In trading there are things that cause you to win in the long term and things that cause you to even lose your account in the short term. There are ways to manage risk and there are ways to purely gamble. There are ways to think that will make you […]
A Trader’s 10 Best Friends & 10 Worst Enemies Read More »
In trading we must be able to do two things: manage our winners and manage our losers. If we can’t play both good offense and defense then we will not win over the long term in trading no matter how well we do with one but then fail at the
Playing Offense and Defense in Trading Read More »
For me, author, teacher, and full time trader Alexander Elder really brought my trading together in a way no other author had. He gave me the framework to build my entire trading plan around: THE THREE M’s: Mind (psychology), Method (a trading edge) and Money (risk or money management). But what does each of those
10 Things That Each Trader Must Master Read More »
So your stock has ran up 60 points since you bought it and it is no where near any key moving average or price support so when do we take profits as a trader? We could sell the first day that it closes at the low of the day.
5 Ways to Exit a Rocket Stock for Maximum Profits Read More »
In trading your belief system will determine whether you win or lose. Your trading method is really determined by your beliefs about the market and how it works. Choose your beliefs carefully. Trading like you are in a cult: When you trade like a cult member you believe in your stock or your trade
What is your Trading Religion? Read More »
Trend Followers make money in the market not becasue they predict anything but becasue they buy what is going up and they sell what is going down. They discover ways to measure and react to trends based on history. Trend traders identify a trend and enter a trade with predefined risk for the trade and
The Anatomy of a Trend (7 causes and clues) Read More »
This is the second part of a three-part interview series in which trader John Ward sat down with Dr. Christian Kacher, former portfolio manager for William O’Neil + Co., managing director of VirtueOfSelfishInvesting.com, and chief investment strategist for MoKa Investors, LLC. Ward: Going from being a trader who was using O’Neil’s system on his
Interview with O’Neil Disciples Part II Read More »
Before William O’Neil and Nicolas Darvas there was Jesse Livermore. Livermore was considered to be one of the greatest traders to ever live. He is said to have made over $100 million shorting the 1929 crash, an unthinkable amount in his time. He made and lost millions on several occasions, he was a master of
Jesse Livermore’s Ten Trading Rules Read More »
Finally what we have been waiting for a chance to buy this decades Google. Facebook has filed to go public under the ticker symbol $FB. This could kick off a whole new mania, Web 2.0. The expectations for this companies earnings could not be greater due to the dominance of
Three Stocks that Profit from Facebook Read More »
Successful traders have a plan to win. By carefully putting the odds in their favor for the long term, successful traders will overtake gamblers who rely on random trades and a prayer. If you want to win in any area of life, you must be disciplined, study, and do the hard work. There are no
A Trading Plan: Do You Have One? Read More »
I have been trading for over a decade. I have had streaks where I won for many straight years in a row with minimum draw downs, it was as if I completely understood the markets and just could not lose. But I have also had years where nothing I did
7 truths about trading Read More »
Okay, Apple is the monster stock of the last decade. It continues to dominate many tech sectors and even leaving the destruction of whole industries in its wake. One example is the compact disk as a product and the company Tower Records that was made obsolete with iPods and iTunes.
Five Good Entry Points for $AAPL Read More »
IBD’s 20 Rules For Investment Success aren’t based on our personal opinion or those of Wall Street experts. IBD® built models of the most successful stocks each year from 1880 to 2010. IBD studied what common factors that existed before these great winners had large advances and how they changed when the stocks topped. So these rules
Investor’s Business Daily’s 20 Rules For Investment Success Read More »
Many times holding leading stocks through earnings is more like placing chips on red or black in a casino than trading with an edge. My best trades have always been playing the earnings expectations leading up to earnings not the actual earnings themselves. The dangers are plentiful,a good earnings report but not good enough and
Five Ways to Play $AAPL Earnings Read More »
There are some things we can control as traders and some things that we can not. We need to learn the difference to limit our frustration and win in this game. We can control: How much we risk per trade. How big a position size we take. What time frame we trade. What market
A Trader’s Serenity Prayer Read More »
A book review for Brent Penfold’s book ‘ The Universal Principles of Successful Trading: Essential Knowledge for All Traders in All Markets” This book is excellent for traders that are ready for it. You need a foundation in trading to understand its importance and take the principles seriously. Once you are through the rainbow and
The Universal Principles of Successful Trading Read More »
I am surprised that more quotes from legendary trader Nicolas Darvas are not available online. I hope this post helps this problem. After reading hundreds of trading books, How I made $2,00,000 in the Stock Market by Nicolas Darvas continues to be one of my all time favorites. The book covers almost all the basic
My 10 Favorite Nicolas Darvas Quotes Read More »
New Trader, Rich Trader has been called “The Rich Dad, Poor Dad of trading books”. I wrote this book after reading hundreds of books on trading and reviewing them all on Amazon. The purpose of this book was to combine the universal principles used by successful Rich Traders into one book. This book was given
The Rich Dad, Poor Dad of Trading Books? Read More »
What were the greatest trades of all time? Who made them? Here is a list of the who, what, when, where, and how of the greatest trades that were ever made. While the risk management while executing many of these trades is not what many traders would want, we can see many of these
Top Ten Trades of All Time Read More »
Successful traders act more like business people than gamblers. They manage risk, manage inventory, follow trends, look for patterns in their ‘customers ‘ buying and selling, and work for profits not excitement, just like anyone else in any business for profit. There is one huge difference between the winners and the losers in the market.
Be a Trader not a Gambler Read More »