --> 00:53:28,480 Find another market every. 934 00:53:28,710 --> 00:53:32,520 Yeah. Find another market, find another opportunity. Just wait, pick, 935 00:53:32,520 --> 00:53:37,360 pick your fight with where you, if it looks ugly, it's ugly, um, 936 00:53:37,360 --> 00:53:42,280 leave it alone. Uh, find something that, well, that looks nice. And uh, there's, 937 00:53:42,470 --> 00:53:46,720 I I look all the major currencies and the cross pairs of those majors. So, and, 938 00:53:46,720 --> 00:53:51,320 and that's my weld because I can, I use a, a broker that's got very, very, 939 00:53:51,410 --> 00:53:54,960 uh, tight spreads for me. Um, makes rates almost. 940 00:53:55,300 --> 00:54:00,180 And I, I, I can get ver I I'm straight into the market. Um, 941 00:54:00,180 --> 00:54:03,540 it's a direct access, genuine direct access market, uh, 942 00:54:03,690 --> 00:54:07,980 broker I would say, as opposed to a lot of these, such as match you and stuff, 943 00:54:07,980 --> 00:54:12,100 it's just done and it's, it's there and the deep liquidity. 944 00:54:12,790 --> 00:54:15,900 So, um, yeah, 945 00:54:16,130 --> 00:54:19,180 just ensure that, um, you know, 946 00:54:19,180 --> 00:54:23,560 your ma as I say, managing risk one, 1% is, 947 00:54:23,560 --> 00:54:27,560 is absolute tops. And it may be when you're starting off with cash, you go, 948 00:54:27,560 --> 00:54:32,040 we're half percent. There's nothing wrong with starting off and, 949 00:54:32,040 --> 00:54:33,920 and then gradually building on it. But if, 950 00:54:33,930 --> 00:54:36,800 if you can just start off with one and you'll find that, uh, 951 00:54:36,800 --> 00:54:41,360 the power of compounding and just go use a little f formula, indicate use the, 952 00:54:41,360 --> 00:54:44,000 um, there's plenty of little, um, um. 953 00:54:44,000 --> 00:54:45,720 Tools and stuff. Tools, tools, tools. 954 00:54:45,720 --> 00:54:49,560 Yeah. To make sure you, you've got the right size, position, et cetera on there. 955 00:54:49,580 --> 00:54:53,440 You may find that you're slightly under slightly if you don't always go on 956 00:54:53,600 --> 00:54:55,680 slightly under rather than slightly over because otherwise you're get in the 957 00:54:55,680 --> 00:55:00,040 habit going too big. Um, and just, yeah, stick with, stick with it. Look, 958 00:55:00,040 --> 00:55:03,000 look at your risk. Risk is absolutely all you're managing. 959 00:55:03,000 --> 00:55:04,160 And if you can manage your risk, 960 00:55:04,430 --> 00:55:06,720 then the bottom line starts looking after itself. 961 00:55:06,960 --> 00:55:08,320 You understand what you're looking at. 962 00:55:08,620 --> 00:55:09,600 Now. Now one of the things. 963 00:55:09,600 --> 00:55:12,240 You mentioned there to hang up on, um, 964 00:55:12,390 --> 00:55:15,960 ratios of like looking for only two to one, I used to, um, 965 00:55:16,100 --> 00:55:18,640 and three to one and four to one. Um, 966 00:55:18,640 --> 00:55:22,200 you'll soon find out as a beginner it's harder to exit the trade than it is to 967 00:55:22,200 --> 00:55:24,200 get in, as I said earlier, um, 968 00:55:24,470 --> 00:55:28,760 deciding on where your targets are is part of what you've gotta be learning, um, 969 00:55:28,760 --> 00:55:31,720 at an early stage. And again, reading markets, 970 00:55:31,880 --> 00:55:36,080 maybe looking for previous highs and lows and things like this may be an easy, 971 00:55:36,080 --> 00:55:38,680 easy way to address that. But you, 972 00:55:38,680 --> 00:55:41,640 you've gotta work out a way of how you're gonna exit that market. 973 00:55:41,990 --> 00:55:42,800 Yeah. Cause so, 974 00:55:42,800 --> 00:55:45,360 so you mentioned at the start there like reading price and I think that's sort 975 00:55:45,360 --> 00:55:48,760 of come across as, you know, this other guy who just read, you know, 976 00:55:48,760 --> 00:55:51,000 he actually reads price. He doesn't have this , you know, 977 00:55:51,000 --> 00:55:53,680 he doesn't use all these other things he's teaching, but he reads the price. 978 00:55:54,070 --> 00:55:57,480 What, what, what sort of, if you had to say three things, 979 00:55:57,480 --> 00:56:01,400 here are three things you can go away and study over the next month to 980 00:56:01,400 --> 00:56:03,320 understand price better, what would they be? 981 00:56:05,230 --> 00:56:10,020 Well, it, it's start it, you, you, 982 00:56:10,020 --> 00:56:14,820 you can start off with the, the price action itself. I use candlesticks. Um, 983 00:56:14,950 --> 00:56:17,500 so you, but you, uh, it, 984 00:56:17,500 --> 00:56:20,060 it's just easier to see what the prices are doing. 985 00:56:20,280 --> 00:56:25,080 But individual candles will give you a clue. Now, if you're a nervous ninnie, 986 00:56:25,080 --> 00:56:29,480 you can always change to hike and a hike and Ashe candles and they're brilliant. 987 00:56:29,770 --> 00:56:33,440 Um, you might wanna look at those cuz they'll keep you in trends longer than you 988 00:56:33,440 --> 00:56:36,560 ever thought you could keep into a trend, um, because they, 989 00:56:36,560 --> 00:56:40,240 they average the price over a period. But, um, 990 00:56:40,530 --> 00:56:44,560 if it is absolutely, uh, an earlier start, I would just start off looking, 991 00:56:44,560 --> 00:56:48,680 looking for lower highs, lower lows, higher lows and higher highs. 992 00:56:48,680 --> 00:56:50,320 And that will give you a picture of trend, 993 00:56:50,700 --> 00:56:54,680 but look from higher timeframes down to the lower timeframes. So you always, 994 00:56:54,820 --> 00:56:59,400 you, you wanna be with, with the trend. And if you're looking off a, 995 00:56:59,400 --> 00:57:01,640 let's say you're trading off an hourly timeframe, 996 00:57:01,840 --> 00:57:04,800 quite often it's good to come down to the lower timeframe, 997 00:57:04,800 --> 00:57:08,320 15 minute timeframe for example, or even five. But 15 is, 998 00:57:08,320 --> 00:57:10,520 is a brilliant timeframe to come down to. 999 00:57:10,660 --> 00:57:15,490 And you might find even easier ways to get into something that 1000 00:57:15,490 --> 00:57:17,010 you're looking at in the higher timeframes. 1001 00:57:17,010 --> 00:57:19,490 It might be giving you something that you think, oh, this looks okay. 1002 00:57:19,750 --> 00:57:23,210 You go down a timeframe, you say, oh, hang on a minute. No, 1003 00:57:23,210 --> 00:57:24,930 not trading that yet. It's, it's, 1004 00:57:24,930 --> 00:57:26,890 it's quite a bearish little signal with the candles. 1005 00:57:26,890 --> 00:57:30,330 It just isn't looking right. But um, yeah, so it's, 1006 00:57:31,900 --> 00:57:32,990 I think there's three things. 1007 00:57:33,180 --> 00:57:35,310 Yeah, there's three things now. Um, what about, 1008 00:57:35,310 --> 00:57:36,790 you've had a lot of students come through, 1009 00:57:37,090 --> 00:57:41,230 I'm sure you've seen all sorts of different mindset issues pop up with students. 1010 00:57:41,860 --> 00:57:45,790 What, what are your, what are your sort of hacks, tips, 1011 00:57:45,790 --> 00:57:49,590 tricks that you share to get people on the right track? 1012 00:57:50,510 --> 00:57:55,000 Well, I think the easiest thing is we've got so much technology these days and 1013 00:57:55,690 --> 00:57:57,440 as I dwell back to the good, the, 1014 00:57:57,440 --> 00:58:00,880 they weren't necessarily good old days in terms of technology. Uh, 1015 00:58:00,880 --> 00:58:02,560 but these days we've got alerts, 1016 00:58:02,640 --> 00:58:06,520 we've got all the orders under the sun that you can want to, 1017 00:58:06,520 --> 00:58:09,120 that would take profits. You can buy, buy, stop, 1018 00:58:09,120 --> 00:58:12,560 sell stops every other order that you can particularly buy limit sell limits. 1019 00:58:12,670 --> 00:58:17,260 You've got plenty of tools there to place the trade or 1020 00:58:17,260 --> 00:58:21,780 place the sit, the, the, uh, setup for the trade. You can put your, 1021 00:58:21,780 --> 00:58:26,220 your target in. You can put every part of the trade in there, walk away, go, 1022 00:58:26,270 --> 00:58:28,820 go do something, go do the garden, walk the dog, 1023 00:58:28,820 --> 00:58:30,420 do something completely different. 1024 00:58:30,420 --> 00:58:34,020 Don't look at that computer until you hear a ping somewhere that it's close to 1025 00:58:34,020 --> 00:58:37,980 trade. Um, that's the best mindset because then you won't fiddle it. 1026 00:58:37,990 --> 00:58:42,540 Because even the, even I look at charts sometimes and I come back and it's, 1027 00:58:43,710 --> 00:58:47,970 and I can find an excuse to exit anything. Um, so it, yeah, 1028 00:58:47,970 --> 00:58:52,770 after years and years of trading, I, I, I still, but I, I literally, I'm, 1029 00:58:52,770 --> 00:58:54,370 I'm trading for, you know, 1030 00:58:54,370 --> 00:58:57,370 I wanna see how far it goes and what I actually get out of it because I can't 1031 00:58:57,370 --> 00:59:01,290 report it to the guys if I hadn't left it run. So it's great. So it's, 1032 00:59:01,290 --> 00:59:05,250 it is like having a another mentor there that, uh, I, 1033 00:59:05,250 --> 00:59:09,610 I have to confess to him when I'm closing it, buying it or whatever I'm doing, 1034 00:59:09,610 --> 00:59:13,370 yeah. It all gets reported to them. So it's like having a, a third party, 1035 00:59:13,370 --> 00:59:15,530 maybe that's, that's part of it is that you, 1036 00:59:15,530 --> 00:59:17,970 you speak that you have someone that you speak to and say, 1037 00:59:17,970 --> 00:59:21,480 this is what I've done. Uh, this traded me, this is my target. Um, 1038 00:59:21,540 --> 00:59:24,800 and then tell 'em what you actually come out at and how it, how, 1039 00:59:24,800 --> 00:59:28,760 how it turned up and when, when you got to report back to someone may, uh, it, 1040 00:59:28,760 --> 00:59:31,720 it may just make you stay in things longer, 1041 00:59:31,720 --> 00:59:34,320 but if you're not look there in the first place looking at it, 1042 00:59:34,380 --> 00:59:36,720 you ain't gonna be fiddling with it. Cuz you can't. Well, 1043 00:59:36,720 --> 00:59:39,440 you can if you go on your phone, but don't take your phone. 1044 00:59:39,960 --> 00:59:43,680 . Yes, exactly. Exactly. Okay. So really the, the, the, 1045 00:59:43,680 --> 00:59:47,520 the long and the short of it is just do do your analysis, 1046 00:59:47,520 --> 00:59:49,280 make your decision and Yep. 1047 00:59:49,290 --> 00:59:52,800 Somehow get off all the technology that can give you access to that information, 1048 00:59:53,330 --> 00:59:55,480 um, of where the price is currently at. Well. 1049 00:59:55,480 --> 00:59:58,480 We just get on with things. Yeah, I mean get on with ba I mean I, I I, 1050 00:59:58,630 --> 01:00:01,880 I literally, when I, when I get into a trade in the trade room, 1051 01:00:01,880 --> 01:00:02,600 the worst thing is, 1052 01:00:02,600 --> 01:00:06,720 and I've banned anyone talking about if the trade's doing good cuz that it was 1053 01:00:06,720 --> 01:00:10,240 almost like a death kill for it. Yeah. If someone says, oh, the, uh, 1054 01:00:10,350 --> 01:00:12,560 what were we trading the other day? Was it, 1055 01:00:12,610 --> 01:00:17,400 it was the Aussie Aussie cad we traded on Monday and someone said, 1056 01:00:17,400 --> 01:00:22,400 that's going well. And I said, you, you just can't do that because, um, 1057 01:00:22,450 --> 01:00:25,000 it might, yeah, you, it'll probably turn down. 1058 01:00:25,000 --> 01:00:28,200 It turned almost like straight away as they said it, 1059 01:00:28,200 --> 01:00:31,680 it started moving back up again. It, it, it went down to wind, but it, 1060 01:00:31,680 --> 01:00:35,600 it was just that sort of, you don't wanna be looking at it, you, because, um, 1061 01:00:36,590 --> 01:00:39,880 people want an excuse to exit or, or locking money, 1062 01:00:39,880 --> 01:00:42,920 particularly in the earlier stages. It's that just, 1063 01:00:43,030 --> 01:00:45,360 it's particularly if they've had a few losses, if they've, 1064 01:00:45,410 --> 01:00:49,360 if they've been fortunate and had a number of wins and it's sort of done and 1065 01:00:49,360 --> 01:00:51,560 they're, they, they've been winging it or whatever they've done, 1066 01:00:51,610 --> 01:00:53,800 they'll then get over bullshit and think, well, 1067 01:00:53,800 --> 01:00:57,040 I'll let everything run and it'll go for miles. Uh, 1068 01:00:57,040 --> 01:01:01,640 but just it inevitably happens that people just 1069 01:01:01,920 --> 01:01:06,240 look for a reason to exit the trade as opposed to trade, you know, 1070 01:01:06,240 --> 01:01:09,160 using the stats that, you know, if, if I know I've got an R one, 1071 01:01:09,160 --> 01:01:11,800 it's above previous highs. Okay. I don't hit the, 1072 01:01:11,800 --> 01:01:15,320 I don't ever take an R one or an S one and as an absolute target, 1073 01:01:15,390 --> 01:01:19,160 I allow a few pips or three or four pips just so that, uh, 1074 01:01:19,160 --> 01:01:22,800 the spread and everything else is there because it might hit the pivot and your 1075 01:01:22,800 --> 01:01:26,040 spread hasn't quite caught it. Yeah, you trading some of the outlandish, uh, 1076 01:01:26,040 --> 01:01:30,240 pairs, but, uh, you just, just leave it, 1077 01:01:30,240 --> 01:01:35,240 just walk away, uh, do something else. Back test, look at different charts, um, 1078 01:01:36,000 --> 01:01:36,690 anything. 1079 01:01:36,690 --> 01:01:40,480 Um, ironically it's the whole purpose trading, isn't it, to get the, 1080 01:01:40,480 --> 01:01:44,920 get the time back. So if you, if you, if that's the time that you've got back, 1081 01:01:44,940 --> 01:01:46,560 hey, look, we're gonna dive into the, uh, 1082 01:01:46,560 --> 01:01:49,960 quickfire round here and then wrap this baby up. Uh, 1083 01:01:49,960 --> 01:01:53,320 and we'll jump into a chart afterwards and get to see what you, what you know. 1084 01:01:53,650 --> 01:01:54,000 Um, 1085 01:01:54,000 --> 01:01:58,120 so how long did it take you to go from newbie to consistently profitable in four 1086 01:01:58,120 --> 01:01:58,953 x trading? 1087 01:01:59,710 --> 01:02:04,680 In four x trading? Um, because I had to, 1088 01:02:04,760 --> 01:02:08,520 the experience beforehand, it was sort of like just an, an add-on, but, um, 1089 01:02:09,470 --> 01:02:13,040 I had probably periods when I was doing particularly well then particularly, uh, 1090 01:02:13,040 --> 01:02:16,640 then area periods and I, I wasn't doing so well for, you know, so it was, 1091 01:02:18,290 --> 01:02:22,480 it, it took a long time to realize it's just, it's a long-term game, so I could, 1092 01:02:22,480 --> 01:02:25,560 because I was measuring myself on too short a period, uh, 1093 01:02:25,560 --> 01:02:29,120 like months as opposed weeks and months. Um, and then I, 1094 01:02:29,150 --> 01:02:32,520 I realized that you should really be looking at your result over a year and 1095 01:02:32,520 --> 01:02:35,040 yeah, what you're doing over a year. So I, 1096 01:02:35,070 --> 01:02:38,080 I probably hammered myself in terms of, uh, 1097 01:02:38,240 --> 01:02:43,200 early stages probably took about three years to really get into a rhythm of 1098 01:02:43,620 --> 01:02:47,840 not not being overly worried and hung up about 1099 01:02:48,470 --> 01:02:52,200 a month's trading. Um, you know, we're gonna have losing months, you know, 1100 01:02:52,200 --> 01:02:53,080 happens. You, 1101 01:02:53,080 --> 01:02:56,360 you almost don't wanna admit to the fact that you have o losing months because 1102 01:02:56,360 --> 01:03:01,080 you're a professional trader, but it happens. Um, you know, that's trading. Um, 1103 01:03:01,980 --> 01:03:04,770 so yeah, probably about three years of actually, 1104 01:03:05,030 --> 01:03:08,130 but I had pigs and troughs all the way through it, so it's sort of, uh, 1105 01:03:08,130 --> 01:03:12,370 I never gave back more than I had and, and I made money over the three years, 1106 01:03:12,470 --> 01:03:15,610 but it, it wasn't, uh, wasn't as consistent. 1107 01:03:16,520 --> 01:03:18,210 What's your favorite entry set up? 1108 01:03:19,380 --> 01:03:20,010 Sorry. 1109 01:03:20,010 --> 01:03:21,380 Your favorite entry setup? 1110 01:03:22,970 --> 01:03:27,880 Um, I'd say, you know, a flag with pivots involved, as simple as that. 1111 01:03:28,050 --> 01:03:31,800 Um, and w when I show you on the, the pivots in the moment, I, 1112 01:03:31,800 --> 01:03:36,080 I'll just show you some of the very simple processes I just follow and it, 1113 01:03:36,080 --> 01:03:40,160 but it is, it's something I, I do like flags weirdly, weirdly enough. They, 1114 01:03:40,360 --> 01:03:43,800 they seem to work pretty well. Um, and yeah, if I've got, 1115 01:03:43,800 --> 01:03:47,600 if I've got a pivot target for it, that would be it. Otherwise my little, 1116 01:03:47,600 --> 01:03:51,960 obviously the automated trade, I call it AB three is a three candle stick, um, 1117 01:03:51,960 --> 01:03:56,840 signal, um, with, with some know-how that goes through it, some trend. Um, 1118 01:03:56,840 --> 01:03:59,040 and that's it. So I've got two there now. Sorry. 1119 01:03:59,390 --> 01:04:01,160 That's all right. And what, what, uh, 1120 01:04:01,160 --> 01:04:04,560 what about the method you use to exit or manage trades? 1121 01:04:05,670 --> 01:04:09,720 That's as on the, uh, autotrade, it's done on a ratio. Um, 1122 01:04:09,720 --> 01:04:11,360 otherwise it'll probably be Pivot. 1123 01:04:11,370 --> 01:04:15,400 So if it's a date where even on a weekly basis, I'll be looking at pivots, 1124 01:04:15,400 --> 01:04:18,800 so often, uh, of the weekly or monthly I'll have a target and that's, 1125 01:04:18,800 --> 01:04:20,400 that's what it'll be. Um, 1126 01:04:21,080 --> 01:04:25,400 prior highs and prior lows often make a bit of sense, but not always. I, 1127 01:04:25,400 --> 01:04:29,560 I can look at the order book to see what, what's, um, what lies above. 1128 01:04:29,560 --> 01:04:32,720 So if there's a load of buy orders above there, I'll just run it out. 1129 01:04:33,790 --> 01:04:37,340 Uh, what's your preferred, uh, uh, recommended trading book or resource? 1130 01:04:38,500 --> 01:04:43,290 Um, you know, I, I saw you give me this thing, read this old book. 1131 01:04:43,290 --> 01:04:47,290 It's, it's, uh, it's called, um, the Diary of a Professional Commodity Trader. 1132 01:04:47,640 --> 01:04:52,570 Okay. Uh, Peter Brent, um, okay. For a professional trader, you, 1133 01:04:52,570 --> 01:04:55,650 you probably won't read it too much. And he says that in the very few pages, 1134 01:04:55,650 --> 01:04:58,690 he said, what you reading this for? But for a, um, someone, 1135 01:04:58,690 --> 01:05:01,410 someone told me about the book and, you know, I read it and he, 1136 01:05:01,410 --> 01:05:06,290 he's the most more sky going and he made money year on year on year 1137 01:05:06,290 --> 01:05:08,770 on year trading commodities. But he was, 1138 01:05:08,770 --> 01:05:12,930 he was using the mo What I liked about he, he does what I'm doing, , 1139 01:05:12,930 --> 01:05:16,210 you know, he's using straightforward old patterns and you know, 1140 01:05:16,210 --> 01:05:18,600 these things that these, uh, so-called gurus on the, 1141 01:05:18,600 --> 01:05:21,600 they say don't work anymore, load of rubbish. He uses those, 1142 01:05:21,600 --> 01:05:23,720 he uses cups and handles. And I, 1143 01:05:23,950 --> 01:05:27,880 I laugh when I see someone talk about Cup and handle head shoulders and things 1144 01:05:27,880 --> 01:05:31,040 like this, but yeah, he, that's what he was trading with. 1145 01:05:31,040 --> 01:05:33,920 And he sh he goes through his diary of trades that he took, 1146 01:05:34,060 --> 01:05:38,320 and when you see house, he's just so honest and I, 1147 01:05:38,320 --> 01:05:40,760 I just love his honesty in the book and he's, you know, he's, 1148 01:05:40,760 --> 01:05:42,760 he laughs at these people and I've always done it, 1149 01:05:42,760 --> 01:05:45,440 I've always found it strange that people need to go and prove themselves and 1150 01:05:45,440 --> 01:05:48,920 take 10 grand and make it 50 grand or a hundred grand or whatever else. 1151 01:05:48,990 --> 01:05:50,880 It's good, don't get me wrong. 1152 01:05:50,980 --> 01:05:54,360 But they're al they're most likely breaking rules mostly through that. 1153 01:05:54,370 --> 01:05:58,040 So for the Joe Public, they, they think that's a, that's, 1154 01:05:58,040 --> 01:06:00,880 that's an achievable thing to do every year. So I've got my 10 grand, 1155 01:06:00,880 --> 01:06:02,760 I'm gonna make 50 grand a year this, this year. 1156 01:06:02,780 --> 01:06:05,720 And of course they end up with two grand, you know, so, um, yeah, 1157 01:06:06,220 --> 01:06:07,680 net two Grand . 1158 01:06:08,550 --> 01:06:11,000 Okay. What, what's your preferred broker and trading platform? 1159 01:06:11,750 --> 01:06:15,080 I use Lmax, uh, which for a broker, cuz it's straight for, 1160 01:06:15,080 --> 01:06:18,720 I mean it's literally, um, it's a professional account. Um, 1161 01:06:19,630 --> 01:06:23,880 they, they don't like you really trading less than 10 k, um, through them. 1162 01:06:23,880 --> 01:06:28,040 So they're, they're sort of got, you could have a good size for it. It's the, 1163 01:06:28,040 --> 01:06:30,880 the platform is quite ugly and old and clunky. Um, 1164 01:06:30,990 --> 01:06:34,840 I tend to use MT four as well as, but I, I, you know, I like MT four. 1165 01:06:34,840 --> 01:06:38,960 I find it really easy to, uh, do things on. Quite often they're, 1166 01:06:38,960 --> 01:06:43,400 they're LM Max's main platform. I sort of like it, but you can't hedge on it. 1167 01:06:43,400 --> 01:06:46,160 You, you, you literally over in or out of a trade. If you close, 1168 01:06:46,230 --> 01:06:48,880 it's quite handy if you just wanna close part positions and things, 1169 01:06:48,880 --> 01:06:51,760 you can just put loaded folders in there and it'll close it before you partly, 1170 01:06:51,980 --> 01:06:55,040 but, um, it's, it's a bit antico antiquated, 1171 01:06:55,040 --> 01:06:56,480 but it's really for a professional trade, 1172 01:06:56,480 --> 01:07:00,800 it's just trading one direction probably, um, as, as I see it. And, 1173 01:07:00,800 --> 01:07:05,120 but you can put decent size through a very big size through them if you want and 1174 01:07:05,150 --> 01:07:07,480 it's just wished away and very, very cheap. 1175 01:07:07,480 --> 01:07:10,240 Hey folks, ever wonder what broker I use? Well, I use HaCo Trade. 1176 01:07:10,240 --> 01:07:12,800 It was a no-brainer because I was looking for a broker with good trading 1177 01:07:12,800 --> 01:07:15,000 conditions and one that wouldn't restrict my leverage. 1178 01:07:15,000 --> 01:07:16,600 Now by joining HaCo Trade Off, 1179 01:07:16,600 --> 01:07:20,920 also cut down my trading costs significantly with their super low commission of 1180 01:07:20,920 --> 01:07:22,920 just $1 per 100 K. 1181 01:07:22,920 --> 01:07:26,200 You can learn more@hacotrade.com or just click the link of put in the 1182 01:07:26,200 --> 01:07:26,560 description. 1183 01:07:26,560 --> 01:07:28,680 Awesome. Now, uh, last question here. 1184 01:07:28,770 --> 01:07:31,880 If you could leave our listeners with one piece of advice, what would it be? 1185 01:07:34,270 --> 01:07:38,680 Stress, um, read price, learn to read price, 1186 01:07:38,900 --> 01:07:40,400 and stay on the trend. 1187 01:07:40,910 --> 01:07:43,600 Okay. So go back and listen to what, uh, 1188 01:07:43,600 --> 01:07:47,040 what Kim said before around reading Price before we wrap up. 1189 01:07:47,040 --> 01:07:48,760 What's the best way for traders to get a hold of you? 1190 01:07:50,000 --> 01:07:54,190 Um, through, um, my website, um, the pivot trader.com. Um, 1191 01:07:54,190 --> 01:07:57,310 there's details on there. I do have a telegram. Um, 1192 01:07:57,310 --> 01:07:59,710 I've now got Discord as well. I've got everything now, 1193 01:07:59,710 --> 01:08:03,990 but I think by looks the same, but I've got a telegram, a free telegram, uh, 1194 01:08:03,990 --> 01:08:07,430 account, but you can, uh, get the details off the website anyway to contact us. 1195 01:08:07,430 --> 01:08:09,550 It's all on there on the pivot trader.com. 1196 01:08:09,720 --> 01:08:12,760 Brilliant. Well look a big thank you to Kim for sharing with us today. 1197 01:08:12,760 --> 01:08:14,320 Everything we've discussed here are. 1198 01:08:14,650 --> 01:08:17,080 Uh, in the show notes on trading net.com. 1199 01:08:17,080 --> 01:08:21,280 Just search for Kim k y m in the search box and until next time, 1200 01:08:21,430 --> 01:08:24,240 I wish all my listeners trading happiness and success. Alright folks, 1201 01:08:24,240 --> 01:08:27,000 hope you enjoyed that episode with Kim Watson. 1202 01:08:27,000 --> 01:08:29,840 Now do remember we shot a video afterwards, so if you are on, 1203 01:08:29,840 --> 01:08:32,960 not on the YouTube channel or even if you are, jump over there, check it out. 1204 01:08:32,970 --> 01:08:37,240 He breaks down pivot points and the probabilities of hitting each point. 1205 01:08:37,240 --> 01:08:40,400 So please go and check this out. This is well worth your time. 1206 01:08:40,400 --> 01:08:42,000 Other things going on here at Trading Out, 1207 01:08:42,000 --> 01:08:44,040 we've got the Fidel Crest 50 K challenge. 1208 01:08:44,130 --> 01:08:47,960 If you do wanna take part in being on the trading net livestream and go through 1209 01:08:47,960 --> 01:08:51,360 this whole challenge process, then there's an opportunity for you. 1210 01:08:51,360 --> 01:08:55,320 There's an en entry form link below the video or in the podcast description. 1211 01:08:55,450 --> 01:08:59,000 Go and check it out. I'd love to see you on here on Trading That in the future. 1212 01:08:59,000 --> 01:09:02,080 Alright folks, thanks for watching or listening wherever you are, 1213 01:09:02,140 --> 01:09:04,400 and we'll see you in the next episode soon.