A Trading System...

A lot of Traders don't find Consistent Profits, rather loose money. The Trading System always gets the Blame for all the loses.  The Vast majority always keep looking for a Better- Profitable Trading System, a solution to consistent loosing.

The irony is that the Solution has nothing to do with Trading System.

A Loosing trader is in a cycle which consists of 3 phases:-

Search - Action - Blame - Search - Action - Blame - Search -------------

Phase 1):   You are searching for a Trading system. You look for them in Books, Websites, Online forums, Webinars, Seminars, or by speaking with another trader. If you are unable to find a comfortable Trading system, then you are in Phase 1.You will leave Phase 1, once you find a Trading system that is exciting & that you can't Wait to Trade.

Phase 2):   Its fun & the Action Phase. There is excitement & you begin to trade the system with hopes.You don't even test your New Trading system (a minority of Cautious traders do). but at some point, things look bleak. May be Profit pours in early & eventually Loosing trades piles up. There are several loosing trades in a row whenever you increase the Trade size or Risk per trade. With these Drawdowns, you will Loose faith in your system & this is beginning of END of Phase 2.

Phase 3):   Its Blaming phase. The trading system is scrapped because it failed to provide consistent Profits. The Trading System found the loosing trades. Frustration sets in because the system which looked Fool-Proof ended up as a looser. You decide to move to New Trading system.

Return to Phase 1):   Once you decide to give up your system, the search for Better system starts again. The cycle repeats itself once again.

The problem is this: The Profit doesn't come from Trading systems. It comes from Traders !! Traders find Profits in the market & the tool (Trading system) used to extract these profits is not as essential as the Trader's execution.

The first step towards Profitability is Identifying that you are stuck in this cycle. The Key to break the cycle is to recognize that Trading systems are not responsible for Loses but YOU.