1. Don’t be a tradeaholic
- Someone who has to have a trade on at all times or they feel their missing out
2. You trade to make money – not for fun, games, or to escape boredom
3. Never add to a bad trade
- This may work occasionally, but will hurt you in the long run
4. Once you have a profit on a trade, never let it turn into a loss
5. No hoping, no wishing, no would’ve, no opinions, no should’ve
6. Don’t be a one way trader – be flexible, opportunities on both sides
7. Know your risk on each trade. Trade with stops to limit losses
- Sell down to the sleeping point (My favourite since 15 yrs )
8. Look for 3-1 profit objective trade
9. When initiating a trade, always get your price (use a limit order)
10. When liquidating a bad trade, always use a market order
11. Have a plan. Trade it. Monitor it.
12. Make 10 points on a million trades, not a million points on one trade
- Aim for consistency (it adds to your batting average)
- There are more opportunities to make many reasonable trades
13. Learn from your own mistakes
14. Pay attention to weekly lows and highs
15. Technicals and fundamentals are equally important.
Anything less than full concentration is destined for failure on the average. How many of us carry our personal worries to the trading room ? Avoid completely !Its simple, the trading mind requires as much computing power as possible, nothing less.OK, I do concentrate, now what ? Now, don’t relax ! Keeping going at the same level of concentration. The only trap here is that you tire. So regular breaks are a must. One very important point you must note: after taking a break the performance may not be as good. Scalpers will generally make this observation.
1. Don’t be a tradeaholic
