Letting Your Winners Run

Discussion in 'Risk Management' started by Money Trust, Jan 14, 2015.

  1. %%%%%%%%%%%%%%%
    Good points, on research...............................;
    Mr Buffet does not even like debt in a company.
     
    #31     Jan 29, 2015
  2. Months have passed since I created this thread and I'm revisiting it to state that I found my problem. My problem is/was that I was trading in a way that wasn't suited to my personality type. I developed a trading system for swing trades (holding for days or even a week) when in all actuality, I don't have it in me to hold a position for that long. I've taken my same system and applied it to day trading and the results are much better. My personality type is more suited towards taking money out of the markets daily.

    Another thing...I used to concern myself with micromanaging trade entries as well and this self-analysis explained to me why I was concerned about that bullshit. I was looking for perfect entries due to my fear of losing money. With my system now geared towards day trading, the risk/reward ratio is so great that precise entries is stupid to even think about.

    This could serve as another lesson to future readers as to the importance of selecting a trading style that is in harmony with your personality type.
     
    Last edited: Apr 29, 2015
    #32     Apr 29, 2015
    md2324, Fundlord and bone like this.
  3. Fundlord

    Fundlord

    I allocate half my funds to a day trading strategy but I find that my entries have to be much more precise than when I swing trade.

    Since I am leveraging up considerably more than a swing trade. But ya I agree looking for perfect entries leads to hesitation and missing the move.
     
    #33     Apr 29, 2015