tag:blogger.com,1999:blog-709390629316238746.post9181684769476977005..comments2023-04-16T05:11:52.660-04:00Comments on Don Miller Trading Journal: Tuesday Notes - Setting the PaceDon Millerhttp://www.blogger.com/profile/13263493919935087931noreply@blogger.comBlogger14125tag:blogger.com,1999:blog-709390629316238746.post-90448396320321150362009-04-04T18:36:00.000-04:002009-04-04T18:36:00.000-04:00Max99: Ask any pro-poker player (who truly makes a...Max99: <I>Ask any pro-poker player (who truly makes a living at his game) if he thinks he is gambling? The answer will most certainly be no!</I><BR/><BR/>The professional poker players I know (and I know a few) happily describe themselves as gamblers. The difference they cite is that a professional gambler only risks money when he has an edge--the amateurs are just looking for action, the edge be damned.<BR/><BR/>Of course, there are plenty of caveats to this, especially when playing no-limit poker. The rock gets no action (it's hard to trap someone when you only play big pairs or big aces), while players known to have some gamble in them will get action.<BR/><BR/>An apt analogy to the rock is the trader who is always waiting for the "perfect" setup. He may wait for a long time before that comes (and maybe forever!), while passing up plenty of +EV opportunities.<BR/><BR/>The professional poker players I know tend to think like the professional traders I know--guys who are willing to gamble, but do a great job of managing the risk.Trader Kevinhttps://www.blogger.com/profile/03826070966823094363noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-58287468686431914942009-04-01T23:06:00.000-04:002009-04-01T23:06:00.000-04:00mtcx: I really dislike the term "chip stack" thoug...mtcx: <I>I really dislike the term "chip stack" though.</I><BR/><BR/>You never hear anyone on an exchange trading floor talking about dollars. It's always "ticks." Sort of like chips in a casino, you need something to desensitize yourself to the money.Trader Kevinhttps://www.blogger.com/profile/03826070966823094363noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-39122920459268889752009-04-01T15:29:00.000-04:002009-04-01T15:29:00.000-04:00Hey bluecollar -No problem or sensitivity whatsoev...Hey bluecollar -<BR/><BR/>No problem or sensitivity whatsoever as I'm pretty much an open book.<BR/><BR/>The $3,231 for Feb reflected $2,200 CME Lease and $1,031 quote and trading platform fees.<BR/><BR/>Other overheads during the year would include my Briefing.com & Barrons subsriptions, Expo jaunts, PC upgrades, supplies, etc., but the lease and fees are the main recurring costs.<BR/><BR/>Hope that helps.<BR/><BR/>DonDon Millerhttps://www.blogger.com/profile/13263493919935087931noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-36571423657540246682009-04-01T09:41:00.000-04:002009-04-01T09:41:00.000-04:00Hi Don,Thanks for sharing your trading experiences...Hi Don,<BR/><BR/>Thanks for sharing your trading experiences with the public.<BR/>With regard to "overheads" for which you cite a dollar figure, what is included here? I assume that it includes such things as your CME costs, internet connections, etc. I also assume that discussion of the details may be "sensitive" and so I understand if you will not be overly open about them;general info is also appreciated. I am considering a career as a trader at some point and am trying to get info about the "business" aspects of trading... the costs, state regulatory hurdles,IRS requirements, and best business status to select(LLC, S-corp, C-corp, Sole Proprietor). Have you posted before on any of these topics? I'm in the process of working with various agencies of state and federal govt, but I'm curious about "real-world" advice. Thanks very much.bluecollartraderhttps://www.blogger.com/profile/04613569062428407449noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-51624245221663835652009-04-01T07:15:00.000-04:002009-04-01T07:15:00.000-04:00Congrats on great Q1 and thanks on keeping this bl...Congrats on great Q1 and thanks on keeping this blog so open. There are not many other traders of your level that are doing that.FXhttps://www.blogger.com/profile/07680743908250462866noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-45229255790775614852009-04-01T06:39:00.000-04:002009-04-01T06:39:00.000-04:00Good discussion on poker ... another reason I like...Good discussion on poker ... another reason I like the "chip stack" analogy is that, like poker, it desensitizes the fact that we're dealing with real dollars.<BR/><BR/>Plus, since for now I choose to expose my daily diary results to the public, citing chip growth keeps a needed degree of humility around.<BR/><BR/>Lastly, I need to be congnizant of my personal poker discipline problem of managing a large accumulated chip stack (often easing up or giving some back after growth), so the analogy also helps me maintain such an awareness so that I hang onto accumulated trading gains while growing it even further.<BR/><BR/>DonDon Millerhttps://www.blogger.com/profile/13263493919935087931noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-52689772291288674302009-04-01T05:58:00.000-04:002009-04-01T05:58:00.000-04:00To mtcx. Ask any pro-poker player (who truly makes...To mtcx. Ask any pro-poker player (who truly makes a living at his game) if he thinks he is gambling? The answer will most certainly be no! Just like trading it is a game of probablities, and the answer to winning in both poker and trading is to ONLY play your hand when the probability weighs in your favor. This requires extreme patience and as such is an excellent training in both the principles and techniques needed to succeed in trading. Believe me I've learned the hard way by overtrading "poor hands" on far too many occasions! I wish you well in your quest. It is a long long road but you will get there in the end if you truly wish to succeed at this "game". (Recommend Phil Helmuth's "Play Poker Like the Pros" - explains this very well if you are a non-poker player).Max99https://www.blogger.com/profile/12794777088145817627noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-76146919176410270382009-04-01T04:22:00.000-04:002009-04-01T04:22:00.000-04:00Appreciate the comment mtcx.Keep in mind though th...Appreciate the comment mtcx.<BR/><BR/>Keep in mind though that I know with conviction that trading has MANY similarities to cash (not tournament) poker, which has helped my trading immensely over the last few years as noted throughout the blog.<BR/><BR/>And while I feel there's less frequent short-term luck with trading, NEITHER is gambling as both are about probability which is ALWAYS on your side.<BR/><BR/>So the analogies to effectively and carefully managing a growing stack will continue.<BR/><BR/>Thanks for the comment though ... this diary is one person's approach and opinion as always, and I can't change what psychologically works extremely effectively for me.<BR/><BR/>DonDon Millerhttps://www.blogger.com/profile/13263493919935087931noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-50246321337798368362009-03-31T22:28:00.000-04:002009-03-31T22:28:00.000-04:00I enjoy the blog and especially knowing there is a...I enjoy the blog and especially knowing there is a guy out here trading from home creating...well let's say "taking wealth" into his possession.<BR/><BR/>I really dislike the term "chip stack" though. I don't think we can really equate what you do to gambling in any way if your so consistently profitable. I understand it's a lighthearted way to say, "Hey guys I made 15k today".<BR/><BR/>I get beat up verbally by so many people when I say I want to be a trader. I would be better off saying I want to start the next Enron or rob banks. That's not "gambling".<BR/><BR/>I look forward to the day when I do $150 a day lightheartedly. Keep it disciplined Don, way to go.mtcx2009https://www.blogger.com/profile/07221743624966596088noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-78169127679769198612009-03-31T22:21:00.000-04:002009-03-31T22:21:00.000-04:00Great performance Don, especially considering the ...Great performance Don, especially considering the fact that you started the year with a ONE DOLLAR goal :)E-Mini Playerhttps://www.blogger.com/profile/08254731622932971485noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-81865702502820212312009-03-31T22:08:00.000-04:002009-03-31T22:08:00.000-04:00Butterfly behind you, now 3 months on your back if...Butterfly behind you, now 3 months on your back if you are doing the I.M.<BR/><BR/>Time for the second win(d).<BR/><BR/>Great pace, and amazing consistency Don.<BR/><BR/>Quick question: Does "no regrets" on your scorecard refer to "errors of omission" as in trades not taken?<BR/><BR/>Be well, thank you.Ehttps://www.blogger.com/profile/06463951546301302868noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-84883283967477876022009-03-31T21:03:00.000-04:002009-03-31T21:03:00.000-04:00ATP -It would be relevant in any market, yet I don...ATP -<BR/><BR/>It would be relevant in any market, yet I don't believe the stock has been replenished and I have no current plans to resurrect teaching.<BR/><BR/>DonDon Millerhttps://www.blogger.com/profile/13263493919935087931noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-26800491562559440472009-03-31T20:27:00.000-04:002009-03-31T20:27:00.000-04:00thanks for blog and nice trading, Don. btw, is you...thanks for blog and nice trading, Don. btw, is your dvd course re: trading the emini still relevant to current volatility and daytrading the ES?ATPhttps://www.blogger.com/profile/13477441455278057572noreply@blogger.comtag:blogger.com,1999:blog-709390629316238746.post-52645648580895784392009-03-31T18:23:00.000-04:002009-03-31T18:23:00.000-04:00Enjoy your blog. Thanks.Enjoy your blog. Thanks.Curtishttps://www.blogger.com/profile/01381976399305765020noreply@blogger.com