The Weekly Outlook - Trading Here And Now: DJIA, SPX, NDX

In physics it is said that two cannot occupy the same place at the same time. All evidence that I know, studied or read points to this to be true. So, I may expand the point that we cannot live our past in the present.

True, I've often said that history repeats, and evidence also shows that it does otherwise traders could not trade patterns and the markets would not move in cycles; but the cycle rather than being a circle, it's a spiral. Thus, it's not in the same place ever again. I'm not only talking about the price but also where we are. Our thoughts our positions our experiences all have changed from one cycle to the next, spiraling also along with the earth we are always moving through space. Therefore, we cannot be where we were previously no matter how we try. It is why we cannot apply the same solution.

Looking for the exact same occurrence in the markets is a useless exercise. How often have we said we will never do that again, just to find that we are doing it once more? If we were to recognize the exact same occurrence we probably would not repeat the same action if it hurt us before or repeat it if it did not, but we seldom can just due to the fact that we are not in the exact same spot.

I realize that I'm speaking of seemingly minute differences but oddly enough, they are not minute in our psyche. Let me know when the next time an occurrence repeats that brings memories of pain. Do you not hesitate? The frustrating evidence is that we don't realize our hesitation often until after it happens, or that if we notice it, we give it a different label, until we can analyze our decision moments or days that follow, recognizing a past pattern. It is why I prefer to let my trade entries and exits trigger and it is also why machines become better traders; they are always in the moment.

I know that often I can define a problem and give it a solution, but in this case I don't have one; other than staying in the moment, I have no other advice. Being in the present moment or the "now" tends to make us become more harmonized with the natural flow of life. No resistance, no support, only the being. Worry, fear, anything negative usually comes from memory and creates hope or fear, which means we are not current. and as we know, trying to occupy the present and the past or the future at the same time is, after all, impossible.

Below you may find the video.