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Ten Simple Ways To Trade Better

  1. It is crucial to trade quantified high probability entry signals with good risk/reward skewed in your favor not your emotions or your opinions.

  2. When you enter a trade decide where you will stop out of the trade if price goes to a place that proves you are wrong.

  3. Only trade in markets and trading vehicles you fully understand, if you have not studied years of charts and price action in what you are trading you have no business trading it until you do.

  4. You should be trading a position size that keeps your trading plan in charge, when your emotions start interfering with your trading decisions you are trading too big.

  5. If you do not understand the statistical risk of ruin based on your percentage of capital at risk per trade then you need to stop trading until you do.

  6. You should understand what your winning percent basically will be for your trading system and also what  your risk/reward ratio is so you can determine if you will even be profitable.

  7. You should be trading a system that you are comfortable with, if you find yourself highly stressed out in your trading something is wrong, you need to find out what is wrong, time frame, size, belief system, or your personality versus your system.

  8. Never attempt to trade for a living until you have a track record of returns for live trading of a system and you have enough capital to trade so that the returns will work out versus your monthly bills based on the size of your trading capital.

  9. You have to do thousands of hours of the right kind of homework on your trading or the traders that do will take your trading capital sooner or later.

  10. If you do not understand what any of the items on this list means then you need to study and find out.