Valuable Lessons learned from trading

Discussion in 'Trading' started by gunner_trader, Dec 30, 2021.

  1. Hi Guys
    Just sharing a few lessons I have learned over the course of many years that I have turned into my own rules. This is mainly for new traders. They work for me.
    I never buy pre market.
    I never buy after hours.
    I never buy a big gap up at the open.
    I never buy at 9:30, I wait a minute or 2 and sometimes longer. You would be surprised how this in particular has helped me.
    I dont trade low volume stocks.
    I usually dont trade stocks under $20.
    I never let a loss get too big. If a trade fails, I bail..
    Again, these rules work for me.
     
    Last edited: Dec 30, 2021
  2. Robert Morse

    Robert Morse Sponsor

    Nice first post. Welcome.
     
    FSU and Leob like this.
  3. Thank You Robert.
     
  4. Well said; and for last 100 trades, what was you aver P/L per $500 trade? What is the definition of "get a loss too big"?
     
  5. That's "Rule #1*".

    (*It's also rules #2 and #3).
     
  6. Jack1960

    Jack1960

    Good rules!
     
  7. tomkat22

    tomkat22

    Am I having a Deja Vu or didn't this exact same post appear about 3 months ago?
     
  8. A post like mine probably pops up once per month. These are just rules that work for me.
     
  9. qlai

    qlai

    Cool, welcome. You listed what you don’t do, but what is it you do - trading style wise?
     
    Mazedonia likes this.
  10. My thinking as well. It's one thing to not blow up an account in record time (and the above are generally the rules to prevent just that) but those are not rules for long-term profitable trading. I miss risk management rules, trading strategies and approaches to actually make money... not just to prevent losing money fast. Most traders who have blown up once don't blow up quickly the second time but they usually bleed slowly to death. That's my observation from hearing from most other retail traders.

     
    #10     Dec 30, 2021
    qlai likes this.