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Do you want to know how to make money trading?

  1. Follow these rules and you should be successful.

    1. Do not take extreme positions.
    2. Sell quickly if the stock does not act as anticipated.
    3. Do not be afraid to buy back quickly if the stock continues to act exceptionally strong, even if it is higher.
    4. Do not ever become overly enthusiastic despite what current trends appear to be (lose objectivity).
    5. Do not ever become overly pessimistic despite what current trends appear to be (lose objectivity).
    6. Do not overtrade.
    7. Act according to your convictions; learn to trust your doubts as well as your expectations.
    8. Seek to buy strong stocks on weakness.
    9. Seek to sell weak stocks on strength.
    10. Trade evenly; doubling up on a new position to offset a prior loss may create additional problems.
    11. Be patient.
    12. Try to trade with the market trend and not against it.
    13. Do not attempt to squeeze out the last penny.
    14. Tentatively know where the market can run into supply or possibly meet support.
    15. Tentatively know where the stock can run into supply or possibly meet support.
    16. Determine what industries and stocks are the current market leaders-often invaluable since a basic understanding of general market conditions can be quite beneficial in anticipating market trends and reversals.
    17. Remember the market may do the unexpected.
    18. Commissions are a small price to pay for preservation of capital.
    19. Do not overstay trading positions – greed is a trader’s constant and greatest enemy.
    20. Do not trade on tips.
    21. Do not fight the tape.
    22. Do not become excessively keyed to the fluctuations in the popular averages; concentrate on the trends in individual stocks.
    23. Learn by mistakes.
    24. Do not look back (in a wishful manner) – can easily distort current and future judgements.
    25. Study your own weaknesses.

    Good luck!
     
  2. Hedgez,

    Thanks for posting, but don't you think that :

    2. Sell quickly if the stock does not act as anticipated.

    and

    11. Be patient.

    contradict each other ?
     
  3. Are you David Nassar in disguise? You can talk the guru talk; but can you walk the guru walk??
     
  4. Bono, it depends how you interpret being patient. To me, it means waiting for the setups you look for before entering a trade, and not forcing a trade out of boredom.
     
  5. know your limitations and practice discipline.
     
  6. Hedgez,

    Yeah ... and it could also mean, be patient when the market moves in your favor and don't cut off profits ... and don't be patient when it moves agaisnt you, and take your losses right away :)