25 Rules trader: Mantra to work on discipline


From my students, I demand a profitable trade for ten days in a row using only the minimum lot. When they do sell for ten days in a row only to profit, in my eyes, they deserve the right to increase a lot - and so another 10 days to trade only in profit.

Remember, if you sell at a loss with two lots, then reduce to a single work item.

10 comes out of losing trades.

You're not a loser because now you are running a losing trade. But will you tell them when you close it at the time, it is recognized that it is unprofitable. I often wonder how accurate market indicator is intuition. If suddenly you have the feeling that the deal could result in "moose", then so soon will be. It's time to tick, I mean.

There is not a trader who makes only profitable trades. I usually happens the day 33% of losing trades, 33% of transactions to zero (break-even) and 33% profitable trades. Trades I cut immediately. Cost is usually inexpensive. And even if one day I lose close to zero, or two-thirds of transactions, you still go back in the black.

Number 11 of the first "Moose" - the best "LOS".

Once you feel that an open transaction can result in "moose", it is better to close it immediately. "As long as the transaction has not closed - do not call it losing money" and "do not worry, the price will be back" - so often say traders, who work at the sites, and not the fact that they understand what they say. Once a trader says this phrase, it is clear that he understands the fate of the deal - the price is not coming back, it's time to exit the market.

12 Throw hopes and prayers. AKA loser.

In the years of my youth, when I was an undisciplined trader, many times I prayed, "God of the market", I can not even count how many times it was. I prayed, hoping to get out of a sticky market situation. I prayed that some deity intervened in the situation, but it never happened. And then I realized that the prayers to 'gods markets "were godforsaken thing. Just bring down the market!

13 Forget the news. This is history.

That's never understood why so many online merchants all day listening or watching the news on CNBC, MSNBC, Bloomberg News, FNN, etc. "Talking heads" who are news programs, in fact, too little versed in the dynamics of the markets or in the price action. Only a few of them, and it is not certain yet, had to sell at least one contract for any site or online. But they tend to try to appear in his work.

One guy from CNBC, which is now an "expert on markets and trade them," previously worked telephone clerk on the court, where there is a sale of treasury bonds. Well, in that case, he's an expert! Neither he nor the others can bring you benefits. Think of it all as it is in real life ... as entertainment.

The fact that the news that enter the program on TV, are already "obsolete." The essence of the news has already been analyzed and "From" professional players long before she "news" aired. Do not trade on the news. It's late.

Number 14 does not speculate. AKA loser.