As traders, a tremendous amount of study is demanded of us constantly. Once we get to a certain point of understanding of the markets and learn or develop a winning trading system that puts the odds in our favor, the next crucial step is when our real work begins.
This step involves the practical application of what we have learned or the real life experience we gain from trading our system. This is why knowledge alone is not power at all. It’s taking the right actions based on what we know that matters. This step may take a number of years of practice to gain the experience and develop the right habits as successful traders. The reason this stage takes so long is that we begin to have a close encounter with ourselves. We get to know who we truly are inside. This includes all of our psychological and emotional strengths and weaknesses. I believe another one of the essential components of knowing ourselves has to do with understanding our own individual astrological natal chart. This leads to an understanding that own winning and losing periods in the markets are also based on predictable astrological cycles.
I remember a trip that was made to Las Vegas a little over a year ago. I am not a big gambler and have no system for gambling other than just playing the slots, (where the odds are against me), but only at specific time periods when I am usually in a winning astrological cycle. I almost always come home a winner following this discipline.
This trip was no exception. I planned out the time periods, some stronger than others, that I will play. This requires tremendous discipline to work since the temptation to play all the time is being beamed at you. The same kind of discipline is necessary to trade the markets successfully. We have to be patient and let the winning trades come to us based on the right conditions. I noted that the best time period this trip was when the Moon was to cross over my Jupiter in combination with other winning transits on one evening. Not only did I end up winning the largest amount of the whole trip during this time period, but so were the family members that were with me as well. As soon as the Moon began to hit 19 ½ degrees of Taurus, and began to form a stressful square to my Saturn, I noticed things started to cool off. I started to begin to lose more than I was winning at the slots. After giving a little back, I decided to quit and come home a winner. If I had continued to play, I honestly believe I would have given it all back and then some. My cycles turned negative for gambling the following day before coming home, so once again I had to discipline myself to not gamble at all on this day. It was quite a challenge, but managed to do other things in the land of entertainment.
In my own trading, I have observed the same repeating cycles over and over again for winning and losing. These are based on what I refer as “winning and losing degrees for trading.” If you are a day trader, watch the Moon. You don’t have to take my word for it. Do a back test of your winning and losing trades and make a note of the exact degree of the Moon. You will notice that the majority of the time, you win or lose in the markets when the Moon hits these same degrees.
Since no trading system is perfect, there will always be times when it just doesn’t work out the way we were anticipating. I remember another particular day I was in a winning trade. The Moon was at 28 – 29 degrees of Gemini and was forming a trine to my progressed planets at late degrees of Aquarius. I trade off of reversals at the daily planetary price harmonics (planetary lines) that I determine each day. I trade on both sides of the market. I closed out my long for a profit and went short at the correct time and price point. The trade began to go as planned, but then suddenly reversed sharply for a small loss. I gave back most of my gains for the day because I forgot to check that the Moon’s entrance into Cancer at 00 – 01 degrees was at a losing degree for me. The Moon formed a square to my progressed Saturn. And so it is. These cycles re-occur continually. It pays to know your own chart and cycles for winning and losing.
Relative performance: There is such a thing as relative performance when trading your system based on your winning and losing trading degrees or transits. I have seen some traders, who are very experienced, exceptional traders actually win at times during their own losing periods. Fortunately, just because you may be in a losing trading cycle, doesn’t mean you have to lose. It can also simply mean that you will probably under perform during this time period. This can mean you make gains that are less than usual or you that you have actual losses. In either case, it pays to know about your own personal trading cycles. This can make a dramatic difference in your results if you integrate this knowledge with your other trading disciplines.
As an example, I have illustrated my own personal winning and losing trading degrees for the first 18 degrees of Aries: 00, losing; 01, losing; 02, losing; 03, losing; 04, losing; 05, losing; 06, mixed; 07, mixed; 08, winning; 09, losing; 10, winning; 11, losing; 12, losing; 13, losing; 14 losing; 15, winning; 16, losing; 17, losing; 18, losing. As you can see, the first 18 degrees of Aries are challenging for me personally because of stressful aspects triggered, but there are some degrees that can be rewarding. You should do this for every degree of the 360 degree zodiac. You will have to invest some time doing this, but it will be well worth your efforts. If you are astrologically inclined, I have a spreadsheet that can help you with this task that I can send to you thanks to Fran Rackow, CPA.