Every trader wants to trade a well funded trading account (i.e. a 1,000,000 account), but very few of us actually get to do this. Most traders are stuck with trading relatively small accounts (i.e. just covering the required margin). Trading a small account requires very strict risk management (i.e. money management) because there is no… Read More »
Rule No. 1- Do not venture in markets and products you do not understand. You will be a sitting duck. Rule No. 2- The large hit you will take next will not resemble the one you took last. Do not listen to the consensus as to where the risks are (that is, risks shown by… Read More »
Enter the “trader zone”…. wait, wait, wait, wait- pounce….. “A lone lion usually has a hunting success rate of only 15%. Though during a night hunt, their success rate can climb over 40% . In areas with tall grass, they manage a success rate of over 50% because they are able to get much… Read More »
Trade Like a Casino: Find Your Edge, Manage Risk, and Win Like the House Any quick drive through Las Vegas makes it pretty clear who is rolling in the money – the Casinos! Why do gamblers keep going back despite losing most of the time? Misplaced hope, fantasies about the big win, promising themselves they… Read More »
It is funny how the best traders of all times basically repeat the same things with different words. Gerald Loeb is the author of ‘The Battle for Investment Survival’ and is one of the most quotable men on Wall Street. Here are 12 of the smartest things he has ever said about the stock market:… Read More »
M&M Buy above 1225 Tgt 1230,1238 and 1251 SL 1220 Sell below 1215 Tgt 1208,1195 and 1186 SL 1220 Bharat Forge Buy above 723 Tgt 729,740 and 754 SL 720 Sell below 716 Tgt 707,700 and 693 SL 720 Kotak Bank Buy above 977 Tgt 987,1000 and 1026 SL 974 Sell… Read More »
Arvind Buy above 213 Tgt 216,219 and 225 SL 211 Sell below 210 Tgt 207,203 and 199.5 SL 212 Bank India Buy above 285 Tgt 288,292 and 296 SL 283 Sell below 280 Tgt 277,272 and 268 SL 283 Bharat Forge Buy above 715 Tgt 722,733 and 752 SL 710 Sell below… Read More »
“A trader is the weakest link of any trading system” (Alexander Elder) During one of my trading Seminar a student asked the following “After 4 years of winning and losing hundreds of trades and blowing out several accounts both demo and live, trying different systems, experimenting with many strategies, I am still unable to achieve… Read More »
Put a trader in a group of non-traders and the conversation will inevitably turn to gambling. At a recent family gathering I was asked about my share trading by an interested (or polite) family member, to which I responded with my usual cheery, ‘Good thanks!” I had just mentioned that we were planning on selling… Read More »
What is Risk? Risk is exposure. In trading, risk refers to exposure to the price changes of a stocks/index. Often, risk makes people wary of trading stocks, commodities, or currencies. It is true that risk is an integral part of every trade. In other words, there is no such thing as a “risk free” trade.… Read More »