Most asked questions from newbies.
Eddy, help, I can't afford to buy all these expensive books on trading, charting and systems making?
You don't have to. Just click on this link, All the sytems and PDF books you will ever need. once on the site, then in the search bar type in, trading systems, or trading books. Choose the ones that catch your eye, and hit the " download now " button. it delivers a 400 page book in 20 seconds.. lovely jubly...
Before I put even a single penny on the line I like to test my strategy on a demo account. Demo trading helps me speed up my learning time many folds and it also acts as initial qualification of a strategy’s potential of success. I can then safely test the strategy.
Demo trading is the best way to make yourself familiar with the brokers platform. download their demo and press every single button and check all options. You can’t break anything in demo.
Demo trading helps me speed up my learning time many folds and it also acts as initial qualification of a strategy’s potential of success. I can then safely test the strategy.
Rule number one, risk. Yes risk you never ever risk more money on any one trade than makes sense. Of course we all have different levels of risk tolerance that goes without saying. But if every time you open a trade you have your whole bankroll riding on the trade how many times do you think you can be wrong before your trading days are over and you’re looking through the want ads again?
Which brings us to most asked question number two, losses. Yes everybody has losses, I do, you will even the most experienced trader on the planet will have losses. The sooner you accept that and move on the better off you will be. You can’t beat yourself up over having a couple of losses. Try not to look at them as losses, look at them as business expenses. They are just a part of doing business, nothing more nothing less. You could see a market that looks setup perfectly to make a move all the planets have aligned and sure enough you jump in and get your fill. Only to have the market turn the other way and take off like a Jack Rabbit, it happens far more often to us than most traders would like to admit. You can’t take losses personally you can’t try to trade your way out of them and you can’t control when they are going to happen. So just don’t beat yourself up, take your loss chalk up to a learning experience and move on. Sometimes there isn’t even anything to learn. You made the right move everything looked good, the market just turned. It will do that more than you care to think about.
Most asked question number 3, what’s the best system for trading? Well the best system for you is your system. Let that one sink in for a bit. There are as many systems out there as there are traders. They aren’t all perfect and what works for you might not work for me or anything else. The one thing I can tell you, there is no holy grail of systems. They all can be used by just about anyone; they just all need the personal touch of the user. A system working for a week or two or eight does not making it a winning system. All systems have their good and bad points; none of them seem to work in all markets. There is so much to choose from between systems and how to use them I think I’m going to make that a topic for an entire newsletter all by itself. The bottom line about systems is to do what works for you, learn what you like. Do you like swing trading, scalping, intra day…whatever you like there will be a system you can buy to get you started down the right path while you figure out all the nuts and bolts.
I hope this has giving you a little bit of insight into a long term successful trader’s mind.
Check back as I’ll post more once I have some time to put pen to paper a bit more. Take care and thanks for reading.
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