One Approach To Trading Bonds by Thom Hartle
During the course of trading, the technician strives to enhance profitability by developing a consistent approach. Success in trading, as in any profession or practicing any skill, comes from the school of hard knocks, trial and error: experience, and developing good judgment.
Trading is perhaps one of the most difficult skills to acquire because experience can be so expensive. There is no four- or six-year university that will give the prospective trader a curriculum, tests, field trips and homework in the art and science of trading. There are, however, books, seminars, individual lessons and a host of other sources (including this magazine) that can help you to develop trading skills. Ultimately, though, it will be you — your judgment — that sets the stage for your success.
But who are you? The answer to that question means a great deal, for it will influence what to expect from your adventure into trading. Insight into your own personality can help steer you to your own best approach to the markets. Are you very patient and methodical? If yes, then you should look into longer-term approaches. You probably do not want to be bothered with day-to-day volatility, for you may consider it to be a lot of noise, clouding the issue of what the trends are.