Tuesday, October 23, 2012

Money Show - John Manley

John Manley is a professional trader and portfolio manager at Market Evolution Strategies. His talk was called "Market Evolution Strategies - the Holy Grail Approach". He says we get too much noise via opinions and forecasts. We get too much info that is mostly useless. Other people's opinions should not affect you.

There are three types of analysis, fundamental analysis, technical analysis and mental analysis. We should get rid of our emotions and biases. We are looking for validation of our own opinion and we should not be. Winning and losing affects your thinking (your ego) and we need to stop this. We have fears of losing, of leaving money on the table and of missing out.

He says that Mark Douglas wrote a book called "Trading in the Zone". He says we should all read it. It is all about your mind. Mark Douglas has a website. You can get a quick preview of this book here.

What you can control is the size of your investment and the risk of your investment. You must limit your losses as this is very important. Have a system and consistently follow it. To enter the Holy Grail Mindset, develop your system. You should paper-trade your system to check it out. Trade on the odds. (John Manley is a trader.)

This blog is meant for educational purposes only, and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. See my website for stocks followed and investment notes. Follow me on Twitter or StockTwits.

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