Quote Originally Posted by Ken View Post
Thank you Billy. This is indeed a common discipline that I've observed among successful traders. In my experience, it becomes difficult to keep up with the ebbs and flow of the market when I'm completely in cash as psychologically & emotionally I've disengaged. I found it easier to be patience and at the same time keep myself in sync with market actions by maintaining a very small position in play.

What do you find to be effective ways to maintain just cash position yet at the same time maintain that "edge" where you are still immersed in the market actions ?

-Ken
Ken, my daily six-hours routine and 7 hours RT market monitoring are enough to keep me immersed in the market actions whether in cash or not! When in cash, I simply try to see if the next high probability window of opportunity is approaching fast or not and I am focusing on the planning of my next trade if it is near instead of worrying about an existing position. For most people, staying invested 10% of a normal position size or trading some small options positions should probably be effective ways to stay connected with market reality.