Trading for Living
- Follow the trend, Don’t be afraid to be a sheep.
2. Know why you are in the market to relieve boredom / to make profit.
3. Use any good system and stick with it.
4. Apply money management techniques.
5. Do not over-trade
6. Take a position only when you know your profit goal and risk limit.
7. Don’t try to pick tops and bottoms, take your bite out of the middle.
8. Don’t trade too many markets with too little capital
9. Don’t trade illiquid markets
10. Resist from temptation and calculate Risk Reward ratio before you trade
11. Establish a trading plan. Decide entry & exit points. Profits are for those who act and not react.
12. Follow your plan with stop losses and always use stop loss orders.
13. Use technical signals to maintain discipline
14. Eliminate impulse trading, When you have made a successful trade avoid giving back some to the market
15. Trade with plan not greed hope or fear
16. Cut your losses short
17. Let your profit run. Accumulate them
18. Accept many small losses and stay still for few large gains
19. Standing aside is a position, Patience is crucial
20. Don’t trade with emotions
21. Approach the market with a reasonable time goal
22. Never add to a loosing position
23. Analyse your losses, learn from your losses