SIRE TUG iContents ‘A Look at the Current Reality of Trading Understanding the Markets Chaos Theory: A New Paradigm for Trading Be Ne Defining Your Underlying Structure—and How That Affects Winning and Losing 5 Navigating the Markets: The Need for Good Maps 6 Level One: Novice Trader 7 Level Two: The Advanced Beginner 8 Using Fractals and Leverage 9 Level Three: The Competent Trader 10 Profitunity Trading Partner 11 Level Four: The Proficient Trader 12 Level Five: The Expert Trader Bibliography About the Author Index xv 20 32 49 62 75 101 133 1521 A Look at the Current Reality of Trading The beginning is the most important part of the work. Plato GOAL: TO UNDERSTAND THE AVERAGE TRADER’S ‘VIEW AND EXPERIENCE OF THE MARKET The market is not your problem. Your problem is that you see the market as your problem. Once upon a time, people got together, swapped things, and traded. The trading of goods wasn’t something they ana- lyzed or fussed and fretted over; it was just something they did along with planting seeds in the spring, harvesting crops in the fall, and then trading with their neighbors for wild game, tools, or other necessities. If they had a trading problem, they sought advice from their parents and grandparents, great uncles, older brothers, and other people who were successful traders. In the past, these were the experts, and the practical advice they gave was based on real-life experiences. Then came the sophistication of the second half of the 20th century. After World War IL, there arose an entirely different class of traders: trading experts—the ones with degrees, great