Saturday, August 22, 2009

Rules for trading

1 Greed and Fear are the most dangerous enemies of a trader, control them before they control you.

2 Always use stoploss for all open positions, to protect capital.

3 Never let a winning trade run into a loosing trade, use trailing stoploss, to protect profit.

4 Don't overtrade or take position so big that you can not afford to loose if the stoploss is hit.

5 Remember two 'P' s Persistence and Patience.

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