Welcome to this week’s Enlightened Trader Newsletter. The sideways action has continued this week in most of the major markets. S&P500, ASX 200, TSX Composite, Hang Seng and Bitcoin are all hugging their 200-day moving averages closely with no clear direction.
As you can see in the chart below, Gold is starting to pull away from its 200-day moving average and looks to be trending up, but the trend is still not looking very compelling.
Money definitely looks like it is flowing to the largest stocks and leaving the small end of town, HOWEVER, the S&P500 failed to make a new high before rolling over this week, so I would say the combination of these two charts shows that there is some short term downside risk in the markets. If the large caps drop below the long-term moving average a new down leg for the market could emerge.
Of course, I don’t recommend making trading decisions based on chart patterns and predictions like this… I just follow my trading systems because it is much less work, less stressful and a whole lot more reliable. Instead, I run a portfolio of trading systems covering a variety of Markets / Strategies / Timeframes… and it takes just 30 minutes a day to do it. (Actually, it takes me much less than that because it is all fully automated… the automation will be available to purchase very soon and believe me it will knock your socks off!)
If you want to learn the same systems I use and learn how to correctly backtest and evaluate any trading system then join The Trader Success System and master systematic trading fast! These systems can be fully automated as soon as I release my Automation Engine to the public in the very near future.
As a matter of fact, there are two ways you can join The Trader Success System right now:
- The Trader Success System Mentorship is my Flagship program which gives you hands on support and guidance, live training and support every week, access to System Builder’s Club and the library of over 2 years of weekly training and System Builder’s Club presentations.
- The Trader Success System Online is a streamlined version that contains all of the core training and trading systems, and forum support.
What you get is illustrated in the table below. If you are ready to master systematic trading and finally take control of your trading and sleep well no matter what the market is doing, send me a message and tell me whether you are interested in the ONLINE version or MENTORSHIP and I will help you get started.
Trading Tip of the Week
In my conversations with various traders this week I have felt that many of you out there are feeling overwhelmed with what you have to do and struggling for motivation to get started because of everything going on in life. These feelings can be paralysing and can absolutely sabotage your journey to trading success so I really wanted to address it here.
On LinkedIn I follow a lady whom I don’t know personally named Liz Fosslien who does incredibly insightful and powerful illustrations of important psychological concepts that I find so relevant to the trader’s journey.
Because I love them so much, I want to give you some important trading lessons for each stage of your journey in the form of some pictures Liz has shared on LinkedIn… Are you ready?
Lesson One: Start Today
The first part of today’s message is that the sooner you commit to your trading and really start learning (not just dabbling), the sooner you get the rewards. We all only have a certain amount of time and the more you waste the less chance you have of hitting your goals!
Lesson Two: Consistency Trumps Motivation
The second message that I feel is really important this week is that you can’t always rely on motivation to keep you moving towards your goals. Especially now because the markets are flat and there is no clear trend there is little short-term financial reward to keep you motivated.
The solution to this is to have a consistent approach to your learning and execution in your trading and follow it no matter how you feel. Once you have this you will naturally find your motivation increases and remains strong even in the face of a setback.
Practically for my Trader Success System Mentoring students, this means working through the online courses, turning up to our live Acceleration Sessions and Breakthrough Workshops each week, building your portfolio of systems and following your systems.
This doesn’t take hours and hours; just a little time invested consistently with focus makes a huge difference.
Lesson Three: One Step at a Time
The next part of today’s trading tip is to take it one step at a time. Yes, there is a lot to learn to master systematic trading. BUT, if you have a guide to show you step by step exactly what you should do and which step to take next then you can take consistent action with confidence and feel rewarded and encouraged with each step you take. This is why in The Trader Success System Mentoring Program we have multiple Trader Acceleration Sessions every week to make sure you are always clear on exactly what you need to do next.
Lesson Four: Celebrate Your Wins
If you have been learning about trading for a while, it is so easy to get disillusioned part way through the learning journey. I have had conversations recently with several students who were feeling a bit discouraged because they felt like they should have mastered it by now (there is a lot to learn to become a master of systematic trading). This comes from obsessing about all the things you HAVEN’T done yet.
The solution is to turn around and take a look back over your shoulder and look at how far you HAVE come.
The learning curve of students in my Trader Success System is steep; they learn faster than in any other course they have done. Every now and then it is important therefore to look back and appreciate all of the learning and experience you have got as this re-energises you for the way forward!
Student of the Week
My student of the week is Achim.
Achim presented a FANTASTIC system that he has been developing at System Builder’s Club this week – it was insightful, creative, diversified and unique. Brilliant work!!!
I will be trading this system myself – one of the huge benefits of being in The Trader Success System Mentorship is you get all of the code for all of the systems presented at System Builder’s Club!
Well done Achim – Great work 🤩
News from EST
I am putting the finishing touches on a new book for the Amazon Kindle store titled “Wisdom From the Masters of Systematic Trading”… it contains timeless trading wisdom from over 20 legendary traders (plus quite a bit of my own thrown in for good measure 😉) I can’t wait to get it out there – it will absolutely give you some thought provoking insights and help with your trading!
I had several people approach me about writing for the Enlightened Stock Trading website as a result of my newsletter 2 weeks ago. I am excited to be working with them and I would love to have a few more on the team, so if you are interested in sharing your trading knowledge and learning under my guidance while you write content for the EST website please send me a message and let me know. Here is who I am looking for:
- You are an active trader (everyone on my team must trade)
- You are fluent in written English
- You LOVE trading and are keen to research, learn and share things about trading
- You keep to deadlines
- You are able to take feedback and are coachable
- You want to work with me personally on this
If that sounds like you and you would like to get involved, send me a message and let me know and we will take it from there.
On the Home Front
The kids are back at school and I am struggling with my motivation to train for the Mt Kilimanjaro climb with my son (which is 7 weeks away) … So instead of relying on motivation, I am relying on consistency… walking every day, a long hike every weekend, walking up every flight of stairs I come across.
Now having said that… I am off for a walk with Stephanie; hope you have a great weekend!
Are you ready?
If you are ready to finally take control of your trading and want to discuss whether The Trader Success System Mentorship or The Trader Success System Online Program is best for you, send me a message with the word CHOOSE and we can schedule some time to talk and determine if you are a good fit for the program and which option is best for you.
Founder, Enlightened Stock Trading