These 10 core principles come from two decades of navigating spot commodities markets through bull runs, financial crises, and central bank shifts.
1. The Ten Core Commandments
- Respect the Stop Loss: A stop loss is an insurance premium against catastrophic loss. Accept small losses gracefully.
- Trade the Chart, Not Your Opinion: The market is always right regardless of your fundamental bias.
- Manage Leverage Conservatively: High leverage destroys accounts; calculate position sizes mathematically.
- Honor Market Sessions: Focus on the London and New York overlaps where real institutional volume transacts.
- Let Winners Run: Use multi-target scaling to secure profits while keeping runners for explosive trend days.
- Avoid Rollover Traps: Never enter market orders during the daily 21:45 to 22:15 GMT interbank rollover window.
- Maintain an Exhaustive Journal: Measure your MFE, MAE, and Win Rate to optimize your edge continuously.
- Master Patience: The best trades are the ones you wait for patiently at key mathematical pivot levels.
- Accept Probabilities: No individual trade matters; only the aggregate distribution of 100 disciplined trades.
- Continuous Education: Master market structure, macroeconomic catalysts, and quantitative risk management every single day.