Chronicles of a Million Dollar Trader: My Road, Valleys, and Peaks to Final Trading Victory

Q&A with Don Miler, Author of Chronicles of a Million Dollar Trader

Chronicles of a Million Dollar Trader depicts your entire trading career, including your 2008 to 2009 journey in which you earned more than $2 million in 18 months by trading equity index futures intraday. To what do you most attribute this success and what was your biggest obstacle?

In terms of contributing attributes, I'd have to say that a lifetime of perseverance through life's struggles, along with thousands of hours and a decade of skill development and refinement were the greatest contributors. I guess you could say that time was my greatest ally asset, which this often-impatient trader only discovered with the passage of time itself. With respect to my biggest obstacle, that one's easy it was and always will be me. For it's during those times when I get out of my own way that I tend to do well.

You have referenced Reminiscences of a Stock Operator as a major inspiration in writing this book. Why do you think that book resonates today and how is your book similar and different from the classic?

I think that Reminiscences of a Stock Operator will always read well because of its references to trader psychology (which will be around as long as markets exist), its extreme candor in terms of both failure and success, and parallels between trading and life itself. Chronicles of a Million Dollar Trader holds true to each of those concepts, while going several steps farther by providing approximately 100 actual detailed diary entries while documenting a full career which including longer-term performance records. In addition, much has changed in the decades since Reminiscences was written, including the increased abundance of shorter-term trading opportunities, improved technologies, market access advances, and evolving regulation...all of which are addressed in the new book.

What are the benefits of using a trading journal? Do you think all traders should use them?

As I state in the book, I can say with full conviction that my periods of greatest peak trading performance over the years have always occurred during those times when I was both planning and journaling my performance. And as they say, it's tough to argue with your P&L which is the ultimate scorecard.

What are the top four lessons you think traders should take away from your experiences?

First, I've learned that successful trading is far, far more than understanding charts, which is why despite hundreds of books on technical analysis, most traders struggle. This is why I spend so much time on my journal and in the book discussing the non-technical aspects of trading. Anyone can understand charts, yet it's the non-technical obstacles that prevent most traders from succeeding.

Second, while successful traders strive to earn an income each and every day, the true earnings "multiplier" typically appears in the form of what I call "outliers", which refers to those few trade sequences over the course of a day, few days during the week, few months during the year, or few years during one's career where the decision is made to push and push hard. Traders who fully grasp and implement this concept will position themselves for increased earnings potential.

Third, I've learned firsthand that the line that separates extraordinary success and mediocre or losing performance is razor thin. For example, when I'm focused, motivated, and willing to sacrifice in ways where most aren't willing or able, the results are clear and astounding. Yet when I get even just a little bit sloppy or lazy, such as forgetting to plan the next day, sleeping late, or reducing my journaling activities, my results clearly suffer. The good news is that the ability to improve in this area is completely within our grasp and dependent on no one other than ourselves.

And finally, I've learned that life is full of imperfection in the form of less-than-perfect markets, trade sequences, traders, brokers, regulators, and humans amid the backdrop of an imperfect world. Yet I've also learned that it's our very humanity and imperfections that typically combine to form our greatest strengths and lead to our greatest discoveries.