I came across lot of same type of questions with different words.
Real Question is " Are you discretionary trader or System trader?
It is simple one line question, But I cannot answer with single line.
Here is my explanation.
First of all, I'm NOT a discretionary or System trader (Period).
-I'm a Logical Trader!
What does that mean?
- Okay, First lets understand what is mean by Logic.
According to Oxford Dictionary,
Let me elaborate a bit,
Reasoning conducted - Investigation made.
According to strict principles - With the help of Strict principles.
How it can be apply in trading,
I investigate the chart from other traders point of view i.e emotions and decisions with using my 3 principles.
Principle 1 - Helps me to ride the trend to the maximum point.
Principle 2 & 3 - Helps me identify the trade entries & exit.
These principles are derived from after observing 1000's of hours of chart reading ( Not price movement, Reading others traders emotions & decisions)
How it differs from traditional way of trading?
Traditional way of trading mostly derived from either indicator based signals, patterns based or data based.
I'm not at all against to any the above ways of trading, Simply It does not suits for my mindset. If you are doing good with these, Keep going. All the best.
Logical way of trading is going one step IN-DEPTH to the chart to finding the other traders emotions & decisions
Logical way of trading is going one step AHEAD of the price and waiting the trade opportunity.
By this way, Logical trading is differs from traditional way of trading.
What required to become a Logical Trader?
You don't any anything. Yes, You don't need literally anything.
All you need is wide eyes to look the chart from others traders point of view & You need logical thinking brain to investigate others emotions.
From today, Start looking at the chart with logical way. You can see the difference version of yourself. All the best.