Hi all,
I had recently joined this forum and had a chance to scan through some of the best threads and posts. During this process of going through these posts, I noticed some members having conflicting views about Paper Trading that it is no good, waste of time etc. etc. as things are altogether different trading Real Money. I do agree that things are tough while trading Real money but we need to rethink about Paper Trading... whether is it worth enough to spend time upon? So here's my 2 cent's on My Belief on Paper Trading.
Most of the traders in here might have gone through a situation wherein, they paper traded their system, achieved great results in doing so at the end of the period. But when the time comes to go live with the system, the end results are quite conflicting with the results achieved by paper trading the same system.
Most of them think that the system is no good and move on in the search of their so called Holy Grail System. The cycle keeps on repeating on and on and on!
But Hey! Hang on! How many to them ever had a thought that if the system was the same, rules were the same then why did the system failed to perform when it was taken live? Quite a handful right?
The image attached reflects quite a reality between the Expected Results and Actual Results trading a particular system. A big GAP between Expectation and Outcome. So has the system failed to perform or the problem something else?
This GAP between Expected outcome and Actual outcome various from trader to trader. So ain't it important for every trader to analyse this GAP and the work needed(psychological improvement) to fill it? And i believe that Paper Trading makes it possible to make one aware of this GAP.
I also see that most of the members in here are on look out for perfect system(does not exist), their next holy grail setup and indicators etc. etc. instead of concentrating in filling this GAP(emotions).
Time to rethink, is it not?
Thanks.
Phantom.
I had recently joined this forum and had a chance to scan through some of the best threads and posts. During this process of going through these posts, I noticed some members having conflicting views about Paper Trading that it is no good, waste of time etc. etc. as things are altogether different trading Real Money. I do agree that things are tough while trading Real money but we need to rethink about Paper Trading... whether is it worth enough to spend time upon? So here's my 2 cent's on My Belief on Paper Trading.
Most of the traders in here might have gone through a situation wherein, they paper traded their system, achieved great results in doing so at the end of the period. But when the time comes to go live with the system, the end results are quite conflicting with the results achieved by paper trading the same system.
Most of them think that the system is no good and move on in the search of their so called Holy Grail System. The cycle keeps on repeating on and on and on!
But Hey! Hang on! How many to them ever had a thought that if the system was the same, rules were the same then why did the system failed to perform when it was taken live? Quite a handful right?
The image attached reflects quite a reality between the Expected Results and Actual Results trading a particular system. A big GAP between Expectation and Outcome. So has the system failed to perform or the problem something else?
This GAP between Expected outcome and Actual outcome various from trader to trader. So ain't it important for every trader to analyse this GAP and the work needed(psychological improvement) to fill it? And i believe that Paper Trading makes it possible to make one aware of this GAP.
I also see that most of the members in here are on look out for perfect system(does not exist), their next holy grail setup and indicators etc. etc. instead of concentrating in filling this GAP(emotions).
Time to rethink, is it not?
Thanks.
Phantom.