Is this luck or what? help?

Question

for the past 21 days i have averaged a 5.9% return daily. I just look at the chart and pick it at the right time and sell at the right time is this skill or just pure luck?? thanks

Answer 1

what?

Answer 2

You have a lot going in your favor, but you are in danger of blowing your whole wad. You must come up with a plan that keeps you from over trading. You must learn to trade so that when you go thru drawdown periods you will still have money to trade with.

Keep records of all your trades. Record exactly why you enter and exit. (Use words in your records to analyze your trading.) Try to increase you percent of winning trades. And try to get out of your losing trades sooner.

Don't be overly concerned with your dollar returns; be more concerned with improving your consistency.

Answer 3

The answer is quite complicated.

Really it all depends on the definition of skill.  How you present it is skillful.  It takes skill to look at a chart and deduce the right moment to buy or sell.  However, if you use another aid, such as a pin, or a coin, or dart, or whatever, then there's little skill involved.

The main problem is that there are so many factors out of your control that your choice has to be intuitive, and quite often, left unhindered it can work.  Trying to analyse it and control it tends to kill it.

Safest is just to say you're lucky as everyone will understand that.