The success that a trader achieves in the markets is directly correlated to one’s trading discipline or lack thereof. Trading discipline is 90 percent of the game. The formula is very simple: Trade with discipline and you will succeed; trade without discipline and you will fail.
Form a Profit Thesis Then Test If Your Profit Thesis Has Been Violated
Most traders have no idea what a profit thesis is, let alone how to form one.
Form a profit thesis before a trade. When you are wrong, get out immediately. When you are right, don't get too greedy. Be content with small winners and accepting of small losers.
When You Are On A Losing Streak, Lower Your Trade Size
Most traders always invest the max regardless of how they are trading. Always lower your trade size when you are trading poorly. All good traders follow this rule. Why continue to lose on a $1,000 per trade investment when you could save yourself a lot of money by lowering your trade size down to $500 on your next trade? If I have two losing trades in a row, I always lower my trade size down. If my next two trades are profitable, then I move my trade size back up to my original size.
Think of it like a baseball batter who has struck out on his last two times at bat. The next time up he will choke up on the bat, shorten his swing and try to make contact. Trading is the same.
The success that a trader achieves in the markets is directly correlated to one’s trading discipline or lack thereof. Trading discipline is 90 percent of the game. The formula is very simple: Trade with discipline and you will succeed; trade without discipline and you will fail.
Form a Profit Thesis Then Test If Your Profit Thesis Has Been Violated
Most traders have no idea what a profit thesis is, let alone how to form one.
Form a profit thesis before a trade. When you are wrong, get out immediately. When you are right, don't get too greedy. Be content with small winners and accepting of small losers.
When You Are On A Losing Streak, Lower Your Trade Size
Most traders always invest the max regardless of how they are trading. Always lower your trade size when you are trading poorly. All good traders follow this rule. Why continue to lose on a $1,000 per trade investment when you could save yourself a lot of money by lowering your trade size down to $500 on your next trade? If I have two losing trades in a row, I always lower my trade size down. If my next two trades are profitable, then I move my trade size back up to my original size.
Think of it like a baseball batter who has struck out on his last two times at bat. The next time up he will choke up on the bat, shorten his swing and try to make contact. Trading is the same.
The success that a trader achieves in the markets is directly correlated to one’s trading discipline or lack thereof. Trading discipline is 90 percent of the game. The formula is very simple: Trade with discipline and you will succeed; trade without discipline and you will fail.
Form a Profit Thesis Then Test If Your Profit Thesis Has Been Violated
Most traders have no idea what a profit thesis is, let alone how to form one.
Form a profit thesis before a trade. When you are wrong, get out immediately. When you are right, don't get too greedy. Be content with small winners and accepting of small losers.
When You Are On A Losing Streak, Lower Your Trade Size
Most traders always invest the max regardless of how they are trading. Always lower your trade size when you are trading poorly. All good traders follow this rule. Why continue to lose on a $1,000 per trade investment when you could save yourself a lot of money by lowering your trade size down to $500 on your next trade? If I have two losing trades in a row, I always lower my trade size down. If my next two trades are profitable, then I move my trade size back up to my original size.
Think of it like a baseball batter who has struck out on his last two times at bat. The next time up he will choke up on the bat, shorten his swing and try to make contact. Trading is the same.
Stocks Above I Currently Hold In My Own Trading Account: Long LIFE
Guerilla Trader Quote
“In October 2000, the Institutions were publishing positive fundamental data and analysis about Cisco's future. Just a few months later, Cisco announced it would lay off 17 percent of its workforce. Cisco stock fell from $45 to $11. Industry analysts, newsletter writers, politicians, and others often have connections to the stocks they recommend. Don’t be fooled by a clever mixture of the facts they wish you to hear and the opinions they want you to believe. Make your own decisions!”
Copyright 2009-2011 GuerillaStockTrading.com All rights reserved. No part or article on this website may be copied or duplicated without written consent from GuerillaStockTrading.com and Confab Publishing. Disclaimer: This Web site is designed to provide accurate and authoritative information on the subject of personal finances. It is provided with the understanding that neither the author nor the publisher is engaged in rendering legal, accounting, or other professional services by providing this Web site. The authors and publisher shall not be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential or other damages. As each individual situation is unique, questions relevant to personal finances and specific to the individual should be addressed to an appropriate professional to ensure that the situation has been carefully and appropriately evaluated. This blog is for information and entertainment purposes only. Under no circumstances does this information represent a recommendation to buy or sell securities or any other type of investment instruments. See a licensed broker for investment advice.
Guerilla Stock Trading University