As 2014 come to an end, it’s an important time for a trader; it’s time for you to make an honest assessment of your trading performance over the last year. This is an excellent opportunity for you to learn and grow, both as a trader and a person. Seriously, whether you’ve had a bad trading… Read More »
The lack of a proper trading plan which includes precise rules for entering and exiting a trade will most certainly guarantee failure over the long term. Beginners usually suffer from the same common ailments. They abandon trading plans purely on impulse because things are not going exactly as how they had envisioned. Repeatedly they use… Read More »
Recently, a couple people I know packed up and quit trading after struggling for a long time to hold their heads above water. They didn’t make it. This isn’t unusual of course – this profession has a high failure rate – but it frustrated me. It frustrated me because I could see potential in them.… Read More »
You Might be a Bad Trader if: You are 100% sure about a trade being a winner so you have no need to manage risk. You go all in on one trade and it will make you are break you. You like to buy deep out of the money stock options not understanding how… Read More »
In trading most new traders allow hope and fear to dictate their trading. They have a losing trade and instead of selling it and getting out they instead hope it will come back to even allowing the loss to grow. Another error for new traders is that when they have a winning trade they fear… Read More »
Fellow traders most of the time you might have heard to trade with a stop loss. I relate stop loss to buying an insurance for our uncertain future. Strange to me that most of the experts or analysts tell you to keep stop loss but 85% times people do trade without stop loss ( Source… Read More »
In Continuation with Previous Post Trading Mindset :Professional trader should have Part -I LESS IS MORE To the experienced professional trader “less is more.” There is not the urgency to get into trades to be trading because “that is the way to make money.” Rather, this urgency mindset is dangerous to the trading account balance.… Read More »
This is the message one of my students wrote to me “I don’t get it. I know there is good money to be made in trading (I see people doing it) and I’ve known success before. It’s not like I don’t know what a winning mindset is. I’ve proven myself before. Yet trading success still… Read More »
A solid trading plan is the cornerstone of your trading business. Unfortunately many traders think that all they need is a trading strategy. This is NOT the case! Let me explain the difference between a trading strategy and a trading plan. A trading strategy tells you when to enter and when to exit trades. A… Read More »
1. Do not be overly concerned about whipsaws a good trend pays for them all. A whipsaw is when you enter a position but get stopped out quickly when the market reverses opposite to your position. If you are a trend trader this may happen many times in a row in a range bound market. … Read More »