The market is traded by ordinary people.
These people generally do not take the time to do their homework.
They do not have the patience to sit down and learn about the market they are trading.
They trade like cowboys in the Old West, shooting from the hip.
No wonder 95% of all traders lose all their money.

Trading should be no more than common sense.
Building Confidence in a Trading System.

1. Indicators are a mathematical way to measure the state of the market.
2. Confidence comes from knowledge and experience. You need to observe and use a system for some time. This way you will learn when and why trading signals are generated.
3. Confidence in a system comes from seeing the system perform the impossible.
   You must see a system go short at the top, or long at the bottom, only then you will believe in it. As you observe the indicators go higher and higher or lower and lower, you will know that a trading signal is going to happen. And when it does, it will be no surprise.
   Pulling the trigger becomes an automatic reaction, because it was anticipated.

What is driving the market. Who cares anyway. Trading is pure technical analysis.
At the end of the day, what is driving the market is always reflected in the charts.

The important thing is to be able to interpret the information in the charts correctly and objectively, without any emotion.

Easier said than done right. That is why we need good trading systems.
As humans it is very difficult at times not to let our emotions come in the way.

A trading system on the other hand has no emotions.

1. We need to be well capitalized.
2. We need to have a sound trading plan.
3. We need to be objective.
4. We need to have a long term view.
5. We need to conquer fear and greed.
6. We need to be able to turn the odds in our favor.