Tips / Rules / Help
Have a plan before you enter a trade. If you don’t have one do not enter. If you don’t know how to make a plan for a trade, learn how. Ask in our group what others have for their plans so you can compare strategies.
ADMIT it to yourself when you were wrong. Don’t try to force it and be right.
Emotions are natural. But you must learn to control them to keep them from your trade, let the chart tell you how to react.
Don’t chase blindly. Enter with a risk / reward in mind.
Don’t ask how high can this go? ( this can lead you into hoping, holding too long only to cause bigger loss )
Don’t ask what everyone’s price target ( same reason as above )
Don’t for “thoughts on… “ learn to cut losses quick, someone’s positive opinion can usually hurt you in the long run.
Don’t pay attention to blogs/forums/chats ( everyone has an agenda. Bulls vs Bears. Trust me. Delete all that nonsense )
Don’t average down unless this was part of the strategy all along. Hope is not a strategy. ( Better to cut loss on a bad trade )
Don’t worry if something is up 30%, 40%, 50% already, if it is up that means people like it. Watch it, look for a smart entry to measure a risk / reward trade plan.
Don’t be afraid to risk. Scared money does not make money
DO NOT DO NOT go all in EVER. Diversity your buying power.
Don’t over trade ( why trade too much? consistency is key )
Avoid mid day trades ( lower volume in this area and less follow through )
Don’t trade because you were bored ( this can cause a lot of losses because it is hard to be patient for a good move to come )
Don’t fall in love with a stock. These stocks do not care about you or your goals. Ride the hype and take your profit. Move on.
When you have a big win, take some profits out of your account. Pay yourself. Slowly and gradually build up your account to have larger positions.
If you want to trade for a living, don’t trade like you are trying to retire next week.
Small consistent wins matter more than a big home run win. Big wins are fun, but they are not the goal to learn to be consistent. You have to have the discipline to take profits when you have them.
If your heart starts racing, that is your body telling you that you are too emotionally involved like the position is too large for you to handle currently. Gradually learn to manage bigger positions.
Keep stop losses mental if you can. MM’s can see your stop loss number and they can knock you out on purpose.
Don’t buy peaks. Buy Dips.
Never forget quick things can change. You could have found a great symbol to trade but all it takes is 1 good headline and the focus will move.
Avoid stocks lower than $1 as a general rule of thumb.
When you take profits, don’t get back in a give it all back. Take profits and have a good day. This goes back to Consistency.
You Do not have to trade everyday. Don’t force it.