· Apply money management techniques to your trading.
· Do not overtrade.
· Take a position only when you know where your profit goal is and where you are going to get out if the market goes against you.
· Trade with the trends, rather than trying to pick tops and bottoms.
· Don't trade many markets with little capital.
· Don't just trade the volatile contracts.
· Calculate the risk/reward ratio before putting a trade on, then guard against the risk of holding it too long.
· Establish your trading plans before the market opening to eliminate emotional reactions.Decide on entry points, exit points, and objectives. Subject your decisions to only minor changes during the session. Profits are for those who act, not react. Don't change during the session unless you have a very good reason.
· Follow your plan. Once a position is established and stops are selected, do not get out unless the stop is reached, or the fundamental reason for taking the position changes.
· Use technical signals (charts) to maintain discipline – the vast majority of traders are not emotionally equipped to stay disciplined without some technical tools. Use discipline to eliminate impulse trading.
· Have a disciplined, detailed trading plan for each trade; i.e., entry, objective, exit, with no changes unless hard data changes. Disciplined money management means intelligent trading allocation and risk management. The overall objective is end-of-year bottom line, not each individual trade.
· When you have successful a trade, fight the natural tendency to give some of it back.
· Use a disciplined trade selection system...an organized, systematic process to eliminate impulse or emotional trading.
· Trade with a plan – not with hope, greed, or fear. Plan where you will get in the market, plan how much you will risk on the trade, and plan where you will take your profits.
· Do not overtrade.
· Take a position only when you know where your profit goal is and where you are going to get out if the market goes against you.
· Trade with the trends, rather than trying to pick tops and bottoms.
· Don't trade many markets with little capital.
· Don't just trade the volatile contracts.
· Calculate the risk/reward ratio before putting a trade on, then guard against the risk of holding it too long.
· Establish your trading plans before the market opening to eliminate emotional reactions.Decide on entry points, exit points, and objectives. Subject your decisions to only minor changes during the session. Profits are for those who act, not react. Don't change during the session unless you have a very good reason.
· Follow your plan. Once a position is established and stops are selected, do not get out unless the stop is reached, or the fundamental reason for taking the position changes.
· Use technical signals (charts) to maintain discipline – the vast majority of traders are not emotionally equipped to stay disciplined without some technical tools. Use discipline to eliminate impulse trading.
· Have a disciplined, detailed trading plan for each trade; i.e., entry, objective, exit, with no changes unless hard data changes. Disciplined money management means intelligent trading allocation and risk management. The overall objective is end-of-year bottom line, not each individual trade.
· When you have successful a trade, fight the natural tendency to give some of it back.
· Use a disciplined trade selection system...an organized, systematic process to eliminate impulse or emotional trading.
· Trade with a plan – not with hope, greed, or fear. Plan where you will get in the market, plan how much you will risk on the trade, and plan where you will take your profits.
