STANDING ASIDE IS A POSITION. /
I don’t care what the trading rules say. I don’t care what everybody else is doing. If you have a bad feeling about the current state of the market, or maybe something just doesn’t seem right, don’t trade. Stand aside and observe. Wait until something happens to restore your confidence in your rules. It doesn’t mean your trading skills are deteriorating or the rules that you trade by are suddenly bad. Just step back, take a break, and keep watching the markets. Eventually you will see a sign that things are getting back to what passes for normal in the markets.
When you understand that even if you don’t participate today, the market will be there tomorrow and you accept the fact that you only take trades on your terms, according to your rules, your trading will become decidedly better. Be picky. It’s your life, your time, your capital. Wait for the market to come to you, not the other way around.
“It took me a lifetime to learn to paint like a child.”(Pablo Picasso)