My golden rules are:
- Keep Learning On A Daily Basis
- Master your emotions
- Don’t Let Losses Compound
For me, its these 3 -
Always trade with a plan.
Determine risk to return ratio
Never overtrade after consecutive wins or losses.
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This kind of transaction planning feels very good, and there is no end to learning. In addition, the mentality is very important. Thanks for sharing.
Yes it does. My friend has experienced this so as per his experience meditation helps.
Rightly said, It is important to be consistent. You need to have a plan so that you stick to one strategy. Apart from that you should keep your emotions in check and calm your mind.
Discipline
Patience
Knowledge
3 P ** PROFITS pROCESS **
Fantastic rules, absolutely agree.
There are lots of comments about controlling emotions but I don’t really think that it is appropriate here, because this post about practical rules but about abstract advice. Everybody knows that you should control your emotions and feelings, but how to do that? That implies rich experience and some psychological methods to stay cool-headed and it is really hard to explain the psychological side of trading in one post.
I really like the idea of trading journak and I believe that it is the most important thing for a newbie in trading. That is the best way to learn from your mistakes and track down the places where you were wrong.
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Gotta try this.
I agree with what you said. It is important to make the most out of a strategy, and keep a trading journal so as to keep track of what you did and learn through it. Consistency is also important, and with it comes persistence and being able to work hard and remain motivated even if at times losses are made.
In general, I believe that the most important rule of trading is to be careful. This is exactly the rule that applies to both the novice and the experienced user.
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True bro!
It is the most basic and important point to take care of.
For me, one of the most important rules:
- Do not be scared
- do not lose attention
- do not invest a lot of money at once.
It was a very good post. Rules should be maintained by every trader. For example, I trade by managing 1: 2 risk. And don’t try to trade without a plan.
Will give it a read!
I agreed with trading journals one. It is very useful for anyone who wants to go in the past and remember what mistake or faults were made so that you can learn on how to improve that.
In general, there are much more important rules in trading, as for me. It is important that the trader himself understands this and pays enough attention to it.
Really nice tips which are widely used by experienced traders and should be used by the newcomers in order to become more or less successful. Speaking of consistency, I would put it this way: it is more important to be right than to earn a lot. Everybody has a chance of making 50% of deposit within a day, but such person will lose everything in a not-too-distant future.
Emotions arent really hard to control…Just keep in mind that jumping to fast into a trade of any kind will end up losing usually…I go with my gut, if it feels good, then try just a few shares in stocks and depending on your risk factors etc…Gotta have a plan though no matter what!!! I know quite a bit about forex, I simply dont know anything about trading or setting them up…Im older at 56, so keeping my emotions in check is easier than some younger folks can deal with…
Thanks for sharing! I thinks that’s really important rules.