The Seven Mistakes All Novice Traders Make and How to Correct Them
We learnt the following the hard way! If any of these things applies to you, don't worry – there is an easy solution! MISTAKE ONE Lack of Knowledge and No Plan It amazes us that some people expect to trade the stock market successfully without any effort. Yet if they want to take up golf, for example, they will happily take some lessons or at least read a book before heading out onto the course. The stock market is not the place for the ill informed. But learning what you need is straightforward – you just need someone to show you the way. The opposite extreme of this is those traders who spend their life looking for the Holy Grail of trading! Been there, done that! The truth is, there is no Holy Grail. But the good news is that you don't need it. Our trading system is highly successful, easy to learn and low risk. MISTAKE TWO Unrealistic Expectations Many novice traders expect to make a gazillion dollars by next Thursday. Or they start to write out their resignation letter before they have even placed their first trade! Now, don't get us wrong. The stock market can be a great way to replace your current income and for creating wealth but it does require time. Not a lot, but some. So don't tell your boss where to put his job, just yet! Other beginners think that trading can be 100% accurate all the time. Of course this is unrealistic. But the best thing is that with our methods you only need to get 50-60% of your trades "right" to be successful and highly profitable. MISTAKE THREE Listening to Others When traders first start out they often feel like they know nothing and that everyone else has the answers. So they listen to all the news reports and so called "experts" and get totally confused. And they take "tips" from their buddy, who got it from some cab driver… We will show you how you can get to know everything you need to know and so never have to listen to anyone else, ever again! MISTAKE FOUR Getting in the Way By this we mean letting your ego or your emotions get in the way of doing what you know you need to do. When you first start to trade it is very difficult to control your emotions. Fear and greed can be overwhelming. Lack of discipline; lack of patience and over confidence are just some of the other problems that we all face. It is critical you understand how to control this side of trading. There is also one other key that almost no one seems to talk about. But more on this another time! MISTAKE FIVE Poor Money Management It never ceases to amaze us how many traders don't understand the critical nature of money management and the related area of risk management. This is a critical aspect of trading. If you don't get this right you not only won't be successful, you won't survive! Fortunately, it is not complex to address and the simple steps we can show you will ensure that you don't "blow up" and that you get to keep your profits. MISTAKE SIX Only Trading Market in One Direction Most new traders only learn how to trade a rising market. And very few traders know really good strategies for trading in a falling market. If you don't learn to trade "both" sides of the market, you are drastically limiting the number of trades you can take. And this limits the amount of money you can make. We can show you a simple strategy that allows you to profit when stocks fall. MISTAKE SEVEN Overtrading Most traders new to trading feel they have to be in the market all the time to make any real money. And they see trading opportunities when they're not even there (we’ve been there too). We can show you simple techniques that ensure you only "pull the trigger" when you should. And how trading less can actually make you more! David Chandler For free mini-course on stock and options trading click the following link: http://www.StockMarketGenie.com Or visit our blog at: http://stockmarketgenie.blogspot.com/ Ordinary People Making Extraordinary Profits! The above comments are offered for educational purposes only. We are not providing you with financial advice. We are simply sharing with you what has and hasn't worked for us personally. If you wish to trade or invest in the stock market you should obtain advice from a registered licensed advisor. |
Other Trading Tips Articles
Choosing A Forex Trading System – Part 5 No discussion of trading system evaluation would be complete without a discussion of drawdown. We must always look at the maximum drawdown of any trading system as it is very, very important.The maximum drawdown of trading system is defined as the greatest peak-to-valley drawdown in a trading system’s equity. Let’s say for example that ...Yes, Let's Make A Deal! I received an inquiry the other day from an organization that’s inviting me to speak before its staff.Small problem: they can’t pay me my standard fee.Well, scratch them off them off the list, right?Wrong.If I’ve learned anything in my consulting career, it is the wisdom in the phrase, “Mighty trees come from tiny aco ...A Little Bit about the Chinese Crested Other names the Chinese Crested is known as are:• Chinese Edible Dog • Chinese Ship Dog • Chinese Hairless • Chinese Royal Hairless • Pyramid or Giza Hairless • South African Hairless • Turkish HairlessThe “crest” in its name refers to a copious shock of silky hair that graces the dog’s head.T ...Moving Average Convergence Divergence ( MACD ) Charts The Moving Average Convergence Divergence charts, or MACD charts for short, are a technical indicator that is derived from the more simple moving average.The MACD charts are oscillating indicators, meaning that they move above and below a centerline or zero point. As with other oscillating and momentum indicators, a very high value indica ...7 Feng Shui Tips For Spicing Up Your Lovelife Are you happy with your lovelife or would you like to see it improved?No matter who you are, there are times when "the bedroom" is not the loving and fun room it should be. There are of course numerous reasons why this may happen but there are some simple things you can do to help you make things better.Your bedroom acts as a magne ...Taxes for Day Traders and Investors Whether you are an active day trader or just put money into the market for long term gains, taxes are something you need to address. The IRS views traders and investors differently.Taxes for Day Traders and InvestorsAs odd as it may sound, the tax code is fairly vague on the issue of taxes for day traders versus investors. Alas, th ...Sailing the Gulfs of Hydra and Argolikos in Greece It is difficult to generalise about weather patterns within the area. In the summer months the north usually sees the Meltemi from the NNE - NE. But unlike the rest of the Aegean it is by no means guaranteed and if it does not blow winds are usually light and from the south. The prevailing wind in the south of the area is from the SE and it will ...Ten Ways to Manage a Rapidly Growing Business While some new business owners face the issue of not enough customers, others face the issue of too many customers/clients. Both are serious issues and must be dealt with carefully. There are many lists on how to find new customers/clients. Here is a list of 10 ways to deal with a rapid influx of new customers. The goal is a steady flow of j ...Card Trading: Risks and Precautions You can trade your cards in two different ways: face to face, or by postal mail. The first type of trading is performed at tournaments, at schools, or at the local comic shop, and you arrange the trades by checking the other person's cards directly, holding them in your hands. Otherwise, cards are traded by mail when the parties can not meet bec ...Relationship Tips Relationships can be so exciting at the start. It’s a time when you just can’t wait to see each other, spend every spare minute dreaming about each other and just can’t keep off the phone. Unfortunately as the relationship develops into a comfortable routine, the excitement generally recedes, the need to touch base becomes more infrequent and a ...The Market Holy Grail: Fact or Fiction? IntroductionThe Holy Grail is quite possibly the most famous piece of Christian mythology. Almost every archaeologist, historian, Christian and capitalist would love to find it, and many dedicate their lives towards its pursuit. It is said that those who drink from The Grail will be blessed with eternal life, whether that is spirit ...Day Trading for a Living – How Lucrative is It Have you ever thought about becoming a day trader? Is day trading for a living a lucrative field? What about the risk that is associated with day trading?If you are at all interested in becoming a day trader and day trading for a living, then read on. There is a lot of information out there for day trading. Everybody has their own for ...Fibonacci Numbers and the Golden Ratio - 3 Tips for Greater Trading Profits In this report, we will look at the history and background of Fibonacci numbers and The Golden Ratio. We will then outline three specific money management tips that can help increase your profit potential.Support and resistance levels are an important consideration for most traders to help identify entry and exit points when trading. Fibo ...Simple, Effective Web Site Traffic Promotion Web site traffic promotion is central to the success of any online business. Without effective web site traffic promotion, an internet business will literally perish in a matter of no time just as a retail storefront would go out of business without customers walking through their doors. An internet business is as dependent on web ...Relationship Advice: How to Stir Up a Conflict in Your Relationship Relationship conflict can be a scary thing for many couples.Recently I was working with a couple that was doing pretty well, yet had a brief conflict earlier in the week. Before we could even celebrate their progress one of them wanted to jump right in to talking about the conflict earlier in the week.I asked them to st ...Stock Investing - Sometimes You Win, Sometimes You Lose For years, people have been making millions. Many people think that it's because they are lucky, and that luck hasn't come by them yet, and if it has they believe it to be bad luck. The truth is everyone can make money, it depends on how hard you try and what you are willing to do. Stock investing has been around for years, and people are makin ...10 Tips for Responsible Medication Use All medications, which include prescriptions, over-the-counter preparations, vitamin and mineral supplements, and herbal preparations, are potentially dangerous. Following some simple rules will not only reduce your chance of having a problem, but should reduce your cost as well. Always shop around for medications – there is a sig ...Benefits of Using a Stock Broker as a New Investor If you're new to the world of stock trading and investments, you probably realize that there is tremendous pressure in the financial world today. New investment opportunities are being discovered every day that can potentially bring wealth and prosperity to your portfolio. Also, online stock investing has opened the door wide for overseas stock ...Why Asia Owns America The Forgotten Benefits of the Gold StandardOne of the benefits of the gold standard, long forgotten, was that it acted to regulate imbalances in trade. Under the gold standard, trade imbalances between countries were unsustainable because they would self correct over time. Here is an example of how that worked: When a country would export ...My 7 Most Important Business Lessons Millions of people start new small businesses in the United States every day. Many fail at running a small business every day. What causes one business owner to succeed where another fails? There are seven key areas to focus your efforts for a successful small business. It starts with knowing oneself and ends with not being afraid to ask for hel ...10 Ways to Make Money With Arbitrage Trading Working at home is a very hard business that many people think is very easily done. It is a well-known fact that 99% of the people who try to start working from home fail. They lack information about working at home, and they usually buy into a program that only offers one way for you to make money. Most of the time in order for you to ma ...Trading Online Article Submission Sites for Physical Items If you are an online article author then perhaps you would think you could trade your articles for physical purchases. Some new online article submission sites are offering online article authors a percentage of the click through on Google AdSense. Some are offering as high as 50%, although most of those sites are brand new and have little if ...What Does It Mean When a Stock Has Gone "Parabolic"? Financial reporters use the term "parabolic" to describe the behavior of a stock--and occasionally the general market--whose value has risen dramatically in a short period of time. As a rule of thumb, investors should regard such reports as warnings.News about a company can often drive the price of its stock quickly to the upside as new i ...Seecrets on Investment: Tired of Making Huge Losses in the Stock Market - Part 1 Over 80% of all individual investors lose money in any given span of ten years. This figure is likely to be higher, given most people’s reluctance to reveal their losses. This article provides a broad outline of this financial landscape. It reflects the author’s personal views as an individual investor and author of a stock charting software wit ...Online Stock Trading: Freedom of Trade I remember the first time I started to trade online. It was just before the tech bubble of the late 1990’s and the internet was still something new for most people. Purchasing the now forgotten company was easy, and I made a few dollars on that trade. It was so excitingly simple.Flash forward a couple of years and I have made and lost my ...Easy Tips to Keeping Kids Quiet While You're on the Phone One of the easiest ways to get into the telecommuting industry is to get a phone job. These phone jobs are more readily available than other telecommuting jobs and usually pay pretty well.When you first start working on the phone from home, keeping the kids quiet can be a bit of a challenge. There is a fine line between keeping your child ...Executive Summary Preparation Tips An Executive Summary is a more finely tuned version of your full blown Business Plan. Some people get the two documents confused and others use the two terms interchangeably. There is no special set of rules for preparing either document although most people would probably agree that the Executive Summary should be contained ...Prevent Your Adsense Account From Getting Terminated Google, being the leader in search engines till now, is placing a high importance on the quality and relevancy of its search engines. Most especially now that the company is public property, Google has became seriously quality conscious regarding the results it displays.For this same reason, doing the wrong things in the Adsense and other ...Investing In Art - Starting All Over Again? If you are curious to invest in something else than real estate or stocks, art might be an option. Previous investment experience (in real estate or in financial markets) will most certainly determine your approach when exploring Art investments.For example; if you are fully focused on short term profits, in which case your investment app ...Teeth Health Tips for Kids Teeth health begins with proper eating habits and not necessarily with the avoidance of sweets, including chocolate candy, candy cane, candy bar or hard candy, but the clue is getting the balance right. When it comes to choosing the food for your kids, consider sweet candy as part of their diet, teaching them to keep healthy teeth.Caring ...How on Earth do Companies and Organisations Lose Data? Browsing the web I became engrossed with the concept of data backup and data loss. There is almost an almost unlimited amount of information covering subjects such as how to keep computer and server data secure, how to back-up data, how to restore data, how to replicate data, who will remove your backup tapes to an remote location, which compa ...
|
