Saturday, 30 March 2013

7 Keys to Successful Financial Trading

Most small traders (i.e. the home-based independent speculators) end up losing money when they trade the financial markets.  Statistics say that 95% of these traders lose over time – which is why the investment professionals refer to them as the “dumb money”.

We’ve all been there at some time in our trading careers.  Some initial successes which hook you and then a run of losing trade after trade and not knowing why, or what you need to do to break the cycle…it doesn’t take long until your funds have expired and you feel stupid!

Imagine what life is like when you consistently end up on the winning side!  We’ve been there for a good few years now and it’s not by chance.

To help ensure your chances of success, make sure these seven key recommendations are part of your trading strategy.

1 - Know your market

2 - Plan each trade

3 - Keep losses small and maximise winners

4 - Remove emotion

5 - Develop a money-management strategy6 - Don't overtrade

6 - Don't overtrade

7 - Never chase a loss

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