THE TRADE DECISION
1. Never add to a losing position.
2. Always determine a stop and a profit objective before entering a trade. Place stops based on market information, not your account balance. If a “proper” stop is too expensive, don’t do the trade.
3. Remember the “power of a position.” Never make a market judgment when you have a position.
4. Your decision to exit a trade means you perceive changing circumstances. Don’t suddenly think you can pick a price, exit at the market.
THE MARKET HAS CHARACTER
5. In a Bull market, never sell a dull market, in Bear market, never buy a dull market.. (more…)
Read today’s paper tomorrow. When you read yesterday’s paper each day with the
Your decision to exit a trade means you perceive changing circumstances. Don’t suddenly think you can pick a price, exit at the market.
Remember the “power of a position.” Never make a market judgment when you have a position.