Let's say you lost your edge and you had to start all over again. In which of these topics would you invest the most time into? I am asking because we have a newcomer with basic knowledge in all of them, yet not deep enough to start out. Ofc your style/personality does not fit his etc so it is not of much use but I find the question quite entertaining anyways do I just post it here.
without stats nothing else matters. it tells you everything you need to know. but only if you listen to what the results are telling you. many traders rather live in their head with fantasies rather than facts. m
Price Action + Psychology. Learn to "trade the chart... with discipline". Everything you need to know is in the chart. Whether you understand or agree/disagree... it's in the chart. The chart is always the final arbiter of price.
That's a good question, and difficult to answer, Portfolio management...what portfolio? That sounds like something a mutual fund investor or fund manager does. Correlation matrix....that sounds gimmicky, like something you'd discover in a book or trading course. Price action....following the action of the price....that works, marginally, I suppose. Statistics....that works, too, marginally I suppose. Everything generally, loosely, works in trading -- Until the market decides it hates your basic indicators, strategies and self. Then you are back to Square 1, wondering, looking sad and confused and disgruntled. If I had to start over, I'd do exactly the same thing I did before. Question and observe why the daily S&P moves the way it does. And then amplify that trade movement with leverage, options. If a trader can do this, they can make more than a million a year -- much more,
Marginally? You're kidding, right? Your entire objective as a trader is to get your money "in tune" with price. You don't get paid for any other notion.
dont start out brand new with a $100k account...lol... as a trader, starting with market mechanics is probably best then price action -> market structure would be a good next step followed by stats. Stats bring confidence which is huge in all types of performance. Of course risk management is up there too. The thing about trading that most noobs dont understand (thanks to mega successful YT traders selling get rich quick memberships), is you really need to be good at a lot of things first. Its like success in anything (especially competitive)...what are the fundamentals? be extremely good at the fundamentals. So there will be some disputes over where the best place to start is, however, IMO, you really need a solid handle on pretty much everything that will be discussed in this thread.
I would do something else. In order to have a fighting chance as a trader you likely need to put in close to ten years of effort and there's no guarantees by the end of that road. If you have a mentor to guide you and can focus entirely on trading for a while it's different, but even still, there's no substitute for experience and screen time. But for a retail trader learning trading on his own...? It's very difficult.
Where do you fit planning and back testing? I suppose it would be in statistics. I would want to learn how the market works and how is the best way for me to profit from it.