24 RULES FOR SUCCESS IN TRADING
1. Plan your trades. Trade your plan.
2. Keep a positive attitude, no matter how much you
lose.
3. Continually set higher trading goals.
4. Successful traders have a well-scheduled planned
time for studying the markets.
5. Place the stop at the time you make your trade
6. Avoid getting in or out of the market too often.
7. Losses make the trader studious – not profits.
Take advantage of every loss to improve your knowledge of market action.
8. Always discipline yourself by following a
pre-determined set of rules.
9. Remember that a bear market will give back in one
month what a bull market has taken three months to build
10. You must have a program, you must know your
program, and you must follow your program.
11. Expect and accept losses gracefully. Those who
brood over losses always miss the next opportunity, which more than likely
will be profitable.
12. Split your profits right down the middle and never
risk more than 50% of them again in the market.
13. The difference between winners and losers isn’t
so much native ability as it is discipline exercised in avoiding mistakes.
14. In trading as in fencing there are the quick and
the dead.
15. Have you taken a loss? Forget it quickly. Have
you taken a profit? Forget it even quicker! Don’t let ego and greed inhibit
clear thinking and hard work.
16. The deepest secret for the trader is to
subordinate his will to the will of the market. The market is truth as it
reflects all forces that bear upon it. As long as he recognizes this he
is safe. When he ignores this, he is lost and doomed.
17. It’s much easier to put on a trade than to take
it off.
18.You must believe in yourself and your judgement
if you expect to make a living at this game.
19. In a narrow market there is no sense in trying
to anticipate what the next big movement is going to be – up or down.
20. It is better to be more interested in the
market’s reaction to new information than in the piece of news itself.
21. If you don’t know who you are, the markets are an
expensive place to find out.
22. In the world of money, which is a world shaped by
human behavior, nobody has the foggiest notion of what will happen in the
future. Mark that word – Nobody! Thus the successful trader does not base moves
on what supposedly will happen but reacts instead to what does happen.
23. When the ship starts to sink, don’t pray – jump!
24.
Lose your opinion –
not your money.
