How to become a successful, profitable share trader

Know how not that be a successful, profitable trader may be a suitable answer to this question. Here’s a quick list I came up with: rule # 1: use your entire bankroll on every one trade. Let’s face it, the less your trade size, the more you lose when you win, right?

Rule # 2: Use the maximum number of fields available for you. It works in conjunction with rule # 1. After all what good is money if it just lay there doing nothing?

Rule # 3: Do not use a stop loss for any sector. Market, manufacturers will simply see your feet, and trade down to it Rule # 4: DO panic in and out of trades. By that I mean when you hear some guy on TV, read something on the Internet board, or to see the share of the gap to 10% on the news then just get it! (Do not forget rule # 1). On the other hand, after you are in the trade and the market makes a tick against your position and then GET OUT immediately and change your position. Repeat as many times as you allow your account balance.

Rule # 5: Do not have a predefined plan for entry and exit from the deal. Having one would violate rule # 4. Instead, buy a “black box” program, which automatically gives trading signals. Ideally, you should alternate your trade and output based on the software and your feeling. Note: If the program does not cost less than $ 1000 is garbage.

Rule # 6: Do not read any other market. If you trade stocks, and then learn about interest rates, commodities, currencies and bonds will consider the valuable time you can use to trade.

Rule # 7: Try to win every trade. Regardless of how the market went against your position – it was just paper losses, as long as you stay in the trade.

Rule # 8: Do not add to winning positions. This rule applies if you made any recent deposit into your account because, in accordance with rule # 1 you should already be 100% invested in a winning trade.

Rule # 9: Add a losing position. This rule also applies in this case.