Online Trading Education
Here you can find some of Peter Mathers many articles on trading: psychology, volume, safety and especially the TradingLevels® and Elliott Wave. This is a great kickstart to your online trading education.
Register or login to access more. Most articles are free to view however some are for TLAS Members only. When you register you get 7 Days Access to TLAS.
For further articles and commentary go to in the media
Contact Us
Online Trading Education
Here you can find some of Peter Mathers many articles on trading: psychology, volume, safety and especially the TradingLevels® and Elliott Wave. This is a great kickstart to your online trading education.
Register or login to access more. Most articles are free to view however some are for TLAS Members only. When you register you get 7 Days Access to TLAS.
For further articles and commentary go to in the media
Contact Us
|
16 50 Common Trading Mistakes NEW
Our belief about money is a problem. It’s our safety, security, even our happiness. All these things and more – it cuts deep into the psyche, so when we enter a trade, it’s not only money going to market, it’s all our beliefs about money that we end up trading. A part of us has entered the market and when the market is going up and down, so are we, we are on an emotional roller coaster trying to make rational decisions, failure is not far. Read 50 Common Trading Mistakes
15 Elliott Wave Theory – Advanced Development RECOMMENDED
The Elliott Wave Theory was developed by Ralph Nelson Elliott around 1930. Elliott first noted in the Dow, six degrees of trend that could improve upon the most popular theory of the day – the Dow Theory. Elliott could identify minor, medium and major turning points whereas the Dow Theory lacked this accuracy. The Elliott Wave has created rules for degrees of wave structures. These waves can also be explained in psychological terms. Register to read Understand why the TradingLevels® helps you understand Elliott Wave
14 The Robo Method can be very handy and versatile in the many aspects in trading RECOMMENDED
Use it with all of the TradingLevels® – Major, Medium, Minor and even sub minor, for entries, adding and exits. Of course with discernment use the market depth and look for the large orders to place stops, but most of the time they will be sitting at the Levels. Also reading the volume will help to confirm …
13 Why Keep a Trading Journal? RECOMMENDED
It is imperative that you keep a Trading Journal. This is not a new practice and all successful traders keep records of their past traders. Why is it so important? The simple answer is we have to develop a "learning loop". A learning loop is an attempted performance, followed by…
12 The Gold Rush
Gold has offered some of the best trading opportunities in the last six months. While the US 30 displayed an overlapping wave structure since July 2007, Gold has just powered up during this same time frame from around July 2007. Gold had such a strong Bull Run from 650 to 900 that we expected traders to push it up to the finish line at USS$1000 per ounce. A sample of our analysis
11 Shorting CBA
All good things come to an end; the trend up from 2700 to 6800 has ended. Trends simply need to rebalance before moving off again, the first correction at 5000 was simply too small to rebalance the trend up from 2700.
Another sample of our analysis
10 More on the Robo Method RECOMMENDED
I thought I would mention the Robo method because there are stocks that are good to short and after being in a big bull market for a long time we can get stuck only being long, and many traders have CFD accounts.
(Members Only) read more
09 The Robo Method of Trading RECOMMENDED
This method has been developed by Peter Mathers and is used in day trading and position trading. It has very clear entry, exit and trailing stops to maximise profits and manage risk. Make sure you benefit from this online trading education.
(Members Only) read more
08 Diving deeper into the Wave
Recognising the personalities of each wave can be helpful in avoiding bull and bear traps.In the last article we viewed a weekly bar chart of the euro versus the US dollar. I thought it would be a good idea to follow on with that chart to see how the Elliott Wave count is unfolding. I’d also like to use it as an example to explain two types of common corrections the Zigzag and the Expanded Flat.
07 Playing it Safe RECOMMENDED
Understanding money management methods will assist in creating the successful trading method you use and can increase profits by reducing unnecessary risk. Once you realize that a stop loss must always be in place then position sizing can become a reality. The end goal with money management is to create a smooth equity curve.
06 Elliott Wave – Order in the Chaos
Elliott Wave represents a natural law of human behavior in financial markets – an unfolding tapestry of emotion that binds the nature of man to seemingly chaotic order. It does hint at the questions: is life preordained, is it accurate and do the markets follow suit?
05 Warning Signals
After teaching traders for a while you get to notice typical trading patterns. I see a lot of traders struggling with the effects of their emotional trading decisions and not taking the time out to look deeper into the cause of their behaviour. There are underlying layers of thought that make us see and trade in certain ways.
04 Aussie Rules
The Aussie 200 is perfect for practicing and developing your day trading skills, because owning one contract is equal to one dollar per point. And once you have a good understanding and feel of where the market is expected to move in a session and have your keyboard skills down pat you’ll be on your way. Find out how to develop your trading skills here.
03 Turn up the Volume RECOMMENDED
It’s been stated that every thing you need to know is in the price, the fuel of price is volume. Consider volume as tide rising and falling. And, not being dumped by the small waves bouncing off the shore in the rising tide. Reading trading volume is like knowing when its high tide.
02 The Golden Ratio Behind Trading Levels
The Trading Levels® are based on the golden ratio of .618 applied to price. In the previous article we talked about trade management along with viewing whole numbers as psychological levels where traders tend to enter and exit trades. This article will elaborate on what these numbers are — we have coined the term ‘Trading Levels®’. Find out about these psychological trading levels.
01 Managing your Trades
Trading – the digital mind game, where markets are formed from the minds of men. Their comings and goings, on mass – is what we track. Accumulation and distribution, supply and demand, going this way and that. Bell curves, indicators and chart patterns – it’s all about anticipating where its at!
read more
16 50 Common Trading Mistakes NEW
Our belief about money is a problem. It’s our safety, security, even our happiness. All these things and more – it cuts deep into the psyche, so when we enter a trade, it’s not only money going to market, it’s all our beliefs about money that we end up trading. A part of us has entered the market and when the market is going up and down, so are we, we are on an emotional roller coaster trying to make rational decisions, failure is not far. Read 50 Common Trading Mistakes
15 Elliott Wave Theory – Advanced Development RECOMMENDED
The Elliott Wave Theory was developed by Ralph Nelson Elliott around 1930. Elliott first noted in the Dow, six degrees of trend that could improve upon the most popular theory of the day – the Dow Theory. Elliott could identify minor, medium and major turning points whereas the Dow Theory lacked this accuracy. The Elliott Wave has created rules for degrees of wave structures. These waves can also be explained in psychological terms. Register to read Understand why the TradingLevels® helps you understand Elliott Wave
14 The Robo Method can be very handy and versatile in the many aspects in trading RECOMMENDED
Use it with all of the TradingLevels® – Major, Medium, Minor and even sub minor, for entries, adding and exits. Of course with discernment use the market depth and look for the large orders to place stops, but most of the time they will be sitting at the Levels. Also reading the volume will help to confirm …
13 Why Keep a Trading Journal? RECOMMENDED
It is imperative that you keep a Trading Journal. This is not a new practice and all successful traders keep records of their past traders. Why is it so important? The simple answer is we have to develop a "learning loop". A learning loop is an attempted performance, followed by…
12 The Gold Rush
Gold has offered some of the best trading opportunities in the last six months. While the US 30 displayed an overlapping wave structure since July 2007, Gold has just powered up during this same time frame from around July 2007. Gold had such a strong Bull Run from 650 to 900 that we expected traders to push it up to the finish line at USS$1000 per ounce. A sample of our analysis
11 Shorting CBA
All good things come to an end; the trend up from 2700 to 6800 has ended. Trends simply need to rebalance before moving off again, the first correction at 5000 was simply too small to rebalance the trend up from 2700.
Another sample of our analysis
10 More on the Robo Method RECOMMENDED
I thought I would mention the Robo method because there are stocks that are good to short and after being in a big bull market for a long time we can get stuck only being long, and many traders have CFD accounts.
(Members Only) read more
09 The Robo Method of Trading RECOMMENDED
This method has been developed by Peter Mathers and is used in day trading and position trading. It has very clear entry, exit and trailing stops to maximise profits and manage risk. Make sure you benefit from this online trading education.
(Members Only) read more
08 Diving deeper into the Wave
Recognising the personalities of each wave can be helpful in avoiding bull and bear traps.In the last article we viewed a weekly bar chart of the euro versus the US dollar. I thought it would be a good idea to follow on with that chart to see how the Elliott Wave count is unfolding. I’d also like to use it as an example to explain two types of common corrections the Zigzag and the Expanded Flat.
07 Playing it Safe RECOMMENDED
Understanding money management methods will assist in creating the successful trading method you use and can increase profits by reducing unnecessary risk. Once you realize that a stop loss must always be in place then position sizing can become a reality. The end goal with money management is to create a smooth equity curve.
06 Elliott Wave – Order in the Chaos
Elliott Wave represents a natural law of human behavior in financial markets – an unfolding tapestry of emotion that binds the nature of man to seemingly chaotic order. It does hint at the questions: is life preordained, is it accurate and do the markets follow suit?
05 Warning Signals
After teaching traders for a while you get to notice typical trading patterns. I see a lot of traders struggling with the effects of their emotional trading decisions and not taking the time out to look deeper into the cause of their behaviour. There are underlying layers of thought that make us see and trade in certain ways.
04 Aussie Rules
The Aussie 200 is perfect for practicing and developing your day trading skills, because owning one contract is equal to one dollar per point. And once you have a good understanding and feel of where the market is expected to move in a session and have your keyboard skills down pat you’ll be on your way. Find out how to develop your trading skills here.
03 Turn up the Volume RECOMMENDED
It’s been stated that every thing you need to know is in the price, the fuel of price is volume. Consider volume as tide rising and falling. And, not being dumped by the small waves bouncing off the shore in the rising tide. Reading trading volume is like knowing when its high tide.
02 The Golden Ratio Behind Trading Levels
The Trading Levels® are based on the golden ratio of .618 applied to price. In the previous article we talked about trade management along with viewing whole numbers as psychological levels where traders tend to enter and exit trades. This article will elaborate on what these numbers are — we have coined the term ‘Trading Levels®’. Find out about these psychological trading levels.
01 Managing your Trades
Trading – the digital mind game, where markets are formed from the minds of men. Their comings and goings, on mass – is what we track. Accumulation and distribution, supply and demand, going this way and that. Bell curves, indicators and chart patterns – it’s all about anticipating where its at!
read more
|
 |
| Interview with Peter Mathers
|
|
|
 |
|
The Trader’s Essential Tools
by Stephen Calder of afr access
Market trader and educator Peter Mathers of The Trading Lounge says beginner traders don’t have to pay thousands of dollars to become educated about the market. Nevertheless, he agrees education is essential for those starting out.
“My opinion about new traders is simple: you need to be trading shares first and successful at trading without leverage. Then move in to the CFD market and take advantage of leverage, but just trade shares.
“If you get excited about that and go and trade forex and commodities and indexes, remember the margins there are as low as 1 per cent so they’re more highly geared,” Mathers says.
Passionate about education to the point where he offers free educational articles on his website, Mathers has also opened a business offering clients daily help via an email question and response, and he gives away free accounting software to help traders track their positions.
He advises those who want to learn about technical analysis to join the Australian Technical Analysts Association (ATAA). “Everybody new to technical analysis should join up,” he says. “The meetings are free and you meet like-minded people. Their journal is well written goes out every month. It’s an affordable and practical place to start learning.”
In talking to new traders, Mathers says, the most common weakness he finds is “the whole money management thing -- people don’t get the relationship between the amount of capital and the exposure they have in the marketplace.
“You can start off safely with $10,000 can take positions of around $30,000, but no more if you’re learning. New traders get excited about leverage and miss the point of exposure; some don’t even know how to calculate their exposure,” he says.
Although he likes to day trade, Mathers says those starting out should be looking at taking longer-term positions. “Generally my assumption is that people that position trade (ride longer-term trends) make more money than those who trade short term because they don’t have the skills.”
Mathers, one of whose earliest memories is asking his father what was that city building and being told it was the stock exchange, found when he started trading that he was a good analyst. “I love charts and I understand them,” he says.
But he long ago dispensed with many of the standard indicators chartists use and now concentrates on what he calls trading levels, which use the Fibonacci series as guideposts for timing position entry.
The sequence, which is infinite, starts 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89 and so on, a sequence known to be associated with growth in nature. The next number in the series is found by adding the last two together (34+55=89).
Once the number 10 is passed, there is a second sequence involving the tenth multiples of the original series -- 10, 20, 30, 50, 80. And between a price of $1 and $2, a share’s levels will run $1.10, $1.20, $1.30, $1.50, $1.80, $2.
“I only buy after one of those levels has been reached, not before,” Mathers says. “Always buy above the levels because the risk is too high of it not being able to get through that level,” he says.
The levels are points where corrections are most likely to occur, and the bigger the correction at any level, the safer the following trend. “A market is simply a trend, then a correction. As it moves up the corrections get bigger in proportion, like the ratios [the series] we’re talking about. I can see when it’s ready to go using relationship between volume and price,” he says.
He says that when trading levels in this way the average trade is about 3 months, although some take as little as a month.
Levels also help answer the question “If I let profits run, where do I let them run to?” Mathers says, because there is a big chance of a correction when the market reaches a new level. If you want an exit point -- the alternative to using, for example, a trailing stop -- the next trading level, as shown by the series, is the place to get out.
©2007 Stephen Calder and John Fairfax Publications
The Trader’s Essential Tools
by Stephen Calder of afr access
Market trader and educator Peter Mathers of The Trading Lounge says beginner traders don’t have to pay thousands of dollars to become educated about the market. Nevertheless, he agrees education is essential for those starting out.
“My opinion about new traders is simple: you need to be trading shares first and successful at trading without leverage. Then move in to the CFD market and take advantage of leverage, but just trade shares.
“If you get excited about that and go and trade forex and commodities and indexes, remember the margins there are as low as 1 per cent so they’re more highly geared,” Mathers says.
Passionate about education to the point where he offers free educational articles on his website, Mathers has also opened a business offering clients daily help via an email question and response, and he gives away free accounting software to help traders track their positions.
He advises those who want to learn about technical analysis to join the Australian Technical Analysts Association (ATAA). “Everybody new to technical analysis should join up,” he says. “The meetings are free and you meet like-minded people. Their journal is well written goes out every month. It’s an affordable and practical place to start learning.”
In talking to new traders, Mathers says, the most common weakness he finds is “the whole money management thing -- people don’t get the relationship between the amount of capital and the exposure they have in the marketplace.
“You can start off safely with $10,000 can take positions of around $30,000, but no more if you’re learning. New traders get excited about leverage and miss the point of exposure; some don’t even know how to calculate their exposure,” he says.
Although he likes to day trade, Mathers says those starting out should be looking at taking longer-term positions. “Generally my assumption is that people that position trade (ride longer-term trends) make more money than those who trade short term because they don’t have the skills.”
Mathers, one of whose earliest memories is asking his father what was that city building and being told it was the stock exchange, found when he started trading that he was a good analyst. “I love charts and I understand them,” he says.
But he long ago dispensed with many of the standard indicators chartists use and now concentrates on what he calls trading levels, which use the Fibonacci series as guideposts for timing position entry.
The sequence, which is infinite, starts 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89 and so on, a sequence known to be associated with growth in nature. The next number in the series is found by adding the last two together (34+55=89).
Once the number 10 is passed, there is a second sequence involving the tenth multiples of the original series -- 10, 20, 30, 50, 80. And between a price of $1 and $2, a share’s levels will run $1.10, $1.20, $1.30, $1.50, $1.80, $2.
“I only buy after one of those levels has been reached, not before,” Mathers says. “Always buy above the levels because the risk is too high of it not being able to get through that level,” he says.
The levels are points where corrections are most likely to occur, and the bigger the correction at any level, the safer the following trend. “A market is simply a trend, then a correction. As it moves up the corrections get bigger in proportion, like the ratios [the series] we’re talking about. I can see when it’s ready to go using relationship between volume and price,” he says.
He says that when trading levels in this way the average trade is about 3 months, although some take as little as a month.
Levels also help answer the question “If I let profits run, where do I let them run to?” Mathers says, because there is a big chance of a correction when the market reaches a new level. If you want an exit point -- the alternative to using, for example, a trailing stop -- the next trading level, as shown by the series, is the place to get out.
©2007 Stephen Calder and John Fairfax Publications
|
 |
|