THE ULTIMATE EDGE

A COURSE IN PRINCIPLES

(A Traders guide)

A. Why Principles

What is a principle?

A fundamental truth or proposition that serves as the foundation for a system of belief or behavior or for a chain of reasoning.

60/30/10 versus 10=100

(image/networking/product) versus 100% performance (trading, competitive sport, brain surgery)

Problems:

Trading is counter intuitive

Requires no skills (push of a button only)

Humans have no physical sense for probabilities

or dealing with constant uncertainty

Solutions:

Principles=ultimate truths:

to gain confidence

to lean against

to be independent

B. “A trader’s daily plan”

All the moving parts

Without a plan no measure without measure no room for improvement,

People trade beliefs-

Beliefs are not necessarily principle based and even less conducive to consistent trading results

Be organized,

have a plan,

develop all aspects simultaneously,

be self-responsible,

measure,

adjust,

improve