Trend Following - Reverse Engineering ZF System

Based from my previous’ blogpost: $2GO dissection from Kap Kidlat’s June Trades. I mentioned there that I am self-studying ZF system. One is thru trade dissection of successful ZFT members and second is asking other ZFT members for help. 

Whenever I dissect trades, It gives me 2 things:

1.       Clarify what I know

2.       Discover what I don’t know

For other traders especially those who are starting trading, maybe you can try to dissect trades too and share if you'll discover anything.

Aside from trade dissection and back-testing some parameters, I ask technical questions to ZFTs in order to get something. This is part of ‘discovering’ what I don’t know. But of course, not all technical information are shared by the Tribe, I understand and respect that since it’s part of their system and it’s strictly confidential. It really lies on discovering it on your own.

During those times I came across with the “Trend Following” setup or “TF” as we call it. This is based on ZF system. So I’ll be sharing it again to gauge my knowledge and for everyone’s perusal.

Let’s start…

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As the saying goes...

It sounds easy as it may seem. But what really is it?

Let's have a knowledge check (so we're on the same boat)

From what I understand, trend following is simply following the trend, whether up or down. AOTS or iAOTS. Of course, we would like to trade a stock in AOTS that rallies up and makes a decent uptrend. It’s more profitable setup but more on conservative type since the trend’s rally will take some time to go up. After some time, the uptrend can show signs of weakness and due to a correction or breakdown. Patience is a virtue when riding this kind of setup.

In trend-following I’ll be sharing, the technical indicators used are:

-  Moving Averages

-  SMA20 (more of this)

-  SMA50 and

-  SMA100

-  RSI (Relative Strength Index)

-  RSI 14 period

-  RSI 70 upperlimit; RSI 30 lowerlimit

-  Simple darvas technique

                -  6mos high, 52wk high, multi-yr high and all-time high resistances

[References]

Read here for more info about MAs, AOTS, ZS and PUA:

http://zeefreaks.blogspot.com/2011/09/moving-averages-and-patintero.html

http://zeefreaks.blogspot.com/2013/03/zeus-strike-and-alignment-of-stars.html

http://zeefreaks.blogspot.com/p/blog-page_8.html

Moving Averages:

http://www.tradeciety.com/how-to-use-moving-averages/

http://www.tradeciety.com/simple-moving-average-trading-strategy-that-works/

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Moving on, let’s talk about more of ‘criteria’ in trend following plays based from my research.

From Boss Zeefreak’s blog entry (Swing Trading vs. Trend Following), he mentioned there the use of SMA20. Which is an effective moving average for trend following since we can use it as a sell signal whenever SMA20 ‘snaps’.

See below for a snippet from the blog entry:

PXP chart May 2012 to June 2012. Sample of Trend Follower’s Chart.

In another blog of Boss Zeefreaks’ (The Trend Following Astronaut), what he mentioned there were:

  -  The formation of AOTS

  -  Intended max trade volume (‘Cause he’s Zeefreaks, he has volume! :D)

  -  The 20SMA / 50SMA for setting stops

  -  The hierarchy of resistance breakouts

Trend Following Template

To put all into a simple criteria:

1.       The stock must have broken-out of at least the 6 month resistance

           All-time high > Multi-yr high > 52-week high > 6month high, and so on

2.       AOTS formation in daily

           More conviction if AOTS formed in weekly (longer timeframe)

3.       SMA20 trail is being respected in the daily

 Last resort, SMA50 is respected

4.       Sell whenever SMA20 ‘snaps’

 Or when SMA50 snaps

    

Timeframe:  Could take a month to 3 months to 1 semester to 1 year, and so on.

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From Boss Zeefreaks’ blog example, let’s take a look at $PXP in 2012 with those 4 criteria above.

$PXP daily chart Feb 2012 to July 2012. 

1.  Plotted the All-time high (ATH) resistance at 14.18. Again this is the trigger point. A breakout from these kinds of resistances will start the uptrend. $PXP broke out of this ATH on 04/24/2017. After which, followed by momentum candles with supported volume.

2.   Month of May 2012 $PXP transitioned into AOTS. The price is > 20SMA > 50SMA > 100SMA. We can see here that the rally continued until July 2012. May 2012 was the start of the uptrend.

3.   Let’s take a look at the SMA20 (red line). Since the breakout from #1, the price respected this line for 3 times and continued its rally.

4.    As for the selling, 07/17/2012 $PXP broke down from SMA20. 07/19/2012 broke down from SMA50. These are the areas where the trend weakens. There is RSI bearish divergence seen from May 2012 to July 2012.

Buying from 14.18 BO point and selling at 43 area isn’t bad after all. Around +200% gain in less than 4months. :) 
(Caveat. The %gain is not always like this, though.)

But, I found out there’s an easy way to spot a trend-following play. Where we can find the start & end of the trend.

Let’s take a look on the weekly chart of $PXP from 2012.

$PXP weekly chart. Oct 2011 to July 2012.

Highlighted in green is the end of week of 04/27/2012.

Highlighted in red is the end of week of 07/20/2012.

In the weekly chart, the uptrend usually STARTS when stock breaks out of RSI70 and WEAKENS when stock breaks down of RSI70.

Simple, right? Let’s further dissect the chart above.

1.       $PXP ATH plotted at 14.18 – the trigger point

2.       End of week of 04/27/2012, ATH breakout at 14.18.

      2a.   RSI breakout at 70 level.
      It is confirmed from daily chart that this is the start of the uptrend.

3.       End of week of 07/20/2012,

      3a.   RSI breakdown at 70 level.

      It is confirmed from daily chart that this is the time when the trend weakens.

The uptrend rally of $PXP in 2012 happened from 04/2012 to 07/2012.

What’s more interesting is that if a stock is above RSI70 in weekly chart and stayed above it for some time, automatic, the daily chart is in AOTS. It’s in uptrend. A trend-following candidate. :)

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Let’s have an example. Case in study:  $STI

$STI Weekly Chart. Highlighted is Oct 2016 to March 2017.

Take a look at the weekly chart of $STI. MA’s are hidden so we can see the behavior of price vs. RSI alone. The green line is the start of RSI70 breakout and red line is the breakdown at RSI70. Plotted are the 52wk and 2yr high darvas resistances.

1.       This is the start of the uptrend. End of week of 10/14/2016, $STI broke out from its 52wk high

   1a.   RSI breakout at 70 level.

2.       After 5 weeks, end of week of 11/18/2016, $STI broke out from 2-yr high (multi-yr high)

   2a.   Few weeks before that, it consolidated and RSI70 was retested then rally continued.

3.       This is where the trend ‘weakens’. End of week of 03/24/2017, RSI breakdown at 70 level.

 Let’s shift at the daily chart of $STI.

$STI Daily Chart. Highlighted is Oct 2016 to March 2017.

There. From Oct 2016 to March 2017, the stock is already in AOTS. See how the price rallied? It respected the SMA20 line for 5 times (1a to 1e). There was an instance start of March 2017, the price visited the SMA50 and went above SMA20 line. This registered a Lower High (LH) from Feb 2017’s recent high. It failed to recover above SMA20 in March 2017 that’s why April 2017, $STI started consolidating.

But this June & July 2017, a different story happened for $STI. It did breakout into new highs again. And I missed it.

Going back. 

Buying $STI from 0.72 BO point and selling at 1.10 area isn’t bad too. Around +50% gain in less than 6months. :) 

(See the %gain varies from $PXP? Caveat again.)

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Let’s take a look at another stock. $MRP this year. I traded this one but wasn’t able to ride the whole uptrend. 
The stock code was still $MCP back then.

$MRP Weekly Chart. Highlighted is March 2017. The start of uptrend.

From the start of 2017, we can see that another kicker for $MRP was PUA. ZS in weekly. The SMA100 went under the price in weekly chart, which signals the beginning of a major trend shift. See ZF's PUA blog entry here

1.       Plotted previous’ 52wk high at 4.93 – Jan 27, 2017 High.

2.       End of week of 02/17/2017, $MRP broke out of previous’ 52wk high. 
   But this is not the start of the trend yet. RSI is still below 70 level.

3.       End of week of 03/10/2017, $MRP broke its RSI70 level (3a). This confirmed the start of uptrend.

4.       End of week of 05/19/2017, 10weeks after #3, $MRP broke out from 2yr high. Price reached 8.20 area. 
    And guess what? This is +100% gain from the start of $MRP in Jan 2017. $MRP was at 4.00 level that time.

5.       As of writing, July 1^st week of 2017, $MRP is still respecting RSI70 levels in weekly.

a.  $MRP might show further weakness when weekly RSI went below 70. If not, then it's a different story. Caveat.

Let’s take a look at the daily chart.

$MRP Daily Chart Jan 4, 2017 to July 7, 2017.

Highlighted is March 10, 2017. The start of uptrend.

Switching $MRP to daily chart we can see the beautiful rally. It’s automatic, daily chart is in AOTS. 

1.  Jan 27, 2017 $MRP registered its new 52wk high at 4.93. The stock is not yet in AOTS during that time.

2.  Feb 16, 2017 $MRP broke out of its 52wk high. This is the day I entered $MRP.

$MCP buying transaction

3.  Few days after breaking its 52wk high, $MRP consolidated and re-tested the previous resistance. This was Feb 23 to March 2, 2017. It managed to stay above it and as we can see, our SMA20 trend support was confluence with the price pullback. So the price rallied up afterwards.

               a.   April 18, 2017 - $MRP just broke down from the SMA20 in the daily chart. 

                     Respecting the SMA20 rule, I sold all my positions on this day.

$MCP selling transaction

$MCP Trend Following Trade. 2-month hold. +26% gain.  

b.  Little did I know, $MRP rallied further after respecting the SMA20 in daily. The price went above it and continued its rally touching the 2yr high at 8.22 on May 8, 2017. SMA20 was respected again on May 18, 2017.  

  

4.  May 19, 2017 - $MRP finally broke-out of its 2yr high at 8.22. Price rallied further and June 2, 2017 it registered a new high at 10.20 area.

a.  I swing-traded $MRP in May during this rally because the momentum is really strong that time.

$MCP Swing Trade. 5 trading days hold. +12% gain.

     5.  June 23, 2017 - $MRP failed to recover at SMA20. Will this signal that the trend is over? Only the market can tell. 
          Let’s see how $MRP will react to RSI70 in weekly chart.

So there’s the trend following of $MRP. Just imagine the rally from start of 2017. From 4.00 area to 10.00 area in just 6months.

Buying $MRP from 4.93 BO point and selling at 9.00 to 10.00 area isn’t bad! 
Around +80% to +100% gain in less than 6months. :) 
(See the %gain varies from $PXP and $STI? Caveat again.)

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Now let's move on to my favorite part. Trade dissection of Kap Kidlat's TF Trade: $POPI. 

This was wayback 2015 from his #Throwback FB album.

Kap's Throwback Trade: $POPI

Strictly Trend Following

Actual FB post here

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This was the actual caption from Kap Kidlat's post:

Strictly Trend Following #POPI

Start of Log.

May 5 

A convo between ZF and Kidlat transpired -- 

ZF: In stocks like POPI, you buy on breakout and TF or do you sell on TPs? Or do you do both?

Kidlat: Sell on TPs lang ako sa popi kasi buy on breakouts. Di ko kaya antayin ung conso if meron man. [**this is so me being a momentum trader**]

ZF: Ahhh.. Was wondering kasi the last I know na TF mo was $X.

Kidlat: Very strict kasi ako dun sa "i hate consolidation" na statement ko. Walk the talk tlga yan. And ung $X hindi ko iti-TF yan if hindi mabilis ung stock. Pansinin mo ung $X during nung time na nag TF ako walang mahabang conso. [**the entire tribe knows that I really hate consolidations**]

Jun 16

Entered $POPI when I saw a good opportunity. Plan was to follow the trend (TF) by STRICTLY trailing the 1 month moving average (i.e 20-MA).

Aug 18

Two months later, liquidated my position when price broke down from 20-MA. [**check comment section for the chart**].

Realization: TF is really not for me. My balls are built for momentum trading. Maybe I could blab about this $POPI trade when I launch my blog. So that i can show you the entire log. Mahirap mag-monologue sa FB ng mahaba. Not sure when tho. Coz im tamad AF.

But let me tell you this now, trend following looks like a very simple setup in hindsight. Until you trade it. 

End of log.

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Okay, let’s start. Let’s try to dissect the trade based from what we’ve discussed above.

$POPI TF Trade

Setup                   :        Breakout Play / TF Play

Conviction             :        Multi-yr high BO | AOTS daily & weekly | Trend following

Trade Objective      :        Trend-follow

Kap Kidlat's $POPI trade.
June 16 to Aug 18, 2015. 2months hold. +45.07% gain.

$POPI Weekly Chart. Nov 2014 to Sept 2015.

Let’s start with our weekly analysis, where we can see the start & end of trend in just one look. 

Can you see it? In just one look and then yun iba na? (…malagkit dumikit ang tingin ng mata. One smile, iba na ang ibig sabihin… :D)

1.   End of week of 06/11/2015, $POPI broke out of RSI70 weekly (1a). 
This is the start of the uptrend. Kap Kidlat entered 06/16/2015.

2.   End of week of 08/20/2015, $POPI broke down of RSI70 weekly (2a). 
This is where the trend weakens. Kap Kidlat liquidated his position 08/18/2015.

Another conviction for this trade is that in weekly, $POPI is in AOTS. Uptrend it is.

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$POPI Daily Chart. April 2015 to Aug 2015.

Let’s shift into daily chart. There, we have AOTS in daily from June 2015 to Aug 2015.

Let’s go further in detail where Kap Kidlat exactly made his transactions.

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$POPI Daily Chart. June 16, 2015.

Buying Area

Let’s simulate what happened on June 16, 2015.

1.   Plotted Multi-yr high resistance at 1.28. This is the high since 1998, an area of least resistance. A breakout from this area will be explosive.

2.   $POPI registered a higher low (HL) around 0.90 area. This was confluence with SMA50 and golden fibo ratio.

3.   On June 8, 2015, price broke out and stayed above SMA20. From our observation discussed above, SMA20 is the trail support for trend following plays. After breaking SMA20 in daily, stock shifted to AOTS again.

4.   On June 11, 2015, price broke out of the Multi-yr high of 1.28. This is accompanied by volume spike (4a) which is above average traded volume. RSI also broke out of 70 level in daily chart (4b).

5.  On June 16, 2015, $POPI opened at 1.28 and never went below it. It closed at 1.35 area and Kap’s AEP was 1.3540.

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$POPI Daily Chart. Aug 18, 2015.

Selling Area

Let’s simulate what happened on Aug 18, 2015.

1.   After the breakout from June 2015, $POPI rallied further. As a trend-following play, it clearly respected our SMA20 trail of support (1a & 1b). There was one time on Aug 11, 2015 where the price broke out (1b) with a decent volume-spike (1c).

2.   But after 2 days, on Aug 14, 2015, the price attempted to break from 2.50 area but failed. The selling pressure was strong (2a) and $POPI closed at 2.26.

3.   RSI bearish divergence manifested during #2’s attempt for another breakout. While the price attempted to make higher highs (HH), RSI registered lower highs (LH). This is clear that the trend is losing its momentum.

4.   Aug 18, 2015, price broke down from SMA20. It is also clear with the RSI since it went below RSI50 level. Entering bearish area. This was the day Kap sold his positions.

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$POPI Daily Chart. April 2015 to Aug 2015.

Using SMA20 only

Let’s look at $POPI in a simple approach. Plotting the Multi-yr high and just the SMA20. 

We can have 2 options for buying.

Buy 1 – When price went above SMA20

Buy 2 – When price broke out of the Multi-yr high

Selling area is the same, after SMA20 snaps out. Both buying options can still be profitable.

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To put everything in summary:

Previous Trend Following Criteria

Revised Trend Following Criteria

1.   The stock must have broken-out of at least the 6 month resistance     All-time high  >     Multi-yr high  >     52-week high >     6month high, and so on 2.   AOTS formation in daily § More conviction if AOTS formed in weekly (longer timeframe) 3.   SMA20 trail is being respected in the daily §  Last resort, SMA50 is respected 4.   Sell whenever SMA20 ‘snaps’ §  Or when SMA50 snaps

1.   The stock must have broken-out of at least the 6 month resistance     All-time high  >     Multi-yr high  >     52-week high >     6month high, and so on 2.   RSI stayed above 70 in weekly §  Start of trend - RSI70 BO in weekly §  End of trend - RSI70 snaps in weekly 3.   AOTS formation in daily §  More conviction if AOTS formed in weekly (longer timeframe) 4.   SMA20 trail is being respected in the daily §  Sell whenever SMA20 ‘snaps’ §  Last resort is the SMA50

- End of entry -

$2GO Trade Dissection - Kidlat Trades June 2017

As part of my own curriculum for self-learning the ZF system, I always dissect trades from the ZF Tribe. 

I do not belong to ZFT, I'm just an independent trader trying to reverse-engineer their system.

One of their elite mentors I look up to is Kap Kidlat Santelmo.

Why? (Wait, who doesn't?)

'Cause his trades are so remarkable. He has this profound way of trading, both mentally and technically. 

Kap's trades for June.
 11 outstanding trades overall. Galing diba?
Lupit pa ng caption!

And also,

I want to be like him. 

I want to achieve his level of mastery in this field.
Ops, Walang basagan. 
Libre naman mangarap :D

What interests me most is his $2GO trade. His biggest gain for June. I never traded $2GO (missed it). But the setup and reward is so juicy that it's so hard to miss. Next time, hope that these opportunities can be spotted that easily.

So I decided to blog about my dissection for $2GO. 

I'm sharing this to gauge my knowledge of the system and of course, for everyone's perusal.

Feel free to comment in the most technical way you can.

If you happen to be a ZFT, feel free to criticize.

I just hope I'm doing it right. :)

Here we go...

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1.       2GO Trade

Setup               :    Breakout Play

Conviction         :    ATH BO | Parabolic | AOTS daily & weekly | RSI70 weekly | Support Confluence 

Trade Objective :    Swing/Momentum

Kap's $2GO trade.
May 25 to June 1, 2017. 5 trading days hold. +69.76% gain.

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2GO Weekly Chart – May 24, 2017 Wed (before the ATH breakout at 18.60)

It’s much better to look at the longer timeframe. In this way, we get to see the overall trend and behavior of the stock. Let’s first dissect 2GO from the weekly perspective then let’s see what happened on the lower timeframes (daily and intraday).

1. First, plotted All-time High (ATH) resistance at 18.60. This will serve as the trigger point. If this will be broken with conviction, then it is poised for another rally.
2. Plotted forward Fibo from last 4 weeks (11.54 to 18.60 – I used wick-to-wick here).
3. Last 3 weekly candles seem to respect 38.2% and 23.6% fibo levels (15.90 to 16.90 area respectively). Based from fibo rules, should 38.2% and 23.6% levels hold, the trend is still intact. It also shows a tight consolidation and possible formation of a ‘flag’.
4. RSI weekly is way above 70 (RSI 92 level), this shows that the trend is really strong. But of course, better to be cautious, the stock can be toppish too.  Switching to lower timeframe helps us to decide better.
   
   Other observations in weekly chart:                              
   -          AOTS in weekly; stock is uptrend (bullish)
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   2GO Daily Chart – May 24, 2017 Wed (before the ATH breakout at 18.60)

   Here, we get to see the daily price action. (Malamang, daily nga eh hehe)
5. The Fibo levels 38.2% and 23.6% (15.90 to 16.90 area) are confluence with SMA20 (red line). Take note, SMA20 is being respected since its first rally in April 2017 (point 5a). This is also the trail support for trend-following plays. (Should this level hold and price bounces here, then we might see another rally. If it breaks, the stock might consolidate or can weaken out). Going back, we can assume the current level is being supported. These support confluences show enough conviction. We can set a cutloss point below this area.
6. Notice that the volume is getting tight, no heavy selling or buying - yet. 
7. RSI daily is hovering at 70 level. Now this is good, since we want to see stocks rally above RSI70 level. As another conviction for this trade, RSI weekly is leading RSI daily.

a.  Observation for RSI characteristics: when weekly RSI is >70, the daily RSI can go above or below 70 especially when daily chart shows consolidation. Price breakout or breakdown can lead RSI daily up or down.

                b.   In hindsight, 2GO did broke out from its All-time High.                          

        

       Other observations in daily chart:                    

-   AOTS in daily; stock is uptrend (bullish)

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2GO Daily Chart – May 25, 2017 Thurs (ATH breakout at 18.60). 2GO closed at 19.70 (+13.9%)

This is the day $2GO breaks out of 18.60. Runner-Runners triggered. 

What happened after was:

2GO Daily Chart – June 1, 2017 Thurs (New ATH at 30.9).

2GO closed at 27.25 this day; +46.5% from previous’ ATH of 18.60

Of course, Kap Kidlat’s $2GO reached 30.00 level, +69.76% gain from an AEP of 17.53. Let’s take a look at the intraday chart from May 25, 2017 to June 1, 2017. Let’s see how he might probably executed it.

2GO 5min Chart – May 25, 2017 to June 1, 2017. Beautiful Rally.

Possible area of buying:

Buying area probably happened between May 24 and May 25 in the Darvas box 1 shown below. There's a tight intraday consolidation before the breakout.

2GO 5min Chart – May 25, 2017 Thurs. Previous’ ATH 18.60 was broken.

A major resistance now turned to support.

[May 25, 2017 Thurs - 5min chart]

2GO started the initial uptick at 11:45am. This is a breakout from the Darvas 1 box.

At 11:50am, breakout at Darvas resistance 2. At 1:30pm after recess, breakout at ATH. All breakouts were supported by volume buying. After which, it continued its rally and closed at 19.70 that day.

Possible area/s of selling:

1. 30.00 area. Whole number and major resistance.

2. SMA50 and SMA100 break in 5min chart. Prior to this, bearish divergence manifested during the rally.

2GO 5min Chart – May 25, 2017 to June 1, 2017

[In 5min chart]

On May 30, 31 and June 1 - Bearish divergence seen in the 5min chart of 2GO. As the price makes higher highs (HH), RSI makes lower highs (LH). This is a manifestation that the rally is losing its momentum. June 1 opening, 2GO topped at 30.00 area and went back to 27 area (highlighted box). 

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EDIT: One way to look at this trade is how Master Zeefreaks traded his MAC & SSI lately:

Master Zeefreak's MAC trade
Click here for actual post

    And the simple criteria:

Reasons for buying / selling

    How $2GO trade will look like if we apply Master ZF's way of trading it: 

Much simpler :)

- End of $2GO trade dissection -

That's it! 

I still have to dissect the other 10 trades from June and previous trades from other months.

More to follow.

Hormesis - 1st Half 2017 Trading Results

"We need small amounts of pain to make the gains that prevent our existing skills from atrophying. In small doses, stress helps us grow our future skills and knowledge and helps us anticipate and solve complex challenges."

- The concept of Hormesis

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The Beginning

     I started investing in the PH stock market late 2013. I discovered stock investing from a friend and the first book I read was Bo Sanchez' My Maid Invests in the Stock Market. I was an "investor" type from the start. Peso-cost-averaging, as they say. My first 3 stocks were MEG DNL & SMPH, they gave me significant gains come Q1 of 2014. So I sold all of them discovering that "trading" is much faster way to earn. Though I don't have any idea about the market - literally zero knowledge on any analysis, I discovered the glorious recommendations found in FB groups. And yes, years 2014-2015 I blindly followed those recos and got hyped in the most conventional way to lose money. I just stopped "trading" 2nd half of 2015. I did "bodega" on the "legal-wife material" from the recos of the "gurus" but ended up with a "kangkong". I realized I'm doing the wrong thing. 

     Come 1st quarter of 2016, I became aware of technical analysis. Credits to The Trading Code  book and ZeeFreaks' blog which paved the way in understanding the fundamentals of technicals. Since April 2016, I studied trading on my own. I recorded every trade entry/exit through a journal while going through the process of developing an 'unknown' system. I got rid of all the noise, quit all FB trading groups and just followed notable traders in the PH stock market. I sought guidance from other traders as well. But the chances are not favorable to me. I had to go through series of errors/losses not finding enough clarity in my trading system. By Dec 2016, I made more than 150+ trades in a span of 9 months and lost almost -60% of my portfolio. I had to recoup and make a restart.

The Start of 2017

    
    1st half of 2017 has been remarkable for my trading journey. A lot of trading lessons came through, the most important aspect is the mental analysis. Whereas in trading, losing is part of the process. I shouldn't agonize whether I will win or get stopped out. What's important is always getting up for the next trade. Doesn't really matter if I lose often, as long as it's controlled and there's always something to learn. Sometimes, doing the wrong thing is beneficial since it will be the perfect breakout to see what the right thing is.

     No one can avoid losing. Avoiding to fail isn't the goal. The goal is to become better by eating those bite-size failures. I must stay in the game and continue to improve. The stock market is an infinite game, there's no beginning and no end. There are no rules to ensure that it will not end. Ms. Market is always there and the rules are fluid. If by chance there's a risk to make the stock market a finite game, I must be willing to adapt, else I will start to lose. The rules in an infinite game like the stock market is simple yet hard to do and that is: to keep on playing.

     With that, this is my 'proof piece' - the tip of the iceberg. These are the results of my 1st half of 2017. After the struggle of losing, reverse-engineering successful trades and thinking how to be while in a trade, I finally established a 'known' system. I'm still coping up with the losses but I don't bother. Good thing is there's clarity now. It's a start of something new. Sure, there will be a lot more to learn and more reasons to be humble.

More to follow.