Trading edge
Edge is found consistently across all different types of skill sets and is no different in trading. Edge in a market environment enables a trader to tip the scale of probabilities oh so slightly in their favor. Allowing them to put on trades that make the mosts sense to them and capitalize on those opportunities as the market presents them. What is edge? Mark Douglas says it best:
An edge is nothing more than an indication of a higher probability of one thing happening over another.
discovering your edge
Through the continuous focus each day on developing as a trader, your edge in markets will start to make itself visible to you. It may be as simple as a chart pattern, or as complex as reading the order flow. Independent of the variable that you define as an edge, the principle remains the same. You have an edge because you have identified a buy or sell signal that suggests the desired outcome is more favorable to happen.
Trading edge is not just something you stumble upon. First, you must build the foundational skills of a trader. Learn which stocks to trade, how to select option strikes/expiration, develop your tape reading skills, learn how to manage risk and execute trades. Once you have this strong core built, a reliable foundation, then you can start to experiment in the setups that make the most sense to you. Are you going to do the work necessary to discover your edge in markets?
discord community
This month in the Trading Workshop we are focusing on building our trading processes. Edge is a huge component of your trading process and mine alike. Join us on the path to developing into a consistently profitable trader